Consumer Group Pushing ‘Junk/Hidden Fees’ Bill Package in California

A group of California lawmakers along with the Consumer Federation of California is pushing a six-bill “junk/hidden fees package” that proponents say will protect consumers from deceptive pricing and add-on fees in a wide range of industries.

According to the Consumer Federation, 85% of Americans have experienced hidden fees.

The package of California bills is designed to complement the Biden Administration’s efforts to crack down on junk fees. In Biden’s State of the Union address before Congress on Feb. 7, he said “Americans are tired of being played for suckers,” and he proposed a federal Junk Fee Prevention Act to protect consumers.

The package of California bills consists of the following:

• SB 611: Authored by Senator Caroline Menjivar, D – Panorama City/San Fernando Valley. The bill would require landlords to clearly state to potential renters what their up-front and monthly payments will be, including all required fees, necessary to rent the apartment.
• SB 666: Authored by Senator Dave Min, D – Irvine. The legislation is intended to address so-called unnecessary charges faced by small businesses by limiting certain add-on fees and charges.
• SB 680: Authored by Senator Nancy Skinner, D – Berkeley. The bill would prohibit auto dealers from charging above the Manufacturer’s Suggested Retail Price for electric vehicles.
• AB 8: Authored by Assemblymembers Laura Friedman, D – Glendale, and Jacqui Irwin, D – Thousand Oaks. The bill is intended to provide greater transparency and regulation in the live ticket marketplace by ensuring clarity of pricing and fees, specification of location of seat(s), and a link to refund policies.
• AB 537: Authored by Assemblymember Marc Berman, D – Menlo Park. The bill would prohibit hotels and short-term lodging from advertising or offering a room rate that does not include all fees required to book or reserve the room.
• AB 1222: Authored by Assemblymember Tina McKinnor, D – Inglewood. The bill is designed to provide greater transparency by ensuring that a rental car company only advertises or quotes a rental rate that contains the entire amount, including all applicable taxes and additional fees or charges, necessary to rent the vehicle.

The bills are expected to begin moving through the state Legislature later in March and April.

Topics California