Priceline.com Refused to refund my $ after hotel agreed to cancel

I booked a hotel room for the night of Friday Aug. 26, 2022 on Wednesday Aug. 24, 2022. It was not a 'price breaker' or 'we pick for you' or 'last minute/late night rate' deal. It was a standard booking with up to 24hr cancellation policy. 

The room was for a Football Jamboree that my 14yr old son's team was to play in. The same day I booked the room I found out only 6hrs later that two of the other teams had Covid and weren't going to come so they canceled the jamboree. I contacted Priceline right away to cancel and they refused to cancel my reservation.

They said that there was a "no cancellation policy" which wasn't the case. I called the hotel themselves which was The Best Western Plus Tree House in Mt. Shasta California, and they informed me that there was no cancellation policy for their hotel and that they had no involvement with Priceline until the time of check in.

They made it clear that they do not take consumers money and hold it like Priceline claims.
When I called Priceline to request a refund the automated system recording had been changed since the last time I called in about 2wks ago and now the automated phone system said there is no cancellations allowed good bye.

It is still more then 48 hrs to check-in so well before the 24hr cancellation window and Priceline has refused to refund my money. So at this point it is considered theft. I am going to try to file a police report for it but don't know if I can? This is crap. Priceline is the worst!

I want their entire business shut down for false advertisement; changing terms without proper notice; and most importantly for Theft!?