ATLANTA, GA, OCTOBER 24, 2024 — AAHOA (Asian American Hotel Owners Association) is deeply disappointed by the New York City Council’s decision to pass the Safe Hotels Act on Wednesday, October 23, despite recent revisions. While the exemption for hotels with fewer than 100 rooms offers relief to some, AAHOA remains concerned about the adverse effects of this legislation on the broader hotel industry, particularly minority-owned businesses. The revisions fail to address industry leaders’ critical concerns throughout the legislative process.
The Safe Hotels Act (Int. No. 991-C) threatens to disrupt normal hotel operations and could increase costs. Hoteliers would be required to secure an additional operating license and ban the use of subcontractors for core functions such as housekeeping and front desk services. AAHOA believes the legislation still creates significant burdens for the industry.
“While we acknowledge the passage of the Safe Hotels Act and the attempt to accommodate smaller properties, this revision still falls short of addressing our broader concerns with the legislation. Hoteliers of all sizes deserve the flexibility to manage their operations effectively to ensure efficiency and guest satisfaction,” said AAHOA Chairman Miraj S. Patel. “The unintended consequences of this act will disproportionately affect minority-owned businesses, stifling entrepreneurship and innovation in the hospitality sector.”
AAHOA President & CEO Laura Lee Blake added, “The passage of this legislation reflects a fundamental misunderstanding of hotel operations. By restricting the use of subcontractors, the Safe Hotels Act disrupts long-standing business models that have enabled family-owned and independent hotels to thrive. We are disappointed by the Council’s decision and urge them to reconsider its damaging impact on the entire industry.”
According to Blake, as an organization representing nearly 20,000 hotel owners nationwide, including a substantial presence in New York City, AAHOA remains committed to advocating for the best interests of our members and collaborating with local officials to find solutions that work for both the industry and the city.
AAHOA will continue to work closely with its members to address the impact of this legislation and will seek opportunities to engage with policymakers to ensure that hotel owners’ voices are heard and considered in future decisions.