The House Committee on Oversight and Reform has warned the Trump administration against allowing a government agency to issue rent reductions for Washington, D.C.'s Trump International Hotel.
Committee Chair Rep. Carolyn B. Maloney (D-N.Y.) issued the statement Tuesday night, along with Rep. Gerald E. Connelly (D-Va.), who chairs the Subcommittee on Government Operations. A New York Times report from earlier in the day had suggested that the Trump Organization was seeking rent relief that may be offered due to the COVID-19 pandemic by the General Services Administration (GSA), the agency that owns the property the hotel is leasing.
"If these new reports are accurate, it appears that the President's company is now seeking rent reductions from GSA—which of course reports to him," the statement reads. "Our Committee and ethics experts across the political spectrum have long warned of these blatant conflicts of interest, and it is time for GSA to finally stand up to the President and grant no rent reductions for the Trump Hotel."
A 60-year lease for the property began in 2013, with monthly rent totaling $267,653, according to a September 2019 report from the GSA. Although President Donald Trump relinquished his role leading the Trump Organization before taking office, he still owns and maintains financial interests in the company and associated properties, including the hotel.
The property is located in close proximity to the White House. It has been a popular choice of lodging for foreign dignitaries and others who hope to win favor with the president, which some critics have said is a violation of the U.S. Constitution's Emoluments Clause, since Trump financially benefits when guests stay at the hotel. Like most of the hospitality industry, the hotel has recently suffered financially due to the pandemic.
The president's son Eric Trump, who currently heads up the Trump Organization with his brother Donald Jr., confirmed to the New York Times that discussions about changing the terms of the lease had begun, but said that hotel was only seeking the same federal relief that could be given to any tenant.
"Just treat us the same," Eric Trump told the paper in a statement. "Whatever that may be is fine."
Regardless of the whether the hotel succeeds in obtaining financial relief, the Oversight Committee believes the lease should not exist at all. They say that the GSA has been illegally allowing the lease to continue during Trump's time in office despite the arrangement violating contract terms.
"As soon as Donald Trump was sworn in as President, his lease with the federal government for the Trump Hotel should have ended because it explicitly bars contracts with public officials," the committee's statement reads. "Instead, President Trump has been violating this contract for three years while GSA ignores the law."
Newsweek reached out to the White House, the Trump Organization and the GSA for comment, but none had responded in time for publication.
Uncommon Knowledge
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
About the writer
Aila Slisco is a Newsweek night reporter based in New York. Her focus is on reporting national politics, where she ... Read more
