Recipients are not required to repay the funding as long as funds are used for eligible uses no later than March 11, 2023. An estimated 90,000 restaurants have already closed their doors during the pandemic, and that number will likely continue to grow. Will an injustice be done if, with the pandemic receding and the economy reviving, nothing is done for those who missed out in the first-come-first-served scramble for the initial (and perhaps final) $28 billion? Most recipients (72 percent) reported they were owned by women, veterans, or members of socially and economically disadvantaged groups. Reps. Brian Fitzpatrick (R, PA) and Earl Blumenauer (D, OR), and Sens. The House already has passed H.R. WASHINGTON The House passed a $55 billion bill Thursday that would provide assistance to restaurants and other small businesses that have struggled because of the coronavirus pandemic. More than 90,000 restaurants closed permanently or long-term because of the pandemic. The NRA wrote a letter to Congress on Monday urging policymakers to pass legislation that would refill the fund. But what about those other small businesses (gyms, minor league baseball, etc.) The bill is co-sponsored by Sen. Roger Wicker (R-MS) and includes additional funds for gyms, live venues and transit systems, among other business categories. The House is expected to vote on the bill,which has a mix of 234 Democratic and Republican sponsors, this week. Hence the Replenishment Act. The unions proposals often focus on specific changes to systems workers interact with all day, every day, including equipment and mobile ordering. (Recommendation 4), The Associate Administrator for the Office of Capital Access should develop and implement data analytics across RRF awards as a means to detect potentially fraudulent award recipients. The Government Accountability Office (GAO) released a report in July, noting SBA was holding unobligated RRF funds and the Association was first to send a letter to SBA Administrator Isabella Casillas Guzman requesting that the unobligated money be released to unfunded applicants. Washington has succumbed to dangerous groupthink on China, Google releases civil rights review, caving to years of pressure. For instance, it prevented over 30,000 suspicious applications from receiving awards. Get the free daily newsletter read by industry experts. The Independent Restaurant Coalition, which has spent the last two years lobbying for small restaurants in the face of extreme economic uncertainty, issued a statement on Wednesday condemning the decision to abandon restaurants, calling it catastrophic for these establishments. 200Littleton, Colorado 80120. Rebecca Shabad is a politics reporter for NBC News based in Washington. SBA agreed or partially agreed with two recommendations. Esqueci minha senha. The sector still has myriad challenges ahead, but a glimmer of hope as Congress is expected to vote on further aid on May 19a $48 billion bill that would fully fund the Restaurant Revitalization Fund. H.R.3807 - Restaurant Revitalization Fund Replenishment Act of 2021 117th Congress (2021-2022) Bill Hide Overview More on This Bill Constitutional Authority Statement CBO Cost Estimates [0] Subject Policy Area: Commerce View subjects Give Feedback on This Bill Contact Your Member Summary (2) Text (3) Actions (17) Titles (3) Amendments (1) As a result, the U.S. Congress introduced legislation called the Restaurant Revitalization Fund (RRF) to help restaurants get back on their feet. In March 2021, Congress appropriated $28.6 billion to SBA for a Restaurant Revitalization Fund to assist the industry. The U.S. House and Senate passed a bill, S.4008, which would've added $40 billion to the plan - a significant increase over the approximate $29 billion originally proposed in the RRF. Outdoor diners at the Bit and Spur Saloon in Springdale, Utah, in summer 2020. Congress can talk about refilling the Restaurant Revitalization Fund, but it can never be full enough to service all factions who can claim, with some plausibility, that they experienced unfairness not easily distinguished from that suffered by factions who benefited from the first $28 billion. Even the Restaurant Revitalization Fund, with its paltry $28.6 billion in initial funding, wasn't enough to meaningfully help most establishments. Would a grant recipient ever have to pay back any of the funds? Bei der Nutzung unserer Websites und Apps verwenden wir, unsere Websites und Apps fr Sie bereitzustellen, Nutzer zu authentifizieren, Sicherheitsmanahmen anzuwenden und Spam und Missbrauch zu verhindern, und, Ihre Nutzung unserer Websites und Apps zu messen, personalisierte Werbung und Inhalte auf der Grundlage von Interessenprofilen anzuzeigen, die Effektivitt von personalisierten Anzeigen und Inhalten zu messen, sowie, unsere Produkte und Dienstleistungen zu entwickeln und zu verbessern. Stay informed as we add new reports & testimonies. LOS ANGELES, CA / ACCESSWIRE / May 2, 2022 / The Restaurant Revitalization Fund (RRF) has promising news that funds may be added, however, are not guaranteed just yet. "After navigating an unpredictable supply chain, multiple COVID-19 surges, and dealing with revenue-hampering restrictions, these businesses have two years of crushing debt," Erika Polmar, the IRC's executive director, said in a statement. CPF, documento de identificao ou Cdigo da Conta. However, in May, the Senate didnt pass the proposed increase, which was viewed by many as a setback. Painel do Inscrito. By June 2021, the fund's $28.6 billion had been disbursed to 100,000 applicants in grants averaging $283,000. 3807 or, the Relief for Restaurants and other Hard Hit Small Businesses Act of 2022, which would provide about $42 billion to provide fresh funding for the RRF . Less than 10 days after the SBA launched the RRF Portal, the applications submitted equated to more than twice the amount of funds available. The Restaurant Revitalization Fund covered period begins on February 15, 2020 and ends on March 11, 2023. Or 28,399 closures. Restaurant Revitalization Fund (RRF) Updates - August 2022 97 views Aug 29, 2022 0 Dislike Share RASI - Restaurant Accounting Services Inc 494 subscribers The SBA is set to award an. Atendimento ao inscrito. There are several strategic . Recipients cannot claim other expenses paid with RRF grant money as nonpayroll costs for purposes of PPP forgiveness. 2023 Restaurant Accounting Services Inc. All Rights Reserved. The restaurant industry was the hardest hit by the pandemic. However, for expensesses incurred on February 15, 2020 or after, be careful not to use the following: So long as funds are utilized for eligible applications no later than March 11, 2023, there is no requirement for recipients to repay the funding. SBA stopped accepting applications in July 2021 with the program oversubscribed and almost all its funds disbursed. In 2020, independent locations declined by 8 percent, according to The NPD Group. A particular section of the legislation, Section 5003, laid the foundation for the Restaurant Revitalization Fund. Nevertheless, the Replenishment bill barely passed the House 223 to 203 in April, with only six Republicans favoring it and only four Democrats opposed. Six weeks ago six weeks of economic recovery ago Britschgi noted that in general, there are more small businesses open today than existed before the pandemic. And almost all government-dictated restrictions on commerce have ended. The unfortunate outcome however was that the demand for the funds was far greater than the supply. By contrast, almost half of restaurants that didn't receive RRF funding said it's unlikely they will survive the pandemic, and 94% reported an RRF grant would allow them to retain or rehire staff, according to NRA research. It includes greater auditing requirements for restaurant grants to prevent fraud, as well as new transparency and customer service provisions to ensure that SBA shares information. We are beyond disappointed that this massive government funding proposal ignores the needs of 177,300 neighborhood restaurants and bars impacted by the pandemic, IRC executive director Erika Polmar said. Number of Restaurant Revitalization Fund Applications by Eligibility and Funding Status. In March 2021, Congress appropriated $28.6 billion to the Small Business Administration to help the food service industry weather the COVID-19 pandemic. Just over 100,000 businesses received funding (40 percent of eligible applicants). This recommendation will remain open until SBA develops and implements policies and procedures for addressing RRF award recipients who do not meet annual reporting requirements. GAO maintains that all of the recommendations are valid, as discussed in this report. Is the grant money taxable and are the expenses deductible? Among the 435 congressional districts, surely not one lacks businesses eligible for aid, especially from the Senate bill. On April 7, 2022, the House passed H.R. the aid could benefit? The Small Business Administration (SBA) began accepting applications and awarding funds in May 2021. CPF, documento de identificao ou Cdigo da Conta. (Recommendation 6), The Associate Administrator for the Office of Capital Access should develop and implement a plan to respond to potentially fraudulent and ineligible RRF awards in a prompt and consistent manner. (Recommendation 1), The Associate Administrator for the Office of Capital Access should assess how the design of RRF pre-award controls may have adversely affected applicants from U.S. territories, and identify and document steps to mitigate this issue for future programs. The wisdom of those measures is debatable; the pain from them is undeniable. The President has encouraged most people to stop wearing masks in indoor spaces, something that was unthinkable a year ago. Today's announcement is great news for those 169 operators fortunate enough to receive an RRF grant, but hundreds of thousands more are struggling with uncertainty. No later than December 31, 2021, all recipients are required to report to the SBA how much of their RRF grant has been used against each eligible use category. Klicken Sie auf Alle ablehnen, wenn Sie nicht mchten, dass wir und unsere Partner Cookies und personenbezogene Daten fr diese zustzlichen Zwecke verwenden. So, however, is this: Once government begins to pursue the chimera of ever-more-perfect fairness, it finds actually, it incites more and more factions claiming that justice demands their inclusion in the governments ever-expanding plans for smoothing lifes rough surfaces. Many hoped that would mean more money into the RRF, which wasnt able to distribute the vast majority of monies requested by restaurants due to lawsuits over a rule intended to help that aid reach minority-owned businesses first. Publicly Released: Jul 14, 2022. A requirement for annual reporting submissions applies to any applicant who doesnt fully expend RRF grant funds before December 31, 2021. Until these funds were used up, they were available for eligible entrepreneurs, establishments, and corporations. As a restaurant owner, youve most definitely heard about the varying RRF updates throughout the last year, how they could possibly impact your establishment, and more. In January 2023, SBA stated that SBA's Office of Financial Program Operations had partnered with the agency's Office of the Chief Data Office to execute data analytics across the RRF portfolio. Back in January, a Biden administration official said pretty plainly that the president had no plans to support a new comprehensive stimulus for all Americans, but did hint that there might be something small for restaurants on the way. They are on the verge of closing permanently as a result.". SBA stated that the agency will review a sample of RRF awards and use the results of this review to inform the effectiveness of its post-award procedures. In addition to restaurants and bars, eligible businesses include food trucks, bakeries, wineries or breweries and inns. Lawmakers. ET, 5 store-level changes driving the Starbucks union, How 6 restaurant giants are hiking menu prices, Starbucks faces corporate employee revolt, Wendys offers franchisees reduced royalty rate, slashes fees on new restaurants, Bonchon to double US presence within 5 years, NRA: One-third of operators predict ghost kitchens will decline, How Retailers Can Embrace New Collaborations with Brands, Reimagining the dine-in experience with technology, How Restaurants Can Turbocharge Loyalty Programs with Payment Data, Starbucks fired a union organizer. Taking additional steps to identify and address potentially fraudulent awards in a timely manner could help SBA recover funds. While SBA prevented over 30,000 suspicious applications from receiving awards, GAO identified systemic control weaknesses. Everything from labor to packaging to utilities have gotten more expensive, and that ongoing rise in the cost of doing business continues to have a disproportionate impact on small businesses like restaurants. "With the looming threat of another variant and growing challenges of inflation for both operators and consumers, the economic boost RRF will provide for those 177,000 restaurants would reach far into our communities," Sean Kennedy, NRA's executive vice president of public affairs, wrote in the letter. What is the timeframe for using the RRF grant money? Stay up to date on the news from Silicon Valley, and how to take back control of your data and devices. The median award was about $126,000. And stop digging. The U.S. House of Representatives voted yes on a bill Thursday that would provide $42 billion in relief to foodservice businesses that originally applied for the . As a recap, the Restaurant Revitalization Fund was created to give restaurants and other hospitality-related businesses the financial assistance that they need to get through this world-wide pandemic.To ensure all types of restaurant owners receive funding, including smaller establishments and minority . Recipients that are unable to use all of the funds received on eligible expenses by the end of the covered period must return any unused funds to the Treasury. RASI will only use your information to contact you about our products and services. Arriving as federal spending has driven inflation to a 40-year high, the Replenishment Act indicates disregard for this rule: When you are in a hole, quit digging. ), buses and ferries, etc. WASHINGTON The House passed a $55 billion bill Thursday that would provide assistance to restaurants and other small businesses that have struggled because of the coronavirus pandemic. Published May 24, 2022 Thai Phi Le Senior Managing Editor The freshest news from the food world every day. The first reports were due in December 2021, but 32 percent were overdue as of June 2022. For more information about the SBA, visit sba.gov. Priority is to be provided to previous RRF applicants that did not receive an award. The American Rescue Plan created the Restaurant Revitalization Fund. Hes also encouraged people to stop working from home and head back into their offices in an effort to move forward after two years of absolute chaos and devastation. By the time it closed in July 2021, the RRF gave out just about a third of the grant requests that it received because the demand was so great. Make Your Nomination for Restaurant Informers 2023, Lapeer Steak and Seafood Lands New Executive Chef McAlpine, Payback Time: What To Do About Your PPP or EIDL Loan, Georgia Hospitality Expo & ProStart Invitational 2023. Dont do that. Environmental, Social and Governance (ESG), HVAC (Heating, Ventilation and Air-Conditioning), Machine Tools, Metalworking and Metallurgy, Aboriginal, First Nations & Native American, A New Normal Takes Hold; Restaurants Focused on Paths to Continued Growth in 2023, DIRECTV for BUSINESS and National Restaurant Association Team-Up to Enhance the Restaurant Experience and Advance Restaurant Workers. The National Restaurant Association is asking Congress to replenish the Restaurant Revitalization Fund as the Covid omicron variant hits operators' businesses.

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