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HomeMy WebLinkAbout55E - RESO - HOTEL INCENTIVE PROGRAMREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JUNE 7, 2016 TITLE; ADOPT A RESOLUTION TO ESTABLISH A HOTEL DEVELOPMENT INCENTIVE PROGRAM {STRATEGIC PLAN NO. 3,3C) <__i:;� e5��_K CITY MANAC R RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: ❑ As Recommended ❑ As Amended Ordinance on IIt Reading ❑ Ordinance on 2"d Reading ❑ Implementing Resolutlon ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Adopt a resolution authorizing the establishment of a Hotel Development Incentive Program to provide economic incentives for the development of four to five -stars or AAA -rated four Diamond and above quality hotels in the City of Santa Ana. DISCUSSION According to the Anaheim /Orange County Visitors & Convention Bureau, 46.1 million people visited Orange County in 2014. Visits increased by 3.9 percent in 2013 and is expected to continue to increase more in 2016. Tourism in Orange County is booming and Santa Ana has the opportunity to take advantage of its centralized location in the heart of this industry. Santa Ana's proximity to the Anaheim resort district, the John Wayne Airport, and local amenities such as, the Discovery Cube Orange County and the Bowers Museum makes it a desireable location to attract incoming tourists and visitors to Orange County. According to a study by PKF Hospitality Research consultant, the average occupancy rate for Orange County hotels is 78.3 percent and is indicative that additional capacity exists for the development of new hotels in this area. To capitalize on this growth, Santa Ana will need to strategically position itself to accommodate new hotel development. By doing so, Santa Ana will have the potential to create new jobs, spur economic development, and enhance the City's revenue base. Currently, Santa Ana does not have any four -star rated or AAA (American Automobile Association) four Diamond and above hotels. However, nine three -star rated hotels are located within city limits. All other hotels and motels within the city are rated from one to two - stars. A uniform rating system for star quality hotels in the United States does not exist. Several websites and travel guides use the star rating when ranking hotels. AAA has an independent rating system that many hotels have been rated by (Exhibit 1). Staff recommends the use of both star and AAA Diamond ratings for this incentive program. 55E -1 Resolution - Establish a Hotel Development Incentive Program June 7, 2016 Page 2 The City currently imposes an 11 percent Hotel Visitors' Tax (HVT) on hotel and motel guests. The purpose of this tax is to recover costs of governmental services associated with nonresidents of the City. Since fiscal year 2011 -12, the City has experienced a 29 percent increase in HVT revenues and are projected to exceed $9 million by year end 2015 -16. To spur the development of high quality hotels (four to five -star rated or AAA four Diamond or above), staff is recommending an economic incentive to close the funding gap in a proposed high quality hotel development. A feasibility analysis would be completed for the project, whereby a projection of operating performance is combined with project development cost in order to determine the funding gap. A financial firm would be used for the feasibility analysis which would be funded by the developer. The City would pay for the funding gap through the HVT incremental revenue over a period specified in each negotiated agreement. The City would use a percentage (50 percent) of new incremental HVT generated by the new development to fund the payments. Incremental HVT equals the amount of new HVT that the new hotel development generates from a baseline (Year 0). No upfront expenditures from the City would be required. Each hotel agreement will be brought forward to City Council for consideration. Sample Calculation: A new hotel development generates $1 million in new HVT revenue to the City in its first year. Fifty percent ($500,000) will be reimbursed to the hotel after the City receives the HVT. In year two, the hotel generates $1,200,000 in HVT revenue, 50 percent ($600,000) would be reimbursed to the hotel. This agreement would continue over a 10 -15 year period or until the funding gap is reached per the negotiated agreement. On March 24th and April 26, 2016, staff met with members of the UNITE HERE Local 11 organization that represents more than 20,000 workers employed in hotels, restaurants, airports, sports arenas, and convention centers throughout Southern California. The meeting provided an opportunity to discuss and review language as it relates to labor peace agreements. A labor peace agreement is an enforceable agreement between a hotel owner /operator and a labor organization, that represents, or seeks to represent, the hotel's employees and that contains provisions under which the labor organization and its members agree to refrain from engaging in any picketing, work stoppages, or any other economic interference with hotel operations or the construction of the facility. In addition, staff met with the Los Angeles /Orange Counties Building and Construction Trade Council in which they provided feedback related to prevailing wage requirements and the hiring of local residents. As it relates to the labor peace agreement, for each hotel covered by the Hotel Development Incentive Program in which the City participates financially and has a proprietary interest, the City shall require that the hotel owner or operator execute a labor peace agreement with any labor union that represents or seeks to represent employees of the hotel, both during construction and operation of the hotel. Evidence shall be presented to the City that the owner or operator has 55E -2 Resolution - Establish a Hotel Development Incentive Program June 7, 2016 Page 3 entered into a labor peace agreement prior to entering into an operating covenant agreement for a hotel project. Based on staff's review and feedback from both labor organizations, staff recommends the implementation of a Hotel Development Incentive Program which incorporates requirements for prevailing wages, hiring of local residents, and labor peace agreements. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal #3 Economic Development, Objective #3, (Promote a solutions -based customer focus in all efforts to facilitate development and investment in the community), Strategy C (Explore opportunities to encourage a business friendly environment within the City through the reduction of non - essential regulatory requirements, improved coordination between agencies for development review and addition of monetary incentives). FISCAL IMPACT There is no fiscal impact associated with this action. Each individual hotel development incentive agreement will be subject to City Council approval. Exhibits: 1. Diamond Rating Guidelines 2. Resolution RC /MM 55E -3 55E -4 Exhibit 1 Approval Requirements &` /� ^/ LG�J'�'1,G' 'GG �i ( AAA Publishing Tourism Information Development • 1000 AAA Drive • Heathrow, FL 32746 -5063 © 2008 AAA Revised 11/2007 55E -5 Approval Requirements Introduction Dear Hospitality Professional, On behalf of AAA, I am pleased to introduce to you the latest edition of the Lodging Approval Requirements & Diamond Rating Guidelines. This year marks the 30th anniversary of the AAA Diamond Ratings, as well as the 20" anniversary of the Diamond Rating Guidelines. Since its inception in 1902 as a federation of independent motor clubs, AAA has existed to provide information, safety, security, and peace of mind to its now more than 50 million members. AAA's services have evolved to encompass roadside assistance, insurance and financial services, safety education, and public affairs. AAA is also an undisputed leader in travel information and services. In 1937, the first AAA field representatives were hired to inspect lodgings and restaurants, and in 1963, AAA began assigning lodging ratings from `good' to 'outstanding'. In 1977 — AAA's 75th (diamond) anniversary — the Diamond Rating system was introduced for lodgings, with restaurants included in 1989. In 1987, the first AAA Lodging Diamond Rating Guidelines booklet was introduced for industry review. Prior to this date, only minimum approval requirements were printed and distributed upon request. The new edition of the AAA Approval Requirements and Diamond Rating Guidelines was designed with two objectives in mind: • To ensure that our ratings program is accurate and consistent when compared to meeting the travel needs of over 50 million AAA members. • To provide hospitality professionals a valuable reference so they may be successful in achieving their goal as it relates to AAA Approval and our proprietary Diamond Rating Process. To that end, we feel that it is important to partner with the hospitality industry by gathering input, discussing the meaning of our ratings, and openly sharing how the Diamond Rating Process is applied at the property level. We strongly urge property representatives to take full advantage of the information provided by AAA inspectors during an evaluation, since our experts are exposed to a wide range of properties throughout the United States, Canada, Mexico and the Caribbean. AAA evaluates more than 32,000 accommodations, 28,000 restaurants and nearly 11,000 campgrounds as key content for over 168 million copies of travel - related materials annually. AAA travel products are wide - ranging and include 26 regional TourBook° guides, 11 regional CampBook® guides, AAA.com— including the well -known TripTik® Travel Planner —as well as, numerous retail guidebooks, atlases and maps. We look forward to your continued service on behalf of AAA members at large and appreciate your participation in AAA programs. Sincerely ;rector/AAA Petrone, CEC ;rector /AAA Tourism Information Development 551 -6 s ARM SectionOne ....................................................................... ..............................1 Defining AAA Approval Requirements and AAA Diamond Rating Guidelines ..................... 1 Applying for a AAA Diamond Rating .................................................. ............................... 1 AAAApproval Requirements ............................................................. ............................... 2 The AAA Evaluation and Diamond Rating Process ............................. ............................... 4 SectionTwo ....................................................................... ..............................6 Whatthe Diamond Ratings Mean ...................................................... ............................... 6 Diamond Rating Guidelines - Exterior ............................................... ............................... 7 Diamond Rating Guidelines - Public Areas ........................................ ............................... 9 Diamond Rating Guidelines - Guestroom ........................................ ............................... 17 DiamondRating Guidelines - Bathroom .......................................... ............................... 24 The AAA Four and Five Diamond Rating .......................................... ............................... 30 Four and Five Diamond Service Expectations .................................. ............................... 30 SectionThree ................................................................... .............................37 TheListing ...................................................................................... ............................... 37 LodgingClassifications .................................................................... ............................... 37 Accessibility.................................................................................... ............................... 39 MemberComment Procedures ......................................................... ............................... 39 TheAAA Appeals Process ................................................................ ............................... 40 GreenPrograms .............................................................................. ............................... 40 Addressesand Phone Numbers ....................................................... ............................... 41 55E -7 Defining Requirements and AAA Diamond Rating Guidelines It is important to note the difference between AAA Approval Requirements and Diamond Rating Guidelines as this concept is often misunderstood. The evaluation process is made up of three parts: Approval Requirements, objective Diamond Rating Guidelines, and subjective elements based on the professional experience and training of AAA inspectors — who visit over 32,000 lodgings each year. The essential AAA Approval Requirements are common -sense qualifications that AAA members have told us are important to them and, similarly, that most professional operators routinely employ. All properties must first meet this set of criteria in order to be considered for AAA Approval and Diamond Rating. The Diamond Rating Guidelines are not rating requirements, but are components used to determine the aooropriate Diamond Rating level. Diamond Rating guidelines are simply a reflection of what is typically seen throughout the various market segments of the lodging industry. Therefore, failure to meet some of the components listed for the ratings categories does not necessarily preclude the achievement of that rating. During our evaluation, inspectors will assess the strengths and weaknesses of the property and assign the most appropriate rating that will provide the best match in meeting AAA member expectations. Furthermore, not all of the Diamond Rating Guidelines will apply to all property types. For example: meeting rooms would not be expected at a Bed & Breakfast property, but would be essential at a convention- oriented hotel. Also, the availability and type of swimming pool will be dictated by climatic influences and /or the property classification. AAA inspectors will only use the sections of the Diamond Rating Guidelines that are appropriate for the property classification in assessing the overall Diamond Rating. Applying For a AAA Diamond dating AAA CONSIDERS ALL VALID APPLICATIONS FOR EVALUATION. To be considered a valid applicant for AAA evaluation, lodging properties must meet all of the Approval Requirements for their property category. These minimum requirements reflect members' basic expectations. Prior to completing an Application For Evaluation (provided at: www.AAA.biz /AO roved), please review the requirements to verify your property's eligibility to apply. Currently listed establishments need not reapply, as our inspectors will routinely conduct an evaluation of your property on a continual basis. Include recent and accurate pictures of the exterior, public areas, as well as examples of a standard guest unit and bathroom, and return to AAA. Please note that if our research indicates past disqualifying issues, you may be asked to provide written documentation of the corrective action taken since then. As of August 1, 2006,: lodging properties that request evaluation by AAA are charged a nonrefundable application fee $150 for first -time applicants and $300 for repeat.. applicants that previously faded an evaluation - orwere disassociated` from AAA for any reason. The fee does not apply to currently Approved and listed establishments that remain in good standing ;. Please do not send a. payment with the initial application. On receipt of your Application For Evaluation AAA will provide written notice . regarding the status of your application and;: if accepted for further consideration, an invoice for your application fee. On receipt of payment, AAA will schedule your property for an unannounced evaluation within one year. All application fees should be made in U.S. funds and are nonrefundable and will have no bearing on the outcome of evaluations. AAA conducts property evaluations as a service to members, and does not guarantee that all applicants will be Approved and listed 'in member publications. Basic listings are provided without charge to Approved properties. _I_ 55E -9 AAA does not guarantee an immediate evaluation of all properties that apply, but does guarantee a fair review of all applications. Additionally, AAA reserves all rights to apply priority consideration to those properties demonstrating traits that provide the highest degree of AAA member value. Through ongoing member research, AAA has developed criteria reflecting key elements of consideration in making travel - related decisions. Some examples of AAA member value criteria are: • LOCATION • NEWLY BUILT / RENOVATED • HIGH DEGREE OF CLEANLINESS AND COMFORT • APPROPRIATELY MAINTAINED CONDITIONS • PRICE (willingness to provide a discount or best rate available) Once your property is approved, it will be evaluated at least once per evaluation cycle by a AAA inspector. All evaluations are unannounced to ensure that our inspectors see your property just as our members would see it. The conditions noted at the time of the annual evaluation will be the basis of the decision to list or rate a property. This decision is at the sole discretion of AAA. By applying for an evaluation, you agree to allow AAA to publish your property information and the respective Diamond Rating in our travel publications. AAA will make every effort to ensure that your property is fairly represented. If, after continued review, or up to and including the end of one year, the property is determined to be of limited AAA member value, a letter will be sent advising that the property has been released from any further consideration. AAA Approval Requirements AAA APPROVAL REQUIREMENTS REFLECT THE MINIMUM ACCEPTABLE CONDITIONS AS ESTABLISHED THROUGH MEMBER SURVEYS AND CONTINUOUS FEEDBACK. To be AAA Approved and Diamond Rated, an establishment must meet the following requirements: 4, A property may not use AAA trademarks — including but not limited to the AAA logo and Diamond Rating, without AAA's prior written consent. 5. The property must be appropriately located for business or leisure travel. 6. The establishment must be a primarily transient operation with four or more units available for AAA members. 7. The establishment must provide AAA room rates for travel publications as requested. S. The establishment must assist AAA in the resolution of member complaints. 9. The establishment must accommodate unannounced AAA property evaluations within 20 minutes of notice. 10. All property staff must conduct business in a professional and ethical manner providing attentive, conscientious service to guests. 11. A property must only place AAA members in AAA inspected and approved guest units — overflow buildings or guest units (associated with the property but not approved by AAA) are unacceptable. 12. Property management, or their representative, must be readily accessible at all times for guest needs or requests. 13. Guests must have easy access to 24 -hour incoming and outgoing phone service, ensuring prompt guest unit message delivery. Emergency messages must be delivered to the guest immediately upon receipt. 14. Management will readily provide property information as requested by AAA on a continual basis for the purpose of maintaining the most accurate travel information for AAA publications. 15. The establishment must be in compliance with all local, state, and federal codes. —2— 55E -10 vroperues must nave accurate, iegme signage in appropriate areas. All facilities directly associated with a property (such as a restaurant, health club, gift shops, etc.) provided for guest's use must meet all appropriate AAA Approval Requirements. facilities, 18. Adequate illumination is required in all public areas. This includes sufficient lighting in all corridors, walkways, stairways, landings, parking areas, etc. 19. Each guest unit must contain a comfortable bed with a mattress pad, two sheets, two pillows with pillowcases, and an appropriate bed covering. 20. Each guest unit must have a nightstand or equivalent by each bed, a chair, a writing surface, a waste container, clothes- storage space, and clothes- hanging facilities with hangers for two guests. 21. Each guest unit must have adequate shades, drapes, or blinds to cover all windows or other transparent areas to provide the guest with privacy. 22. The level of soundproofing must be adequate to muffle outside noises and normal sounds in adjacent units and public areas. 23. Each guest unit must have an active light switch at the main entry. 24. Each guest unit must have good illumination at a writing surface, a sitting area, and at each bed. 25. Each guest unit door must be equipped with both a primary lock and a secondary deadbolt lock. A primary lock is defined as a device that permits a guest to enter unit using some form of key and allows the door to be locked while the unit is occupied and when the guest leaves the unit. Passkeys assigned to appropriate staff members will function to operate only these locks. A secondary lock is defined as a mortised; deadbolt- locking device with a throw that extends at least one inch from the edge of the door into the door frame. This permits a guest an extra measure of security against any unwanted intrusions. Unlike the primary lock, deadbolt master keys will not be provided to guests or to staff. Master key systems will be acceptable when the emergency, master key is only available to top management and security personnel. Secondary Lock Variances In certain instances, . the requirement for secondary locks may be modified to meet a. variety . of exceptions. The most common are noted below. AAA claims the right of final arbitrator: in all decisions of this nature. Sliding Glass Doors Each sliding door must be equipped with an effective locking device. Asecondary security lock is required on all ground floor doors and those which are accessible from common walkways and adjoining balconies, French Doors —. In addition to the deadbolt lock requirements, surface- mounted slide bolts must be provided at the top and bottom to secure the stationary /auxiliary door. These bolts must extend into the upper doorframe and the .lower doorframe or floor and must be strong and sturdy mechanisms: 26. Each door to connecting guest units or maintenance corridors must be equipped with a deadbolt lock. 27. Each guest unit entry door must have a viewport or window convenient to the door. 28. Each window overlooking a common walkway or in a ground floor unit must be equipped with a functional lock. 29. Each guest unit must have an operational, single station smoke detector. Hard -wired smoke detectors are preferred. When battery- operated detectors are used, there must be an adequate maintenance program to routinely test and replace batteries. 30. Each guest unit must have its own private bathroom. 31. All bathrooms must contain a toilet, a sink with a well -lit mirror and a convenient electrical outlet, adequate shelf space, and a tub or a shower with a non -slip surface. 32. Each bathroom must be equipped with toilet tissue, a cloth bath mat, and two bars of soap or equivalent — furthermore, each guest must be provided a bath towel, hand towel, face cloth, and a drinking tumbler. 33. All toilet area surfaces (floors, walls, baseboards, etc.) must be non - porous to facilitate proper sanitation. (For example, carpeting is not acceptable in the toilet area.) –3- 55E-11 The AAA Evaluation and Diamond Rating Process The AAA Evaluation and Diamond Rating Process primarily consists of three parts: • INTRODUCTION, INTERVIEW • PROPERTY TOUR AND PRACTICAL APPLICATION OF THE APPROVAL REQUIREMENTS AND DIAMOND RATING GUIDELINES • ASSESSMENT SUMMARY First, all establishments must meet AAA Approval Requirements and be determined to provide member value. This validation is conducted through a combined process of applications, inspections, referrals, and media research. If a property is presumed to qualify, one of our inspectors will visit and observe the curbside appeal, exterior, and other factors pertaining to the basic foundation of the establishment. This preliminary review will verify that this property clearly exhibits characteristics that would appeal to AAA members. If satisfied, our representative will contact the owner, general manager, or property designee for a brief interview. This interview is an extremely important part of the evaluation, as factual data is gathered for inclusion into our travel information inventory with potential use in AAA's worldwide printed and electronic publications, This session also gives the property representative a chance to advise AAA of any plans for improvement that may be forthcoming. Following the interview, the inspector will tour the establishment with the property representative to assess the AAA Approval Requirements & Diamond Rating Guidelines. The tour will include an evaluation of all public areas and a cross section of rooms. The inspector will discuss both strengths and weaknesses of the property as it relates to our Guidelines. This dialogue is unique to the AAA Diamond hating Process and is a valuable resource to any property. The overall evaluation process will include the review of six key areas: • CLEANLINESS AND CONDITION • MANAGEMENT AND STAFF • EXTERIOR, GROUNDS, AND PUBLIC AREAS • GUESTROOM DECOR, AMBIANCE, AND AMENITIES • BATHROOMS • GUEST SERVICES (If applicable) All establishments must be clean, comfortable, and well- maintained. The inspector will evaluate the overall condition of the property to determine if the property meets above average standards and should be considered for a Diamond Rating. —4— 55E -12 THE ACHIEVEMENT OF A AAA DIAMOND RATING MEANS THAT AN ESTABLISHMENT IS ONE OF AN EXCLUSIVE GROUP THAT HAS SUCCESSFULLY COMPLETED THIS THOROUGH EVALUATION PROCESS. If a property is approved, the inspector will assign, or recommend, a Diamond Rating or FYI designation as appropriate based on conditions that exist at the time of the evaluation. The inspector will provide the property representative a written summary of the evaluation, including the rating decision. The frequency of subsequent AAA evaluations varies slightly, depending on the classification and the assigned rating of each establishment. —5- 55E-13 AAA DIAMOND RATINGS REPRESENT A COMBINATION OF THE OVERALL QUALITY, THE RANGE OF FACILITIES, AND THE LEVEL OF HOSPITALITY OFFERED BY A PROPERTY. These widely recognized and trusted symbols help AAA members choose lodgings that will meet their needs and expectations. AAA inspectors are responsible for determining a property's Diamond Rating based on established standards that are developed with input from our trained professionals, AAA members, and various lodging industry professionals. AAA's Diamond Rating Guidelines indicate what is typically found at each rating level. However, the size, age, and overall appeal of an establishment are also considered, as well as regional architectural style and design. Diamonds are assigned based on the average of all property characteristics, with a focus on overall guest impression rather than on individual elements. Therefore, not meeting a guideline (in one area) may not necessarily affect the overall Diamond Rating. The final factor in determining the Diamond Rating for a property is professional judgment, which is a very important part of the rating assessment. Our inspectors are North America's travel experts based upon ongoing training and experience in conducting more than 32,000 lodging evaluations per year, What the Diamond Ratings can One Diamond IV These establishments typically appeal to the budget- minded traveler. They provide essential, no- frills accommodations. They meet the basic requirements pertaining to comfort, cleanliness, and hospitality. Two Diamond 44 F These establishments appeal to the traveler seeking more than the basic accommodations. There are modest enhancements to the overall physical attributes, design elements, and amenities of the facility - typically at a moderate price. Three Diamond Nr These establishments appeal to the traveler with comprehensive needs. Properties are multifaceted with a distinguished style, including marked upgrades in the quality of physical attributes, amenities, and level of comfort provided. Four Diamond 401 'we 14V IF These establishments are upscale in all areas. Accommodations are progressively more refined and stylish. The physical attributes reflect an obvious enhanced level of quality throughout. The fundamental hallmarks at this level include an extensive array of amenities combined with a high degree of hospitality, service, and attention to detail. Five Diamond These establishments reflect the characteristics of the ultimate in luxury and sophistication. Accommodations are first class. The physical attributes are extraordinary in every manner. The fundamental hallmarks at this level are to meticulously serve and exceed all guest expectations while maintaining an impeccable standard of excellence. Many personalized services and amenities enhance an unmatched level of comfort. —6- 55E-15 GLOSSARY: ► Climate controlled - Heat, ventilation and /or air conditioning and cooling. ► Dated Marked by features of the past; showing the effects of long use or-wear; unfashionable ► Form — The essence of design or configuration. • Function - The action for which something is fundamentally fitted or purposed. • Plus — When you see this term used (suchlas 2D, plus), it means that the rating includes the bolded elements of the previous columns in addition to elements of the current column. ► Residential — Of, or relating to, or connected with, residential style; invokes a personal presence of home`. Diamond Rating Guidelines - Exterior The combination of all exterior elements imparts a basic or dated style; Limited coordination in design Limited quantity and variety of appointments; Overall; conveys an unadorned curb appeal Limited quantity and variety of landscaping; Basic design EXTERIOR the exterior The alements are eler moderately obv anhanced (as enh :ompared to are basic) in coo quantity, forr variety, with an increased coordination in I design;' Overall, i conveys - -1 modestly enhanced curb appeal Enhanced quantity, function, and variety of landscaping; Coordinated design Nor 13D —plus: 14D, olus: ously of all exterior of all exterior inced and elements is elements yell- substantial; imparts an dinated for ' impressive, well- extraordinary function, integrated; and and luxurious 'imparts an feel; onality; excellent level of Appointments e areas curb appeal are unique and a , which is upscale contribute to an lential in style elegant level of Overall, curb appeal aysavery ctive curb al Various landscape features are well - coordinated for form, function, and seasonality; An ample quantity and variety of plants are integrated with buildings, walkways, parking lots, courtyards, gardens, etc. —7- 55E-16 3D. plus: Excellent variety of mature plants; Obviously professionally planned and manicured D plus: Elegant and extensive variety of landscaping, with meticulous attention to detail in placement and care EXTERIOR Basic or dated in Modest Significantly 3D, plus: style enhancements to enhanced in form Obviously form and function and function upscale via roofing, with some windows, siding, or residential some other appointments, architectural such as: feature(s) enhanced roofs, intricate moldings, window treatments, balconies, chimneys, etc. No drive - through covered entry Varied surfaces; Illumination is adequate Drive - through covered entry; Limited capacity (one -car width) 1D. plus: Paved and marked areas 2D, plus: Increased capacity (two -car width); Structure is decorative 2D, plus: Lighting is well - positioned, from multiple sources, and provides a good level of overall illumination —8- 55E-17 3D> olu : Oversized capacity (two - car width and depth); Upscale design and appointments 3D, plus: Lighting fixtures reflect upscale characteristics with respect to the design of the property Valet parking upon request or some other upgraded feature, such as: covered /indoor parking, shuttle service, or evidence of added security 4D, plus: Extraordinary with unique architectural features 4D, plus: Elegant design and appointments 4D, plus: Valet parking is automatic GLOSSARY: ► Climate controlled - -. Heat, ventilation and /or air conditioning and cooling.. r Dated - Marked by features of the past; snowing the effects of long use or wear; unfashionable. ► Form - The- essence of design or configuration. ► Function -'The action for which something is fundamentally fitted or purposed. ► Plus - When you see this term used (such as 2D, plus), it means that the rating includes the bolded elements of -the previous columns in addition to elements of the current column. P. Residential - Of, or relating to, or connected with, residential style; invokes a personal presence of home. Diamond inn Guidelines - Public Areas P.o.anm�n�nhl•, PUBLIC AREAS Increased 'Pre coordination of res a000intments -stv nantly 3D, plus: tial Predominantly ." th upscale style plus: a�m�r��fl•. ;oordination of combined with decorative that provides witn luxurious, appointments modest ,.appointments an exceptional unique, and <. hat provide an enhancements that are degree of artistic adequate level of to function, attractive, well- > comfort appointments =omfort design elements, coordinated for room size, form and and /or amenities function, and that provide an . ,provide an enhanced level obvious degree of comfort of comfort Basic material, such as: linoleum, painted concrete, or low density pile carpet with padding that provides little or no comfort underfoot (floor feels hard) Enhanced material, such as: wood laminates and vinyl, or medium density pile carpet with padding that provides average comfort underfoot 2D, Plus: Wood laminates or carpet with enhanced design, such as: patterns, textures, or inlays; Decorative tile (ceramic, stone, concrete, terra cotta, etc.); Hard surfaced floors have decorative area rugs as appropriate -9- 55E-18 3D, plus: High grade wood, marble, granite, or other upscale stone floors, or high density pile carpet with padding that provides exceptional comfort underfoot 4D, Plus: Custom inlays or textured enhancements that provide an overall design that is obviously elegant and unique; Area rugs are luxurious and unique Walls are of basic material and design, such as: cinder block with a plain paint finish, standard grade wood, prefab modular laminate paneling, or wallpaper Building structure and design is basic or dated in style Limited quantity and variety of landscaping; Basic design PUBLIC AREAS Wall treatments are modestly enhanced,such as: drywall with basic paint finish or plain vinyl coverings; Rubber or vinyl baseboards Decorative wall treatments, such as: drywall with textured and painted finish, decorative vinyl coverings, or select grade wood /stone; Chair rails and carpeted baseboards 3D. plus: At least one significant upscale design enhancement, such as: accent wall(s), furniture- finish wood paneling, soft wall coverings, ceiling trim, architectural feature, wainscot, etc.; Wood baseboards 4D. plus: Wall finishes are of the highest grade materials; Accented with multiple luxurious design enhancements Climate controlled I Climate controlled I Climate controlled I Climate controlled Weather appropriate (Provides protection and comfort with respectto climatic elements); Building structure shows modest enhancements to design and function via roofing, windows, siding, or some other architectural feature(s) Enhanced quantity, function, and variety of landscaping; Coordinated design 2D, plus: Building structure and design is significantly enhanced in form and function with some residential appointments, such as: enhanced roofs, moldings, window treatments, etc. Various landscape features are well - coordinated for form, function, and seasonality; An ample quantity and variety of plants are integrated with buildings, walkways, parking lots, courtyards, gardens, etc. —10- 55E-19 3D. plus: Building structure and design is obviously upscale 3D, plus: Excellent variety of mature plants; Obviously professionally planned and manicured 4D, plus: Extraordinary with unique architectural features 4D, plus: Elegant and extensive variety of landscaping, with meticulous attention to detail in placement and care Basic material and design, such as: drop tile, concrete, or standard grade wood Basic lighting fixtures that provide an adequate level of overall illumination Basic design in limited locations throughout the property PUBLIC AREAS Poster(s) or commercial artwork with thin, un- enhanced wood, metal, or plastic frame(s) Modest enhancements to material and design, such as: enhanced drop tile, painted drywall, popcorn finish, sand textured concrete, etc. Lighting fixtures are modestly enhanced in style, positioning, and function to provide a good level of overall illumination Modestly enhanced design in appropriately placed locations throughout the property Matted artwork (common or commercial) in enhanced frame(s) or other decorative appointments Predominant use of decorative elements to painted drywall, such as: an advanced textured finish (knockdown, orange peel, comb, slap brush, etc.) or select grade wood /stone 2D, plus: Lighting fixtures are decorative and well - coordinated forform and function D plus: Decorative enhancements in design —11- 55E-20 Variety of matted and framed or unframed canvas artwork (varied sizes and scenes) or other appointments that provide a distinctive or thematic upscale appeal 3D. plus: One architectural or design feature, such as: treys, beams, medallions, vaulted /volume, murals /stencils, tin tiles or skylights, ceiling fans, special effect lighting, etc. 313, plus: Lighting fixtures reflect upscale design and provide an excellent level of overall illumination 3D, plus: Upscale design in ample locations 413, plus: Variety of styles and accent pieces, such as: limited edition prints, canvas art, tapestries, or lithographs with enhanced matting and preservation frames, assorted artisan pieces or sculptures, floral displays or plants 413, plus: Multiple architectural or design features 413, plus: Custom lighting fixtures of outstanding quality provide a unique illumination effect 413, plus: Custom design creatively placed for a unique effect Obviously restricted by size and /or placement of appointments; Basic counter registration with limited or no seating capacity If available, predominantly basic materials, such as: particle board, laminate, or vinyl finishes; Dated styles with limited coordination; Provides an adequate level of comfort Ice machine(s) available Vending machine(s) available PUBLIC AREAS Modest restrictions due to size and /or placement of appointments; Seating arrangement for one small group, such as: a sofa and two arm chairs An increased level of coordination; Modest enhancements in materials, design, and function; Provides an enhanced level of comfort Multiple sealed ice machines Basic hygiene amenities, such as: toothbrush /paste, razors, mouthwash, shower caps, combs, etc., available at the front desk or in vending machine No restrictions, as placement of appointments is well - proportioned to area size; Expanded seating arrangement accommodating two small groups; Placement of appointments is well - proportioned to area size and traffic flow Decorative and well- coordinated forform and function; Overall construction and design reflects current industry trends, such as: Melamine resins, solid wood trim, or upgraded laminate finishes; Provides an obvious degree of comfort 2D, plus: Located in a recessed area Dedicated sundry area offering a variety of merchandise, such as: health and beauty needs, food, beverage, and reading materials —12- 55E-21 Area size and placement of appointments provide an obvious degree of spaciousness allowing increased ease of movement for many guests; Multiple conversational groupings, including one or more privacy areas; Identifiable guest service area and bell stand 3D us: Modern or antique upscale style and materials, such as: solid wood, polished metals, leather, designer fabric, veneer finishes with solid wood accents, laminate insets, etc.; Provides an exceptional degree of comfort 313, plus: Conveniently located and appropriately soundproofed Upscale gift shop Area size and placement of appointments provide a free flowing abundance of space that contributes to the ultimate level of comfort and relaxation for many guests; Identifiable concierge area 4D. plus: Luxurious, unique, and elegant custom design and workmanship Specialized service, delivery or in -room honor bar Variety of first - class shops PUBLIC AREAS Personal computer, with Internet access, available in lobby for guests' use Elevator is available for guests' use in multi -story buildings Artificial or live plants In limited locations —13— Dedicated open area (out of traffic pattern) with desk and chair, to include at least three business - related items, such as: PC, printer, copier, fax machine, supplies, etc. 213, Plus: Primarily dedicated to guests' use; Prompt response, quick moving, and spacious; Elevator includes decorative appointments; Landing includes a limited (four) amount of decorative furnishings, such as: tables, lamps, phone, artwork, chair, mirror, flowers, etc., and is recessed from the lobby and guestroom corridors Good variety of live plants or artificial floral arrangements used as appropriate for decorative accents throughout the property 55E -22 3D, plus: Well-appointed, enclosed area; Multi -guest capability with comprehensive office supplies 30, plus: Multiple elevators include upscale appointments; Landings include a variety of upscale furnishings (five), such as: sofa table, lamps /wall sconce, phone, artwork, chair, coffee table, mirror, flowers /plants, etc.; Additional service elevator is available for staff's use Abundant variety of live plants, silk, or dried floral arrangements used as appropriate to enhance an upscale theme throughout the property 413, Plus: Luxurious surroundings include the latest business technology; Professionally staffed area 413, Plus: Elevator cabs have dual call button panels; landings are elegant with luxurious, unique, and artistic appointments Garden -fresh condition, outstanding variety of live plants and flowers that are uniquely arranged to provide a luxurious appeal throughout the property PUBLIC AREAS Limited (washer and dryer only) coin - operated laundry facilities Luggage carts available Private meeting room available; Basic audiovisual equipment available, such as: projectors, microphones, television, sound system, etc. Expanded coin - operated laundry facilities, such as: multiple machines, vending supplies, folding table, etc. -or- valet laundry 2D, plus: Design enhancements, such as: solid construction, larger, smooth tracking wheels, and bumper guards Expanded meeting space with decorative appointments; Increased variety of audiovisual equipment available, such as: dropdown projector and screen, smart lectern, controlling lights and surround sound, multi - casting, wireless communication, etc.; Some conference services available, such as: planning assistance, catering, and most technology needs —14- 55E-23 Valet laundry and pressing available 3D, plus: Upscale design enhancements, such as: brass or metal finish, carpeted base, and multiple hanging capabilities. Luggage assistance available upon request A variety of meeting rooms, such as: ballroom, boardroom, theatre, and /or meeting rooms of various sizes, with upscale appointments; All audiovisual equipment is state -of- the -art; Full conference services available including on -site professional conference planner and technical support 4D, plus: Personalized services available, such as: one hour pressing, shoeshine, tailoring or alterations, etc. Luggage assistance upon arrival is automatic 4D. olus: Luxuriously appointed, first - class facilities; Custom conference services PUBLIC AREAS One full- service outlet or food court (comparable to a one diamond restaurant) onsite: Lem I Standard continental breakfast (minimum: juice, pastry, and hot beverage) is served in a dedicated area with modest restrictions due to size and /or placement of appointments; Limited seating is available Pool area with a limited amount of furniture of basic or mixed styles; Property location determines seasonal availability —15— 2D, Plus: (comparable to a two diamond restaurant); Lounge or bar area Expanded continental breakfast, or more, is served in a dedicated area that is distinctly separate from the lobby traffic; Appointments are well - proportioned to area size, with appropriate seating for the size of the establishment; Television Weather appropriate pool (usable at least nine months annually); Area is well- appointed with a good variety of decorative, comfortable pool furniture; Hot tub or whirlpool spa 55E -24 Upscale, full - service restaurant (comparable to a three diamond restaurant); Separate lounge or bar area; Room service available for breakfast, lunch, and dinner 3D, plus: Pool area reflects the use of upscale building materials and design, with a variety of pool furniture; Hot tub or whirlpool spa, steam room, or sauna; Food and beverage service is available poolside 4D, plus: Multiple outlets (at least one is comparable to a four diamond restaurant); Room service available 24/7 4D, plus: Pool area is of elegant design, with unique appointments, such as: sculptures, waterfalls /features, exotic plants and gardens, stone /tile surfaces with designer inlays, etc.; Outstanding variety of luxurious furniture; Cabanas; Full -time professional attendant is on duty PUBLIC AREAS Two pieces of equipment on site in a designated room One unisex 213, olus: Three or more pieces of equipment; Room is enhanced with atleastthree purposeful appointments, such as: mirrored walls, television, water cooler, bathroom, towels, clock, scales, etc. Multiple facilities/ programs onsite; Some with off - site privileges Separate gender restrooms in a convenient location (If property has expanded meeting facilities, then additional restrooms are available in proportion) —16- 55E-25 Full spa services available 3D. plus: Five or more pieces of state -of- the -art equipment, including cardio and weight training capability 3D. plus: Arrangements are made for off - site services 36. plus: Upscale appointments Full spa onsite D lus: Ten or more pieces of equipment; Luxurious health club environment; dressing area includes: lockers, showers, and restrooms; Full - time professional attendant is on duty; In -room exercise equipment available D plus; First -class facilities/ programs with custom concierge services provided 4D. plus: First -class with luxurious appointments GLOSS) ► < ► `C ► F ► F ► F e ► F sidential Of, or relating to, or connected witl d cooling -: ng use orwear; unfashionable; I or purposed. that the rating includes the bolded .irrent column. de; invokes a personal presence of home. Diamond Rating Guidelines - Guesttown Predominantly basic or dated GUESTROOM -reased ordination of pointments Prednminantly �encra� > I lus: I coordination or > combined with - wicn cnau ii : w¢n luxunuuo, appointments modest decorative an exceptional unique, and that provide an enhancements appointments degree of artistic adequate level of to function, that are comfort appointments comfort design elements, attractive, room size, well - and /or amenities coordinated for that form and provide an function that enhanced level - provide an of comfort obvious degree - of comfort Obviously restricted by size and /or placement of appointments; however, provides guest an adequate level of comfort Modest restrictions No restrictions, as due to size and /or placement of placement of appointments is appointments well - proportioned to room size —17- 55E-26 Room size and placement of appointments provide an obvious degree of spaciousness, allowing increased ease of movement for multiple guests Room size and placement of appointments provide a free flowing abundance of space that contributes to the ultimate level of comfort and relaxation for multiple guests Basic material, such as: linoleum or low density pile carpet with padding that provides little or no comfort underfoot (floor feels hard) Basic material and design, such as: cinder block with a plain paint finish, standard grade wood, prefab modular laminate paneling, or wallpaper GUESTROOM Enhanced material, such as: wood laminates and vinyl, or medium density pile carpet with padding that provides average comfort underfoot Wall treatments are modestly enhanced,such as: drywall with basic paint finish or plain vinyl coverings; Rubber or vinyl baseboards Poster(s) or commercial artwork with thin, un- enhanced wood, metal, or plastic frame(s) 2D, plus: Wood laminates or carpet with enhanced design, such as: patterns, textures, or inlays; Decorative tile (ceramic, stone, concrete, terra cotta, etc.); Hard surfaced floors have decorative area rugs as appropriate Decorative wall treatments, such as: drywall with textured and painted finish, decorative vinyl coverings, or select grade wood /stone; Carpeted baseboards Matted and framed artwork (common or commercial) in enhanced frame(s) or other decorative appointments _)g_ 55E -27 3D. plus: High grade wood, marble, granite, or other upscale stone floors, or high density pile carpet with padding that provides exceptional comfort underfoot 3D, plus: At least one significant upscale design enhancement, such as: accent wall(s), furniture - finish wood paneling, soft wall coverings, ceiling trim, architectural feature, wainscot, chair rails, etc.; Wood baseboards Variety of matted and framed artwork (varied sizes and scenes) or other appointments that provide a distinctive or thematic upscale appeal 4D us: Custom inlays or textured enhancements that provide an overall design that is obviously elegant and unique; Area rugs are luxurious and unique 4D. plus: Wall finishes are of the highest grade materials; Accented with multiple luxurious design enhancements 4D. plus: Variety of styles and accent pieces, such as: limited edition prints, canvas art, tapestries, or lithographs with enhanced matting and preservation frames, assorted artisan pieces or sculptures, floral displays or plants Basic material and design, such as: drop tile, concrete, or standard grade wood Basic drapes, blinds, or shades offering limited blackout effect from the sun or outside light sources No headboard -or- headboard and mattress are of basic materials and plain design (vinyl flat top); Box spring or bed base Bed coverings are of basic style; Bed linens are of common blends and thread counts (sheer, coarse to touch); Pillows are of a standard grade (thin Polyester batting) GUESTROOM Modest enhancements to material and design, such as: enhanced drop tile, painted drywall, popcorn finish, sand textured concrete, etc. 1D, plus: Full blackout effect Headboard and mattress are of modestly enhanced material and design (quilted, soft top); Box spring or bed base Bed coverings are quilted or modestly enhancedin style; Bed linens are of average (180 -250) thread count, closely woven and smooth to touch; Pillows are of an enhanced grade (thick Cluster Fiber) —19— Predominant use of decorative enhancements to painted drywall, such as: an advanced textured finish (knockdown, orange peel, comb, slap brush, etc.) or select grade wood /stone 213, plus: Two design enhancements, such as: blinds, shutters, sheers, fabric side panels, valance, glass treatment, cornice, etc., provides a professional design effect 2D, plus: Decorative headboard 213, plus: Two accent features, such as: comforter, duvet, dust ruffles, bed throw /scarf, multiple pillows, accent pillows/ shams or triple sheeting 55E -28 3D us: One architectural or design feature, such as: treys, beams, medallions, vaulted /volume, murals /stencils, tin tiles or skylights, ceiling fans, special effect lighting, etc. 3D, plus: Three or more design enhancements Upscale headboard, bed base and mattress which includes a comfort enhancement, such as: pillow top, memory foam padding, adjustable comfort level, etc. Bed coverings include three or more accent features (see 3D); Bed linens are of increased thread count (>250), tightly woven, crisp, and very soft to the touch; Pillows are of an upscale grade, such as: down or feather 413, plus: Multiple architectural or design features 4D, plus: Elaborate, luxurious, and unique visual effect 4D, plus: Elaborate, luxurious, and unique visual appeal 4D, plus: 300 thread count bed linens (Egyptian cotton, satin, silk or similar) provide a super soft, silk -like feel; Choice of pillow fills, such as: silk, wool, cashmere, premium foams, latex or goose down, etc., is provided Open wall - mounted clothes rack with simple wire or non - detachable hangers Open clothes storage space Two or more well - positioned basic lighting fixtures; Provide an adequate level of overall illumination Predominantly basic materials, such as: particle board, pressboard, laminate, or vinyl finishes; Dated styles with limited coordination; Provides an adequate level of comfort GUESTROOM Semi - enclosed area with detachable wood, plastic, or heavy metal hangers Multiple enclosed drawers; Total storage space can accommodate the needs of two or more guests Three or more lighting fixtures; Modestly enhanced in style, positioning, and function; Provide a good level of overall illumination 1D. plus: An increased level of coordination; Modest enhancements in materials, design, and function; Provides an enhanced level of comfort Fully- enclosed with at least six open -hook wood or heavy gauge, sculptured plastic matching hangers; Some with skirt or pant hanging attachments; Closet depth is 22 inches ( at minimum) and can enclose full length apparel 213, plus: Sufficient space for one piece of luggage, such as: folding metal rack, bench, or credenza top Four or more well - positioned lighting fixtures; Decorative and well- coordinated for form and function; Provide a good level of overall illumination at each location Predominantly freestanding; Decorative and well-coordinated for form and function; Overall construction and design reflects current industry trends, such as: Melamine resins, solid wood trim, or upgraded laminate finishes; Provides an obvious degree of comfort —20- 55E-29 313, plus: At least eight hangers 3D, plus: Sufficient space for two pieces of luggage (upgraded wooden racks or designer -style benches); Total storage space can accommodate the needs of three or more guests 3D. plus: Predominantly freestanding fixtures of upscale design; Provide an excellent level of overall illumination 3D, plus: Modern or antique upscale style and materials, such as: solid wood, polished metals, leather, designer fabric, veneer finishes with solid wood accents, laminate insets, etc.; Provides an exceptional degree of 4D, plus: At least ten hangers (two of which are satin or similar); One or more designer features, such as: drawers, shelves, shoe rack, walk -in capability, etc.; Closet is illuminated 413. plus: Total storage space can accommodate the needs of four or more guests 413, plus: Custom lighting fixtures of outstanding quality; Custom function(s), such as: dimmers, point lighting, multiple switches, and /or natural light sources; Provide a unique illumination effect 413, plus: Luxurious, unique, and elegant custom design and workmanship One chair (typically placed as part of a duplex, triplex, or task table) Duplex, triplex, or small task table that provides adequate work space (e.g., enough space for a laptop computer and an 8x10 Inch reference material item) Heat and /or air conditioning available on a seasonal basis as needed; Window style air - conditioning units Touch -tone telephone GUESTROOM 113, plus: Additional seating for one guest; Vinyl or fabric upholstery Desk or medium task table that provides good work space (e.g., enough space for a laptop computer and two 8x10 inch reference material items) 1D, plus: Conveniently located through - wall units 1D. plus: Message light on telephone —21— Comfortable seating for two guests - to include desk chair with arms and partial upholstery, such as: vinyl, leather, or fabric; Plus one additional fully upholstered easy /lounge chair that is positioned for television viewing Desk or large task table that provides very good work space (e.g., enough space for a laptop computer and three 8x10 inch reference material items); One electrical outlet (not in use) conveniently placed at the desk 213, plus: Heat and air conditioning available on demand; Modern, quiet, with easily accessible controls in each guestroom 213, plus: Voice messaging 55E -30 313, plus: Comfortable seating for three guests; Upscale materials and design in an expanded setting, such as: a loveseat, sofa, or oversized chair with ottoman Large desk that provides ample work space (e.g., enough space for a laptop computer, three 8x10 inch reference material items, and a portable printer); Multiple electrical outlets (not in use) conveniently placed at the desk Heat and air conditioning available on demand; Central system with thermostat control 3D. plus: Multiple telephones; Two - line telephone or separate Internet capability 4D, plus: Luxurious materials and design; Additional furniture pieces, such as: end tables, coffee or occasional tables 413, Plus: Desktop enhancements, such as: desk blotter, pull -out writing surface, stationery, and other office supplies 4D, plus: Digital thermostat control D us: Cordless telephone; Expanded phone features, such as: pre - programmed dialing keys, speaker capability, personalized display or voicemail Dial -up capability Standard CRT TV (curved screen); Wall- mounted; Limited viewing angles; Basic cable Clock GUESTROOM High -speed access (cable or wireless) available in some rooms ID, olus: Standard CRT TV (curved screen) with remote control; Located on credenza, dresser, or other furniture piece without a swivel base; Limited viewing angles; Channel directory Standard clock radio High -speed cable access available in all rooms 2D, plus: z 25 inch screens with portable full function remote control; With swivel /pull -out base; Multiple viewing angles; Multiple televisions in suites; Expanded Cable channel selection (at least 35 channels); Plus one additional feature, such as: free movie channel, pay - per -view movie channels, video games, etc. 2D. olus: Decorative design _22_ 55E -31 High -speed wireless access available in all rooms 3D : t 2S inch Flat Screen CRT or Flat Panel TV (such as: LCD, Plasma, SED, etc.); Located on credenza, dresser, or on /in other furniture piece with a swivel /pull -out base or wall mounted; Cables and cords are hidden from view 3D, olus: Digital display DVD player (in lieu of pay -per- view movies) 4D s: Available in some public areas of the property 4D, plus: Custom, decorative enhancement (e.g., framing, mantle placement, remote enclosure, mirrored screen, etc.); High - definition channels available 4D, plus: CD player with at least one CD selection; MP3 docking station; Surround sound audio DVD Player; DVD library available Local telephone directory Basic ice bucket (polystyrene foam, plastic, cardboard, etc.) with disposable cups GUESTROOM 1D. plus: Local Business flyers (food, attractions, transportation, etc.); Notepad and pencil Plastic ice bucket with lid and disposable cups Iron & board available Full- length mirror —23— 2D, Plus: Guest - service directory; Complimentary daily newspaper available; Notepad and pen Insulated plastic ice bucket with lid and disposable cups Full -size iron and board Refrigerator available Microwave oven available Extra pillows and blankets available In -room safe Coffee maker and supplies, including tea bags Framed or beveled full - length mirror 55E -32 3D, plus: Enhanced guest - service directory in folder, binder, or digital format; Complimentary daily newspaper delivered to room; Additional reading materials, such as: magazines, books, etc.; Upgraded stationery package (envelopes, postcards, writing paper) Ice bucket with lid of upscale design, such as: insulated and padded vinyl, acrylic or metal; Glass tumblers 3D, plus: In -room snacks, mini bar, or a refrigerator that can be custom stocked upon request In -room safe that is large enough fora standard 12" laptop computer 4D, plus: Uniquely appointed guest- service directory in folder, binder or digital format; In -room comfort menu providing exercise, spa, butler, or other personalized services; Assortment of complimentary daily newspapers available for delivery to room Ice bucket of luxurious design, such as: designer glass, silver, brushed or glossy metal finish, rings or handles, etc.; Selection of glassware; Ice tongs 4D, plus: Two robes; Two pairs of slippers Umbrella In -room comfort menu providing exercise, spa, butler, or other personalized services Diamond afro Guidelines - Bathroom Obviously restricted by size and /or placement of appointments; however, provides guest an adequate level of comfort Basic material, such as: linoleum, painted concrete, plain resin, or poured composite surface BATHROOM Modest restrictions due to size and /or placement of appointments Vinyl or ceramic tile No restrictions, as placement of appointments is well - proportioned to room size Decorative tile (ceramic, stone, concrete, terra cotta, etc.) —24- 55E-33 Room size and placement of appointments provide an obvious degree of spaciousness, allowing increased ease of movement for multiple guests Marble, granite, or other upscale stone floors; Area rug(s) as appropriate Room size and placement of appointments provide a free flowing abundance of space that contributes to the ultimate level of comfort and relaxation for multiple guests 4D us: Custom inlays or textured enhancements provide an overall design that is obviously elegant and unique Basic material and design, such as: cinder block with a plain paint finish, standard grade wood, prefab modular laminate paneling, dated ceramic tile or wallpaper Basic material and design, such as: drop tile, concrete, or standard grade wood BATHROOM Wall treatments are modestly enhanced, such as: drywall with basic paint finish or plain vinyl coverings; Rubber, vinyl, or ceramic tile baseboards Modest enhancements to material and design, such as: enhanced drop tile, painted drywall, popcorn finish, sand textured concrete, etc. —25— Decorative wall treatments, such as: drywall with textured and painted finish, decorative vinyl coverings, or select grade wood /stone; Wood or decorative ceramic tile baseboards Predominant use of decorative enhancements to painted drywall, such as: an advanced textured finish (knockdown, orange peel, comb, slap brush, etc.) or select grade wood /stone 55E -34 3D us: At least one significant upscale design enhancement, such as: accent wall(s), furniture - finish wood paneling, soft wall coverings, ceiling trim, architectural feature, wainscot, etc.; Wood or high - end stone baseboards Matted and framed artwork or other appointments that provide a distinctive or thematic upscale appeal 3D. plus: One architectural or design feature, such as: treys, beams, moldings, medallions, raised /vaulted/ volume, murals /stencils, tin or skylights, ceiling fans, special effect lighting, etc. 4D us: Wall finishes are of the highest grade materials; Accented with multiple luxurious design enhancements 4D. olus: Variety of styles and accent pieces, such as: limited edition prints, canvas art, tapestries, or lithographs with enhanced matting and preservation frames, assorted artisan pieces or sculptures, floral displays or plants 4D, plus: Multiple architectural or design features Basic rectangular style, size (41/2 ft, length and 14 in. depth) and materials (fiberglass, acrylic, or porcelain on steel); Simple design (straight sided) If separate from tub (or shower only), base is of basic material (metal or fiberglass) and of plain design Basic square size (59 sq. ft.) BATHROOM 1D, plus: Modest design enhancement 1D. olus: If separate from tub (or shower only), base is of enhanced material (acrylic or ceramic tile) Modest enhancement to design -or- irregular shape (rectangular, rounded corner or neo angle) Fiberglass or metal Acrylic or ceramic file 2D us: Decoratively enhanced in design, or augmented for comfort or function If separate from tub (or shower only), base is decorative ceramic tile, cultured marble /granite, or poured acrylic Very good size ( >9 sq. ft.) Acrylic with enhancements for comfort, style, or function -or- decorative ceramic tile or other solid surface, such as: cultured marble /granite, poured acrylic, etc.) Lightweight vinyl Heavyweight vinyl Decorative vinyl, curtain curtain or plexi- polyester, or nylon glass door with curtains with aluminum frame curved shower rod; -or- lightweight glass door with aluminum frame; -or- effective door -less design -26- 55E-35 Enhancements to size ( >41/2 ft. length and >14 in. depth), design, and /or style, such as: oval, round, or free form If separate from tub (or shower only), base is of upscale material, such as: marble, granite, stone, or porcelain tiles. Oversized ( >12 sq. ft.) Marble, granite, stone, or porcelain tiles; Enhanced solid surface; Tub and shower height soap dishes 313, plus: Double curtains -or- heavyweight glass door with /without metal frame 413, plus: Obvious enhancements in comfort, design, function, and /or material, such as: larger, two person capability, contoured backs, built -in lumbar back support, water jets, enamel- coated cast iron, natural marble, stone, or other designer features 4D : Separate shower stall in addition to the tub; base is of outstanding material and artistic design, such as: marble, granite, stone, or porcelain tiles with complementary inlays or treatments 4D. plus: Luxurious material and artistic design, such as: marble, granite, stone, or porcelain tiles with complementary inlays or treatments; Seating is integrated into design 4D, plus: Fixed door enclosure (framed or frameless); Enhanced (etched, frosted, embossed, tinted, etc.) glass BATHROOM Traditional, single Multiple setting function shower shower head head Two - piece, ID, plus: round; Basic style I Enhanced style Combined with toilet area within an enclosed space that is restricted by size and /or placement of appointments Wall- mounted, basic style, porcelain 113, plus: Modest restrictions due to size and /or placement of appointments YI3 If vanity area is separate from the toilet area, it is positioned in plain view of the guestroom Standard self - rimming porcelain or porcelain on steel _27_ Multiple setting shower head with metal finish Two - piece, elongated; Basic style 2D, Plus: No restrictions, as placement of appointments are well - proportioned to room size OR If vanity area is separate from the toilet area, it is positioned in restricted view from the rest of the guestroom Seamless (Poured acrylic or cultured marble /granite/ quartz) -or- Under- mounted porcelain or porcelain on steel 55E -36 Enhanced style, of modern design, fixed shower head 3D. Plus: Enhanced style or function 3D, Plus: Vanity is well - integrated into the overall scheme of the bathroom for convenience and comfort; Room size and placement of appointments provide an obvious degree of spaciousness, allowing increased ease of movement for multiple guests Porcelain or porcelain on steel, with an upscale counter enhancement, such as: wall faucets or upscale counter - mounted faucets Custom water features, such as: body jets, hand- held sprayers, multiple shower heads, rain showers, or gentle flow environmentally friendly features 4D, plus: Distinct toilet -only area; Enclosed or semi - enclosed 413, plus: Room size and placement of appointments provide a free flowing abundance of space that contributes to the ultimate level of comfort and relaxation for multiple guests 4D us: Multiple sinks of ornate design, such as: above counter vessel or pedestal -or- of designer materials, such as: glass, stainless steel, vitreous china, enameled cast iron, flreclay, brass, nickel, copper, marble, or either real /synthetic stone Small size ( <2 sq. ft.) shelf of basic material, such as: glass, metal, or sheet laminate Small (lye ft. x 2 ft.) mirror Basic design and function, such as: bulb and cover; Provide an adequate level of overall illumination Standard function; Basic materials of plain design Basic, lightweight; Rough to touch; Limp feel; Low absorbency; Displayed on caddies BATHROOM Moderate size (? 2 sq. ft.) laminate counter Medium -sized ( >3 sq. ft.) mirror Very good size (?4 sq. ft.) counter space of solid surface, such as: poured acrylic, cultured marble/ granite /quartz, or ceramic tile 213 Plus: Beveled or decoratively framed mirror Skirting partially Enhanced skirting conceals plumbing conceals plumbing Modest design enhancements, such as: box /egg crate style or enhanced glass cover; Provide a good level of overall illumination 1D, Plus: Modest design enhancements 1D. plus: Modest enhancements in design; Displayed on bars and /or shelves Decorative, well - coordinated for form and function; Multiple bulbs and covers provide a good level of overall illumination 2D, plus: Metal with decorative finishes such as: chrome, pewter, brass, nickel, gold, etc. Medium weight; Soft to touch; Medium absorbency _28_ 55E -37 Oversized (2 6 sq. ft.) counter space of excellent quality, such as: marble, granite, or other solid stone Large (3 ft, x 5 ft.) mirror with an upscale frame Upscale, furniture - finished skirting 3D. plus: Upscale design; Multiple locations; illuminated shower; Provide an excellent level of overall illumination at each location Upscale design enhancements, such as: satin or enamel finishes, two or more metal combinations, embossing, etc. Heavyweight; Plush to touch; Firm, self - supporting feel; Premium cotton with high absorbency 4D, plus: Multiple counters and /or shelves; Artistic design, such as: marble, granite, solid stone, or porcelain tiles with complementary inlays or treatments 4D, plus: Artistic design enhancement 4D, olus: Elaborate design features, cabinetry, multiple shelving, and /or drawers 4D. plus: Designer fixtures; Custom function(s), such as: dimmers, point lighting, multiple switches, and /or natural light sources; Provide a unique illumination effect 4D. plus: Designer materials and style; Unique appointments 4D. Plus: Generous sized towels or bath sheets; Luxurious appearance, with intricate and detailed enhancements to design Two small (< 3/4 oz.) bars of soap (or equivalent) Facial tissues BATHROOM Two medium (? 3/4 oz.) bars of soap (or equivalent); one packet or bottled item; modest presentation 1D, Plus: Wall- mounted with chrome covers —29— Four -piece personal care package, includes: one large (? 11/4 oz.) and one medium (?' /4oz.) bars of soap (or equivalent); two (? 3 /4oz.) bottled items; Decorative presentation; Additional amenities (such as: toothpaste/ brush, comb, sewing kit, mouthwash, etc.) are available onsite Facial tissues inset in vanity (no chrome) Wall- mounted hair dryer Plight -light 55E -38 313, Plus: Seven -piece personal care package; Toiletries are enhanced by fragrance, natural supplement, packaging, etc.; Includes: two large ( >— 1'/4 oz.) bars of soap (or equivalent), three (? 1 oz.) bottled items, and two additional items; Upscale presentation; Freestanding soap dish at sink Facial tissues freestanding in decorative container Freestanding hair dryer; Makeup mirror 313, plus: Landline or cordless telephone available 413, Plus: Ten -piece personal care package of designer /spa toiletries; Ample sized (? 1' /zoz.) bars of soap and bottled items (?:IIA oz.); Unique presentation 4D, Plus: Custom designed container 4D, Plus: Illuminated makeup mirror; Scale; vanity seating D s: Television 'The AAA Four Five Diamond Rating These prestigious ratings are achieved by less than four percent of all Approved properties— typically the most luxurious and pampering properties throughout North America. Less than one third of one percent of lodgings receives the Five Diamonds Rating while approximately three and one half percent receives the Four Diamond® Rating. Establishments must consistently reflect upscale and extraordinary characteristics (respectively) in both physical attributes and level of guest services. If the AAA inspector determines that your establishment meets our Four or Five Diamond Guidelines, the property will next be scheduled for an anonymous hospitality evaluation. Only the Four and Five Diamond evaluations incorporate a review of twelve critical service areas and measure over 300 guest interaction points into the overall rating. In addition, all Five Diamond Rating recommendations are forwarded to AAA's Five Diamond Committee for further review. Once the committee's assessment is concluded, the establishment will be advised in writing of the outcome. Four and Five Diamond Service Expectations IN ADDITION TO THE FOLLOWING GUEST SERVICE INTERACTION POINTS, each section is assessed a subjective point value based on the overall levels of competency, refinement, and hospitality. 1. Reservation Services 4D • Accepted 24 hours, either at property or through a central reservation system • Operator answers phone promptly within three rings • Operator provides a warm and sincere greeting • Reservationist thanks caller for contacting the property • Reservationist provides an introduction X Reservationist asks for caller's name Reservationist addresses caller by name prior to closing Reservationist anticipates caller's needs or offers a personalized recommendation • Reservationist provides rate structure and room availability • Reservationist provides an overview of facilities and services Reservationist exhibits competent knowledge of all associated facilities and hours of operation • Reservationist collects registration information • Reservationist explains deposit and cancellation policies • Reservationist explains unusual payment options • Reservationist reviews reservation request Reservationist exhibits a sincere desire and compliance to all guest requests • Reservationist provides confirmation number or contact's name Reservationist is efficient yet unhurried and sensitive to the manner of the guest • Reservationist provides a warm and sincere thank you to guest for calling Operator addresses guest by name during closing • The guest feels well served Property offers follow -up reservation confirmation to guest in advance of arrival –30- 55E-39 2. Arrival Services 3. 4D Cars in queue are acknowledged and directed as appropriate upon a • Uniformed attendant promptly opens the car door • Attendant provides a warm and sincere welcome greeting • Attendant makes a proper introduction • Attendant inquires about the guest's name Attendant uses guest's name at least once prior to closing • Attendant explains parking procedure Valet parking is automatic • Attendant promptly unloads luggage • Attendant explains luggage handling procedure • Attendant provides direction to registration area Attendant anticipates guest's needs or offers a personalized recommendation Attendant is efficient yet unhurried and sensitive to the manner of the guest Attendant exhibits a sincere desire and compliance to all guest requests Attendant escorts guest to appropriate area X Attendant provides a warm and sincere closing KI name during closing )bby greeters are available to escort guest to appropriate area Check In Services 4D • Attendant provides a warm and sincere greeting; recognizes guest a • Attendant inquires about guest's name Attendant addresses guest by name during initial greeting without it Attendant uses guest's name at least once prior to closing Staff associate acknowledges (with a warm and welcoming greeting; • Registered guests are not asked for duplicate information • Attendant confirms rate and type of room • Attendant provides room number discreetly Attendant places all registration materials into the guest's hand Attendant exhibits a sincere desire and compliance to all guest requ, Attendant anticipates guest's needs or offers a personalized recomrr, Attendant is efficient yet unhurried and sensitive to the manner of tl • Attendant arranges escort of guest and belongings to room Attendant provides introduction to escort • Attendant provides a warm and sincere closing Attendant addresses guest by name during closing X The guest 31- 55E-40 ry guest 4. Bell Services (Check In) 40 • Escort provides a warm and sincere greeting Escort uses guest's name at least once prior to closing • Escort is able to provide information about facilities when asked Escort takes the initiative in providing information about all facilities Escort anticipates guest's needs or offers a personal recommendation Escort exhibits a sincere desire and compliance to all guest requests • Escort places luggage on luggage stand or in appropriate area • Escort explains features and functions of room S. Evening Housekeeping Services —32- 55E-41 1 6. Wake -Up Call Services 4D X Some type of service is available 24/7; Alarm clock or alternative method is used if there are no hones in room • Service number is answered within three rings • Operator provides a warm and sincere greeting Operator uses guest's name at least once prior to closing • Operator asks appropriate questions and replies in a professional manner Operator anticipates guest's needs or offers a personalized recommendation Operator is efficient yet unhurried and sensitive to the manner of the guest • Operator provides a warm and sincere closing Operator addresses guest by name during closing • Call is received within five minutes of requested time • Call is an automated message Call is a live message • Message includes a warm and sincere greeting Message includes the use of guest's name Message includes time of call Message includes other pertinent information, such as weather Operator anticipates guest's needs or offers a personalized recommendation Operator is efficient yet unhurried and sensitive to the manner of the guest Operator provides a warm and sincere closing Operator addresses guest by name during closing • The guest feels well served There is additional evidence of personalized services ]A. Room Service (Order Services) 4D X X Service number is answered within three rings • Operator provides a warm and sincere greeting Operator uses guest's name at least once prior to closing Operator exhibits a sincere desire and compliance to all guest requests Operator anticipates guest's needs or offers a personalized recommendatior • Operator asks appropriate questions and replies in a professional manner • Operator repeats order to guest Operator is efficient yet unhurried and sensitive to the manner of the guest • Operator provides time estimate for delivery(within 30 minutes) • Operator provides a warm and sincere closing Operator addresses guest by name during closing • Operator calls to advise guest if order will be late or if items ordered are no —33- 55E-42 r express services are ava 7B. Room Service (Delivery Services) 4D X Delivered within five minutes of time promised • Morning newspaper is presented with breakfast • Attendant provides a warm and sincere greeting Attendant uses guest's name at least once prior to closing Attendant exhibits a sincere desire and compliance to all guest requests Attendant anticipates guest's needs or provides a personalized recommendation • Attendant provides a suggestion as to tray /table placement Attendant is conversant during set -up and delivery • Attendant reviews guest order • Attendant prepares table set up and removes food covers, with guest permission • Food presentation and quality of ingredients reflects an upscale experience • All appropriate dishware and linens are of an upscale quality • All food is served at the proper temperature (hot food hot and cold food cold) • All food is prepared as ordered There is additional evidence of personalized services • Attendant offers to pour beverage • Attendant provides written or verbal direction for table /tray removal Attendant is efficient yet unhurried and sensitive to the manner of the guest • Attendant provides a warm and sincere closing Attendant addresses guest by name during closing • The guest feels well served X Prompt (within 15 minutes) removal of trays /tables, upon request 8. Bell Services (Check Out) a 4D X Service number is answered within three rings X Operator provides a warm and sincere greeting Operator uses guest's name at least once prior to closing Operator exhibits a sincere desire and compliance to all guest requests Uperator anticipates guest's needs or otters a personalized recommendatei • Operator offers to retrieve car or arrange other transportation Operator is efficient yet unhurried and sensitive to the manner of the guest • Operator provides a warm and sincere closing Operator addresses guest by name during closing • The guest feels well served • Bell staff arrives promptly; If not within five minutes, guest is notified of de • Bell staff provides a warm and sincere greeting —34- 55E-43 9. d �I Oil X 0 a KI tb IN R X Bell staff uses guest's name at least once prior to Bell staff exhibits a sincere desire and compliance Bell staff anticipates guest's needs or offers a per Bell staff inquires about guest's stay Bell staff is appropriately conversant with guest h Bell staff is efficient yet unhurried and sensitive ti Bell staff provides a warm and sincere closing Bell staff addresses guest by name during closing The guest feels well served to all guest )roviding assistance manner of the guest Check Out Services Express check out services are available Attendant provides a warm and sincere Attendant addresses guest by name du Staff associate acknowledges guests (w Attendant inquires about guest stay Attendant exhibits a sincere desire and Attendant provides a copy of bill for rev feting; recognizes guest appropriately initial greeting, and as appropriate thereafter a warm and welcoming greeting) guests waiting in line npliance to all guest requests in quest's hand Attendant places check out folio into the guest's hand Attendant expresses a warm and sincere thank you for staying at the property Attendant sincerely encourages guest to return Attendant anticipates guest's needs or offers a personalized recommendation Attendant is efficient yet unhurried and sensitive to the manner of the guest Attendant provides a warm and sincere closing Attendant addresses guest by name during closing The guest feels well served Departure Services Guest's vehicle is waiting or comfortable accommodations are p Guest does not wait more than five minutes for pre- arranged tr Attendant provides a warm and sincere greeting Attendant uses guest's name at least once prior to closing Attendant anticipates guest's needs or offers a personalized rec Attendant is conversant pertaining to the guest's stay Attendant reviews all of guest's belongings and their placement Attendant opens and closes door for guest(s) Attendant is efficient yet unhurried and sensitive to the manner Attendant provides a warm and sincere closing Attendant addresses guest by name during closing The guest feels well served —35- 55E-44 11. Concierge Services 413 • Concierge is on duty with limited hours of availability Concierge is on duty, or a "special services" number is available for guests, 24/7 • Attendant provides a warm and sincere greeting Attendant uses guest's name at least once prior to closing Attendant exhibits a sincere desire and compliance to all guest requests Attendant anticipates guest's needs or offers a personalized recommendation X j Attendant demonstrates a general knowledge of area attractions and services IUAttendant demonstrates an extensive knowledge of area attractions and services Attendant fulfills guest's special request(s) Attendant is efficient yet unhurried and sensitive to the manner of the guest Attendant provides a warm and sincere closing Attendant addresses guest by name during closing Th e guest feels well served Miscellaneous Staff Services 4D All associates exhibit a professional vocabulary that is devoid of common slang Guests are graciously escorted to areas when directions are requested All associates consistently maintain eye contact with guests There is evidence that all associates are empowered by management to resolve guest issues immediately • All staff associates fulfill guest's special request(s) All phone calls are answered promptly within three rings • All associates are appropriately attired; name tags are clearly visible • All associates demonstrate appropriate behavior • All associates demonstrate appropriate hygiene Short - notice pressing is available Shoe shine service is available • Accurate pre - programmed phones • Miscellaneous charges are billed directly to the guest room Butler services are available for all rooms • At least one food and beverage outlet is comparable to a Three Diamond rating At least one food and beverage outlet is comparable to a Four Diamond rating At least one food and beverage outlet is comparable to a Five Diamond rating —36- 55E-45 The Listing ONCE A PROPERTY IS APPROVED, AAA PUBLISHING ESTABLISHES THE CONTENT AND FORMAT OF EACH LISTING IN ALL OF OUR PUBLICATIONS. The listing is provided at no cost to the establishment and does not contain advertising or promotional verbiage provided by the operator. The listing copy describing the lodging is based in part on objective information provided by the establishment. This listing information is updated annually, and your establishment will be contacted either in person, by mail, or via the telephone. Failure to provide this information in a timely manner may result in the deletion of your establishment from our publications. Additionally, AAA's professionally trained inspectors enhance our inventory with descriptive prose for each establishment. This skilled degree of subjectivity enables us to capture the feel of an experience and pass along this valuable information to AAA members. Each Diamond Rated property has the opportunity to participate in the AAA Official Appointment Program, entitling the establishment to use the renowned AAA (CAA in Canada) emblem and Diamond Rating in its advertising and promotions. This program also entitles the establishment to an enhanced listing in AAA publications. Personalized display advertising in AAA publications is also available.. FYI Designation This designation means that a property has not been Diamond Rated by a AAA inspector, but is of notable significance and potential member value. The property is unrated due to one of the following reasons: • The property is too new to rate. • The property is under construction. • The property is undergoing extensive renovations. • The property has not been evaluated. • The property does not meet all Diamond Rating requirements. Lodging Classifications ALL DIAMOND RATED LODGINGS ARE CLASSIFIED USING KEY DESCRIPTIVE ELEMENTS. FIRST, ALL LODGINGS ARE CLASSIFIED BY STYLE OF OPERATION: Bed and Breakfast: Typically smaller scale properties emphasizing anigh degree of personal touches that provide guests an 'at home" feeling. Guest units tend to be individually decorated. Rooms may not include some modern amenities such as televisions and telephones, and may have a shared bathroom. Usually; owner- operated with a common room or parlor separate from the innkeeper's living . quarters, where guests and operators can interact during evening and breakfast hours. Evening office closures are normal. A continental or full, hot breakfast is served and is included in the room rate. —37- 55E-47 Cabin: Vacation- oriented, typically smaller scale, freestanding units of simple construction— roughly finished logs or stone —and basic design or decor. Often located in wooded, rural, or waterfront locations, As a rule, basic cleaning supplies, kitchen utensils, and complete bed and bath linens are supplied. The guest registration area may be located off site. Condominium: Vacation- oriented — commonly for extended -stay purposes— apartment -style accommodations of varying design or decor. Routinely available for rent through a management company, units often contain one or more bedrooms, a living room, full kitchen, and an eating area. Studio -type models combine the sleeping and living areas into one room. As a rule, basic cleaning supplies, kitchen utensils, and complete bed and bath linens are supplied. The guest registration area may be located off site. Cottage: Vacation - oriented, typically smaller scale, freestanding units with home style enhancements in architectural design and interior decor. Often located in wooded, rural, or waterfront locations. Units may vary in design and decor. As a rule, basic cleaning supplies, kitchen utensils, and complete bed and bath linens are supplied. The guest registration area may be located off site. Country Inn: Although similar in definition to a bed and breakfast, country inns are usually larger in scale with spacious public areas and offer a dining facility that serves —at a minimum— breakfast and dinner. Hotel: Commonly, a multistory establishment with interior room entrances offering a variety of guest unit styles. The magnitude of the public areas is determined by the overall theme, location and service level, but may include a variety of facilities such as a restaurant, shops, fitness center, spa, business center, and /or meeting rooms. Motel: Commonly, a one- or two -story establishment with exterior room entrances and drive up parking. Typically, guest units have one bedroom with a bathroom of similar decor and design. Public areas and facilities are often limited in size and /or availability. Ranch: Typically a working ranch with an obvious rustic, Western theme featuring equestrian - related activities and a variety of guest unit styles. Vacation Rental House: Vacation - oriented — commonly for extended -stay purposes — typically larger scale, freestanding, and of varying design or decor. Routinely available for rent through a management company, houses often contain two or more bedrooms, a living room, full kitchen, dining room, and multiple bathrooms, As a rule, basic cleaning supplies, kitchen utensils, and complete bed and bath linens are supplied. The guest registration area may be located off site. ESSECOND, A DETERMINATION IS MADE PERTAINING TO OVERALL CONCEPT — AND (IF APPLICABLE), A LODGING MAY BE FURTHER DEFINED AS: Boutique: Often thematic and typically an informal, yet highly personalized experience; may have a luxurious or quirky style which is fashionable or unique. Classic: Renowned and landmark properties, older than 50 years, well known for their unique style and ambiance. Casino: Extensive gambling facilities are available, such as: blackjack, craps, keno, and slot machines. Contemporary: Overall design and theme reflects characteristics of the present era's mainstream tastes and style, Extended Stay: Offers a predominance of long -term accommodations with a designated full- service kitchen area within each unit. Historic: These properties are typically over 75 years of age and exhibit many features of a historic nature with respect to architecture, design, furnishings, public record, or acclaim. Properties must meet one of the following criteria: • Maintained the integrity of the historical nature • Listed on the National Register of Historic Places • National Historic Landmark or located in a National Register Historic District —38— 55E -48 Resort: Recreation- oriented, geared to vacation travelers seeking a specific destination experience. Travel packages, meal plans, theme entertainment, and social and recreational programs are typically available. Recreational facilities are extensive and may include spa treatments, golf, tennis, skiing, fishing, or water sports. Larger resorts may offer a variety of guest accommodations. Retro: Overall design and theme reflects a contemporary design reinterpreting styles from a bygone era. Vacation Rental: Typically houses, condos, cottages or cabins; these properties are a "home away from home" offering more room and greater value for the money. In general, they provide the conveniences of home, such as full kitchens and washers /dryers. Located in resort or popular destination areas within close proximity to major points of interests, attractions, or recreation areas, these properties may require a pre- arranged reservation and check -in at an off -site location. Housekeeping services may be limited or not included. Vintage: Offers a window to the past and provides an experience reflecting a predominance of traits associated with the era of their origin. Accessibility Accessible Features: This property has some accessible features. It may be fully accessible, semi - accessible, or meet some of the needs of hearing- impaired individuals. Accessibility is not a requirement for listing and will not affect your Diamond Rating. However, we strongly encourage you to make every effort to meet the needs of all your guests - including the mature traveler and those with disabilities. Member Comment Procedures AAA CLOSELY MONITORS THE NUMBER AND TYPE OF COMMENTS WE RECEIVE FROM MEMBERS REGARDING ALL APPROVED PROPERTIES, When members write to us expressing dissatisfaction with a particular lodging, it is tracked through the AAA National Office Member Relations department. All complaints are carefully reviewed for validity. The establishment is then notified of each complaint so they have an opportunity to respond and resolve the matter within a reasonable period of time. Even though a complaint may be satisfactorily resolved, the complaint becomes a permanent part of the establishment's record. If a member complaint is determined to be of an extreme nature, an establishment may be disapproved immediately and without warning. This action is at AAA's sole discretion. If a property has been disapproved for excessive member complaints, a written request for a reevaluation may be submitted, accompanied by an explanation of the actions taken to limit future complaints. Note: Such properties may not reapply until one year has passed from the date of disapproval. All requests may be addressed to: AAA Tourism Information Development 1000 AAA Drive Mail Stop 51 Heathrow, FL 32746 -5063 -39- 55E-49 The AAA Appeals r s THE APPEALS PROCESS WAS ESTABLISHED AS A RESOURCE FOR ALL RESTAURANTS, LODGINGS, CAMPGROUNDS, AND ATTRACTIONS EVALUATED BY AAA. What can I appeal? Our relationships with lodging establishments are very important to us and, therefore, each situation is handled on an individual basis via the following steps: How do I file an appeal? First, contact the AAA Customer Service Center, Monday through Friday, from 8:30am to 5:15pm (Eastern Time) at 407 - 444 -8370. In many cases, our analysts will be able to answer your concern immediately. If resolution is not obtained, your call will be directed to the AAA Regional Manager for your area If an issue remains unresolved after the above steps, an establishment is asked to state its concerns in writing for review by the AAA Appeals Committee. All appeals entertained by the committee must be in writing from the establishment only. In order to expedite this process, appeals should outline the specific concerns in a succinct manner. Each appeal is thoroughly researched and given thoughtful consideration and a substantive reply. All appeals should be sent to the attention of: AAA Appeals. Committee 1000 AAA Drive Mail Stop 51 Heathrow, FL 32746 -5063 Please note: The committee's decision on your appeal will be considered as AAA's final decision. You will be notified by mail as to the status of your appeal within 45 days of receipt of your written statement. Green r r AAA SUPPORTS ENVIRONMENTAL MANAGEMENT AND SUSTAINABILITY THROUGHOUT THE LODGING INDUSTRY TO THE EXTENT THAT TRULY EFFECTIVE PROGRAMS MAINTAIN QUALITY STANDARDS OF GUEST COMFORT. We strongly encourage continued use of programs that offer guests choices without consequences for noncompliance. Effective green programs are intended to reduce waste without reducing guest comfort. —40— 55E -50 Addresses and Phone Numbers If you have additional questions... ► Please call AAA at: (407) 444 -8370 Evaluation Applications, Operations, Rating and Listing Information (407) 444 -8280 Display Advertising & Official Appointments ► Visit us at www.AAA.biz /Approved ► Or, write to us at: AAA Tourism Information Development Mail Stop 51 1000 AAA Drive Heathrow, FL 32746 -5063 Establishments located in Southern California should contact the following AAA club: Automobile Club of Southern California P.O. Box 25001 `Santa Ana, CA 92799 -5001 (714) 885- 2247, option #2 Evaluations, Ratings, and Official Appointments (714) 885 -2410 TourBook Advertising -41- 55E-51 55E -52 ROI-I: 06/07/16 RESOLUTION NO. 2016- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA TO ESTABLISH A HOTEL DEVELOPMENT INCENTIVE PROGRAM BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: Santa Ana's proximity to the Anaheim resort district, the John Wayne Airport, and local amenities such as the Discovery Science Cube and the Bowers Museum makes it a desirable location to attract incoming tourists and visitors to Orange County. According to a study by PKF Hospitality Research consultant, the average occupancy rate for Orange County hotels is 78.3% and is indicative that additional capacity exists for the development of new hotels in this area. Santa Ana will need to strategically position itself to accommodate new hotel development. By doing so, Santa Ana will have the potential to create new jobs, spur economic development, and enhance the City's revenue base. Currently, the City of Santa Ana does not have any four - star rated or AAA four Diamond and above hotels.. However, nine three - star rated hotels reside within City limits. All other hotels and motels within the City are rated from one to two - stars. A uniform rating system for star quality hotels in the United States does not exist. Several websites and travel guides use the star rating when ranking hotels. AAA has an Independent rating system that many hotels have been rated by. The City recommends the use of both star and AAA diamond ratings for this incentive program. The City currently imposes an 11% Hotel Visitors Tax (HVT) on hotel and motel guests. The purpose of this tax is to recover costs of governmental services associated with nonresidents of the City. Since fiscal year 2011- 12, the City has experienced a 29 percent increase in HVT revenues and are projected to exceed $9 million by year end 2015 -16. 4. To spur the development of high quality hotels (four to five star rated or AAA Four Diamond or above), the City is recommending an economic incentive to close the funding gap in a proposed high quality hotel development. A feasibility analysis would be completed for the project, whereby a projection of operating performance is combined with project Exhibit 2 Resolution No. 2016- 55E -53 development cost in order to determine the funding gap. A financial firm would be used for the feasibility analysis which would be funded by the developer. 5. The City would pay for the funding gap through the HVT incremental revenue over a period specified in each negotiated agreement. The City would use a percentage (50 percent) of new incremental HVT generated by the new development to fund the payments. Incremental HVT equals the amount of new HVT that the new hotel development generates from a baseline (Year 0). No upfront expenditures from the City would be required. Each hotel agreement will be brought forward to City Council for consideration. Section 2. Based upon the information provided herein and at the hearing on this matter, the City Council of the City of Santa Ana hereby establishes the Hotel Development Incentive Program as follows: 1. Definitions. For the provisions of this Resolution, the following definitions shall apply: a. Brand — the entity whose Flag is used to identify the Hotel. b. Executive Director — the Executive Director of the Community Development Agency for the City of Santa Ana, or his /her designee. c. Flag — the distinctive name of a Hotel that, by virtue of its distinctive name, is identified by specific physical and operational features so that guests are assured that they will receive a specified level of service and amenities wherever the property is located. d. Hotel — any building with rooms or suites intended for an uninterrupted stay of no more than twenty -eight consecutive calendar days by guests for compensation, which was not operational at the time of adoption of this Resolution, and provides physical features and operational services that meet or exceed, as determined by the Executive Director acting in his /her sole and absolute discretion, a four to five star rating or criteria established for AAA Four Diamond or above Hotels by the American Automobile Association. e. Hotel Development Incentive Program — the program set forth in this Resolution to encourage and incentivize the development, construction and operation of Hotels. Resolution No. 2016- 55E -54 Hotel Visitor's Tax (HVT) Rate — The current rate of HVT, as applicable from time to time. The HVT Rate shall apply for the calculation of any and all Incentive Payments. Incentive Payments — the payments made by the City to an Owner pursuant to an Operating Covenant Agreement and described in Section 4 hereof. Labor Peace Agreement — an enforceable agreement between a Hotel Owner or Operator and a labor organization, as defined by 29 U.S.C. §152(5), that represents, or seeks to represent, the Hotel's employees, both during construction and operation of the Hotel, and that contains provisions under which the labor organization for itself and its members agrees to refrain from engaging in any picketing, work stoppages, or any other economic interference with Hotel operations. Open(s)(ing)(ed) for Business or Opening — the day on which a Hotel opens for business to the general public. Operating Covenant Agreement(s) — the agreement(s) approved by the City Council described in Section 3 hereof. k. Operating Period — This will be negotiated in the Operating Covenant Agreement. Operator — franchisee, manager, lessee, or licensee with whom an Owner has a contract to operate the Hotel pursuant to a franchise, management, lease, or license arrangement. M. Owner -- the person or entity that is the owner of a Hotel or a site upon which a Hotel is to be constructed, whether in the capacity of fee simple owner, lessee, sub- lessee, mortgagee in possession, licensee, franchisee, or any other capacity, or the assignee or designee of such Owner, n. Prevailing Wage Statutes — Labor Code Section 1770, et seq. o. Responsible Contractor— a construction contractor which pays all of its construction employees the prevailing wage in the area where the work is being performed; provides health insurance and a pension /retirement program for all construction employees; employs skilled and qualified journeyman, 60% of which have graduated from a California State approved joint labor /management apprenticeship program, and apprentices which are registered in a California State approved joint labor /management apprenticeship Resolution No. 2016- 55E -55 program; employs only journeyman and apprentices which have an OSHA 10 certification and have such other proper and current licenses and /or certifications required under state and local laws; which has not been found to have violated any of the laws, rules and regulations enforced by the California State Contractors License Board or the Department of Industrial Relations within the last five (5) years; and, which has agreed to a good faith effort to hire 30% of its workforce from, first, in the City of Santa Ana, if the Contractor has not attained this percentage from Santa Ana residents, then second, residents from Orange County. p. Site Control — being the Owner of a site on which a Hotel is proposed. q. Temporary Closure — a period of time, no longer than reasonably necessary for repairs, reconstruction or resolution of maintenance issues, but in no event longer than two hundred (200) days. 2. Participation in the Hotel Development Inventive Program. An Owner that wishes to participate in the Hotel Development Inventive Program must first submit the following to the Executive Director: a. Evidence of Site Control; b. Description of development team, including, the development entity, the architect(s), interior designer, landscape architect, and other professional disciplines related to the construction and operation of the Hotel for the purposes of confirming that the project will be a Hotel when Opened for Business; C. Conceptual operating plan and design of the Hotel for the purpose of confirming that the project will be a four to five star rated or AAA Four Diamond or above Hotel when Opened for Business; d. Evidence of interest by a Brand, Flag, and Operator in operating a Hotel within the City; and, e. Feasibility analysis completed for the project by a financial firm and funded by the Owner, whereby a projection of operating performance is combined with project development cost in order to determine the funding gap. The Executive Director shall determine, acting in his /her sole and absolute discretion, the sufficiency of the submittals. 3. Operating Covenant Agreement. If, based on the information provided Resolution No. 2016- 55E -56 pursuant to Section 2 above, the Executive Director is satisfied that the Owner is likely to Open and operate a Hotel, then the Executive Director may further decide in his /her discretion to negotiate an Operating Covenant Agreement with the Owner. Any Operating Covenant Agreement that may be negotiated by the Executive Director shall be subject to consideration by, and shall not be effective unless approved by, the City Council. In considering a proposed Operating Covenant Agreement, the City Council may approve, deny or modify such proposed agreement acting in its sole and absolute discretion, following compliance with all required and applicable laws, including, but not limited to, Government Code Section 53083 and the California Environmental Quality Act. Nothing herein creates an obligation on the part of the City to negotiate and /or approve an Operating Covenant Agreement. The Operating Covenant Agreement will contain, among other items that the Executive Director may impose, the following: a. A recordable covenant by the Owner to operate and maintain the Hotel as a four to five star rated or AAA Four Diamond or above Hotel for not less than the Operating Period. b. An obligation on the part of the City to make Incentive Payments contingent upon compliance by the Owner with the Operating Covenant Agreement. An obligation on the part of the Owner to award construction and inspection contracts to be performed on the project only to Responsible Contractors which will comply with the Prevailing Wage Statutes. An obligation on the part of the Owner to use good faith efforts to contract with local subcontractors, suppliers and other businesses. e. An obligation on the part of the Owner to ensure that all journeymen and apprentices comply with all State labor laws and that the workforce on site meet a specific ratio of apprenticeship program graduates and of OSHA certified workers, along with the presence of at least one site safety manager with OSHA 30 -hour certification. f. Indemnities by the Owner in favor of the City and related parties as to: I. the condition of the site; ii, litigation concerning entitlements and /or enforceability of the Operating Covenant Agreement; and iii. Prevailing Wage Statutes. g. Agreement, assumption of risk and waiver by the Owner that, if the Resolution No. 2016- 55E -57 Operating Covenant Agreement is approved by the City prior to consideration by the City of any land use, entering into the Operating Covenant Agreement does not commit the City to consider or undertake acts or activities requiring subsequent independent exercise of discretion, including, but not limited to, the approval of any development proposal, including a Hotel project, or land use approval governing the site where the Hotel is proposed. The Owner shall agree that the City retains discretion on potential future actions to approve, deny, modify, and consider alternatives to a proposed project, as well as to impose adequate mitigation measures as may be required by the California Environmental Quality Act. h. A covenant and agreement by the Owner for itself, its successors, assigns or designees, that during the term of the Operating Covenant Agreement the business and any of its employees shall not discriminate against any person on the basis of sex, marital status, race, color, religion, ancestry, national origin, physical handicap, sexual orientation, or domestic partnership status. L An acknowledgement by the parties that the only remedy for default is specific performance and that monetary damages are not available to the Owner for any City default. 4. Incentive Payments and Required Actions upon Completion of Hotel Further Terms to be Included in the Operating Covenant Agreement: a. Confirmation that the Hotel is Operating as a four to five star rated or AAA Four Diamond or above Hotel. Upon completion of a Hotel with respect to which an Operating Covenant Agreement has been entered into, the Owner shall provide to the City, at Owner's sole cost and expense, an independent third party audit, by an auditor approved by the City, confirming that the Hotel is operating or will operate as a four to five star rated or AAA Four Diamond or above Hotel. The City shall approve or reject the results of such audit acting in its reasonable discretion. b. Incentive Payments for Hotel. Upon the confirmation described in subsection a. of this section 4, the City shall pay Incentive Payments to an Owner of a Hotel, pursuant to an Operating Covenant Agreement, in an amount equal to fifty percent (50 %) of the HVT collected and remitted to the City during the Operating Period based on the HVT Rate with respect to such Hotel. C. Termination of Incentive Payments. Incentive Payments shall terminate, and the Operating Covenant Agreement shall so provide, upon the expiration of the applicable Operating Period, or at such Resolution No. 2016- 55E -58 time as the Hotel ceases to operate as a four to five star rated or AAA Four Diamond or above Hotel for reasons other than Temporary Closure; provided that the Incentive Payments shall terminate upon any closure unless the Owner notifies the City, in writing, of any Temporary Closure within ten (10) days of the initial occurrence of the onset of such condition or conditions that cause such a Temporary Closure, 5. Labor Peace Agreement. For each Hotel covered by this Hotel Development Incentive Program in which the City participates financially and has a proprietary interest, the City shall require that the Hotel Owner or Operator execute a Labor Peace Agreement with any labor union that represents or seeks to represent employees of the Hotel, both during construction and operation of the Hotel. The City shall be deemed to participate financially and have proprietary interest in the Hotel project where the City both owns the site on which the Hotel is proposed, and the City Council determines that the City: a. Through a lease of the real property that is owned by the City and used for the Hotel project, receives ongoing revenue, excluding government fees, tax revenue, or assessment revenue, or similar fees and revenues, except for tax revenue under the circumstances specified in paragraphs (b) and (c) of this subsection; b. Receives ongoing revenue from the Hotel to repay loans provided by the City to assist the Hotel, including, without limitation, incremental tax revenues generated by the Hotel; c. Receives ongoing revenue from the Hotel to pay debt service on bonds provided by the City to assist the Hotel, including, without limitation, incremental tax revenues generated by the Hotel; d. Has significant assets at risk because it has agreed to underwrite or guarantee the development of the Hotel or loans related to the Hotel; or e. Has a significant ongoing economic and non - regulatory interest at risk in the financial success of the Hotel that is likely to be adversely affected by labor- management conflict. When a Labor Peace Agreement is required, evidence shall be presented to the City that the Owner or Operator has entered into a Labor Peace Agreement with any labor union that represents or seeks to represent employees of the Hotel, both during construction and operation of the Hotel, meeting the requirements of this section, prior to entering into an Operating Covenant Agreement for a hotel project covered by this Section. Resolution No. 2016- 55E -59 6. No Pledge. Provisions for the making of Incentive Payments pursuant to the Operating Covenant Agreement shall not be deemed to constitute a pledge of any particular funds by the City, but instead an obligation contingent upon the operation of a Hotel. 7. Administrative Rules and Regulations. Consistent with the intent and goals of this Hotel Development Incentive Program, the Executive Director may adopt administrative rules and regulations for implementation and furtherance of the requirements of this program. Section 3. The City Council's decisions creating this Hotel Development Incentive Program are based upon the evidence submitted at the above said hearing, which includes, but is not limited to: the Request for Council Action dated November 3, 2015, and exhibits attached thereto; the Request for Council Action dated April 19, 2016, and exhibits attached thereto; and the public testimony, written and oral, all of which are incorporated herein by this reference. Section 4. The City Council hereby finds and determines that the establishment of the Hotel Development Incentive Program, by the adoption of this Resolution, is not subject to the California Environmental Quality Act of 1970, as amended (Public Resources Code Section 21000 at seq.), pursuant to Sections 15060(c)(2) and 15060(c)(3) of the State of California Guidelines for Implementation of the California Environmental Quality Act (California Code of Regulations, Title 14, Chapter 3), because it will not result in a direct or reasonably foreseeable physical change in the environment and is not a "project" as defined in Section 15378 of the California Code of Regulations, Section 5. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. Resolution No. 2016- 55E -60 ADOPTED this day of APPROVED AS TO FORM: Sonia R. Carvalho City Attorney By: Ryan O. Hodge Assistant City Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN NOT PRESENT: Councilmembers Councilmembers 2016. Miguel A. Pulido Mayor CERTIFICATE OF ATTESTATION AND ORIGINALITY 1, Maria D. Huizar, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2016- to be the original resolution adopted by the City Council of the City of Santa Ana on June 2016. Date: Clerk of the Council City of Santa Ana 55E -61 Resolution No, 2016- 55E -62