NON-REVENUE ROOM PROCEDURE

GOAL: All properties will follow a standard, non-revenue room procedure as outlined herein

SCOPE:

To ensure proper control and accounting for non-revenue room nights. To establish non-revenue rooms approval guidelines, credit authorization procedures, justification requirements and consistent accounting procedures.

RESPONSIBILITY:

It is the responsibility of upper management to ensure that non-revenue rooms are provided primarily as a means to enhance current or future profitability.

PROCEDURE:

All non-revenue room night requests must be submitted for approval on a Non-Revenue Room Request Form (see Exhibit 1). This request form must include a minimum of the following information:

1. Guest's Name:

   The complete and proper spelling of the name of the guest that the room is to be registered to. Note: We do not register rooms under company or organization--only individuals.

2. Guest's Address:

   This should be the address that the confirmation is sent to. Note: If it is the requester's desire not to have the arriving guest fill out the address portion of the registration card upon arrival, this address should be a home address.

3. Organization or Affiliation:

   This area should indicate the company or organization the guest is affiliated with. Also indicate that person's position within that organization or company.

4. Credit Code:

   This portion of the request must be completed with one of the three codes below. If "sign all" or "direct bill" codes are used, the request form would then need additional approvals as indicated below.

   ANY REQUEST SUBMITTED WITH NECESSARY OVERALL APPROVAL, BUT NOT SPECIFIC CREDIT APPROVAL, WILL BE ENTERED AS A "EPO" RESERVATION.

5. EPO (Each Pay Own):

   The guest must establish credit at check-in and is responsible for settling all charges at departure. Additional approval required: none.

6. Sign For Room and Tax only:

   The guest is not required to establish credit at checking, however, is responsible for settling all individual charges at departure. Additional approval required (one of the following): General Manager, Rooms Director/Director of Operations, Director of Sales, or Controller.

   Note: If charges are not completely settled at departure, the approving department will be responsible for any uncollected funds.

7. Direct Bill Charges Direct Billed After Departure):

   The guest will not be responsible for establishing credit at check-in, however, will be required to review all charges to be billed at departure and sign the account. Additional approval required: General Manager or Credit Manager.

   Note: This approval MUST be obtained prior to submitting the completed and approved request to Reservations.

8. Justification:

   This is the single most important element of the request procedure. This area is where the requester documents the property benefits and/or revenue potential related to this request. This must be specific to include a complete explanation why the property should provide the accommodation on a complimentary basis, i.e., site visit, lounge contest award winner, second effort good will gesture, radio trade out (see retail trade out log).

   THIS EXPLANATION MUST BE COMPLETE- SIMPLE EXPLANATIONS SUCH AS “PER

   CONTRACT” OR “TRADE OUT” ARE NOT ACCEPTABLE.

9. Approval:

   Non-revenue rooms must have the approval of the Rooms Director/Director of Operations, Director of Hotel Sales, or the General Manager. In the event of immediate rectification of a disgruntled guest, any Front Desk employee is empowered to comp a room, with explanation & follow-up to Rooms Director/Director of Operations.

10. .VIP Code:

    This code is a service and/or upgrade code and will indicate to the Front Office which type of service and amenity programs this guest will receive. Each property should establish the various levels of VIP services. These codes must be included in the approval process.

    Examples:

    • VIP-A - Includes Platinum Card turndown amenities and upgrade, morning newspaper, welcome call from Manager on duty, and pre-registration.

    • VIP-B - Includes standard Marquis Turndown, morning newspaper, best available room, welcome call, and pre-registration.

    • None - Standard hotel check-in and amenity policies.

    • All non-revenue rooms must be recorded on the cover sheet of the daily report. This report must include the following information for each non-revenue room from the previous night:

    a. Guest's Name

    b. Organization or Affiliation

    c. Justification

    d. Approval (Name)

    • The non-revenue room request must be a three part form, (four part form in manual environments); one part requester's copy, one part Reservation's copy, and one part Accounts Receivables copy (in manual environments, one part Front Desk's copy). The Front Office will be responsible for attaching the non-revenue request form the registration card at check-in.

    • At check-out the non-revenue request form is staples to the registration card, where it remains for future reference.

    • Daily report segmentation for all non-revenue rooms will be as follows:

11. a. House Use - To be categorized into one of the following sub-codes:

    i.Band

    ii. Our Special Task Force and Relocation

    b. Complimentary:

    Non-revenue rooms for group related business, trade outs, incentives, second effort goodwill gesture purposes, and frequent traveler award redemption. This category must include all non-entertainer direct business related or friend of the family and industry non-revenue room nights.

    *Please be aware of room Tax guidelines for your hotel.

    c. All non-revenue room nights must be recorded in one of these two categories. If an entire adjustment is to occur on a previously booked room night in one of our revenue segments, in addition to adjusting the revenue, the occupied room night must be transferred from the previously existing revenue segment to the corresponding non-revenue segment.