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19 (894) Susana Barrios From:City Clerk Sent:Tuesday, May 16, 2023 3:36 PM To:Public Comment Subject:FW: \[EXTERNAL\] May 16 | Item 19 Hotel Worker Initiative Attachments:5.16.23 Item 19 - Ballot Initiative.pdf From: Laura Cunningham <Laura@anaheimchamber.org> Sent: Tuesday, May 16, 2023 2:58 PM To: City Clerk <cityclerk@anaheim.net> Cc: Ashleigh Aitken <AAitken@anaheim.net>; Berenice Ballinas <BBallinas@anaheim.net>; Natalie Meeks <NMeeks@anaheim.net>; Jose Diaz <JoDiaz@anaheim.net>; Sarah Bartczak <SBartczak@anaheim.net>; Carlos A. Leon <CLeon@anaheim.net>; Taylor N. Griffin <TGriffin@anaheim.net>; Natalie Rubalcava <NRubalcava@anaheim.net>; Daniel Hernandez <DHernandez6@anaheim.net>; Norma C. Kurtz <NKurtz@anaheim.net>; Robert Mendoza <RMendoza@anaheim.net>; Stephen Faessel <SFaessel@anaheim.net>; Nam Bartash <NBartash@anaheim.net>; Natalie Meeks <NMeeks@anaheim.net>; Cameron Wessel <CWessel@anaheim.net>; Jim Vanderpool <JVanderpool@anaheim.net> Subject: \[EXTERNAL\] May 16 | Item 19 Hotel Worker Initiative Warning: This email originated from outside the City of Anaheim. Do not click links or open attachments unless you recognize the sender and are expecting the message. Dear Mayor and Members of the Council, Attached please find the Anaheim Chamber’s letter in support of commissioning a thorough economic impact study as you consider Item 19. Thank you, L AURA C UNNINGHAM President & CEO O 714-758-0222 | M 714-504-4063 laura@anaheimchamber.org 1 2099 S. State College Blvd, Suite 650 Anaheim, CA 92806 T (714) 758-0222 AnaheimChamber.org May 16, 2023 Mayor Ashleigh Aitken and members of the City Council: I am writing you regarding Item 19, the UNITE-HERE Local 11’s ballot initiative that would impose onerous and burdensome wage and work rules on Anaheim’s vital and dynamic hospitality and events sector. As you know, Anaheim’s hotels generate tens of millions in tax revenue for the city. Resort hotels alone –will generate $172 million in tax revenue in 2022-2023. Anaheim depends on these revenues to fund critical public services for Anaheim’s residents. It is difficult to overstate how crippling the provisions will be for Anaheim hotels and event centers – especially smaller and independent hotels and motels. The measure will dramatically increase their operating costs, resulting in higher room rates that incentivize tourists and conventioneers to seek accommodations outside Anaheim. The measure’s expensive wage and work rules also apply to city-owned facilities such as the Anaheim Convention Center, the Honda Center, Angel Stadium and the City National Grove, and charge the City Manager with enforcing these complex rules at every hotel and event center in Anaheim. A comprehensive economic impact study is necessary to answer the many questions and uncertainties raised by UNITE-HERE’s ballot initiative: • What will be the impact on jobs, tax revenue, and investment in construction and development? • How will it impact the value of existing hotels and their ability to fund renovations? • How will it impact Anaheim’s ability to compete with other cities for vital convention business? • How will increased room rates impact Resort visitor’s decisions to stay in nearby cities like Garden Grove that will offer less expensive accommodations? • Anaheim voters will be faced with a momentous decision that will significantly impact the course of Anaheim’s future prosperity, development and fiscal stability. They deserve the opportunity to cast a fully informed vote on this ballot measure. On behalf of members of the Anaheim Chamber of Commerce and the broader Anaheim business community, I urge the council to commission a thorough economic impact study. Sincerely, Laura Cunningham President & CEO