Culture

Holding the G-7 Summit at a Trump Golf Course Is Blatant Corruption


In the competition to persuade wealthy customers to stay at high-end golf resorts, the Trump National Doral Miami is a so-so contender. When Golf magazine recently listed the top twenty-five golf resorts for luxury and the top twenty-five for general excellence, Doral didn’t make either list. It did get included in the top-hundred list, and it was also featured in the “Top 25 Resorts for Buddies,” a segment designed for hardcore golfers seeking “immersion therapy with multiple courses to play 18, 36, or until you just can’t see the ball anymore.” Doral has four courses, including the famous Blue Monster, which for many years was a regular stop on the P.G.A. Tour, and it’s certainly easy for your buddies to get to. Miami International Airport is just a few miles away.

Like many golf courses and golf resorts, Doral has faced serious challenges from rising competition and a decline in the number of people playing golf. In 2012, the Trump Organization purchased Doral out of bankruptcy court for a hundred and fifty million dollars—Deutsche Bank provided a mortgage—and added “Trump National” to its name. Once Trump bought the property, he started an extensive renovation, which was completed in 2016. The Trump Organization claimed that the renovation cost more than two hundred million dollars, although there is no way to verify that claim. But, in any case, Doral, which has almost six hundred and fifty guest rooms, represented a major investment for Trump, and it is by far the biggest of his golf resorts.

Despite the renovations, however, Doral’s struggles have continued. They may well have intensified. In 2016, Cadillac pulled out of sponsoring the venue’s annual P.G.A. Tour event, which created invaluable publicity, and the organizers moved the tournament to Mexico City. (“I hope they have kidnapping insurance,” a miffed Trump commented.) Earlier this year, the Washington Post’s David A. Fahrenthold and Jonathan O’Connell, two reporters who have done sterling work tracking Trump’s intermingling of his public duties with his private business interests, reported that Doral had seen a “steep decline” in its business since Trump decided to run for President. The resort’s “room rates, banquets, golf and overall revenue were all down since 2015,” the Post reported. “In two years, the resort’s net operating income—a key figure, representing the amount left over after expenses are paid—had fallen by 69 percent.”

In a statement provided to the Post, the Trump Organization claimed that the Zika virus and hurricanes had driven visitors away from South Florida. But the paper cited statistics showing that “competing resorts in the same region of Florida still outperformed the Trump resort in the key metrics of room occupancy and average room rate.” It also quoted experts who suggested that the Trump name might be hurting the Doral brand.

Whatever the cause of its troubles, Doral clearly needed a boost, and its proprietor has now provided it with a huge one: a federal contract to host next year’s G-7 meeting, which will bring the resort a substantial sum of taxpayers’ dollars and generate invaluable publicity for Doral all over the world. On Thursday, Mick Mulvaney, Trump’s chief of staff, announced that the summit will be held at Doral in June of 2020. Trump will attend the meeting, along with the leaders of Britain, Canada, France, Germany, Italy, and Japan, and sizable delegations from each member country.

Nobody should be surprised, of course. In making frequent visits to his commercial properties in Florida, New Jersey, and other locales, Trump has been funnelling federal dollars into his own coffers ever since he was elected. For example, Mar-a-Lago, Trump’s oceanfront resort in Palm Beach, charges its government visitors up to five hundred and fifty dollars a night for their rooms, according to ProPublica. Trump started pitching Doral as the G-7 venue as early as June. By August, when he attended this year’s G-7 meeting, in the French coastal city of Biarritz, the fix was already in, although he tried to portray the choice of Doral as the outcome of a proper search process rather than that of a Presidential edict. “They went to places all over the country, and they came back and they said, ‘This is where we’d like to be,’ ” he said. “It’s not about me. It’s about getting the right location.”

Since resigning as the head of the U.S Office of Government Ethics, in 2017, Walter Shaub has taken on the invaluable role of pointing out Trump’s many transgressions and challenging them alongside his colleagues at the watchdog group Citizens for Responsibility and Ethics in Washington, or CREW. But, as Shaub pointed out to me in a conversation on Friday, the selection of Doral represents a “new low” in the President’s behavior. “It’s just so obviously a right-and-wrong issue,” Shaub said. “It’s the kind of thing that we see happening in completely broken nations. There is no definition of corruption that anyone could think of that would lead them to say this isn’t corruption.”

The even greater scandal is that Trump continues to get away with this sort of thing. If an ordinary government official awarded a valuable federal contract to a company that he had an ownership stake in, he could well be arrested and sent to prison. As President, Trump is exempt from the federal conflict-of-interest statutes—a glaring omission that must have delighted him when he found out about it. That means there is virtually no chance of the Justice Department even looking into his involvement in the choice of Doral. Of course, other officials who were involved might not be so lucky. Shaub has raised the question of whether they may have violated criminal provisions of the Procurement Integrity Act, which lays down strict rules for the awards of government contracts. On Friday, Shaub and his colleagues at CREW called on the State Department’s inspector general to look into the matter.

Since the delegations to the G-7 meetings routinely pay for their own hotel rooms and other facilities, choosing a resort that Trump owns to host the summit looks like a clear violation of Article I, Section 9 of the U.S. Constitution, which states that no federal officeholder can receive any “present, Emolument, Office, or Title, of any kind” from any foreign state unless he receives the consent of Congress. (An emolument is a payment in money or anything else of value.) But a number of legal challenges to Trump’s self-dealing based on the Emoluments Clause have already been bogged down in the courts.

In July, the Fourth Circuit Court of Appeals, which is based in Richmond, Virginia, threw out a lawsuit that claimed that the President’s ownership of the Trump International Hotel, in Washington, D.C., which representatives of many foreign governments now patronize, violated the Constitution. The three-judge panel said that the plaintiffs—the Attorney Generals of Maryland and Washington, D.C.—didn’t have legal standing to enforce the Emoluments Clause. Last month, a separate panel of judges, from the Second Circuit Court of Appeals, which is based in New York, issued a ruling that rejected the Fourth Circuit’s reasoning and reinstated another emoluments lawsuit, which CREW had filed. But that case, and a third one in Washington, D.C., where the plaintiffs are a group of Democratic lawmakers, are proceeding at a very slow pace—too slow to stop Trump.

With the courts tied up and the Justice Department under the control of a Trump loyalist, responsibility for bringing Trump to book falls squarely on Congress, which already has a lot on its hands. The Democrats are busy pursuing “Ukrainegate.” Most Republicans on Capitol Hill are as cowed by Trump as they’ve ever been, and at least one of them has welcomed the decision to hold the G-7 meeting at Doral. “Selfishly as a Floridian, senator from Florida, I think it’s great any time our community gets that kind of attention,” Marco Rubio said.

That statement, along with the over-all lack of reaction from other G.O.P. officials, caused Shaub to despair. He said to me, “If the Republican senators shrug this off, then their message is that there is literally nothing they would say is corruption.” Judging by Trump’s recent actions, he has already received the message.





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