Wish You Were Here
Magazine Online    The Authority On African-American Conventions, Incentives, & Leisure Travel
Industry Briefs
HOTEL INDUSTRY URGES LOCAL GOVERNMENTS TO USE NEW FEDERAL FUNDING TO SAVE JOBS

The American Hotel & Lodging Association (AHLA), alongside other industry groups, sent a letter to the National Governors Association and the U.S. Conference of Mayors encouraging them to act on policy options to address the needs of the hospitality, travel and tourism sectors through programs included in the American Rescue Plan.
 
Twenty percent of leisure and hospitality jobs-3.5 million in total-have been lost during the pandemic and have yet to return, and the unemployment rate in the hospitality and tourism sector remains 300% higher than the rest of the economy. With hotels expected to end 2021 down 500,000 direct jobs, an additional 1.3 million hotel-supported jobs are also in jeopardy without additional support.
 
Following is the letter sent by AHLA. 
 
March 30, 2021
 
Governor Andrew Cuomo, Chair
Governor Asa Hutchinson, Vice Chair
National Governors Association
444 North Capitol Street NW #267
Washington, DC 20001
 
Mayor Greg Fischer, President
Mayor Nan Whaley, Vice President
The United States Conference of Mayors
1620 I Street NW
Washington, DC 20006
 
Dear State and Local Leaders: 
 
The pandemic has been devastating to the hospitality industry workforce, wiping out 10 years of hotel job growth. Twenty percent of leisure and hospitality jobs-3.5 million in total-have been lost during the pandemic and have yet to return, and the unemployment rate in the hospitality and tourism sector remains 300% higher than the rest of the economy. With hotels expected to end 2021 down 500,000 direct jobs, an additional 1.3 million hotel-supported jobs are also in jeopardy without additional support.
 
The American Rescue Plan (ARP) was signed into law by President Biden on March 11, sending $350 billion to states, local and tribal governments to address the fiscal impacts of the COVID-19 pandemic. The ARP directs state and local governments to focus part of their relief efforts on the hospitality and tourism industries, which have been devastated by the pandemic, including Sec. 6001, "Economic Adjustment Assistance Grants," and Sec. 9901, "Coronavirus State and Local Fiscal Recovery Funds." 
 
While the ARP is not specific in how states and local governments should meet the goal of addressing the needs of the hospitality, travel and tourism sectors, there are numerous programs that would provide much needed assistance to the hotel industry and its workforce. These policy options include both short-term industry relief and longer-term recovery incentives among four key areas: direct financial relief through grants, job protection through tax credits, recovery incentives such as tourism promotion, and legal protections. We encourage you to consider these options as ways to get our industry - and the millions of jobs we support - back on its feet again.  
 
State and local tax revenue generated from hotels fell by one-third in 2020 and will not rebound until at least 2023. That is why it is so important state and local leaders place a high priority on the lodging industry as ARP funds are applied to public policy solutions. As an industry of people taking care of people, the hotel industry is uniquely positioned to support and help strengthen our communities.
 
Thank you for your leadership during this unprecedented public health and economic crisis. We look forward to working with you to rebuild our industry so that we can continue contributing to the success of your communities. 
 
Sincerely,
 
Chip Rogers
President & CEO
American Hotel & Lodging Association
 
Cecil P. Staton
President & CEO
AAHOA
 
Lynette Montoya
President & CEO
Latino Hotel Association
 
Andy Ingraham
President, CEO & Founder
National Association of Black Hotel Owners, Operators & Developers

Advertisement