Posted: 4:40 pm MDT October 20,
2009Updated: 8:31 pm MDT October 20,
2009
EL PASO, Texas -- No words better describe the old International Hotel than an eyesore towering over I-10 for all who cross through town. So most El Pasoans were overjoyed to see it become a shiny, new Doubletree Hotel."We now have a beautiful hotel that sits right on the interstate that says, 'El Paso is open for business,' not something that says, 'El Paso, not open for business,'" said Mayor John Cook.But in order to get that beautiful hotel, the city gave owner Jim Scherr millions of dollars in incentives. In return, Scherr promised at least 76 full-time jobs among other things."We're ranging between 46 and 59 employees full-time," said Scherr.Scherr asked El Paso City Council on Tuesday to change the contract from a minimum of 76 full-time employees to just 46."Bringing in an additional 30 people actually will be having maybe detrimental when you really don't have the work for them to do," Scherr told KFOX.Scherr said the hotel is doing well and is at full staff, and made two offerings in return."We have committed to providing health insurance as part of our employee benefit package for the employees who have been working there," he said.The hotel now has to pay at least 78 percent of the full-time employee health care premiums, and, "We have agreed to a commitment of financial investment into the hotel of over $20 million," he said.The $20.7 million in improvements to the hotel is up from $17 million."This is not asking for any additional economic incentives, this is not making any major changes in the contract, nobody is being laid off, there are no jobs being hurt," said Scherr.In some other minor changes, the definition of a full-time employee drops from 37 hours a week to 30 hours a week, which is the industry standard.Scherr will be removed as the owner of the Doubletree Hotel, now that he has completed the renovation.
Copyright 2009 by KFOXTV.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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Doubletree Hotel Contract With City Changed
Posted: 4:40 pm MDT October 20, 2009Updated: 8:31 pm MDT October 20, 2009
Copyright 2009 by KFOXTV.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.