How does Rutan get his spaceship into orbit and back?

I know that billionaire entrepreneur in Las Vegas has a "space
hotel" designed and built, but he is leaving it to others to build the
shuttle that will get the paying customers up to it. Does Rutan plan
to be the one to build a private space shuttle for this purpose? I
thought that perhaps the goal was get the up-scaled Spaceship One
craft into orbit so it could be used to ferry passengers to a space
station, but even if he could get it to go faster and achieve orbit,
it has no heat shield for re-entry...so it looks like it is not
suitable for anything but sub-orbital flights. A rocket-plane for
sub-orbital flights is of little use except as a thrill ride for
would-be astronauts. SO what is on the horizon as far as a private
ORBITAL shuttle?

Also, the billions that are being invested in fixing the Space
SHuttle problems is just pouring money down a rat-hole. The NASA
shuttle, being about a 30 yr old design, should have been chucked out
the window long ago. Nasa is planning to retire it in another four
years anyway! I think about 2.5 billion went into the "fixes" for the
Discovery shuttle, and it is still unsafe, thanks in large part to the
EPA/govt. stupidity. Imagine what Burt Rutan could have done with
that 2.5 billion! Lets' put the SPace shuttle in the boneyard, where
it belongs, and give large grants to Rutan and others to build its
replacement. Meanwhile bite the bullet, and pay the Russians to
supply and keep the ISS going. At least their 'big dumb rockets" are
reliable.

I know that billionaire entrepreneur in Las Vegas has a "space hotel"
designed and built, but he is leaving it to others to build the
shuttle that will get the paying customers up to it.

Not entirely.

He is putting up some money for a prize which would be awarded to
someone who builds a suitable vehicle. A few teams have said they are
interested in winning it. The best source I could find was:
http://en.wikipedia.org/wiki/America%27s_Space_Prize

Also see:
http://www.bigelowaerospace.com/prize.html
http://www.space.com/spacenews/busin...ow_041108.html

Getting to orbit is a lot harder than a suborbital vehicle like
SpaceShipOne.

He doesn't. His next spaceship is a larger suborbital vehicle for, as
you put it, joyrides. Others will build orbital vehicles.