October november 2015 by Maine Restaurant Association

PRSRT STD US POSTAGE PAID PERMIT #121 AUGUSTA, ME

MAINE INGREDIENT I

45 Melville St. • Augusta, ME 04330

The

October / November 2O15

207. 623 . 2178 mainerestaurant . com

info @ mainerestaurant . com

Local Minimum Wage Initiatives Remain on Front Burner As Prospect of Statewide Wage Referendum Heats Up

MAINE INGREDIENT I

The

HOT TIP!

Exempt vs Non-Exempt Employees On July 6, 2015, the US Department of Labor (DOL) issued PROPOSED new rules updating the Fair Labor Standards Act (FSLA) overtime exemptions. The proposed rules would go into effect between July 2016 and January 2017.

Now is the time to examine your employee classifications to determine if your exempt employees are properly categorized. Exempt employees must pass three tests: 1. Paid salary 2. Salary is more than $970/week ($50,440 annually – the level established by the new rule) 3. Primary duties must be consistent with executive, professional or administrative positions as defined by the US DOL. Employees who do not meet all three of these requirements must be treated as hourly, or non-exempt salaried employees, and be paid for each hour worked and at a rate of one and one-half times the normal hourly rate for all hours worked over 40 hours in a given work week. Most kitchen and front-of-the-house staff do not qualify as exempt based on their job requirements.

Local initiatives have been taking a tremendous amount of time and effort this past summer. Two minimum wage proposals in Portland and one in Bangor have kept association staff very busy. The Portland City Council met on July 6 to pass a minimum wage ordinance that will raise the minimum wage to $10.10 on January 1, 2016, $10.68 on January 1, 2017 and then adjust future increases to the Consumer Price Index (CPI.) There was a sizable issue with the tip credit, as the council believed it was freezing the tipped wage at $3.75, but froze the tip credit at $3.75 instead, thereby necessitating a reconsideration of the ordinance to make that fix. The Council addressed this flawed language at their September 9 meeting by passing the ordinance again with new language created by Glenn Israel from the law offices of Bernstein Shur, that freezes the tipped wage at $3.75. They also sent the Portland Green Party $15 referendum question to the voters in the November election. Their only other option would have been to enact the question, but most of the councilors believe the $15 minimum wage to be too much. Both the Maine Innkeepers Association (MEIA) and the Maine Restaurant Association (MERA) are working with the Portland Regional Chamber and the Retail Association of Maine and some national associations to create a coalition to help defeat this referendum question. Emails to Portland restaurateurs and hoteliers are going out on a daily basis at press time. Election Day is November 3 and our as-

sociations are giving everything we have to defeat this precedent setting referendum question. Television commercials will run the weeks of October 19 and 26. In Bangor, Councilor Joseph Baldacci brother of former Maine Governor John Baldacci - had introduced a proposed ordinance to create a minimum wage in the City of Bangor, which would be $8.25 on January 1, 2016, $9.00 on January 1 of the following year and ending with an increase to $9.75 in 2018. This ordinance would also be tied to CPI, thereafter. A vote by the Council on this ordinance needs to be executed by November 23. At a recent Business and Economic Development Committee meeting, a new proposal was put forth to try to gain the necessary votes for passage. The “compromise” proposal would have the Council endorse the petition gathering effort of the Maine People’s Alliance for the $12 statewide referendum, which they did vote for and then create a trigger to enact the same statute created for the referendum as ordinance in Bangor, if the statewide referendum were to fail. They did not vote for this part and are looking to schedule a City Council workshop to discuss these two competing measures. MEIA and MERA have been working hard to rally hoteliers and restaurateurs from both cities to continue to petition the councils to take business interests into consideration when reviewing these onerous ordinances. The Maine Peoples’ Alliance is currently

...continued on page 9

What’s In a Name? A Practical Lesson On Name Selection Whenever a business owner starts a new business or launches a new product, the question of how the new endeavor should be named becomes important on both business and personal levels. The decision is usually made in favor of a “catchy” word or phrase that draws a strong association with the underlying product or service. As so often happens, the owner will conduct some sort of investigation to determine to his satisfaction that the newly chosen name has not been already claimed by his competitors. If based on his search the name appears available, the owner will usually invest time and money in a business sign, product labels, domain name, and other online and print advertisement opportunities, seeking to build reputation and good will under the new name, which he now sees as a valuable brand. If everything goes well, the more time goes

...continued on page 4

IN THIS ISSUE:

Chairman’s Message

Upcoming Events

President’s Report

Award Nominations

ServSafe Class Schedule

Golf Tournament Review

The

Maine

INGREDIENT Chairman’s Message: By Tina Hewett-Gordon: The Nonantum Resort - Kennebunkport

Reflections on a Banner Summer As I write this message, mid-October is upon us. The days have grown shorter with darkness setting in by 6:00 pm! The nights have grown colder with the first hard frost having just come and gone. And, as sure a sign as any that summer in Maine has drawn to a close, Columbus Day is in the rearview mirror. It’s hard to believe that we're about to head into the long winter months while visions of summer nights still dance in our heads. As summer businesses begin to wind down from what was a banner year, the seasons are about to flip and the state’s winter resorts destinations and restaurants are beginning to ramp up and will soon take center stage. At The Nonantum, this is a time of reflection and an opportunity to catch our breath. Though we’ll remain open through the Holiday Season and welcoming guests for Kennebunkport’s Christmas Prelude celebration in early December, the pace eases a bit for a few weeks between midOctober and mid-November.

from-the-north from their tradition of staying in our hotels, dining in our restaurants or shopping with our local retailers! Gas prices were lower than they’ve been in years and with oil prices following suit, consumers had more discretionary income to spend on travel and leisure. These trends continued through the Fall foliage season bringing flocks of travelers to enjoy Maine’s famed autumn scenery. So what else brings travelers here besides Maine's natural beauty, the weather, and favorable economic trends? The Foodie phenomenon! Now well-established as a culinary mecca, Maine’s reputation as a year-round restaurant destination continues to grow exponentially! I recently conducted a Google search – “Maine as a Foodie Destination” – which produced 180,000 results! The first page cites articles from the Travel Channel, Travel + Leisure and Food & Wine magazines, the Boston Globe, the Huffington Post, TV Food Maps (Maine restaurants featured on Diners, Drive-Ins and Dives, Man V. Food), Epitourean.com, and the New York Times! These are world-class publications heaping praise on our industry! Congratulations to all those who built the foundation of this phenomenon and to those who continue to build upon it. Bravo!!! May it continue to grow! 

Maine Ingredient is published six times a year by the Maine Restaurant Association. 2015 © All Rights Reserved 45 Melville Street Augusta, Maine · 04330 Tel: 207.623.2178 · Fax: 866.711.5408 mainerestaurant.com info@mainerestaurant.com ../mainerestaurantassociation @mainerestaurant MAINE RESTAURANT ASSOCIATION OFFICERS Tina Hewett-Gordon

Chairman of the Board The Nonantum Resort Kennebunkport

Michelle Corry

Vice Chair Five Fifty-Five & Petite Jacqueline Portland

Laurie Palmer

Second Vice Chair Burger King Waterville

Bruce Woodard, CPA, CFP

Treasurer Woodard & Associates, CPA’s Auburn, Portland

Steve DiMillo

Secretary DiMillo’s On the Water Portland

John Kyle

Like so many other hospitality businesses in Maine, The Nonantum is a seasonal property that conducts the bulk of its business during the summer months. As we assess the summer of 2015, there’s no denying that it was a banner season! Yes, we’re already preparing for 2016 with plans and projects in the works but as we exhale after the neck-breaking pace of our peak season, now is the time when we take stock of the season that was. We experienced weather of above average temperatures and below average rainfall - great for beachgoers! Although the Maine Turnpike Authority has only published statistics through April 2015, the trend indicates a strong growth in traffic volume. Though Canadian exchange rates were not favorable, it did not scare our friends-

The

Senior Advisor Pat’s Pizza Yarmouth

STAFF Greg Dugal

President & CEO greg@mainerestaurant.com

Chris Jones

www.Sysconne.com 1-800-632-4446

Chief Operating Officer chris@mainerestaurant.com

Becky Jacobson

Operations Manager becky@mainerestaurant.com

Rebecca Dill

Marketing & Events Director rebeccad@mainerestaurant.com

Maine Restaurant Association

Upcoming Events

October / November 2015 President’s Report: By Greg Dugal: President & CEO, Maine Restaurant Association

Restaurateurs United In Common Cause

Tuesday, November 3, 2015

Election Day Statewide Tuesday, February 2, 2016 5:00 pm - 7:00 pm

Legislative Reception Senator Inn & Spa, Augusta Saturday, March 12, 2016

5th Annual Maine ProStart Championship Holiday Inn By the Bay, Portland Tuesday, March 29, 2016 5:00 pm - 9:00 pm

Annual Awards Banquet Holiday Inn By the Bay, Portland Wednesday, March 30, 2016 10:00 am - 4:00 pm

Maine Restaurant & Lodging Expo Cross Insurance Arena, Portland

Proudly servicing Maine’s restaurants. Call today for a free evaluation.

1-800-323-7378 MODERNPEST.COM

Nothing brings a trade association together with their members, and quite frankly their nonmembers, like multiple threats facing the industry. This past summer is a perfect example of this phenomenon. Issues at a Federal and State level can galvanize members, but nothing like one at the local level. Both the City of Portland and the City of Bangor have decided to accomplish what the Feds and state have not been able to do - gain consensus on raising the minimum wage. Hats-off to Chris Jones, our Chief Operating Officer, who has spent hours walking the streets of both Portland and Bangor speaking with restaurant operators on this issue. These local initiatives have taken much of our time for the past few months and a large amount of our financial resources. The Portland minimum wage increase to $10.10 (an amount that doubtlessly would have been higher if not for this association’s advocacy efforts) passed by the City Council on September 9 and goes into effect on January 1, 2016. Although the Bangor minimum wage has not yet gained consensus, I believe it will. And now, we await the vote on November 3 on the citizen initiative advanced by the Portland Green Independent Committee to raise Portland’s minimum wage to $15.00. Many of our members and non-members have engaged in the fight in both communities. They and many more have generously donated tens of thousands of dollars to defeat the Portland citizen’s initiative to raise the minimum wage by popular vote - uncharted waters for a municipality in Maine. What is truly striking is the number of restaurant owners and managers who were totally unaware of these impending, game-changing proposals until this association informed them. In the case of Portland, many believed that the council’s September 9 vote supersedes the upcoming ballot vote on the $15 minimum wage citizen’s initiative. Not true!

If Portland voters approve the increase, it will cost average size restaurants in the city between $100,000 and $150,000 a year once fully implemented. I am pretty sure most businesses don’t have that kind of money kicking around, so it will result in more expense borne by increased menu prices, reduction in staffing levels and hours and, in some instances, the inability to sustain the current business model and potential closure. Restaurants statewide have enjoyed a busy summer and that's a good thing, but it's critical that restaurateurs stay tuned-in on these brewing issues. So, if your restaurant is in Lewiston or Greenville or Machias and you’re still reading, you may wonder what all this has to do with you. Here is your answer: momentum. The Maine People’s Alliance (MPA) is already in the process of collecting 60,000 signatures to get a $12 minimum wage on the 2016 statewide Maine ballot which, once fully implemented would be subject to automatic increases based on the Consumer Price Index. I hear from some restaurateurs that they already pay $12 per hour so, they ask, “what’s the big deal”? I respond with this question: If the minimum wage is raised to $12, what then are you going to pay your staff that currently makes $12? The same? I don’t think so! If passed, this will inevitably result in a sizable increase in payroll for all restaurant establishments. The statewide initiative also eliminates tip credit in stages over an eight year period meaning that by 2024 the tipped wage will be the same as the minimum wage – approximately $13 per hour, once again meaning a cost of $100,000 per year for a restaurant with just ten tipped employees. This figure doesn’t even include your regular employees or the increased cost of payroll taxes and workers compensation. Even though we are currently concentrating on the matter at hand, the Portland referendum, the statewide effort is soon to be front and center. This is what keeps me up at night because this association has never really been the sole leader in a fight to defeat a statewide referendum, but will have to take this po-

...continued on page 9

The

Maine

INGREDIENT I

Maine Restaurant Association

What's In a Name...

Minimum Wage... ...continued from page 1

by, the more customers and consumers begin to favorably associate the new name with the owner’s business. Sometimes, however, just as the business starts to take off and perhaps even generate some positive reviews on Yelp! and TripAdvisor, the owner may get a piece of mail that he least expects – a “cease and desist” letter. This letter, often authored by a lawyer from another state, will demand that the owner immediately change the by now well-established name or else get sued for trademark infringement. While not every claim of infringement warrants the same response, if it comes from an owner of a federally registered mark and

involves an identical and confusing similar name, the business owner must either change the name and start the branding process all over again, or try to negotiate a licensing arrangement with the owner of the registered mark. Either option requires the owner to spend time and resources on responding to the registered mark owner’s attorney and removing the name from all signs, labels, as well as other print and online contents. This scenario demonstrates how choosing a new name – for a service or for a product – is a very important decision that should be handled with care. If someone has al-

Maine Restaurant Association Annual Awards Nominations The Maine Restaurant Association Board of Directors is currently accepting nominations for the Association’s annual awards. Do you know of a gifted chef, a restaurateur who has mastered the art of hospitality, a supplier that goes the extra mile, or an up-and-coming restaurateur or chef who's really making their mark? Nominate them for an award! Think of someone who gives back to the community, serves as a mentor, goes above and beyond the call of duty, and makes a positive contribution to the restaurant industry - then, tell us about them! We’re anxious to accept your nomination in one or more of the following categories by November 13th.

Restaurateur of the Year Award Rising Star Award

October / November 2015

Lifetime Achievement Award

ready started using a name that is the same or confusingly similar to the name adopted by another, the senior user may assert claims of trademark infringement against the junior user, especially if the senior user has registered the name as a mark with the United States Patent and Trademark Office. Remedies for infringement range from cease and desist orders to monetary damages, and in some cases even attorneys’ fees. This is one of the reasons why it is always best to conduct a full trademark search before adopting a new name, especially the name of a business, product or service which will surely require a lot of effort and investment, and that will be burdensome to change down the road. A trademark search also helps to show how strong or weak the desired name is based on how many uses of a similar mark there are. Of course, the reverse is also true. Careful selection, protection, and enforcement of one’s trademarks generate consumer recognition, strengthen reputation and accumulate goodwill, which in turn will surely foster growth and success. 

collecting signatures to put a $12 per hour minimum wage initiative on the 2016 statewide ballot. This would occur over a period of four years and the tip credit would also be eliminated over a period of eight years. This will be the next big fight.

This guest article is authored by Darya Haag of the law firm of Norman, Hanson & DeTroy. Should you have any questions or concerns about building and/or protecting your brand, Darya Haag, an intellectual property and commercial law attorney can be reached at dhaag@nhdlaw.com or 207-774-7000. See enclosed advertisement for more information regarding Norman, Hanson & DeTroy.

The Maine Restaurant Association is an agile, yet lean organization with the equivalent of only three full time employees - hardly the number of staff required to defeat a statewide referendum fighting against the likes of the MPA with their hundreds and hundreds of volunteers and a war chest backed by national unions and employee rights organizations. We need your help on several fronts; staying engaged and keeping your level of awareness up, funding to help finance the fight and educating both your employees and fellow restaurateurs in your community, because if they are successful, mandatory paid sick leave and predictive scheduling are sure to follow. Fighting this statewide minimum wage ballot question is going to

Chef of the Year Award

Allied Member of the Year Award

Awards will be presented on Tuesday, March 29, 2015 at the Maine Restaurant Association Annual Awards Banquet in Portland. Don’t miss this opportunity to recognize and reward the hard work, dedication, creativity and sheer grit of Maine’s restaurant entrepreneurs. Nominating someone for an award couldn’t be easier or less formal. You may submit your nomination online at maine restaurant.com or by contacting events director, Rebecca Dill by emailing events@mainerestaurant.com, calling 207.623.2178, or writing to 45 Melville Street, Augusta, Maine 04330.

At the Federal level, the much anticipated overtime regulations the Obama Administration had been working on were released. President Obama posted a blog on the Huffington Post announcing his intention to more than double the salary threshold for employees eligible for overtime from the current level of $23,660 to $50,440 beginning in 2016. There was a 60 day comment period, which the national

Serving Maine Since 1908

associations tried to get extended by another 60 days, but failed. Maine Senators Collins and King also tried to get an extension. The deadline for comments was Friday September 4 and many of our members did post comments. This is a very important issue for Maine restaurants. Our hope is that through comments they heard our plight and will maybe regionalize these increases, as we all know that Maine has a different economy than New York City or Washington, DC or at the very least phase the increases in over a period of years. Current estimates have implementation between July 1, 2016 and January 1, 2017. 

...continued from page 3 sition because, along with the Innkeepers Association, as we are the only industry affected by tip credit - the most onerous aspect of the ballot question.

cost us and potentially you a fair amount of money, but it will be money well spent if we are successful. This is a pay-now or pay-for-years-to-come proposition. We, at a minimum, must have a favorable showing to discourage the MPA from embarking on additional referenda. We're in the era of citizen-based initiatives and activist local governing bodies as our larger governments are afflicted by gridlock. This doesn’t look like it is going to change any time soon, so we need your support, both through encouragement and financial support to give it our best. You may say that you are very busy in your restaurant and don’t have time for any of this, but I say that if you don’t engage, your busy restaurant may cease to exist. I encourage you to send a contribution to our Political Action fund using the enclosed form. We look forward to our mutual cooperation and thanks again for your support. 

Hel p Fund the Fight! Donate to the Maine Restaurant Association's Political Action Committee. • Visit mainerestaurant.com to donate online, • • Send a check made payable to: Restaurateurs for a Strong Maine Economy and mail to: Maine Restaurant Assoc., 45 Melville St., Augusta, ME 04330, •

P 207-947-0321 F 207-947-0323

Tuesday, December 1, 2015 Westbrook - SYSCO of Northern N.E. 8:30 am - 5:00 pm

Tuesday, December 8, 2015 Augusta - Augusta Armory 8:30 am - 5:00 pm

Tuesday, January 19, 2016 Westbrook - SYSCO of Northern N.E. 8:30 am - 5:00 pm

President's Column...

www.DennisExpress.com

800-439-2727

Upcoming Classes ...continued from page 1

• Or call in with your credit card number at 207.623.2178.

Info@DennisExpress.com

Tuesday, January 26, 2016 Augusta - Augusta Armory 8:30 am - 5:00 pm

For More Information

call: 207. 623 . 2178 or email: becky@mainerestaurant.com Online training is also available.

O u r s e r v i c e d o e s n ’t e n d w h e n o u r t r u c k l e a v e s y o u r d o o r.

We aren’t just in the delivery business; we’re in the success business. We do everything we can to help each of our customers become a crazy, line-out-the-door success.

20 Dalton Road • Augusta, Maine www.NorthCenter.com 1-877-564-8081

Try something new. Meet Karen Watterson.

Her fresh take on Maine’s food scene will keep eaters in the know and out on the town.

Consistent marketing in Maine magazine offers your business credible connectivity with an affluent and passionate community. These readers love Maine and want to know more about it. A 15-issue contract supports and expands your overall marketing program and bolsters your business goals. With frequency and consistency, you gain unparalleled visibility for your business and you also earn a better rate.

1- 5x

6 -14x

15x

Net Rate w/Contract

Full Page

$1400

$1200

$1000

$900

Half Page

$950

$800

$650

Quarter Page

$850

$725

$575

Rates

Old Port, Portland’s city magazine, is packed full of ways for readers to experience this vibrant hub—whether they live here or are visiting for the ﬁrst time. Brimming with engaging editorial on the city’s must-go places to eat, shop, and stay, the magazine is the essential travel companion to the greater Portland area and features top-notch writing, design, and photography from the talented team behind Maine Home+Design and Maine magazines.

Rates

1-2 x

3-5x

Full Page

$1400

$1200

$1000

$585

Half Page

$950

$800

$650

$517.50

Quarter Page

$850

$725

$575

10% off the 15x rate with a 15x contract

Your 15x commitment in Maine or Maine Home+Design

5% off for a credit card on ﬁle with a 15x contract

earns you the 6x rate in Old Port

Call us today and start a dialogue to position your business for results.

207.772.3373

Subscribe, read, like, follow.

themainemag.com

People ask us where to eat. So we tell them in our magazines, online, and on our social media pages. In print, our Eat and Dine sections showcase new and established restaurants and give readers a taste of what to expect when they dine out. Online, our Eat Maine blog supported by up-tothe-minute posts on our social media pages keeps the conversation—and engagement with our community—going.

Advertise in Maine and Old Port magazines and get your message in front of thousands of food lovers who look to us to decide where to enjoy Maine’s burgeoning food scene.

Try something new. Meet Karen Watterson.

Her fresh take on Maine’s food scene will keep eaters in the know and out on the town.

1- 5x

6 -14x

15x

Net Rate w/Contract

Full Page

$1400

$1200

$1000

$900

Half Page

$950

$800

$650

Quarter Page

$850

$725

$575

Rates

1-2 x

3-5x

Full Page

$1400

$1200

$1000

$585

Half Page

$950

$800

$650

$517.50

Quarter Page

$850

$725

$575

10% off the 15x rate with a 15x contract

Your 15x commitment in Maine or Maine Home+Design

5% off for a credit card on ﬁle with a 15x contract

earns you the 6x rate in Old Port

Call us today and start a dialogue to position your business for results.

207.772.3373

Subscribe, read, like, follow.

themainemag.com

The

Maine

INGREDIENT I

Maine Restaurant Association

What's In a Name...

Minimum Wage... ...continued from page 1

Restaurateur of the Year Award Rising Star Award

October / November 2015

Lifetime Achievement Award

Chef of the Year Award

Allied Member of the Year Award

Serving Maine Since 1908

...continued from page 3 sition because, along with the Innkeepers Association, as we are the only industry affected by tip credit - the most onerous aspect of the ballot question.

P 207-947-0321 F 207-947-0323

Tuesday, December 1, 2015 Westbrook - SYSCO of Northern N.E. 8:30 am - 5:00 pm

Tuesday, December 8, 2015 Augusta - Augusta Armory 8:30 am - 5:00 pm

Tuesday, January 19, 2016 Westbrook - SYSCO of Northern N.E. 8:30 am - 5:00 pm

President's Column...

www.DennisExpress.com

800-439-2727

Upcoming Classes ...continued from page 1

• Or call in with your credit card number at 207.623.2178.

Info@DennisExpress.com

Tuesday, January 26, 2016 Augusta - Augusta Armory 8:30 am - 5:00 pm

For More Information

call: 207. 623 . 2178 or email: becky@mainerestaurant.com Online training is also available.

O u r s e r v i c e d o e s n ’t e n d w h e n o u r t r u c k l e a v e s y o u r d o o r.

We aren’t just in the delivery business; we’re in the success business. We do everything we can to help each of our customers become a crazy, line-out-the-door success.

20 Dalton Road • Augusta, Maine www.NorthCenter.com 1-877-564-8081

The

Maine

INGREDIENT I

Maine Restaurant Association

October / November 2015

Annual Golf Classic