hotel asset managers association october 2010. 2010 elections – anti-incumbent wave obama...
TRANSCRIPT
Hotel Asset Managers Association
October 2010
• 2010 Elections – anti-incumbent wave • Obama Administration
– Healthcare, immigration - out of touch with desire of voters (jobs)– BP Oil spill – seen as reflection on competency
• Themes– Government takeovers – out of control– Rise of Tea Party/Independents – rise in frustration– Voters impatient (vote swings are shorter in duration)– UNCERTAINTY
• Polls– Direction of Country (Wrong 60.4, Right 33.6)– House (D 190 – R 207)– Senate (D 48 – R 47) 5 toss up
POLITICAL UPDATE
• Tourism (TPA, AZ Boycott, BP Oil Spill)
• Online Hotel Booking Tax
• Per Diems
• EFCA and the Labor Agenda
• Healthcare (covered by panel)
• Americans with Disabilities Act
• Immigration
MAJOR ISSUES
Travel Promotion Act signed into law by President Obama on March 4th
• Public-private partnership to explain U.S. security policies, attract millions of international visitors through new ad programs
• $10 fee from incoming Visa Waiver countries and “in kind” travel industry contributions funding program
• Bill provides $20 million in start-up funds over 3 years. Travel Corporation Board to be announced in Early September
• Next steps: September 8, 2010 – DHS started collecting the ESTA fee to fund the Corporation
• TPA Board announced
MAJOR ISSUESTravel and Tourism
Arizona Boycott - Hospitality industry employs 52,000 people
• AH&LA President & CEO Joe McInerney sent opposition letter to Washington, DC council when they threatened a city-wide boycott of Arizona – resulted in council backing down
• AH&LA held Summer Summit in Scottsdale, AZ, sent out a press release and has done interviews on this issue.
BP Oil Spill Disaster
• AH&LA working with Alabama, Louisiana, New Orleans City and Florida associations
• Working with legislators - participated in Congressional hearings
• Updated the AH&LA website with information for our members
• Working with US Travel Association with their Roadmap to Recovery
MAJOR ISSUESTravel and Tourism
MAJOR ISSUESOnline Hotel Booking Tax
• Cities and states suing online travel companies (OTCs)
• Consumer class-action lawsuits filed against OTCs
• Cases decided on wording of ordinances and laws
• Many cases decided in favor of OTCs
• Ordinances that compel “hotel operator”
MAJOR ISSUESOnline Hotel Booking Tax
• “Internet Travel Tax Fairness Act” (ITTFA)
• Preempts state and local tax authority and limits tax to discounted rate
• Mandates that traditional travel agents would enjoy preferential tax treatment
• Specifically bans hotels from utilizing new tax category
MAJOR ISSUESOnline Hotel Booking Tax
• States/localities look to hotels to make up for lost revenue
• Makes hotels vulnerable to tax on revenue not received
• Places hotels at competitive disadvantage
• OTCs protected from full tax where hotels will continue to pay full tax
• Can undercut hotels in final price of room (even when room rate is equal)
MAJOR ISSUESOnline Hotel Booking Tax
• AH&LA has led fight against ITTFA
• Built coalition with state and local governments, HAMA, DMAI, AAHOA, NABHOOD, IFA etc.
• AH&LA hired Venable tax counsel and will launch a PR campaign
• Support for OTCs from Sen. Reid (D-NV), Ensign (R-NV), Wyden (D-OR), Baucus (D-MT)
• OTCs face legislative opposition if their measure was put to a vote
• Met with OTCs to suggest non-legislative alternative, but were turned down
MAJOR ISSUESOnline Hotel Booking Tax
• FY2011 per diem rates averaged a 5.73 % reduction nationwide
• Rates based on data gathered May 2009 – April 2010 (rates low)
• Reviews and changes of rates possible• Federal agency must contact GSA, lack of rooms at rate• GSA reviews 2010 data and issues new rate in April
• Hoteliers should work with federal agencies in their area
• AH&LA can assist• Schedule meetings in Washington, DC with GSA• AH&LA website has per diem info and tips• Contact Shawn McBurney, [email protected], (202) 289-3123
MAJOR ISSUESPer Diem Rates
• Employee ‘Forced Choice’ Act
• AH&LA’s efforts through Coalition for a Democratic Workplace (CDW) have made issue toxic and a political liability
• Little time and few vehicles left during this Congress
• Danger still exists during lame duck
• CDW Coalition will continue to monitor issue and provide updates on the regulatory side
MAJOR ISSUESCard Check
MAJOR ISSUESNLRB
National Labor Relations Board
Wilma Liebman (D) – Current Board Chair, Term expires in 2010Brian Hayes (R) – Only remaining Republican member, Term expires in 2012Craig Becker (D) – Recess appointed, Term expires in 2011 (former assoc gc AFL-CIO)Mark G. Pearce (D) – Recess appointed, Term expires in 2013
Why this matters:• As card check legislation looks unlikely, NLRB is backdoor for organizing
• AHLA through CDW will be following these developments
• Evidence: NLRB will revisit 2007 Dana Corp. ruling
• Currently allows workers to vote out via secret ballot a union that was recognized through the card check process
• Department of Labor – regulatory & enforcement activity
– DOL’s “Plan Prevent and Protect” policy • Identify hazards and implement plan w/ employees
• Identify person responsible
• Provide plan to employees to help monitor
– OFCCP Audits of Hotel Headquarters and properties
– OSHA Investigations• Study – task force to respond
– H2B Investigation of Hotels and new regulations
– AHLA hosted webinar (over 400 registered) and has online resources at www.ahla.com
MAJOR ISSUESDOL Enforcement
• ADA signed July 26, 1990 – This year is the 20th Anniversary
• Title III of the ADA applies to commercial facilities (i.e, hotels)• Department of Justice announced significant changes to the ADA,
including:
• Reconfigurations to accessible guest room bathrooms• Changes how reservations for accessible rooms are handled &
guaranteed• Expands accessibility to employee work areas• Adds requirements for recreational and exercise facilities, play areas,
pools, spas and golf facilities
• AH&LA activity includes:• Hired ADA Counsel, formed multiple committees, held meetings with
regulators, filed comments at every stage of regulatory development• Webinars on new ADA regulations – October 14th (see www.ahla.com)• Crafting industry response to newly proposed rules to cover furniture,
equipment and web sites
MAJOR ISSUESAmericans with Disabilities Act
• Sen. Charles Schumer (D-NY) and Sen.Lindsay Graham (R-SC) led initial effort; Graham withdrew support
• Majority Leader Reid (D-NV), Sen. Schumer (D-NY) and Robert Menendez (D-NJ) drafted new “framework” with no bipartisan support
• Unlikely to be completed in an election year, Arizona complicating issue
• H2B workers
• Difficult requirements in the new legislation• US Department of Labor also rewriting regulations• DOL investigation of Hospitality industry’s use of H2B workers
MAJOR ISSUESImmigration Reform
HotelPACKeeping Friends in the Business
$0.00
$50,000.00
$100,000.00
$150,000.00
$200,000.00
$250,000.00
$300,000.00
$350,000.00
PAC Hard Dollars 2005-Present
2010 Projected* 2009 2008 2007 2006 2005
March 15 -16, 2011 Washington DC Legislative Action Summit
Marlene Colucci
Executive Vice President for Public Policy
(202) 289-3121
CONTACT INFORMATION
HotelPACFundraising Breakdown
Sen. Snowe Maine Event (Projection), $5,000
Broadmoor Classic, $107,000
NYC Incoming Chairmans Reception (projection),
$20,000
Hershey HotelPAC Open, $5,000
LAS Reception, $16,000
Rep. Schock Illinois Event (Projection), $5,000
• AH&LA Activity on Health Care Reform
• Health Care web page for information www.ahla.com
• AH&LA Healthcare Webinars Series• Partner with law firm of Seyfarth, Shaw and others;• Webinars on various topics (general, franchisees/small
business; impact on collective bargaining, etc)
• Regular communications to AH&LA members letting them know effects of reform
• Follow up lobbying on future legislative and regulatory issues.
MAJOR ISSUESHealth Care Reform