Your thread brings up several interesting issues about Priceline:
1. Refund & Cancellation: Obviously the PL t&c specifically exclude getting a refund on rooms. However, PL at their discretion, can and does issue refunds due to extenuating circumstances. So if you write or call them advising of some extenuating circumstance, they may refund your money. I am sure this is tracked by customer so do it sparingly. I am always surprised on this board, no offense meant, that people get so hung up on terms and conditions. No matter what the t&C says, anyththing can be done on a case by case basis. What is that expression, rules were made to be broken
2. Your second issue involves the number of guests in your room. I appologize for not being able to say it more tactfully, but you were a fool to call the hotel and tell them 4 people in the room. You were just asking to be hit with $$$ for doing that. Shush shush shush. Nobody needs to know how many people are in your room. The only issue as noted is if you get one bed. What you should do is on the day before or on the day of arrival, call and ask if they can pre-block a room with 2 beds. Also many hotels charge extra for a roll away bed but the charge is usually minimal.
If the charge is onerous, you might try tipping someone to get it reduced. I had a friend who I think gave a bellman $20 and got a free refrigerator and this was less than the official rate to get a refrigerator. This may be questionable ethically, but it goes on whether you me or the next person likes it. You and the bellman make out, the corporate America loses its proffit on such a deal

. I'm crying just thinking of corporate America losing that $$$ on the fridge rental or the bed rental

.
Best of luck and pls advise or more clearly state exactly what your issue or question is if it has not been answered as of yet. It sounds like you got a good deal for $60 a night somewhere else as well.
I think there is also some question of what you meant by "playing" and whether you meant to make the bid.