Outgoing AAHOA Chairman Hemant Patel reflects on his 2011-2012 term.

1. Retrospective
A Statesman Says Farewell
ALB sat down for an AAHOA Chairman Hemant
Patel on stage during the 2011
extensive interview AAHOA Annual Convention &
Trade Show in Las Vegas
with outgoing
AAHOA Chairman
Hemant Patel,
who highlighted
the association’s
successes during his
tenure and shared
his favorite memories
W
hen Hemant Patel became
an AAHOA Board member,
the association had between
3,000 and 4,000 members. Patel envi-
sioned the membership would even-
tually reach 7,000. When membership
surged past 9,000, Patel placed a tag
on his car that reads “AAHOA 9K.”
After more than a decade serving
on the AAHOA Board, Patel became
Chairman on June 18, 2011 during
the AAHOA Annual Convention &
Trade Show in Las Vegas, promis-
ing to harness the incredible power
of the members’ energy to benefit
all. During his tenure, membership
reached 11,000 and AAHOA has
grown into a force perhaps unimagi-
nable when Patel first joined.
“I can proudly say we hit the
record high for membership. So now
I need to get a tag that says ‘AAHOA
11K,’” he said. “Our membership
has grown. Our membership is more
involved. They see the value of the By Jonathan Springston, tion allies made frequent trips to
membership because we did things Washington, D.C. to meet with and
AAHOA Lodging Business
that are important for their pocket- lobby members of Congress on the
books.” association’s legislative priorities.
“We live and breathe politics September’s Annual Congressional
Political Advocacy whether we like it or not,” Patel said. Day was a huge success, with the as-
As Chairman, Patel placed a focus “Getting involved in politics is a sociation holding 91 meetings with
on fair franchising, banking issues, prudent job for a businessman. We members of Congress and their staff
especially foreclosures, and govern- have to be involved because every representing 29 states.
ment affairs. Always known for his decision that is made is going to af- Officers and several Board mem-
passion for politics, it is this latter fect our pocketbook.” bers met with officials from the FDIC
issue for which Patel may best be Officers, Board members, to discuss the detrimental impact
remembered. Ambassadors, and other associa- of loss-share agreements and with
26 AAHOA Lodging Business MAY 2012

2. Retrospective
House Majority Leader Eric Cantor
(R-Va.) to discuss small business
needs. At the end of 2011, Congress
passed a bill that calls on the FDIC to
study bank failures.
“We spent two hours [with the
FDIC] discussing how banks are
abusing the loss-share agreements.
It helps the bankers and the people
who are opportunistic about capital-
izing on a downfall,” Patel said.
“When a bank takes over a hotel,
that results in a loss of minimum
wage jobs. At one time, we employed
close to 1.3 million minimum wage
workers. Currently, we have around
700,000. So you can see the aftermath Hemant Patel (center) will soon
of the banking foreclosures and bad join the ranks of distinguished past
economy. These people serve our Chairmen, like Nash Patel (right)
day-to-day income.”
and tourism in the United States.
If there are concerns, you have
“We have to be involved and
active. If there are concerns, you
to bring it your congressman or
have to bring it your congressman or
congresswoman,” Patel said. “Let’s
not assume that an elected official
congresswoman. Let’s not assume that knows everything. We have to give
them what we know because we are
an elected official knows everything. the experts of the industry. We show
them the true picture. Someone who
has no experience running a hotel
has no idea how much cost is in-
AAHOA formed the Banking With the help of Rep. Bill Posey volved in just serving one breakfast.
Task Force Committee to formulate (R-Fla.) and Florida Ambassadors, Or just having four extra pillows in
strategies to combat foreclosures AAHOA managed to gain serious the room.”
and other financial issues. Repre- congressional support for “The
sentatives from Delta Capital Group Common Sense Economic Recov-
Fair Franchising
delivered presentations at each ery Act.” After extensive lobbying Before Patel became Chairman,
AAHOA Regional meeting to edu- efforts, President Obama in January many members called on AAHOA
cate members on best practices for signed an executive order introduc- to increase pressure on Choice in
restructuring debt. ing new initiatives to boost travel order to get the hotel giant to back
off on some of its more unrealistic
mandates and improve its overall
relationship with franchisees.
In late September, AAHOA sent
Choice a letter giving the brand 90
days to come to the negotiating table
to sort out some of these lingering
issues.
“We got Choice to understand
that this is a partnership, that we
need to play on a level playing field,
and they agreed,” Patel said. “We
had disagreements but divorce was
not an option. We sat at the table
[and] we came to a liveable solution
that is in the best interests of our
franchisees.”
With the input and leadership
Hemant Patel prepares for a televised interview in of people like attorney Robert
Washington, D.C. during the 2011 AAHOA Legislative Summit Zarco and past AAHOA Chair-
MAY 2012 AAHOA Lodging Business 27

3. Retrospective
faith and dealing, in what areas are
you lacking,” he said. “Along with
forming coalitions with different
franchise groups, we are trying to
go on the state level to make some
changes in franchise law. It will take
a lot of effort because you are fight-
ing an uphill battle with some big
companies. It’s going to take time.”
Women Step Up
As AAHOA continued delivering
on promises, members became more
active, especially women and young
professionals.
The Women In Hotel Leadership
(WIHL) Conference attracted hun-
Patel with Rep. Frederica
Wilson (D-Fla.) in her dreds of AAHOA women to Dallas in
Washington, D.C. office November. The Women’s Committee
presented several seminars at AA-
The biggest achievement of this
men, Choice agreed to drop the
80 percent RevPAR requirement
from its Impact Policy and change
the makeup of the Choice Hotels
Owners Council (CHOC) to include
negotiation is that we got a clause,
single-property owners, among
other agreements. in writing from Choice, of good
“It’s a relationship that has to be
beneficial to both sides. When we faith and fair dealing. That has now
set a standard for every company
see unfair balance on one side, that
needed to be addressed for a long
time. Every year, franchise compa-
nies have been putting more and
more burdens on hotels. That takes
that does business with AAHOA,
away from that top line,” Patel said.
“At the same time, there is a fear including vendors.
about unfair competition
from the same brands.” HOA Regional meetings that
“The biggest achievement offered sound advice from
of this negotiation is that knowledgeable speakers.
we got a clause, in writing The Board passed a budg-
from Choice, of good faith et that allows for 10 women
and fair dealing,” he added. to travel to Washington, D.C.
“That has now set a stand- for various lobbying events.
ard for every company that The Women’s Committee
does business with AAHOA, even expressed interest in
including vendors.” forming its own political
Last year, AAHOA committee to enhance their
formed alliances with other advocacy efforts.
franchise companies to draw “Our ladies are the back-
up the Universal Franchisee bone of our success,” Patel
Bill of Rights, an expansion said. “If you had to take the
of the fundamentals outlined ladies out of our AAHOA
in AAHOA’s Points of Fair equation, we would not be
Franchising. As Chairman, here today.”
Patel continued the associa-
AAHOA eMarket and
tion’s efforts to ensure fran-
chise companies participate Patel believes strongly in OTA
in fair faith and dealing. forming political alliances, As Patel’s time as Chairman
regardless of party affiliation, drew to a close, AAHOA
“We asked every brand,
in order to achieve goals
under the guidance of fair had managed to pre-enroll
28 AAHOA Lodging Business MAY 2012

4. Retrospective
hundreds of members into the tion. It even exists in
association’s online procurement families.”
cooperative (AAHOA eMarket) and Despite a few dif-
its online travel agency (mybestho- ferences, Patel credits
telrate.com). the Board, as well
“Marketing is our biggest chal- as other non-Board
lenge,” Patel said of the OTA. “Our members serving on
one strength is our membership committees and the
but we don’t have the marketing AAHOA staff, for de-
dollars. If you look at [traditional] livering on values.
OTAs, they spend over $300 million “We stayed focused
on marketing. It’s a David versus on our core issues and
Goliath fight.” we delivered on them.
“It will take a couple of years to If not for my Board, I
realize the full vision of these,” he would not succeed,”
added. “It was a long-term objective. he said. “I give them a
We had to work hard this year to get lot of credit. Our new
people signed up. Once people start Board members were
signing up, it gets healthier.” very constructive.”
Internal Politics Looking Ahead
While leading the association Patel relishes the
through these many challenges, time he spent leading
Patel had to carefully navigate the AAHOA but is looking
landscape of internal Board politics. forward to spending
“It was my challenge to keep my time tending to his
Board focused on important issues business interests in
and not to focus on small issues Miami and catching up Patel on Capitol Hill,
that divide us,” Patel said. “Internal with family. September 2011
politics, as long as it’s healthy, is all “There are chal-
good. There is always going to be lenges when you travel late, catch the flight, make sure you
internal politics in any big organiza- a lot. You sleep late, you wake up are home at your son’s school or for
your wife’s anniversary,” he said.
“I’ve done this for the last 10 years
and actively for the last four. I have
to thank my family who did not see
me at home for many days.”
As Ex-Officio, Patel plans to take
on a more limited role and support
new Chairman Alkesh Patel.
“It will be Alkesh’s time to
shine. Alkesh is a very close friend
and I will do anything to help him
succeed. He has been vital in my
success,” he said. “I want the Board,
just as they followed me, to follow
Alkesh and help him succeed.”
After a couple of years, Patel
hopes to run for political office,
though which position remains to
be seen. At the end of the day, Patel
believes his accomplishments and
how he carried himself as Chairman
will be remembered positively.
“AAHOA is a passion. I do it with
passion. I do it because I know I’m
doing something for our members. If
my actions are right, my actions will
Hemant Patel with his take care of my reputation. That’s
good friend and incoming how I have acted as a leader and
Chairman Alkesh Patel
public figure,” he said.
MAY 2012 AAHOA Lodging Business 29