AH&LA ENewsletter

FEMA HOUSING NEEDS
AH&LA is working in close cooperation with the Federal Emergency Management Agency (FEMA) to mobilize hoteliers in Louisiana, Mississippi, Alabama, and the surrounding states who are willing and able to assist with hurricane relief efforts.

With tens-of-thousands of individuals displaced from their homes and thousands of disaster relief workers beginning to converge on the area, there is a great need for temporary housing and other assistance. FEMA is working to assess all of the needs after Hurricane Katrina, but has already named transportation and housing as two immediate priorities. The following information has been provided by FEMA:

Please note that while donations are always welcome, FEMA is prepared to pay for services you render. This is an opportunity to do business with the Department of Homeland Security. A general description of housing needs: This encompasses emergency, medium-term, and long-term solutions for housing needs in Louisiana, Mississippi, and the surrounding states. Emergency housing includes anything that can be used immediately for shelter, such as tents. Medium-term includes hotels, empty buildings, shopping centers, mobile homes or cruise ships, and long-term is geared more towards house and apartment rentals and extended stay hotels.

Please note that in most states, and certainly in states impacted by Katrina, there are laws that prohibit price gouging. These laws commonly apply to times of declared emergency and prohibit service providers, such as hotels, from charging excessive prices due to demand increases resulting from the emergency. These laws are often criminal in nature and the affected states have already issued warnings about engaging in such conduct in the wake of Katrina. If you increase prices at this time, you should have cost justification for your action. We are aware that some hotels are in fact doing the opposite by lowering prices to assist those who have been displaced by the catastrophe.

AH&LA and its partner state associations continue working with FEMA to assess the situation and help mobilize the assistance of our members. If you have resources that fall under the Transportation or Housing areas, please email the PSO at private.sector@dhs.gov with detailed contact information and any specifics you might be able to provide on the resources or services you have available.

RESOURCES
In addition, two AH&LA allied members are offering their services to affected member properties:

* Ernst & Young is assisting member hotels by providing a complimentary overview of the property insurance claims process, including answers to frequently asked questions. Please click here to review FAQs and guidance on the insurance claims process. If you have additional questions regarding a potential insurance claim your business might have, the professionals of Ernst & Young's Insurance Claims Services practice, who are experts in developing and negotiating complex property and business interruption claims for policyholders, are available to provide further guidance and assistance.

* Location Management Services, LLC, which has offices throughout the country, can help you take advantage of state, local, and federal credit and incentive programs that can be applicable to the hospitality industry. These include federal programs such as the Empowerment Zone tax credits, Federal Renewal Zones, New Market Tax Credits toward new construction, state investment, and job creation programs, as well as other specialized programs designed to encourage rebuilding after a natural disaster. Before you start planning for reconstruction in the aftermath of Hurricane Katrina, make sure you determine how state and federal tax credits and incentives can substantially offset your rebuild cost. Please call John Schuetz at (949) 472-1180 or James Renzas at (949) 472-4482 for more information about this important member benefit.

* The IRS has announced special tax relief for victims of Hurricane Katrina. Please see the attached IRS News Release. For additional information, visit http://www.irs.gov/newsroom/article/0,,id=108362,00.html.

TO HELP
To make a donation to support the victims of Hurricane Katrina, contact the Federal Emergency Management Agency or the American Red Cross, both of which are coordinating relief efforts.

 

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