Summer 2003
Transcription
Summer 2003
CALIFORNIA Lodging The Voice of the Independent Lodging Operator Lodging SUMMER 2003 Don’t Miss the 2003 Western Lodging Show Ontario Convention Center - September 7-8 Also in this issue: The Importance of Background Checks HAPPY GUESTS ARE FREE FROM PESTS WESTERN’S COMMERCIAL SERVICES DIVISION... ...Does It All! The West’s Largest Family Owned Termite & Pest Control Company Brings You: INTEGRATED PEST MANAGEMENT • Western’s Integrated Pest Eradication Guarantees: - NO MORE ROACHES - NO MORE RATS - NO MORE MICE - GUARANTEED! • Structural Termite Inspections - Fumigation - Sentricon - Non-Chemical Thermal Eradication • Construction & Repairs • No Harm Bird Control FOOD HANDLING FACILITY SERVICES • Western’s Program helps assure compliance with Food Safety Regulations • On staff Entomologists provide specialized professional services INTEGRATED BIO-REMEDIATION • Services for Grease Traps & Drains • Grease Trap Pumping Services • NO MORE DRAIN FLIES, ODORS or CLOGGED DRAINS! 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Then you owe it to yourself and your business to check us out, you have everything to gain and nothing to lose. CALIFORNIA Lodging VOLUME 57, NUMBER 2 P.O. Box 15918 Sacramento, CA 95852-0918 (916) 447-6565 (800) 637-4664 Fax: (916) 447-6563 E-mail: info@clia.org www.clia.org OFFICERS Chair Jill Macdonald Quality Inn Eureka Vice Chair Sima Patel Holiday Inn Express Hotel & Suites Oakland Airport Secretary Terry Westrope Sterling Hotels Corporation San Luis Obispo Chief Financial Officer Don Turner Golden Bear Motel Napa Immediate Past Chair J.P. Patel Best Western Colony Inn Atascadero EXECUTIVE STAFF President/CEO Rick Lawrance Director – Administration & Finance Joseph Davis Director - Communications & Marketing Matthew Wheeler Director – Membership Services Beverly Hook Membership Sales Manager Kimberly Seaton Information Technology Administrator Joe Lish Administrative Assistant Rachel Nelson California Lodging (ISSN 1094-1495) is published biannually by the California Lodging Industry Association (CLIA), 1011 Tenth Street, Sacramento, CA 95814 (916) 447-6565 or (800) 637-4664 (in California only) and Naylor Publications, Inc. Subscriptions $20 annually (included in CLIA member dues). Periodicals postage paid at Sacramento, CA 95813. Nothing contained in this publication shall be deemed to constitute in any fashion whatsoever an endorsement by the California Lodging Industry Association (CLIA) of any information in this publication, and CLIA disclaims any and all liability with respect to any use of, or reliance on, such information. No information in this publication shall be construed in any manner whatsoever as a recommendation of any standard, or as a recommendation of any kind to be adopted by, or binding on any person or entity. Nor shall any information contained in this publication be deemed to constitute in any fashion whatsoever an endorsement by CLIA of any product or service advertised herein. The material set forth in this publication is provided on an informational basis only. CLIA is not engaged in the practice of any profession, including, but not limited to, law and accounting, and nothing in this publication should be relied on in lieu of appropriate, competent professional advice. POSTMASTER: Send address changes to: California Lodging, P.O. Box 15918, Sacramento, CA 95852. Inside this Issue CHAIR’S REPORT Stick Together; Work Together . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4 HEADQUARTERS REPORT Your Personalized Link to CLIA Is Just a Click Away . . . . . . . . . . . . . .5 Features THIS YEAR’S EVENT … YOU DON’T WANT TO MISS! The 2003 Western Lodging Show . . . . . . . . . . . . . . . . . . . . . . . . . . .6 CLIA JOINS WITH PARTNERS FOR PUBLIC AFFAIRS CONFERENCE A Successful First Annual Event . . . . . . . . . . . . . . . . . . . . . . . . . . .10 THE IMPORTANCE OF BACKGROUND CHECKS Reducing Guesswork When Hiring . . . . . . . . . . . . . . . . . . . . . . . . .12 Departments LEGISLATIVE UPDATE Budget Madness Looms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14 LOOKING BACK Excerpts from CLIA newsletters dating back to the 1940s . . . . . . . .18 CLIA Updates INNKEEPING LAW State UI Trust Fund Balance Plummets . . . . . . . . . . . . . . . . . . . . . .16 Workers’ Compensation Fraud . . . . . . . . . . . . . . . . . . . . . . . . . . . .17 CLIA UPDATE All the Latest News About the Lodging Industry . . . . . . . . . . . . . . .20 CALIPAC Contributors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20 Index to Advertisers . . . . . . . . . . . . . . . . . . . . . .Inside Back Cover Cover photo: Peering out of the Ontario Convention Center onto the snowcapped vistas of the San Gabriel Mountains. Photo courtesy of the Ontario Convention and Visitors Bureau, Ontario, CA 91764. California Lodging Disclaimer The material set forth in this publication is provided on an informational basis only for the exclusive use of members of the California Lodging Industry Association (CLIA). CLIA is not engaged in the practice of any profession, including but not limited to law and accounting, and nothing in this publication should be relied upon in lieu of appropriate, competent, professional advice. No information contained in this publication shall be construed in any manner whatsoever as a recommendation, and CLIA disclaims any and all liability with respect to any use of, or reliance on, such information. Information provided herein is accurate and applicable to the best of CLIA’s knowledge at the date of publication. However, changes in state law are always occurring and CLIA members are encouraged to monitor all information provided by CLIA on an ongoing basis. Please direct any additional questions or concerns to the CLIA staff at: (916) 447-6565 or Helpline (800) 637-4664. Published for: The California Lodging Industry Association P.O. Box 15918 Sacramento, CA 95852-0918 Tel.: (916) 447-6565 or (800) 637-4664 Fax: (916) 447-6563 E-mail: info@clia.org Website: www.clia.org Published by: Naylor Publications, Inc. 9806 Old Winery Place, Suite 6 Sacramento, CA 95827 Tel.: (800) 873-4800 or (916) 363-1913 Fax: (916) 363-1934 or (800) 215-9404 Website: www.naylor.com ©2003 Naylor Publications, Inc. All rights reserved. The contents of this publication may not be reproduced by any means, in whole or in part, without the prior written consent of the publisher. Publisher: Gail E. Kelly Editor: Jeanie J. Clapp Advertising Manager: Kurtis Colbert Research: Steve Hoidalen Publication Director: Larinda Norwood Advertising Representatives: Michael Ivers, Shirley Lustan, Stephen Peters, Diane Ricks, Steven Seeber, Daryl Short Layout & Design: Catharine Snell Advertising Art: Elaine Connell PUBLISHED AUGUST 2003/LIN-Q0203/8525 California Lodging 3 Summer 2003 CHAIR’S REPORT CLIA BOARD OF DIRECTORS OFFICERS By Jill Macdonald Chair of the Board Stick Together; Work Together N ow more than ever California’s business community needs to stick together and work together. The prevailing attitude of the state Legislature in Sacramento is that business in California is forever resilient and that added costs imposed by increased regulation, taxes, and the new buzz word “fees” can be passed on to the consumer. Attrition will be an increasing reality for businesses that can actually leave California. Easier said than done when you’re talking about a lodging property or any business that is physically attached to the ground. So what do we do? How do we fight this assault on our livelihood? Well, considering that there are currently 60 plus bills in the Legislature attempting to combat the workers’ compensation insurance fiasco, I believe our elected officials do listen when there is a strong united message that is conveyed from the entire business community. Working together with likeminded advocates empowers us all. In April, our Legislature heard from the tourism industry. Over 300 business owners and professionals from the lodging, restaurant and hospitality industries came together for the first annual California Restaurant, Lodging and Tourism Public Affairs Conference. We had appointments with nearly every state legislator. The day culminated with a lively reception at our headquarters in the California Restaurant Association building. Many of our elected officials attended, including the governor (see article on pages 10-11). The upcoming Western Lodging Show, a partnership event with AAHOA and CH&LA, is another opportunity for the California tourism industry to unite as one, network, and educate. Vendors from all over the state will be attending. In conjunction with WLS, CLIA’s Tailgate Brunch Awards Celebration and Annual Meeting will be held on the morning of September 7th. This is a fantastic opportunity for our membership to get together, see old friends, and honor our own. Awards for Excellence in Lodging Hospitality, Excellence as Public Official of the Year, Excellence in Academic Scholarship, and my own, the Chairman’s Award, will be presented. This is an inspiring morning not to be missed. You will find a registration form for the Tailgate Brunch on page 8 of this publication. Constant communication and education is how we as an industry can empower ourselves. Attend the Western Lodging Show, and the Tailgate Brunch Awards Celebration and Annual Meeting. Read your fax bulletins, and LOBBY newsletter. Visit www.clia.org. When we stick together and work together as an industry, we can effect positive change for California tourism. California Lodging 4 Summer 2003 Chair of the Board Jill Macdonald Quality Inn Eureka Vice Chair Sima Patel Holiday Inn Express Hotel & Suites Oakland Airport Secretary Terry Westrope Sterling Hotels Corporation San Luis Obispo Chief Financial Officer Don Turner Golden Bear Motel Napa Immediate Past Chair J. P. Patel Best Western Colony Inn Atascadero President/CEO Rick Lawrance Sacramento Directors Joe Dedio Holiday Inn Costa Mesa Costa Mesa Laurenne Douglas Pacific Plaza Hotels Alameda Doug Forzani Merritt House Inn Monterey Bev Holthouse Ridgemark Golf & Country Club Resort Hollister Peter Kwong Best Western Dragon Gate Inn Los Angeles Christopher Layton Christopher’s Inn Calistoga John Manderfeld Marin Management Sausalito Howard Mathews Howard Mathews Lodging Broker Discovery Bay William O’Connell Best Western Stovall’s Inn Anaheim Dilip Patel Holiday Inn Express Hotel & Suites Mountain View Mahendra Patel Menlo Park Inn Menlo Park Ramesh Patel Sonora Days Inn Sonora John Reinacher Historic Santa Maria Inn Santa Maria Dean Ruffing Lodging Today, Inc. Poway HEADQUARTERS REPORT CLIA COMMITTEE CHAIRS ASSOCIATE MEMBER COMMITTEE Ed Bear AutoClerk (925) 284-1005 By Rick Lawrance President/CEO BED & BREAKFAST STEERING COMMITTEE Doug Forzani Merritt House Inn Monterey (831) 646-9686 WLS ANNUAL MEETING COMMITTEE Mahendra Patel Menlo Park Inn Menlo Park (650) 326-7530 EDUCATION & SCHOLARSHIP COMMITTEE Bev Holthouse Ridgemark Golf & Country Club Hollister (831) 637-8157 INTERNET/AUTOMATION COMMITTEE John Manderfeld Marin Management, Inc. Sausalito (415) 331-1061 GOVERNMENTAL AFFAIRS COMMITTEE Bob Griffin Sterling Hotels Corporation San Luis Obispo (805) 546-9388 MEMBER BENEFITS COMMITTEE Chris Middleton American Hotels Inc. Palo Alto (650) 321-4106 MEMBERSHIP DEVELOPMENT COMMITTEE Howard Mathews Howard Mathews Lodging Broker Discovery Bay (925) 634-1873 NOMINATING COMMITTEE J. P. Patel Best Western Colony Inn Atascadero (805) 466-4449 COMMUNICATIONS COMMITTEE John Reinacher Historic Santa Maria Inn Santa Maria (805) 928-7777 Your Personalized Link to CLIA Is Just a Click Away … A s each new Chair assumes their position on the CLIA Board of Directors, I have the rare privilege of helping to envision the legacy to be left behind following their tenure at the helm of the Board. In early discussions with 2003 Chair Jill Macdonald, she clearly expressed that her highest priority was a new CLIA website. Not just any website, Jill imagined, but a fully functional website that would be considered to be one of the greatest benefits CLIA could provide for our members. I am pleased to present, on behalf of CLIA, www.clia.org. Jill’s to-be legacy has been fulfilled. Late last year, we took our idea to Internet/Automation Committee Chairman John Manderfeld and CLIA’s in-house Information Technology Administrator Joe Lish. With a strong background in web-based applications, Joe had no trouble working with John and his committee to build a website, from the ground up, that would become an invaluable tool for CLIA members. Today, the website has been launched and is only a click away for CLIA members. Upon requesting a personalized username and password from CLIA headquarters, members may log into a specialized Members Only section. Here you will find breaking news from Sacramento, informative articles and editorials on small business and innkeeping as well as helpful forms and publications easily downloaded onto any computer. Members may also view the annual CLIA Buyer’s Guide as well as archived copies of California Lodging Magazine and the CLIA legislative newsletter LOBBY. The successful posting of www.clia.org has already drawn attention from the association community. In June, the California Society of Association Executives (CalSAE) awarded CLIA with the Golden State Award for Excellence in Website Creation. This highly coveted prize was awarded to Joe Lish and myself at a spectacular ceremony held in Sacramento. The honor, as awarded each year, recognizes any association in California for distinction in website design. Please allow me to say how truly honored Joe and I are to accept such an award on behalf of CLIA. There is still more to come for www.clia.org in the months ahead. Soon CLIA members will be able to renew their membership online with a few easy clicks, as well as link their property’s website to CLIA’s. CLIA’s goal, under Jill’s leadership, continues to be a website that is as informative as it is user-friendly. I strongly encourage our members to request a username and password and spend some time at www.clia.org. After you have looked around the website, let us know what you think. As this is your website, it is my desire that we maintain an open dialogue as the website continues to develop and expand. Sign on to www.clia.org today! California Lodging 5 Summer 2003 Western Lodging Show This Year’s Event … You Won’t Want to Miss! The Ontario Convention Center at dusk. S et among swaying palm trees and panoramic views of the San Gabriel Mountains, the Western Lodging Show returns to Southern California. The Ontario Convention Center is proud to welcome the fourthannual Western Lodging Show to the inland empire, and CLIA anticipates another successful and exciting show. The idea was revolutionary, bringing California’s lodging industry associations together to build a one-stop event for lodging industry professionals. The Western Lodging Show, as concurrently hosted by CLIA, CH&LA and AAHOA, combines the latest innovations in our industry with quality education and some of the best fun and networking around. Exhibitors from far and wide come to display their goods and services before other like-minded lodging industry professionals. Admission to the Western Lodging Show is free to all CLIA lodging property owners, operators and staff! With over 250 exhibition spaces available throughout the 70,000 square feet of the Ontario Convention Center, the networking and marketing possibilities are endless to CLIA members. Not to mention drawings, an evening cocktail reception and the opportunity to win cash prizes! On Sunday, September 7, 2003, CLIA will hold its annual meeting and awards celebration, the Tailgate Brunch, at the DoubleTree Hotel California Lodging 6 Summer 2003 Ontario Airport. This year, CLIA is kicking off the Western Lodging Show with a salute to football! The Tailgate Brunch is not to be missed as we pass the gavel to Sima Patel, 2004 Chair of the Board, as well as honor our own with the Excellence Awards. After a sumptuous buffet, CLIA will present the award for Excellence in Lodging and Hospitality, Excellence as Public Official of the Year, Excellence in Academic Scholarship, and the Chairman’s Award. The registration form for the Tailgate Brunch is provided on page 8. Don’t miss this special engagement, register today! Won’t you please join us September 7-8, 2003, in Ontario, California at the Western Lodging Show? California Division of Tourism exhibitors at their display booth. An exciting venue of exhibitors, attendees, and displays. CLIA would like to recognize the generous contributions of the following members. Without their sponsorship, CLIA’s Tailgate Brunch would not be possible. CLIA’s 2002 Evening of Excellence Gala Dinner. Platinum Sponsors USP Communications Gold Sponsors Paymentech Pepsi Bottling Company TravelHero.com Silver Sponsors Auto Clerk State Compensation Insurance Fund Sterling Hotels On behalf of CLIA, your support is most appreciated! California Lodging 7 Summer 2003 Tailgate Brunch Awards Celebration & Annual Meeting September 7, 2003 • DoubleTree Hotel Ontario Airport Registration Deadline: September 1, 2003 Awards Celebration & Annual Meeting Registrant Name and Title Sunday, September 7, 2003 • 11:00am DoubleTree Hotel Ontario Airport Business Name Day Phone Mailing Address ✄ Registrant Guest Name and Title City/State/Zip Excellence in Lodging and Hospitality Excellence as Public Official of the Year Excellence in Academic Scholarship and the Chairman’s Award ❏ Yes, I will be attending the Western Lodging Show Brunch Registration Fees Single ticket Join us in recognizing the 2003 recipients of CLIA Honors and Awards presented for: $37.50 _______ X $ 37.50 = $ _________ Indulge your taste buds with a sumptuous mid-morning buffet Host table for 10 $350.00 ______ X $350.00 = $ _________ (For tables, please include a list of attendees) Voluntary Contributions Special Messages from CLIA Chair Jill Macdonald and President Rick Lawrance Won’t you please support these special programs? CALIPAC $ _________ CLIA Scholarship Fund $ _________ TOTAL: $ _________ Method of Payment: ❏ MasterCard ❏ VISA Food, entertainment and sportsmanship! Please complete the attached registration form and return it today! ❏ Check Enclosed If paying by credit card, please complete the information below. Credit card registrations may be returned by fax. Card Number California Lodging Industry Association PO Box 15918 Sacramento, CA 95852 Phone: (916) 447-6565 Fax: (916) 447-6563 Expires Cardholder’s Signature Date Join us at the Western Lodging Show on September 7-8, 2003 Ontario Convention Center For room reservations, please contact the DoubleTree Hotel Ontario Airport 222 N. Vineyard Avenue • Ontario, CA 91764 (800) 222-TREE or (909) 937-0900 Please Mail or Fax: California Lodging Industry Association • PO Box 15918 Sacramento, California 95852 • FAX: (916) 447-6563 Reference the Western Lodging Show for the WLS rate ($69 + tax per night for single or double occupancy) Please make your reservations by August 14, 2003, to ensure the WLS rate. California Lodging 8 Summer 2003 SWITCHING YOUR COMPANY TO STATE FUND MAY NOT CHANGE YOUR WHOLE LIFE. JUST A FEW HOURS OF IT HERE AND THERE. Our 85 years of experience with workers’ compensation can make your hours better. We’ll handle your claims quickly. And give you safety programs so you don’t have to spend time setting them up yourself. Join the State Fund/California Lodging Industry Association today. Eligible members may receive a group discount on their workers’ compensation insurance premiums.. Whatever we can do to get you on to more important things. Call your broker or Kent Woodward of State Fund group programs at 916-263-7380. www.scif.com Get More. Worr y Less. ® ',6$%/('$&&(66 35$&7,&(*5283 THQ<HDUV¶([SHULHQFH6HFXULQJ,QVXUDQFH &RYHUDJHDQG5HVROYLQJ&ODLPV8QGHU $'$DQG)DLU+RXVLQJ$FW &OLHQWV,QFOXGH 7KH,UYLQH&RPSDQ\ )RXU6HDVRQV 7KH/RV$QJHOHV6XSHULRU&RXUW6\VWHP +LVWRULF0LVVLRQ,QQ $0&7KHDWHUV +RPH'HSRW &DOLIRUQLD/HDJXHRI&LWLHV 1DWLRQDO/HDJXHRI&LWLHV Contact: Gregory F. Hurley, Esq. Suite 1100 18201 Von Karman Avenue Irvine, California 92612 949-417-0965 gregory.hurley@kutakrock.com California Lodging 9 Summer 2003 CLIA Joins with Partners for Public Affairs Conference California Lodging 10 Summer 2003 O n Tuesday, April 29, 2003, CLIA joined with the California Restaurant Association (CRA), California Travel Industry Association (CalTIA), and other partners, to hold the first annual California Restaurant, Lodging, and Tourism Public Affairs Conference. CLIA President and CEO Rick Lawrance envisioned a partnership conference encompassing the entire tourism trade in California coming together in a call for legislative reforms. Conference attendees addressed a variety of issues including workers’ compensation, minimum wage, funding for tourism promotion, and taxes. The conference attendees, exceeding 300, started their day with a high caliber series of political speakers. Mark DiCamillo of the Field Poll, the nation’s oldest state poll, opened the conference. DiCamillo shared with the group the results and analysis of the Poll’s most recently conducted survey, including information on attitudes about the current budget crisis and voter preferences in upcoming elections. Following DiCamillo, the conference welcomed Senator Chuck Poochigian (R-Fresno), the lead author of the Senate Republican workers’ compensation reform package. Poochigian discussed his efforts to push meaningful policy reform as well as his involvement in the debates over the state budget. In conclusion, conference attendees heard from syndicated columnist Dan Walters, an expert on California politics, who discussed the budget crisis, the impacts of term limits, and changes to California’s political landscape in the future. Following the speakers, attendees shared their personal experiences while visiting with over 100 legislators in their State Capitol offices. CLIA members advocated on behalf of the entire tourism industry, explaining how increasing workers’ compensation rates are impacting their business, how promoting tourism creates jobs, and how taxes aimed at the hospitality and tourism industries ultimately hurt the consumer. At the end of the day, California Governor Gray Davis, Lieutenant Governor Cruz Bustamante, and leading legislators joined conference attendees at a reception hosted at CLIA headquarters. The successes of this year’s event have CLIA and its partners preparing for the next Public Affairs Conference. CLIA President/CEO Rick Lawrance looking on as Governor Gray Davis addresses conference attendees. CalTIA President & CEO Terri Taylor-Solorio, syndicated columnist and guest speaker Dan Walters, CRA President & CEO John Dunlap, III, and CLIA President & CEO Rick Lawrance. Conference attendees meet with Senate President Pro Tempore John Burton (D - San Francisco) in his State Capitol office. A lively reception at CLIA Headquarters. California Lodging 11 Summer 2003 The Importance of Background Checks Reducing Guesswork When Hiring I magine the frustration – and irony – if your front desk manager were to run off with the funds he or she was hired to watch over, or endanger the guests he or she was supposed to protect. Innkeepers can reduce the likelihood of those scenarios with background checks and pre-employment screening. Properties that don’t perform background checks open themselves to liability, but so do those that perform them improperly. That is why picking the right third-party screening company is so important. Loss Prevention & Safety Journal sat down with Steve Pearce, vice president of marketing for AbsoluteBackgrounds, to talk about these and other issues relating to background checks. Q: How important are applicant background investigations to a business? A: Applicant background investigations have become an integral part of the hiring process. Employee-screening services have risen significantly in the past few years and is now a staple in the workplace. An unscreened employee has the potential to cause significant problems for an employer, ranging from theft and embezzlement to assault and harassment. An employer can be held liable for the actions of an employee who was hired without the benefit of a background check, especially one who has a criminal history indicating he may cause harm to fellow employees or customers. This form of liability is defined as negligent hiring, which is based on the employer’s duty to exercise care when selecting employees. In other words, an employer must adequately screen individuals by performing a reasonable investigation of the applicant’s background. Negligence occurs when an employer does not perform this due diligence by failing to investigate, conducting an inadequate investigation, or hiring an applicant who is unfit based on information uncovered during an investigation. Q: What are some key elements of an effective background investigation? A: At the very least, include identity verification by Social Security number, address history and criminal history, and employment verification. Q: What are most companies lacking when conducting a background check in-house? A: Access to criminal records, driving records, credit histories, verification of address history and a variety of credential verifications. Gaining this information in a timely manner is paramount. Q: What are some legal issues that can arise during a background investigation? A: There are two primary legal requirements that must be satisfied when doing background checks through a third party. The first involves notice, disclosure and authorization that is compliant with the FCRA (Fair Credit Reporting Act). The second, triggered if you do not hire based on information in the report, involves preadverse and adverse action steps that California Lodging 12 Summer 2003 must be initiated in a manner and form that meets legal requirements. Q: Are there proper procedures for companies to protect themselves from legal ramifications? A: Yes, there are. But they can be tricky, as there isn’t one piece of legislation that covers the process completely. An employer needs to be aware of the requirements set forth in the FCRA and the ADA (Americans with Disabilities Act), and regulations from the EEOC (Equal Employment Opportunity Commission) and certain state legislatures. Therefore, it is imperative for employers to check that their background-screening company is fully versed in the legal issues pertaining to employment screening. Q: How would you describe a thorough background investigation? A: Checking criminal history through Social Security number verification, a seven-year address history, previous-employment history and credential verification all make up a Great NEW Member Benefit! CLIA is proud to introduce AbsoluteBackgrounds as an endorsed provider and new benefit to CLIA members. For more information on discounted rates for CLIA members, please contact Steve Pearce with AbsoluteBackgrounds at (800) 943-2589. Don’t forget to mention that you’re a CLIA member to receive your discount! complete package. There are also additional checks – such as credit reports, driving records and civil searches – depending on the position being applied for. Q: In the past, have companies neglected background investigations? If so, for what reasons? A: Surprisingly, most companies have neglected background investigations for three reasons. First, the misconception that employee screening is too expensive. Second, it takes too long to secure background information. Third, not realizing the potential legal liability by not screening. Most basic investigations cost between $30 to $60, and the turnaround time is usually between one to three business days. Q: Due to recent events, do you feel companies are becoming more receptive to conducting background checks? A: Since Sept. 11, there has been a heightened awareness of who companies are hiring. Businesses have a greater understanding of the potential liability of hiring an applicant with a questionable background. In the past, most companies waited until something tragic happened before performing background checks. More employers now realize background screening is an inexpensive form of insurance. Q: What factors should employers consider when selecting a vendor to perform employee background checks? A: Look at the vendor’s source of information and how it is secured and delivered. You also want to evaluate turnaround times, customer service and compliance with federal and state laws during the background screening. Q: What part do you see employment screening playing in the recruitment process? A: Employment screening has become an imperative human-resource requirement. It will continue to have an expanded role in providing even more information to enhance the decisionmaking process in hiring safe, competent and long-term employees. 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With 80 years of experience, we provide your operation with a comprehensive array of coordinated products, services and support for your operation’s cleanliness and sanitation. 1-800-35-CLEAN California Lodging 13 Summer 2003 www.ecolab.com LEGISLATIVE Update By Mike Belote California Advocates, Inc. Budget Madness Looms A s summer arrives, what seems like an every-year battle over the state budget is literally heating up. This issue has obvious implications for all of us as citizens of California, but make no mistake: THERE ARE CRITICAL ISSUES LOOMING FOR CLIA MEMBERS. Perhaps as never before, it is imperative that members make themselves heard and encourage all lodging proprietors to support CLIA, which supports them. The budget season arrives with unprecedented uncertainties. Not only is the sheer size of the budget deficit unheard of, but the governor is facing a recall effort which shows growing momentum, and various groups are threatening to take issues directly to the voters with ballot initiatives. The wacky thing about politics is that at some level, all of the issues intersect. This column will attempt to unravel these diverse but related phenomena. Of course, the major issue for the year, and perhaps for years to come, is the budget. To put a deficit of over $30 million in perspective, the size of the hole in California’s spending plan is more than every other state besides New York spends. The governor’s lat- est proposal adopts an approach, urged by Republicans, to sell bonds and cover a portion of the deficit with borrowing. The governor also proposes, however, a series of tax increases to cover the bonds, chiefly a one-half cent increase in the sales tax. Other increased revenues are proposed from adding one percent to the top marginal income tax rate, and from large increases in the vehicle license fee, sometimes labeled as the “car tax.” “We are running out of money, folks, and Wall Street will not sell the bonds we are going to need very soon unless they think that they are going to be repaid.” The governor’s proposal forces him to walk a political minefield. Republicans support the concept of borrowing to cover the deficit shortterm, but seem adamantly opposed to the tax increase portion of the proposal. Democrats are just as adamant that California Lodging 14 Summer 2003 the deficit not be covered chiefly with cuts to programs. For his part, the governor stresses the urgency of adopting an on-time budget: “We are running out of money, folks, and Wall Street will not sell the bonds we are going to need very soon unless they think that they are going to be repaid.” But the governor has a political problem as well: the failure to adopt a budget on-time, or nearly so, could give momentum to the recall effort. Still think that you would like to be governor? Nearly everyone believes that both parties will have to compromise, with Democrats accepting social program cuts and Republicans agreeing to some tax increases. But the fact that California is one of the few states in the country which requires a two-thirds vote to adopt a state budget gives leverage to the Republicans, because two Republican Senators and six Republican Assembly Members must vote for the budget for it to be enacted. This could provide an important opportunity for CLIA and other groups to demand needed changes to the law as part of a budget compromise. And among those changes being discussed, the number one issue is clearly workers’ compen- sation. Here is where CLIA members can make themselves heard: CALL YOUR STATE SENATOR OR ASSEMBLY MEMBER AND DEMAND THAT REAL WORKERS’ COMP REFORM BE PART OF ANY BUDGET COMPROMISE. If ever there was truth to the old maxim that out of crisis comes opportunity, this could be the time. Of course, there are other budget issues with clear implications for CLIA members. We have asked that cuts in funding for state tourism promotion be as little as possible, in order to continue advertising California as a travel destination. Another issue, perhaps one degree of separation removed, relates to local government. In the past, the state Legislature has sometimes attempted to resolve budget difficulties with cuts to local government. To the extent that this occurs in 2003, the natural move by locals will be to restore the revenue wherever possible, which could obviously place upward pressure on TOT. Regardless of the outcome of the budget, the larger issue which is critical to CLIA members is the general state of the business climate in California. As a struggling sector in an already shaky economic recovery, lodging has a particularly compelling case to make. Especially with respect to bills affecting employer/employee relations, the California Legislature should be reminded that a healthy economy is necessary to provide the jobs that make it possible to even have employer/employee relations. CLIA members are urged to contact State Senators and Assembly Members, asking them to vote “NO” on AB 76 which would make employers liable for harassment by customers and clients, vote “NO” on AB 1093 which would require businesses contracting with the state to pay “living wages,” and to vote “NO” on SB 796 which would allow employees to bring private civil actions for alleged violations of the Labor Code. The State of California depends on travel and tourism. The state needs you, your jobs and your tax dollars. CLIA is working for you, and you need to make your voices heard! Howard Mathews & Associates is Northern California’s leading lodging brokerage firm. Its agents have a combined 75 years of lodging sales and operations experience, producing exceptional results for hundreds of buyers and sellers. Turnkey Lodging Brokerage Solutions Count on Howard Mathews & Associates for: ■ Integrity in property presentation and sale negotiation ■ Extensive knowledge about your marketplace ■ Thorough evaluation techniques for proper pricing ■ Solution-oriented approach to marketing difficult properties ■ Creative financing alternatives, in-house escrow coordinator, and complete loan-packaging services ■ Tirelessly dedicating itself to selling your property or finding that diamond in the rough! “I have done business with many brokers and Howard Mathews is outstanding—second to none. On a recent purchase he did everything possible to make the deal work. I highly recommend him to any buyer or seller of a lodging property.” — Tony Govan, Best Western Madera Valley Inn “The most knowledgeable, honest and hard-working lodging broker I know. I am happy with all seven properties I have purchased through Howard.” — Jerry Storz, Heritage Hospitality, Sacramento Contact us today for a free consultation or property appraisal. Howard Mathews & Associates Phone: 925-634-2299 Fax: 925-634-1873 E-mail: hmathews@sbcglobal.net www.hma-lodging.com Howard Mathews Martin Barnhart Ramesh Patel Proud to be an Associate Member of CLIA for over 25 years Looking for Small Business Financing? vLoans from $200,000 to $4 million vUp to 25 years, fully amortizing vFixed or Variable Rates vRefinance/Purchase/Renovation/F.F.& vConstruction SBA Preferred Lender E. Kevin Rappleye/V.P. 916-561-6660 krappleye@bankofthewest.com sbaexperts.com California Lodging 15 Member FDIC Summer 2003 State UI Trust Fund Balance Plummets Projected Increase in Employer Payroll Taxes A ccording to the California Chamber of Commerce, California is projecting a $1.8 billion increase in employer payroll taxes next January, including a 15 percent emergency solvency surcharge, according to a newly released forecast. The fund forecast shows the UI Trust Fund balance plunging from nearly $6 billion in 2001 to less than $1.7 billion in 2003. There has been increasing concern that the UI Trust Fund’s solvency may have been compromised by significant, multi-year benefit increases unaccompanied by cost-saving reforms, and coupled with much-higher-than-anticipated unemployment rates in California. The Employment Development Department (EDD) forecast also shows the UI tax rate moved from 2.62 percent in 2002 to 3.13 percent this year, and is forecast to reach 4.71 percent next year, giving California the dubious distinction of having the highest average employer UI tax rate in the nation. The single major cause of the state UI Trust depletion is the recent enactment of SB 40, (Alarcón; D-Van Nuys), which provided a 95 percent increase in the maximum weekly benefit over a fouryear period. The benefits increased from $230 in 2001 to $330 in 2002, $370 in 2003, $410 in 2004, and $450 in 2005. It also increased the wage replacement formula to 50 percent – up from 39 percent. California Lodging 16 Summer 2003 Recent EDD estimates on actual retroactive cost figures have already topped $580 million, with a number of claims still remaining unpaid. While employers succeeded in winning enactment of a provision that designated a significant portion of federal Reed Act funds be deposited directly in the UI Trust Fund as a way to offset the costs of the retroactive application of the benefit increase, the Legislature refused to adopt any costsaving or streamlining reforms that employers thought were necessary to forestall or reduce the need for an employer UI tax increase. It has been suggested that structural reforms to the UI system are needed now to offset the higher employer UI taxes caused by the recent enactment of the multi-year UI benefit increases and the increased costs from greater demands on the system while California’s economy remains sluggish. Additionally, it has been strongly advocated that the state and federal government take stronger precautions aimed at stopping fraudulent claims in the future. It has also been advocated that the state must re-evaluate the way the UI system is run to ensure that individuals cannot gain access to benefits under false pretenses. Credit: California Chamber of Commerce – Staff Contact: Julianne Broyles Workers’ Compensation Fraud An Important Announcement for Employers Concerning First Aid Treatment for Workers’ Compensation Injuries … F irst aid treatment is included as medical care that all employers must provide for their injured employees. In conjunction with the Department of Industrial Relations Division of Workers’ Compensation, The California Department of Insurance wants to remind all employers, insurance carriers and self-insurers of the need to comply with Section 6409(a) of the California Labor Code. Section 6409(a) requires a physician who treats an injured employee to file a DFR (“Doctor’s First Report of Injury”) with the claims administrator for every work illness or injury, even first aid cases where there is no lost time from work. Although the Labor Code contains “first aid” exceptions for the Employers’ Report (Form 5020) and the Employee Claim Form (DWC-1), there is no such exception for the DFR. The insurance carrier (or the employer if the employer is self-insured) must forward these DFR’s to the Department of Industrial Relations. There is no “first aid” exception to this statute. The California Department of Insurance and the Department of Industrial Relations believe there are improper arrangements in place between some medical providers and employers that allow the employer to dictate how injuries are to be classified by the physicians. In some cases, and at the request of the employers, the physicians send the DFR only to the employers and not to the insurance carriers. This arrangement occurs even though the injuries clearly are beyond first aid. This agreement is often marketed to employers as a way to keep premiums from rising or to lower them. Such marketing practices are both improper and may also contribute to possible criminal violations related to premium fraud and the fraudulent denial of workers’ compensation benefits to injured workers. Credit: California Department of Insurance Automated Laundry Systems, Inc. a division of VEPO Corporation 120 W Cypress Ave, Burbank, CA 91502 Phone (818) 556-6432 / Fax (818) 556-6242 HD Series 25 to 190 lbs (incl. 30 and 75 lbs Stack) IPH Series 40 to 140 lbs WE Series 18 to 75 lbs S Series 18 to 100 lbs Equipment - Sales, Lease, Financing Parts (all major manufacturers) Service (low rates on service calls) Monthly Maintenance plans engineered to perform built to last www.automated-laundry.com California Lodging 17 Summer 2003 the ultimate drying machine™ LOOKING Back Looking Back highlights CLIA’s long history with excerpts from our newsletters dating all the way back to the 1940s. The issues and concerns were very different back then and, as you will undoubtedly notice, the language was quite different too! We hope you enjoy these little pieces of CLIA’s history … EVICTION OF TROUBLESOME GUESTS: ASSOCIATION MEMBERSHIP SURVEY reveals that among our members only, the average total number of units is 22. Average rate for two people is $4.70. 58.5% have kitchens, 6.3% have phones, 65.7% have radios, 5.4% have TV sets in rooms. HEAT: Wood – 1/10 of 1%; Electricity – 7.2%; Forced Air – 6.3%; Steam – 4.5%; Gas & various appliances – 53.1%; Panel Ray – 28.8%. Average value of motel, $118,208. (Not a cheap industry. Imagine the figure multiplying by 6,000.) Interesting, isn’t it? Incidentally, all members did not send in their card. Please do so. It may mean some business for you. We can’t refer people to you if we have no information on what you have to offer. Excerpted from the CLIA Archives: Motor Hotel Association of California Bulletin. September, 1950.Volume 4, #9. California Lodging We have received several inquiries requesting information as to how to go about evicting guests who cause a disturbance and refuse to desist when asked to do so. Your other guests nor yourself are not expected to tolerate noisy and troublesome persons. Regardless of how far in advance their rent may be paid, phone the police or sheriff and have them arrested for disturbing the peace. Go right down to the jail house with the law and swear to a complaint. When the authorities take them out, see that they take all their belongings with them, then lock the door. If they get out on bail and return to cause more trouble call the law again. Run your place as it should be run. Don’t let a bunch of noisy rough necks run it for you. Always protect yourself by having one or two good witnesses to everything you say or do. Never get into fights or brawls with guests. That’s what we have laws for and officers to enforce them. Don’t try to take the law into your own hands. Excerpted from the CLIA Archives: Motor Hotel Association of California Bulletin. December, 1947. Volume 1, #5. 18 Summer 2003 MOTOR HOTEL ASSOCIATION OF CALIFORNIA CODE OF ETHICS As a member of the Motor Hotel Association of California, I subscribe to the principles set forth below and will endeavor to conduct my business accordingly: • I will not engage in methods of operation that are unlawful, unsanitary or detrimental to the health and welfare of the traveling public. I will not advertise in any unethical manner or post misleading price signs. • I will endeavor to keep my court clean and attractive and train my employees to do likewise. • I will keep both the outside and inside of my court in the very best appearance. Neat lawns, well painted buildings, rubbish-free driveways and walks, will be my constant aim. • I will look to the convenience and comfort of my guests, as well as complete safety for them. • I will treat everyone with respect and kindness, always controlling my temper. I will train my employees in these same traits, thereby creating an atmosphere of content for my guests. • I will make it a point to keep well informed about my community, its attractions and the accommodations that are available so I may be of real service to the visitors to California. Courtesy and helpfulness will be my watchword. • I will keep my prices posted in the rooms, in accordance with the law of the State of California and make sure they are fair and in keeping with the accommodations offered. • No better rule to live by has yet been devised by man than the one known as the Golden Rule: “Whatsoever ye would that men should do to you, do ye even so to them.”(Matthew 7:12) I will obey the laws of the land and live according to the rule above. Adopted November 25, 1950. Excerpted from the CLIA Archives: Motor Hotel Association of California Bulletin. June, 1951. Volume 5, #5 “Hotel Management Made Easy” In our 20th year of service to the hospitality industry Hands-on management Renovations ◆ Risk management ◆ Consulting ◆ Accounting services ◆ Independents and franchises ◆ Limited and full service ◆ ◆ 4500 E. Thousand Oaks Blvd., Suite 104 Westlake Village, CA 91362 (805) 496-0357 (805) 373-1199 fax e-mail: jgorney@bonmanagement.com www.bonmanagement.com California Lodging 19 Summer 2003 UPDATE The Changing of the Board, A Bittersweet Time on the CLIA Board of Directors CLIA is proud to announce three nominations to the CLIA board of directors. Narendra (Naz) Patel of the Econo Lodge – LAX in Inglewood, Nipool Patel of the Econo Lodge San Luis Obispo, and Rick Tipton of American Hotels in Palo Alto, have all been nominated for board member positions. Upon their election, new board members will take their positions on the CLIA board of directors January 1, 2004. While CLIA is most excited to welcome Naz, Nipool and Rick to the CLIA board family, three well-tenured board members will be retiring. J.P. Patel of the Best Western Colony Inn in Atascadero and immediate past chairman, Doug Forzani of the Merritt House Inn in Monterey, and Bev Holthouse of the Ridgemark Golf and Country Club Resort in Hollister will all be stepping down. CLIA bids J.P., Doug and Bev a warm farewell with sincerest gratitude for their many contributions to the CLIA board of directors. California’s Lodging Leaders Serve on AAHOA Board of Directors CLIA proudly congratulates two prominent Californians in their elections to executive positions on Asian American Hotel Owners Association (AAHOA) board of directors. Hitesh Bhakta of the Park Suite Hotel, Inc./Canyon Country Hospitality, Inc. in Orange, California was elected chairman of the board of directors on April 26, 2003. Serving as the new treasurer of the AAHOA board of directors is Mukesh Mowji of the D3 Investment Group in San Jose, California. CLIA wishes Mr. Bhakta and Mr. Mowji the very best as they serve their association and the California Lodging Industry well. TRENDS Program Still Available to CLIA Members CLIA continues to encourage members to participate in a new cooperative program that will become part of TRENDS IN THE HOTEL INDUSTRY, a monthly publication produced by PKF/C, CLIA wishes to thank the following CALIPAC donors who have recognized the urgent need to maintain our industry as a strong, concerned and active political force: Adelaide Inn, Paso Robles Bed and Breakfast Inn at La Jolla Best Western Beach Terrace Inn, Carlsbad Best Western Beach View Lodge, Carlsbad Best Western Cavalier Inn, San Simeon Best Value Inn, Red Bluff Briarwood Inn, Carmel Casa Via Mar Inn, Oxnard Curly Redwood Lodge, Crescent City Days Inn, San Luis Obispo Golden Bear Motel, Napa Great Highway Inn, Woodside Hampton Inn, Fairfield Holiday Inn Express Hotel and Suites, Mountain View Holiday Inn Express, Modesto Holiday Inn Express, Westley Keefer’s Inn, King City Kon Tiki Inn, Pismo Beach Lake of the Sky Motor Inn, Tahoe City Merritt House Inn, Monterey Murphey’s Motel, Charleston, OR Oasis Inn, San Francisco Redcrest Resort, Redcrest Roman Spa Hot Springs Resort, Calistoga The California Lodging Industry Political Action Committee, or CALIPAC, enables us to support those legislative representatives who are friends of CLIA and the tourism industry, and whom we know we can count on to support our interests. CLIA is proud to take the lead as the lodging industry’s leading legislative advocate in California, and CALIPAC contributions further this effort greatly. Members who wish to make contributions to CALIPAC are urged to send checks to CALIPAC, PO Box 15918, Sacramento, CA 95852. California Lodging 20 Summer 2003 that tracks average daily rate and occupancy for hotels throughout California and the U.S. (For specific program details, please see the Spring 2003 issue of California Lodging.) CLIA member participation in TRENDS is free and requires only the completion of a short enrollment form. Every month, PKF/C will fax or e-mail a questionnaire requesting number of rooms available, number of rooms sold, and total monthly room revenue. Members will be asked to fill out these forms and return them to PKF/C so that they can provide an accurate report as quickly as possible. All information submitted will be kept strictly confidential and will only be presented in aggregate form. For their participation in the program, CLIA members will receive a complimentary copy of PKF/C’s publication TRENDS IN THE HOTEL INDUSTRY every month. TRENDS is an excellent tool that may be used for budgeting, benchmarking, and understanding the local hotel market. Please contact James Mbugua at PKF Consulting with any questions: Phone: (213) 680-0900/Fax: (213) 623-8240/email: james.mbugua@pkfc.com. Thank You! CLIA would like to thank all members who participated in our recent membership survey. The board of directors will use the information gathered in the surveys to strengthen the programs and benefits that you have come to know, as well as explore new member benefits, features and suggestions. The feedback is most appreciated, and CLIA thanks you! Tell a Friend Help keep CLIA strong! Are you happy with CLIA and the benefits you receive? Well, tell a friend! CLIA is always looking to expand our membership base, so if you know of someone who would benefit from our many services and programs as members, please refer them to us at (800) 637-4664. Data Verification Forms Watch your mailboxes … CLIA data verification forms will be mailed out in early September. The information you provide and verify in these forms is pivotal in linking your property to CLIA. We use the information gathered in our membership guide, on the CLIA reservations website, and to send you helpful and informative publications throughout the year. Keep us updated! Don’t forget to send in your verification form when it reaches your property, or you may miss out on something new! primary purpose is to provide you with current and breaking news from the State Capitol. Everyday the State Legislature considers proposals that could impact the lodging industry, and you should know about them! Keeping you abreast of such issues is one of CLIA’s highest priorities and greatest benefits to you, our members, as is holding our position as the leading legislative advocate and voice for the lodging industry. It is our hope at CLIA that you continue to enjoy LOBBY and will view it as a trusted source for lodging industry news. Candidacy Announced Long-time CLIA member, Eric Cogdill, of the Best Western Garden Court Inn in Fresno has announced his candidacy for Best Western International District Director. Cogdill is seeking to succeed Cindy Binkele, retiring District 6 Director. BWI District 6 includes California, Nevada, and Hawaii. 2004 California Official State Visitor’s Guide There’s still time to save on enhanced listings in the 2004 California Official State Visitor’s Guide & Travel Planner! With a targeted circulation of 500,000 copies, the official guide is the best way to maximize your property’s marketing! An enhanced listing positions your property in front of the pre-qualified travel buyers at the perfect time – while they are planning the details of their trip. Enhanced listings also become part of the California Division of Tourism’s content on the Internet – www.visitcalifornia.com. Reel the 1.9 million California bound travelers in today! Contact Joseph Davis at CLIA to take advantage of your exclusive CLIA member-only special rate - $150, a $270 savings – for an enhanced listing in the 2004 California Official State Visitor’s Guide & Travel Planner! LOBBY’s First Five Issues a Success CLIA is very pleased to receive the positive feedback from the first five issues of our new CLIA newsletter, LOBBY. It had been the long-standing desire of President/CEO Rick Lawrance to create an informative newsletter, to be distributed throughout the year to link CLIA members with CLIA headquarters in Sacramento. 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(800) 242-1378 lagreca@oreck.com www.oreckcommercial.com California Lodging 22 Summer 2003 Index TO ADVERTISERS ATTORNEYS Kutak Rock Law Firm . . . . . . . . . . . . . . . .9 BANKING SERVICES Bank Of The West . . . . . . . . . . . . . . . . . . .15 CALL ACCOUNTING SYSTEMS Mirage Hotel Computer Systems . . . . . . . . . . . .Inside Front Cover CLEANING & SANITATION PRODUCTS & SYSTEMS Ecolab . . . . . . . . . . . . . . . . . . . . . . . . . . . .13 COMMERCIAL LAUNDRY SYSTEMS PWS The Laundry Company . . . . . . . . . .21 COMPUTERS/SOFTWARE AutoClerk . . . . . . . . . . . . . . . . . . . . . . . . .19 CONSTRUCTION Huff Construction Co. . . . . . . . . . . . . . . . .Inside Back Cover CREDIT CARD PROCESSING Paymentech . . . . . . . . .Outside Back Cover FOOD & BEVERAGE SYSTEMS Mirage Hotel Computer Systems . . . . . . . . . . . .Inside Front Cover FURNITURE Premier Furniture . . . . . . . . . . . . . . . . . . .22 HOTEL & LODGING MANAGEMENT Bon Management Group . . . . . . . . . . . . .19 Sterling Hotels Corp. . . . . . . . . . . . . . .Inside Back Cover INSURANCE State Compensation Insurance Fund . . . . .9 INTERNET LODGING DIRECTORY 1st Travelers Choice . . . . . . . . . . . . . . . . . .9 LAUNDRY EQUIPMENT/SALES, SERVICE, SUPPLIES & TRAINING Automated Laundry Systems . . . . . . . . . .17 Super Laundry . . . . . . . . . . . . . . . . . . . . .13 LODGING BROKERS Howard Mathews & Associates . . . . . . . .15 MAINTENANCE/HOUSEKEEPING Oreck Commercial Sales . . . . . . . . . . . . .22 PEST CONTROL Western Exterminator Company . . . . . . . . . .Inside Front Cover PROPERTY MANAGEMENT SYSTEMS Mirage Hotel Computer Systems . . . . . . . . . . . .Inside Front Cover TELECOMMUNICATIONS Call Management Products . . . . . . . . . . . .22 USP Communications . . . . . . . . . . . . . . .18 PARTNERS IN YOUR SUCCESS We know these are difficult times in the hospitality industry, and we understand how you feel. We are hotel owners ourselves, and empathize with the day-to-day troubles you encounter. Call the professionals with the experience and expertise to produce the outstanding results you are seeking. Our team is committed and resourceful; we have an impeccable track record and can make a difference! You can trust us with your property. Look no further. Call us today at 888-397-7222 or Visit our Website www.sterlinghotelscorp.com
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