Hotels & Lodging in Washington, DC: What Residents Actually Need to Know

If you live in Washington or are thinking about moving there, hotels & lodging are one of those things you probably won't think about until they affect you directly. Washington has 2 specific rules on the books covering different aspects of hotels & lodging, and some of them might surprise you.

Hotel Worker Retention

When a hotel or building-service contract changes hands in D.C., the incoming contractor must keep qualifying food-service, janitorial, health-care-support and security workers on the job for a 90-day transition period under D.C. Code § 32-102. Coverage reaches hotel food service staff by name.

Key details: Transition period: 90 days. Prior-tenure threshold: 8 months with old contractor. Contractor size threshold: 25+ employees. Minimum hours covered: 15 hours/week. Relocation retention rule: 50% of staff within 30 days.

A wrongfully discharged employee may sue in D.C. Superior Court under § 32-103 and recover back pay for every day the violation continues, calculated at the higher of the employee's average regular pay rate over the last 3 years in that job classification or the employee's final regular rate, plus the cost of benefits the new contractor would have provided under its own benefit plan. The prevailing party is entitled to reasonable attorney's fees, and the chapter does not bar a separate common-law wrongful-termination claim.

Transient Occupancy Tax

Washington, D.C. imposes a 10.05% sales tax on hotel and lodging charges paid by transient guests, plus a separate 4.45% tax that funds the convention center, for a combined 14.5% rate.

Key details: Base hotel tax rate: 10.05% of gross room receipts. Additional convention center tax: 4.45% of gross room receipts. Combined rate: 14.5% on transient lodging charges. Enforcing agency: Office of Tax and Revenue. Governing law: D.C. Code §§ 47-2002, 47-2002.02.

Vendors who fail to collect or remit the tax are subject to the sales-tax collection, assessment, and penalty provisions of D.C. Code Title 47, including interest and penalties for unpaid tax, enforced by the Office of Tax and Revenue.

The Bottom Line

Washington's hotels & lodging rules are a mixed bag. Some areas are strict, others are relaxed, and the details matter. The best approach is to check the specific rule that applies to your situation rather than assuming Washington is broadly strict or permissive.

These rules come from Washington's publicly available municipal code. For complete penalty schedules, exemption details, and answers to common questions, see the individual ordinance pages throughout this guide.