S. 2498 would require providers of short-term lodging and websites that advertise or offer such lodging to display upfront the full lodging price and each mandatory fee required to complete a booking. The Federal Trade Commission (FTC) would be responsible for enforcing the requirements of the bill.

Using information from the FTC, CBO estimates that implementing S. 2498 would cost $4 million over the 2024-2029 period to issue guidance and monitor and enforce violations. Any related spending would be subject to the availability of appropriated funds.

Additionally, companies that fail to meet the new requirements could face civil penalties, which are recorded in the federal budget as revenues. However, the extent to which businesses would violate the bill’s requirements after they go into effect is uncertain. Furthermore, if a business does violate those requirements and the FTC chooses to proceed with an enforcement action, the extent to which the agency would pursue civil penalties rather than other remedies is also uncertain, as is the amount of time it would take to resolve each case. As a result, CBO estimates that any additional revenues collected under the bill would be insignificant over the 2024-2034 period.