I have no idea how close the General Services Administration (GSA) was to altering its methodology in calculating federal per diem rates, but it sure sounded like it was more than a distinct possibility. Tuesday's announcement that rates were frozen would typically be bad news, but when 30% reductions were on the table, this was great news for the industry.
“While certainly not ideal, the rate freeze is a far less radical approach than the crippling move that GSA had contemplated,” read an AH&LA statement.
The joint efforts by the AH&LA, the U.S. Travel Association, major hotel companies and individual hotel owners should be lauded. By quickly organizing and bringing its concerns to Congress, the White House and the GSA, lodging won a critical battle during a tenuous time in the industry's recovery.
“This decision was reached because so many industry leaders sent a clear message that travel is an essential tool for the government and critical to local economies,” read a statement by Roger Dow, president and CEO of the U.S. Travel Association.
Dow's exactly right. Everyone involved should be applauded for their efforts.