Tag: lodging industry

Oregon Opened But Not Free Yet | The Politics of Not Normal

Oregon Opened But Not Free Yet | The Politics of Not Normal

Show Summary: Politics, not “science” drove Oregon’s shut down. And its reopening. As restaurants and lodging businesses struggle back in Oregon, there is a twisted road ahead through a minefield of politics. Worse, business’s usual ally, Republicans, aren’t up for the fight.

Yet.

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Six Different Times, on Eight Different Stations. Listen anywhere! All stations stream live!

Saturdays
8a – 9a: KYKN 1439AM (Salem/Keizer) | Direct Link to KYKN Live Stream
10a – 11a: KFIR 720AM (entire Willamette Valley) | Direct Link to KFIR Live Stream
11a – noon: KLBM 1450AM (Union County) | Direct Link to KLBM Live Stream
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7p – 8p: KWRO 630AM (Oregon Coast & Southeastern Oregon) | Direct Link to KWRO Live Stream

Sundays
8a – 9a: KWVR 1340AM (Wallowa County) | Direct Link: KWVR Live Stream
7p – 8p: KAJO 1270AM or 99.7FM (Grants Pass/Medford) | Direct Link: KAJO Live Stream

Mondays
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Original Air Dates: July 10, 2021 | Jason Brandt & Mike Nearman

We just finished celebrating Independence Day. But we’re not free from tyranny in Oregon. Not as long as there are big-government types who want to—and believe it is their right to—control every facet of your life. And businesses. All must be in line with the great gods of government.

While it’s nice of the Dear Leader to give us our God-given rights back, there’s the aftermath of all that destruction. And there is no light switch to just switch things back on again.

Oregon Restaurants and Lodging

That’s perhaps nowhere more true than in Oregon’s hospitality industry. Apart from churches, these were among the first to bear the brunt of Oregon’s abuse of power. Churches can (mostly) reopen and pick things up again. (Hopefully wiser and less trusting of Big Government.)

But that’s not true for small businesses that have now complicated supply chains. Or hiring part- and full-time workers. Or back rents and leases to pay. Not to mention paying taxes on the little money they did earn. Talk about rubbing salt in their wounds.

Jason Brandt on the Getting Back to Normal

Let’s be clear. There is no “normal” any more. Not when the governor of Oregon (or any other state) retains ultimate power that is unchallenged by a weak legislature. One held for decades by democrats who were all too happy to play along with the power grab. And be their own little dictator, shutting down access to the People’s House. So much for democracy, eh democrats?

But Jason Brandt is the President and CEO of the Oregon Restaurant and Lodging Association. And despite the wreckage caused by the governor’s abuse of power, his job is to help his members try to pick up the pieces of their lives and businesses.

We talk with Jason about the complications and navigating the minefield in the road ahead. Faced with labor shortages and rehiring in the face of ongoing uncertainty, how do restaurants and hotels pick up and move forward. All that and more in the face of ongoing uncertainty.

Because here’s the thing. What happens if she just shuts it all down again?

Mike Nearman: Et tu Brute?

With the democrats power grab, you would think that republicans would stand up to it. But, sadly, this current crop of republicans did their best doormat impression. Sure, they talked. But did very little. And most of what they did do appeared to be cowering in the corner or make backroom deals for cash that bypassed the normal budget oversight.

Basically, they were the camp guards at the concentration camps. Hey. Don’t blame them for just doing their jobs, right?

Did they use the one power they had—walkout and deny quorum—to stop a single bill? No. But they did manage to negotiate a deal with democrats to get millions of taxpayer dollars for their districts in exchange for not stopping bills or even slowing them down. They also got a token “equal” seat at the table on redistricting.

Sure. Because the democrats actually gave up the final say on redistricting, right? Do these self-proclaimed “strategic thinkers” honestly believe they’ll have the final say on a sixth congressional seat?

The Current Crop of Republicans

Perhaps all one needs to see the level of thinking of the current crop of republicans is to see how they managed Representative Mike Nearman.

Let’s review. The democrats shut down the capitol building and protesters showed up, not liking it. They were locked out. And Oregon and Salem police surrounded the building — straight out of Cold War era Soviet Bloc.

Video captured Mike Nearman opening a side door, and walking out, which allowed protesters to enter the building. Democrats then acted horrified that protesters (compare Antifa’s and BLM’s 100+ days of violent rioting against the Federal Building in Portland) had entered their building. And so they demanded Mike be shot. Politically speaking.

And the republicans went along with it. The House resolution to expel Mike needed two-thirds. Which meant at least 3 republicans needed to vote with democrats.

Except they all did.

Political Fallout? In Oregon?

Rep Bill Post, claimed they had no choice. Imagine if the democrats had let Antifa into the building. What then.

Yeah, that’s good excuse making for voting like a democrat. They could have voted to sanction. They could have done all sorts of things. But expelling a sitting member over a misdemeanor in an acting “uniting” with democrats (who let slide misdemeanors and even sexual assault slide by with nary a whisper) was a stupid move.

The problem with politics in Oregon, or any state for that matter, is voters as a group have short memories.

It’s why bread and circuses have such power. Voters will forget that the democrat governor destroyed their businesses. Or their friends’ businesses. As long as voters get a few tidbits (that they’re paying for), they’re fine with status quo.

Will republicans who voted against Mike pay a price? It would be nice if they did. No incumbent is SO vital that they can’t or shouldn’t be replaced.

None.

The I Spy Radio Show Podcast Version

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Links Mentioned

Jason Brant (Segments 1–3)

  • Find out more at Oregon Restaurants and Lodging Association (ORLA): OregonRLA.org
  • The June 26th news release, “Oregon Hospitality Freed from Restrictions No Later than June 30: There is no light switch. It will take years to build back what was lost.” (ORLA Blog, Jun 25,  2021)
  • The data article: Staffing Woes & Technological Solutions (ORLA Blog, July 2, 2021)
    • “Simply put, are there tasks that technology can do (perhaps better than humans) that can be easily and inexpensively implemented? The answer is a resounding yes – with machine learning and artificial intelligence.”
    • “In the end, what I believe will come out of the pandemic is not necessarily higher wages, but a greater reliance on technology as an interface between management and staff as well as restaurants and their customers.”
  • Oregon restaurants push for fewer COVID-19 restrictions (KVDR, Jan 28, 2021)
    • Jason Brandt, the CEO of ORLA says the group is calling on the state to ease restrictions adding the science isn’t there to keep restaurants restricted to take out and delivery only.
    • “The vast majority of the states in our country have indoor dining open right now and they are finding ways to really manage the virus in a multifaceted way,” Brandt said.
    • He says the Oregon food service industry accounts for less than 1% of all workplace outbreaks in the state and 4.7% of Oregon’s overall outbreaks, but operations remain shut down.
  • The Oregon Restaurant & Lodging Association Is Suing the State Over the Recent Dining Room Shutdown (Eater, November 20, 2020)

Mike Nearman (Segments 4–6)

  • Oregon state lawmaker charged (Statesman Journal, Apr 30, 2021)
  • House Republicans call on Rep. Nearman to resign after new details of Oregon Capitol riot (Statesman-Journal, June 7, 2021)
    • “Ousting Nearman via House Resolution 3 would require two-thirds support. Democrats hold a majority with 37 seats, meaning three Republicans would have to join them in voting in support of the resolution.”
  • One republican’s explanation for voting against fellow republican Mike Nearman (Facebook, June 10)
    • “How would you vote? What if a House Democrat had allowed Antifa into the Capitol? Would you vote to expel him or her? That is what we face. That is why we call for Mike to resign.”
  • Republican PCPs favor expelled lawmaker (OPB, June 26, 2021)
    • Mike Nearman got the most votes from the PCPs who voted for his successor
  • SB 865:  Prohibits person from simultaneously serving as holder of state office and as officer of state central committee of political party. Had it passed, recently elected to the ORP chair and treasurer, Senators Heard and Linthicum, would have had to step down. 
  • Anna Scharf Appointed to fill Mike Nearman’s Seat (Statesman Journal, July 6, 2021)
    • Nearman received the most votes from precinct committee people in HD 23 during the nominating convention heading into this week’s selection.
Guest Post: Small Business Funding not Enough to Stem Bleeding

Guest Post: Small Business Funding not Enough to Stem Bleeding

Small Business Funding not Enough to Stem Bleeding

Hoteliers/Lodging industry shed 4 million jobs, lose $500 million a day. Dr. Cecil Staton warns America that the CARES Act is not helping the unique needs of the lodging industry, the vast majority of whom are small business owners.

By Dr. Cecil Staton

America’s hotels are hemorrhaging $500 million a day from the economic shutdown, requiring as much as six months’ worth of relief to stay open. To date, more than 4 million jobs have been lost. As a result, the current Paycheck Protection Program and its sister programs are dramatically inadequate to stem the bleeding.

As U.S. Treasury Secretary Steve Mnuchin said, every dollar spent through this program is a dollar that does not have to be spent through unemployment. Yet Congress, battling along partisan lines, settled on relief that shorts the vital lodging industry that will ensure America gets back on its feet — if open.

The lodging industry, represented by our association and others, has nevertheless stepped up to assist Americans during the pandemic — and continues to do so. More than 15,000 hoteliers have offered free rooms for first responders to stay to keep their families safe from exposure, as well as free rooms for college students and the homeless.

America’s hotel owners are small business owners. The overwhelming majority of hotels are owned and operated by people who live in local communities. In these difficult times, lodging is the signal industry. Hotels were the first to fall when conferences and events cancelled, and it will be the last to return to pre COVID-19 levels, as the trajectory of the virus and a potential resurgence remains uncertain, job losses have impacted disposable incomes, and businesses have seen profits fall and are cutting costs everywhere — especially discretionary travel.

Nobody can prepare to go to occupancy rates in the single digits. Even after the 2008 financial crisis, occupancy rates never fell much below 50 percent. Today, they are in single digits. Hoteliers are worried about meeting their payroll and paying their mortgage because people simply cannot travel and there is no income to make these critical payments.

The American economy will recover more quickly if Congress appropriates funds to prop up small businesses during the crisis rather than allowing them to collapse. The overriding concern is that American communities are going to be littered with the carcasses of small businesses like franchise hotels that have failed.

For a business like a hotel, the formula to determine its maximum PPP loan (2.5 times its annual average monthly payroll) just is not sufficient to make payroll, as well as keep the doors open for the business, let alone pay suppliers and service providers, representing millions of employees.

We also urge Congress to extend the covered period from June 30, to the end of 2020. Lodging business is seasonal and most hoteliers earn enough from April to September to keep their businesses running through the rest of the year. Since there is no business due to travel bans brought on by the health crisis, hoteliers simply cannot afford to remain open. The final tab may be $1 trillion to enable hotels to stay open until travel is back to normal.

These loans should also reasonably cover both payroll and non-payroll expenses. That’s why the current formula to determine a business’s maximum PPP loan is inadequate. The maximum loan available through PPP should be eight times the average monthly cost of all expenses up to $10 million (which represents eight months between from May 1 through the end of 2020). This will ensure that small businesses have sufficient liquidity to continue keeping employees on payroll while maintaining their operating expenses. When the economy comes roaring back to the life, hotels will be essential to facilitate American commerce.

Small business owners know what their businesses need to survive. That’s why it is so important for us to let Washington know what our economy needs. It’s said that government should not be in the business of picking winners and losers. Unless the PPP is adjusted to reflect the realities of running small businesses like hotels, the losers will outstrip the winners as the effects of the pandemic reverberate for months through the American economy.

Dr. Cecil Staton is President & CEO of Asian-American Hotel Owners Association, the world’s largest hotel owners association. AAHOA members own about one in two hotels in the United States. He also was a guest on the I Spy Radio Show on May 9th, 2020: “Flynn Goes Free. Plus Worrisome News on America’s Reopening“.