10,000 Letters, One Purpose: to Save America’s Hotels.
This campaign urges the President and members of Congress to come back to the negotiating table and create a relief package to support our industry. The campaign focuses on five key points:
AUTHORIZE A SECOND ROUND OF PPP FUNDING FOR THE HARDEST-HIT SMALL BUSINESSES
PPP provided a critical lifeline for hoteliers as guests and revenues declined. Great uncertainty remains about the trajectory of the virus, and a rapid return to normal travel patterns is unlikely. The lodging industry needs relief beyond the next few months. Support a second round of PPP for small businesses with revenue losses of at least 35%.
PROVIDE MORE RESOURCES TO THE ECONOMIC INJURY DISASTER (EIDL) PROGRAM
The EIDL program is intended to provide economic relief to businesses suffering from temporary losses of revenue due to factors beyond their control. The program has been difficult to access and the funding has been limited. Support recapitalizing the EIDL program to enable hoteliers access to necessary operating expenses to help keep their doors open until travelers return.
EXTEND TEMPORARY RELIEF FROM TROUBLED DEBT RESTRUCTURINGS (TDR) THROUGH JANUARY 1, 2023
Hoteliers need a lifeline to relieve pressure on debt service payments and a longer-term solution to address the accumulating debt. Most experts anticipate the hotel industry will not fully recover for at least two years. Support extension of TDR relief under Title IV, Section 4013 of the CARES Act until January 1, 2023.
ESTABLISH A SOLUTION FOR THE COMMERCIAL MORTGAGE-BACKED SECURITIES (CMBS) LOAN CRISIS
Hoteliers with CMBS loans found less success than conventional loan holders in deferring payments due to the restrictive nature of the covenants in CMBS agreements. Hotel delinquency rates have hit record highs and are nearing 25 percent. Support the creation of a federally-guaranteed preferred equity facility enabling borrowers to access necessary relief through financial institutions; and support the Helping Open Properties Endeavor (HOPE) Act (H.R. 7809).
ALLOW HOTELIERS TO ACCESS THE MAIN STREET LENDING PROGRAM (MSLP)
Although the program was designed to apply to the hardest hit industries, the MSLP, has left out hotel owners since its inception due to how the program evaluates credit risk. Support changes to the MSLP leverage test to allow asset-based businesses, including hotels, to access this critical funding.
You can share the message by doing the following:
1. Click here to send the letter yourself
2. Copy this link and send it to EVERYONE in your network – WhatsApp, text, email, Facebook, Twitter, LinkedIn
3. Reach out to your family, friends, employees, partners, vendors, neighbors, guests, and anyone else you know who are impacted by the economic crisis, and ask them to participate in the campaign.
Your voice matters!
New Mexico Hospitality Association