If there’s one topic that vexes meeting planners the most, it’s the many hidden fees they face—for use of everything from pools to parking lots—and each hotel is different.
The practice has spiraled out of control since the late 1990s, when hotels began charging “resort fees” for use of pools, health clubs and other facilities.
“All of these clauses are written into the contract and hopefully not noticed or misunderstood,” said Bonni Scepkowski, president/chief strategist of Stellar Meetings and Events. “Your profits could be reduced by 30 to 40 percent or more.”
There will be some relief on the horizon. Congress recently passed the No Hidden Fees Act, and the Federal Trade Commission has written the “Unfair or Deceptive Fee Rule” into the Federal Register. Additionally, states are advancing legislation, with California leading the way.
What’s the most annoying fee?
Skift Meetings reached out to planners to share what they consider to be the most egregious hotel fees, as well as other expenses that are annoying but may be negotiable.
cost
Exclusive in-house audiovisual services put many planners in a bind. “I paid $3,500 for a TV and power outage for eight people for a two-day conference in May,” said Amanda Corley, owner of The Curated Concierge. At these prices, I could buy a projector and 2024 screens, have my college kids run it, and still have money left over. The AV racket is next level.
destination fee
This is the city’s version of a resort fee, which is reported to cost an additional $10 to $25 per night. A hotel’s “all-access pass” includes access to the business center, Wi-Fi, bottled water, in-room refrigerators/microwaves and lobby bicycles — all of which (except Wi-Fi) used to be free.
Catering service fee
Scepkowski found these fees hidden at the bottom of the airport hotel’s last-page menu in the form of eight points: 17 percent gratuity, 12 percent taxable administrative fee, 7 percent tax and 8 percent activity fee. “Those are three different ways of saying ‘service fee,'” she said. “And the tax rate is 7%.”
Parking Fee
According to ResortFeeChecker.com, the average hotel parking fee has climbed to $44 per night. Planners face the challenge of many hotels outsourcing ancillary functions such as parking to outside vendors. There is little room for negotiation in this arrangement.
Installation fee
Gone are the days when each place setting came with water, hard candy, a notebook and pen, and maybe even a small ornament in the center of the table. “At one point, we had to pay for room setup and a fee per person to place the notebooks in each environment,” said Nandita Mohile, senior events director at Oliver Wyman. “So we chose to put the notebooks in in the back of the room to avoid that fee. ” Carly Brecka, a project manager at Fox World Travel, charged the hotel a $500 vendor fee for renting the hotel’s own napkins and decorations.
unexpected tax
Local taxes, such as Massachusetts’ Cape Cod and Islands Water Conservation Fund, can also catch planners off guard. The 2.75% excise tax will fund projects to improve water quality and wastewater infrastructure on the Cape, Martha’s Vineyard and Nantucket – and it will appear on your next bill.
Potentially negotiable fees
Many other costs can be annoying but are often negotiable if the planner includes a clause at the contract stage. These include key fees for conference offices or storage rooms, early check-in and late check-out fees, room delivery fees, letter distribution fees upon check-in, and credit card processing fees.
