Hospitality professionals oppose NYC’s ‘Safe Hotels Act’ at city hall
They warned of devastating impacts on jobs and the economy if the act passes
By Vishnu Rageev ROct 11, 2024
HUNDREDS OF HOSPITALITY professionals gathered at City Hall to oppose Intro 991, the "Safe Hotels Act," highlighting its detrimental effects on NYC hotels, subcontractors, and small businesses. This follows last month’s protest, which drew more than 1,500 attendees.
Intro 991, despite being framed as a safety measure, imposes costly mandates that threaten the survival of the city’s hotels, risking over 265,000 jobs and billions in tax revenue, according to industry associations. Representatives from the American Hotel & Lodging Association and AAHOA were among the protesters.
“Intro 991 targets a single industry and will inflict sweeping harm on the hotel sector, the economy, and hotel guests,” said Kevin Carey, AHLA’s interim president and CEO. “The bill will have devastating, unintended consequences for New York City’s tourism and hospitality industries, forcing many hotels and small businesses to close. We urge the city council to reconsider and find real solutions that protect both safety and livelihoods.”
Since the legislation was introduced in July, AAHOA members have reached out to the council, urging them to reconsider the act. AAHOA Northeast regional director Preyas Patel, past chairwoman Jagruti Panwala, former young professional director Purvi Panwala and AAHOA member Mitesh Ahir addressed the council after the event.
“So proud of the strong leaders in our industry who spoke out against the union-backed Unite Here legislation that threatens to devastate NYC’s travel and tourism sector,” said Miraj Patel, AAHOA’s chairman. “If passed, this bill could force many hotel owners to shut their doors, crippling the local industry and eliminating thousands of jobs. We must protect the future of hospitality and the livelihoods it supports.”
Preyas Patel expressed disappointment that council members claiming to support small and minority businesses would back a bill that threatens minority-owned hotels, unable to afford union demands.
“When Intro 991 was first proposed, it was said to improve guest and worker safety,” Patel said. “I would like to see data showing complaints or crimes increasing only in non-union hotels, as AAHOA members haven’t experienced this. Why move forward if the data doesn’t exist? This bill appears aimed at boosting union presence, without addressing small, minority-owned hotel concerns.”
Patel urged the council to reconsider before advancing a bill that could destroy their businesses and harm the city’s economy.
“Our hotel owners and workers form a close-knit community vital to the city’s tourism and economy—not to mention a crucial resource for moderate-income tourists and New Yorkers with visiting family members,” he said.
Licensing changes harm small businesses
The bill would require hotels to obtain an additional operating license and prohibit subcontractors for core functions like housekeeping, front desk services, and security—restrictions that hoteliers believe would disproportionately harm small, minority-owned businesses.
“When considering subcontractors, we not only check their training and availability, we also provide them with property-specific training, just like direct-hire employees,” said Jagruti Panwala, a first-generation hotelier with hotels across the U.S., including one in the Bronx. “This is prudent to minimize liability and ensure guest satisfaction. Subcontractors are used in many industries—why remove them for hotels?”
Purvi Panwala, co-founder of a boutique hotel group with properties in Brooklyn, noted the challenge of maintaining a competitive workforce.
“To provide the best guest experience, we’ve relied on subcontractors,” she said.
Mitesh Ahir added that the act would impose more regulations, reducing flexibility in hotel management and driving up already-high room rates.
“Higher rates would lower occupancy and reduce revenue, which would hurt both our business and the city’s tax base,” Ahir said.
Impact on minority and small businesses
Panwala stressed that the bill disproportionately affects minority and small business owners, many of whom have invested their life savings into their hotels.
“We’ve built our businesses through hard work, and Intro 991 threatens to dismantle that progress,” she said. “The city council must consider the damage this bill will cause to New York’s diverse hotel community.”
“Small hotels like ours rely on lean operations to provide exceptional service,” said Oksana Rudenko, Hospitality’s director of operations. “This one-size-fits-all bill will push us out of business, with devastating effects on our employees and the local economy.”
Sarah Bratko, AHLA’s vice president of government affairs, emphasized that the industry takes the safety of employees and guests seriously.
“If there are issues, we want to be part of the solution,” she said. “In 2019, AHLA launched the ‘No Room for Trafficking’ initiative, with over 1.8 million training sessions completed by hotel employees. We also worked with prevention groups to pass a New York law mandating human trafficking training for hotel staff. While we thank Councilwoman Menin for meeting with us, this version of the bill will still devastate the lodging industry and small businesses in New York City.”
Hospitality industry associations, along with subcontractors, hotel owners, and small business advocates, urge the City Council to reconsider Intro 991. As the hotel industry recovers from the pandemic, the bill would add unnecessary strain, jeopardizing thousands of jobs and businesses critical to the city's economy and tourism sector, the statement said.
The Hotel Association of New York City recently dropped its opposition to the union-backed bill after securing changes, though its president, Vijay Dandapani, had previously called it a “nuclear bomb.” Some owners reportedly raised $20 million to lobby against it.
The Trump administration says it is reviewing more than 55 million visa holders.
Reviews cover a wide range of visas for law enforcement and overstay violations.
The administration also suspended worker visas for foreign commercial truck drivers.
THE TRUMP ADMINISTRATION is reviewing more than 55 million people who hold valid U.S. visas for potential violations. It is expanding a policy of “continuous vetting” that could result in revocation and deportation.
The State Department confirmed all visa holders are subject to ongoing review, which includes checking for overstays, criminal activity, threats to public safety or ties to terrorism. Should violations be found, visas may be revoked, and holders in the U.S. could face deportation, according to the Associated Press.
Officials said the reviews will include monitoring of visa holders’ social media accounts, law enforcement records and immigration files. New rules also require applicants to disable privacy settings on phones and apps during interviews. The department noted visa revocations since President Trump’s return to office have more than doubled compared to the previous year, including nearly four times as many student visas.
The administration also announced an immediate halt on issuing worker visas for foreign commercial truck drivers, with Secretary of State Marco Rubio citing road safety and competition concerns for U.S. truckers.
“The increasing number of foreign drivers operating large tractor-trailer trucks on U.S. roads is endangering American lives and undercutting the livelihoods of American truckers,” Rubio posted on X.
The Transportation Department linked the move to recent enforcement of English-language proficiency requirements for truckers, aimed at improving safety. The State Department later said it was pausing visa processing while it reviewed screening protocols.
Critics, including Edward Alden of the Council on Foreign Relations, warned the actions could have significant economic consequences.
“The goal here is not to target specific classes of workers, but to send the message to American employers that they are at risk if they are employing foreign workers,” Alden wrote, according to AP.
Data from the Department of Homeland Security shows there are 12.8 million green card holders and 3.6 million temporary visa holders in the United States. The 55 million figure under review includes many outside the U.S. with valid multiple-entry tourist visas.
Earlier this week, the State Department reported revoking more than 6,000 student visas for violations since Trump returned to office, including around 200 to 300 for terrorism-related issues.
The vast majority of foreign visitors require visas to enter the U.S., with exceptions granted to citizens of 40 countries under the Visa Waiver Program, primarily in Europe and Asia. Citizens of China, India, Russia and most of Africa remain subject to visa requirements.
A $250 Visa Integrity Fee in President Donald Trump’s Big Beautiful Bill drew criticism from groups that rely on seasonal workers from Latin America and Asia on J-1 and other visas.
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Spark acquired the 120-key Home2 Suites by Hilton Wayne in Wayne, New Jersey.
Hunter Hotel Advisors facilitated the transaction with DC Hospitality Group affiliates.
The 2020-built hotel is near William Paterson University and less than 20 miles from Manhattan.
SPARK GHC RECENTLY acquired the 120-key Home2 Suites by Hilton Wayne in Wayne, New Jersey, from affiliates of DC Hospitality Group. Hunter Hotel Advisors facilitated the deal for an undisclosed amount.
The 2020-built hotel is less than 20 miles from Manhattan in a commercial corridor with major employers including Driscoll Foods, FedEx Group, Advanced Biotech, St. Joseph’s Wayne Hospital, and the Passaic County Administration, Hunter said in a statement. William Paterson University, Willowbrook Mall, and MetLife Stadium are also nearby.
It features an on-site fitness center, business center and indoor pool.
“The Home2 Suites by Hilton Wayne represents the type of asset we target,” said Patel. “Its proximity to major corporate demand generators, higher education institutions, and retail and entertainment venues supports strong performance.”
Hunter’s senior vice presidents, David Perrin and Spencer Davidson, brokered the transaction.
Patel said this is their second transaction with Hunter and praised the process and partnership.
“We look forward to building on the hotel’s recent performance and continuing to deliver guest experiences in the Greater New York City community,” he said.
Northstar Hotels Management recently acquired a 78-key Residence Inn and an 81-key Courtyard near the Jacksonville, Florida, airport.
Global pipeline hit a record 15,871 projects with 2.4 million rooms in Q2.
The U.S. leads with 6,280 projects; Dallas tops cities with 199.
Nearly 2,900 hotels are expected to open worldwide by the end of 2025.
THE GLOBAL HOTEL pipeline reached 15,871 projects, up 3 percent year-over-year, and 2,436,225 rooms, up 2 percent, according to Lodging Econometrics. Most were upper midscale and upscale, LE reported.
The U.S. leads with 6,280 projects and 737,036 rooms, 40 percent of the global total. Dallas leads cities with 199 projects and 24,497 rooms, the highest on record.
LE’s Q2 2025 Hotel Construction Pipeline Trend Report showed 6,257 projects with 1,086,245 rooms under construction worldwide, unchanged in project count and down 3 percent in rooms from last year. Projects scheduled to start in the next 12 months totaled 3,870 with 551,188 rooms, down 3 percent in projects but up 1 percent in rooms. Early planning reached 5,744 projects and 798,792 rooms, up 10 percent in projects and 9 percent in rooms year-over-year.
Upper midscale and upscale hotels accounted for 52 percent of the global pipeline, LE said. Upper midscale stood at 4,463 projects and 567,396 rooms, while upscale reached 3,852 projects and 655,674 rooms. Upper upscale totaled 1,807 projects and 385,396 rooms, and luxury totaled 1,267 projects and 245,665 rooms, up 11 percent year-over-year.
In the first half of 2025, 970 hotels with 138,168 rooms opened worldwide. Another 1,884 hotels with 280,079 rooms are scheduled to open before year-end, for a 2025 total of 2,854 hotels and 418,247 rooms. LE projects 2,531 hotels with 382,942 rooms to open in 2026 and 2,554 hotels with 382,282 rooms to open globally in 2027, the first time a forecast has been issued for that year.
HAMA is accepting submissions for its 20th annual student case competition.
The cases reflect a scenario HAMA members faced as owner representatives.
Teams must submit a financial analysis, solution and executive summary.
THE HOSPITALITY ASSET Managers Association is accepting submissions for the 20th Annual HAMA Student Case Competition, in which more than 60 students analyze a management company change scenario and provide recommendations. HAMA, HotStats and Lodging Analytics Research & Consulting are providing the case, based on a scenario HAMA members faced as owner representatives.
Student teams must prepare a financial analysis, a recommended solution and an executive summary for board review, HAMA said in a statement.
“Each year, the education committee looks forward to the solutions that the next generation of hotel asset managers bring, applying their own experiences to issues in ways that reveal new directions,” said Adam Tegge, HAMA Education Committee chair. “This competition demonstrates that the future of hotel asset management is in good hands.”
The two winning teams will each receive a $5,000 prize and an invitation to the spring 2026 HAMA conference in Washington, D.C. HAMA will cover travel and lodging.
Twenty industry executives on the HAMA education committee will evaluate submissions based on presentation quality, the statement said. HAMA mentors volunteer from September through November to assist teams seeking feedback and additional information. Schools will select finalists by Jan. 15, with graduate and undergraduate teams reviewed separately.
The competition has addressed topics in operating and owning hospitality assets and HAMA consulted university professors to update the format for situations students may encounter after graduation, the statement said.
This year’s participants include University of Denver, University of Texas Rio Grande Valley, Boston University, Florida International University, Michigan State University, Columbia University, Morgan State University, Howard University, New York University and Penn State University.
Stonebridge Cos. added the Statler Dallas, Curio Collection by Hilton, to its managed portfolio.
The hotel, opened in 1956 and relaunched in 2017, is owned by Centurion American Development Group.
The property is near Main Street Garden Park, the Arts District and the Dallas World Aquarium.
STONEBRIDGE COS. HAS contracted to manage the Statler Dallas, Curio Collection by Hilton in Dallas to its managed portfolio. The hotel, opened in 1956 and relaunched in 2017, is owned by Centurion American Development Group, led by Mehrdad Moayedi.
It has an outdoor pool and more than 26,000 square feet of meeting space, Stonebridge said in a statement. The downtown Dallas property is near Main Street Garden Park, the Arts District, the Kay Bailey Hutchison Convention Center, Deep Ellum, Klyde Warren Park, and the Dallas World Aquarium.
“The Statler is an extraordinary asset with a storied history in Dallas, and we are thrilled to welcome it to our managed portfolio,” said Rob Smith, Stonebridge’s president and CEO. “Its blend of modern hospitality with timeless character makes it a natural fit within our lifestyle collection. We look forward to honoring the property’s legacy while enhancing performance and delivering an elevated guest experience.”
Stonebridge, based in Denver, is a privately held hotel management company founded by Chairman Navin Dimond and led by Smith. The company recently added the 244-room Marriott Saddle Brook in Saddle Brook, New Jersey, to its full-service portfolio.