New York City Council passes hotel licensing regulation

USA – The New York City Council in the US has voted to favour a new hotel licensing programme to enhance guest safety.

Known as the ‘Safe Hotels Act,’ the Introduction 991-C programme was sponsored by council member Julie Menin. It mandates hotel operators obtain an operating licence, with a two-year application term and a licence fee of US$350.

The first version of the bill, backed by the city’s politically powerful Hotel Trades Council union, would’ve required all New York City hotels, regardless of size, to directly employ most “core” staff, including front desk clerks and room attendants, as opposed to outsourcing such work via subcontracts.

The Hotel Association of New York City, an industry trade group, went berserk over that proposal, arguing it would financially ruin small hotel owners and vowing earlier this year to unleash a US$20 million PR blitz against the legislation.

After weeks of negotiations, Menin, the union, and the hotel association reached an agreement earlier this month to modify the bill to exempt small hotels, defined as those with less than 100 rooms, from the direct hire requirement. 

With that compromise locked in, the legislation passed the full Council in a 45-to-4 vote.

The bill now heads to Mayor Adams’s desk, where he has 30 days to approve or veto it. His office said after the vote that Adams, who has been a prominent Hotel Trades Council ally for years, supports the legislation.

The other components of the bill require that all hotels in the city schedule staff for around-the-clock front desk coverage. Large hotels must also schedule a security guard to provide continuous coverage when any room is occupied.

Additionally, hotel operators would be required under the bill to provide employees with human trafficking recognition training and panic button devices to alert law enforcement in an emergency quickly.

The city Department of Consumer and Worker Protection would enforce the new rules and issue the licenses required to operate hotels.

Violations of the licensing rules could result in civil fines. The most serious penalty a hotel could face for violations is having its license pulled, which would effectively prevent it from staying open.

Proponents of the bill say the public safety provisions are key as hotels in the city have seen a spate of crime in recent years.

Since 2009, at least 39 murders have occurred at hotels in the city, according to NYPD data. The data also show the Police Department logged more than 14,000 complaints regarding criminal activities at city hotels between 2019 and 2023.

Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE