ABL DISPATCH —THE LATEST INDUSTRY NEWS FROM WASHINGTON BY JOHN BODNOVICH, ABL EXECUTIVE DIRECTOR
Lots has been happening in Washington as lawmakers and the country transition (hopefully) to the beginning of a post-pandemic world. Legacy issues are returning to the spotlight — or at least attempting to — but COVID-19 fallout lingers, especially for the hard-hit hospitality industry. One of American Beverage Licensees’ (ABL) current initiatives is to educate and inform members of Congress about the long road ahead for bar and tavern owners who, having managed to survive shutdowns and operating limitations, are now faced with increased costs of goods, supply chain problems and labor shortages that are hampering their COVID-19 comeback.
Restaurant Revitalization Fund Replenishment Act introduced On May 3, the application process for the Restaurant Revitalization Fund (RRF) began, with hundreds of thousands of applicants seeking relief from the Small Business Administration (SBA) program. Three weeks later, on May 24, the SBA stopped accepting applications for grants from the $28.6 billion fund. More than 362,000 applications seeking $75 billion in funding were filed, demonstrating the broad need for assistance, but also removing any question that thousands of hospitality business operators are not going to receive these relief funds. On June 10, Reps. Earl Blumenauer (D-Ore.) and Brian Fitzpatrick (R-Pa.), and Sens. Kyrsten Sinema (D-Ariz.) and Roger Wicker (R-Miss.) introduced the Restaurant Revitalization Fund Replenishment Act to add $60 billion to the fund to support independent restaurants and bars. The path to passage of this legislation is not clear as Congress is faced with a host of issues and bills. But what is clear is that supporters of the legislation are looking for any opportunity to get more relief to struggling businesses as quickly as possible.
entity,” and “in which the public or patrons assemble for the primary purpose of being served food or drink.” These businesses must’ve been open on Feb. 15, 2020, and include: • Restaurants • Food stands, food trucks and food carts • Caterers • Saloons, inns, taverns, bars and lounges • Brewpubs, tasting rooms and taprooms ABL plans to continue lobbying for additional RRF funding, just as it has been advocating for the Real Economic Support That Acknowledges Unique Restaurant Assistance Needed to Survive (RESTAURANTS) Act and other measures that would help TLW members and other ABL members get back on their feet after an extraordinarily hard year.
Perishable food and beverage tax credit gains momentum Since the Feb. 25 introduction of the Hospitality and Commerce Job Recovery Act of 2021 by Sens. Catherine Cortez Masto (D-Nev.) and Kevin Cramer (R-N.D.), and Reps. Steven Horsford (D-Nev.), Darin LaHood (R-Ill.) and Jimmy Panetta (D-Calif.), the bill has amassed 86 cosponsors in the House and eight in the Senate. As a reminder, this legislation would create a perishable food and beverage credit to help small businesses cover the costs of inventory lost during COVID-19 closures. Specifically, the bill “provides a temporary credit for unmerchantable inventory between March 13, 2020, and Sept. 30, 2020, at 90% of the qualified unmerchantable
As a reminder, eligible entities for RRF grants are businesses that can demonstrate that “the uncertainty of current economic conditions makes necessary the grant request to support the ongoing operations of the eligible
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