WASHINGTON (August 14, 2015) - The American Hotel & Lodging Association (AH&LA), the sole national association representing all segments of the 1.8 million-employee lodging industry, today issued the following statement on the release of federal per diem rates for FY2016 announced by the General Services Administration (GSA) this morning.

"Ensuring that per diem rates reflect the realities of the market has been a key priority of AH&LA and we applaud GSAs efforts to ensure lodging rates reflect current market conditions. The increase in the standard rate to $89 from $83 is a step in the right direction", said Katherine Lugar, president and CEO of AH&LA.

We also commend GSA for working closely with the travel and lodging industries to make an important change in its policy to now review the standard continental United States (CONUS) rate every year instead of every three years. This significant shift will ensure that rates align with economic conditions while also providing value for government travelers. We look forward to collaborating closely with the GSA and others to ensure that government travel rates remain fair to taxpayers, government workers and the travel industry.

The lodging industry is responsible for generating more than $160 billion in business travel tax revenue annually.