Tuesday, March 24, 2009

Congress Goes on Lavish Trips While Hotel Industry Burns

It seems Congress is practicing some "do as I say not as I do" shenanigans.

About a dozen Democrats, including Dodd, 64, gathered at the Marriott-operated Ritz-Carlton resort in Naples, Florida. Donors who gave at least $15,000 were invited and offered a “coastal view” room at the group rate of $469, according to the Democrats’ invitation.

At least 11 Republican senators held a similar retreat at The Breakers resort in Palm Beach. Rooms could be had for $475 a night. For another $292, participants could play in a golf tournament. The invitation urged guests to make reservations for the resort’s spa “indulgences.”

Yup they are partying it up at the Ritz and the Breakers while some companies are changing travel plans for appearances sake even if it costs them more.

“We’ve seen companies cancel meetings last minute, leaving 100 percent on the table just to avoid criticism and ridicule,” said Frits van Paasschen, president and chief executive of White Plains, New York-based Starwood Hotels & Resorts Worldwide Inc., the third-largest U.S. lodging company, who attended the White House meeting.

“We’ve also seen meeting planners move meetings from resort locations to city locations, at a greater cost to their companies, again, for optics’ sake,” he said.

It all seems to stem from Obama putting his foot in his mouth "Special Olympics" style.

Hotel executives said their business began to suffer after Obama, 47, warned Feb. 9 during a town-hall meeting in Elkhart, Indiana, that companies receiving bailout money “can’t go take a trip to Las Vegas or go down to the Super Bowl on the taxpayers’ dime.”

Of course if Obama wasn't looking for a camera to jump in front of he would know that the taxpayers dime is sitting on the books of many banks in order to fill capital requirements. Travel budgets usually come from another pot of money and are worked out far in advance. In any case we get to see the travel industry (and places like Vegas) torn up for the sake of appearances.

No comments: