restaurant revitalization fund update 2022
), buses and ferries, etc. For more information, visitRestaurant.org and find us on Twitter@WeRRestaurants, Cision Distribution 888-776-0942 A requirement for annual reporting submissions applies to any applicant who doesnt fully expend RRF grant funds before December 31, 2021. The RRF is actually part of the American Rescue Plan Act (ARPA), which was established in March 2021. 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. The bill would also put $13 billion toward other businesses impacted by the COVID-19 crisis. Restaurant Revitalization Fund Award Disbursements, May 3July 1, 2021. And SBA has not proactively used data analytics or information from enforcement entities to identify potentially fraudulent award recipients. This field is for validation purposes and should be left unchanged. What to do? Restaurant owners have taken on substantial debt and tapped into their own savings accounts, just in an effort to keep the doors open. Lawmakers ask SBA for disbursement plan for $180M RRF leftovers How many restaurants originally benefited from the Restaurant Revitalization Fund? The nation has never experienced as large and abrupt an intervention as the cumulative federal and state lockdowns of commercial activity imposed when covid-19 surged in 2020. This is not an infusion of funds into the RRF currently; in. U.S. Small Business Administration RRF Award Portal, Restaurant Revitalization Funding Program. This recommendation will remain open until SBA (1) assesses how the design of RRF pre-award controls may have adversely affected applicants from U.S. territories, and (2) documents steps to mitigate this issue for future programs. 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. Published: Jul 14, 2022. The Latest Restaurant Revitalization Fund (RRF) Updates Restaurant Revitalization Fund (RRF) Updates - August 2022 This is not an infusion of funds into the RRF currently; in fact, a new law was introduced and passed by the House of Representatives to replenish the RRF with more than $40 billion, but it did not pass the Senate (See June 2022 update below).It is not clear how, when, or to whom these RRF grants will be issued, so do not throw away any correspondence from the SBA because you may be one of the lucky stores to receive an extremely late RRF grant!As we learn more from the Small Business Administration (SBA) about the Restaurant Revitalization Fund (RRF) and any updates surrounding it, we will continue to make updates on the blog post and right here on The Tip Share!Read the full Blog Post: https://rasiusa.com/blog/restaurant-revitalization-fund-updates/Listen to the full Podcast Episode: https://anchor.fm/the-tip-share/episodes/Restaurant-Revitalization-Fund-RRF-Updates---August-2022-e1mtkjl/a-a8e5o0oSocial Handles: RASI Instagram: https://www.instagram.com/rasinc__/RASI Twitter: https://twitter.com/RASInc_RASI Facebook: https://www.facebook.com/RestaurantAccountingServicesIncRASI LinkedIn: https://www.linkedin.com/company/restaurant-accounting-services-inc-rasi Chapters:00:00 Intro00:15 $180 Million in RRF Unspent Funds - August 2022 Update00:48 What's next for the Restaurant Revitalization Fund in 2022 and into 2023?#RASI #FocusOnFoodNotFinances#restaurantaccounting #restaurantaccountingservices #restaurantaccountingsoftware #restaurantpurchasing #restaurantpurchasingprogram #restaurantbudgets #restaurantbudgeting #foodcosting #menuengineering #restaurantoperations #restaurantpayroll #restaurantHR #restaurantcompliance #restaurantconsulting #restaurantinventorymanagement #openingarestaurant #restaurantstartup RRF Taxability, RRF Update and ERC taxability LOOK What Happened When This Restaurant Posted a Politically Incorrect Sign. The American Rescue Plan created the Restaurant Revitalization Fund. "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. Rep. Earl Blumenauer, D-Ore., the main sponsor of the bill, and Rep. Dean Phillips, D-Minn., said Thursday that more than 80 percent of restaurants that didn't receive grants have reported that they are on the verge of permanent closure, citing a survey from the Independent Restaurant Coalition. The House already has passed H.R. CEO of Berryhill Baja Grill restaurants in Houston, Jeff Anon, decided to take matters into his own hands in regards to declaring his right to free speech. 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. Weitere Informationen ber die Verwendung Ihrer personenbezogenen Daten finden Sie in unserer Datenschutzerklrung und unserer Cookie-Richtlinie. By June 2021, the fund's $28.6 billion had been disbursed to 100,000 applicants in grants averaging $283,000. Do it again, but bigger. For more information, please check out our Privacy Policy. The wisdom of those measures is debatable; the pain from them is undeniable. Senha. There comes a point where the right policy is: Stop smoothing. The Restaurant Revitalization Fund covered period begins on February 15, 2020 and ends on March 11, 2023. This government aide says it knows what voters want. For more information about the SBA, visit sba.gov. Christian Britschgi is dubious. From independent operators to hospitality groups, most are disappointed and some are angry that there remains no federal aid to support struggling restaurants. Lawmakers. Rescuing restaurants (again) ought to give Congress indigestion, Sign up for a weekly roundup of thought-provoking ideas and debates, Alex Murdaughs conviction rested on a fateful phone video. This will remain until they fully expend the grant funding or the covered period expires. IE 11 is not supported. 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. To amend the American Rescue Plan Act of 2021 to increase appropriations to the Restaurant Revitalization Fund, and for other purposes. Updates to the Restaurant Revitalization Fund - ARF Financial In 2020 and 2021, restaurants, bars, and other food service businesses experienced substantial revenue loss and unemployment resulting from the COVID-19 pandemic. 2023 Restaurant Accounting Services Inc. All Rights Reserved. RASI will only use your information to contact you about our products and services. from 8 AM - 9 PM ET. The NRA wrote a letter to Congress on Monday urging policymakers to pass legislation that would refill the fund. It should take place Monday or Tuesday . However, in May, the Senate didn't pass the proposed increase, which was viewed by many as a setback. The SBA closed the program and stopped accepting applications on July 2nd, 2021. SBA disagreed with five recommendations, including to assess pre-award controls and implement a plan to address fraudulent or ineligible awards. The 177,000 restaurants that applied but didn't receive RRF funding represent around 20% of the industry, according to the National Restaurant Association, suggesting another round of restaurant-specific federal grants could improve the industry's recovery. GAO maintains that all of the recommendations are valid, as discussed in this report. Reps. Brian Fitzpatrick (R, PA) and Earl Blumenauer (D, OR), and Sens. National Restaurant Association Statement on the Release of $83 Million With so many questions surrounding the RRF, we created this resource and guide to provide answers. The President has encouraged most people to stop wearing masks in indoor spaces, something that was unthinkable a year ago. 3807 passes the House and then the Senate, it would be a massive victory for restaurants that are struggling to shake the effects of past dining room restrictions as they navigate supply chain shortages, surging inflation and a historic labor shortfall. 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 industry still has not recreated 565,000 jobs lost at that time, which is the largest current employment deficit caused by the pandemic among all U.S. industries. Restaurant Revitalization Fund Approaches Final Stand This recommendation will remain open until SBA (1) provides documentation of its review, and (2) addresses or mitigates any deficiencies identified. Until these funds were used up, they were available for eligible entrepreneurs, establishments, and corporations. "We hear from restaurants and bars owners each day who applied for a grant and never received one. Klicken Sie auf Alle ablehnen, wenn Sie nicht mchten, dass wir und unsere Partner Cookies und personenbezogene Daten fr diese zustzlichen Zwecke verwenden. In the initial shutdowns, more than eight million industry employees were laid off or furloughed. Follow. | 2 p.m. National Restaurant Association asks Congress for aid amid omicron The SBA is set to award an added $180 million in unspent funds allocated for the Restaurant Revitalization Fund (RRF) back in 2021. The first reports were due in December 2021, but 32 percent were overdue as of June 2022. 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. Recipients cannot claim other expenses paid with RRF grant money as nonpayroll costs for purposes of PPP forgiveness. (Recommendation 7), Restaurant Revitalization Fund: Opportunities Exist to Improve Oversight. And it underscores the inevitable inequities that accompany large-scale government interventions in the economy. Washington has succumbed to dangerous groupthink on China, Google releases civil rights review, caving to years of pressure. The SBA is set to award an added $180 million in unspent funds allocated for the Restaurant Revitalization Fund (RRF) back in 2021. There are several strategic . 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. Congress eventually set aside $28.6 billion dollars for the RRF in the American Rescue Plan Act. 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. More than 90,000 restaurants closed permanently or long-term because of the pandemic. The bill also would provide $13 billion for a Hard Hit Industries Award Program for small As a result, the U.S. Congress introduced legislation called the Restaurant Revitalization Fund (RRF) to help restaurants get back on their feet. (Recommendation 3), The Associate Administrator for the Office of Capital Access should enhance RRF post-award reporting procedures by adding requirements for recipients to report their operating status. There had, however, been 278,304 applicants seeking $72 billion. Or 28,399 closures. House passes aid for restaurants, small businesses affected by Covid Wenn Sie Ihre Auswahl anpassen mchten, klicken Sie auf Datenschutzeinstellungen verwalten. Use of Funds Validation is now available for Restaurant Revitalization Fund awardees. Restaurant Revitalization Fund Distributes $83M in Remaining Funds November 28, 2022 On Nov. 23, the U.S. Small Business Administration (SBA) released a statement about the current state of the Restaurant Revitalization Fund (RFF), which helped more than 100,000 restaurants and food and beverage business owners during the pandemic. For instance, it prevented over 30,000 suspicious applications from receiving awards. 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. According to the American Rescue Plan Act of 2021 (ARPA), the amounts received from the SBA in the form of a Restaurant Revitalization Grant shall not be included in gross income (non-taxable); additionally, the expenses incurred are deductible. The House is expected to vote on the bill,which has a mix of 234 Democratic and Republican sponsors, this week. National Restaurant Association Nov 23, 2022, 16:51 ET WASHINGTON, Nov. 23, 2022 /PRNewswire/ -- Today, the Small Business Administration (SBA) announced the release of $83 million dollars in. Apr 7, 2022. Restaurant Revitalization Fund: Opportunities Exist to Improve Rebecca Shabad is a politics reporter for NBC News based in Washington. Rescuing restaurants (again) ought to give Congress indigestion Including $85 million for certain border region businesses, such as those in (herewith a geography lesson) the Northwest Angle, which CQ Roll Call explains is a region of Minnesota that is separated from the rest of the state by the Lake of the Woods but shares land borders with Canada, whose strict pandemic protocols injured Americans living in the Angle. Even the Restaurant Revitalization Fund, with its paltry $28.6 billion in initial funding, wasn't enough to meaningfully help most establishments. Is another round of the Restaurant Revitalization Fund coming? The SBA will work with the Department of Justice to disburse the money, according to the NRA. I hear from business owners every day who are having to close their doors and since Congress and the White House couldnt see their way to refill the RRF, hundreds more will face the same fate in the coming weeks.. The age of the Silicon Valley moonshot is over. These restaurants fighting for survival cannot go it alone any longer, and should not be treated as a spot in the rear-view mirror of Congress.". Recipients are not required to repay the funding as long as funds are used for eligible uses no later than March 11, 2023. Copyright 1999 2023 GoDaddy Operating Company, LLC. Realizar Login. Cardin's bill, S.4008, would provide $40 billion in additional funding for the Restaurant Revitalization Fund. Among the 435 congressional districts, surely not one lacks businesses eligible for aid, especially from the Senate bill. In the wake of the COVID-19 pandemic, restrictions on gathering and other crowd control measures had a huge impact on restaurant owners. "We must continue to look forward because the enormous challenges of the industry will continue beyond today. The legislation would also provide $13 billion for other businesses affected by the pandemic, and it would establish oversight and reporting requirements to ensure grants are awarded properly and to verify the use of funding. Is the grant money taxable and are the expenses deductible? The U.S. House and Senate passed a bill, S.4008, which wouldve added $40 billion to the plan a significant increase over the approximate $29 billion originally proposed in the RRF. Taking additional steps to identify and address potentially fraudulent awards in a timely manner could help SBA recover funds. The American Rescue Plan Act (ARPA) established the Restaurant Revitalization Fund (RRF) to provide funding to help restaurants and other eligible businesses keep their doors open. In January 2023, SBA stated that it would offer to participate in a government-wide dialogue to address systemic weaknesses related to IRS and territories' tax validation systems. They are on the verge of closing permanently as a result.". Forty-three Senate Republicans, objecting to the fact that only a smidgen of the Senate bills cost would be offset by economies elsewhere, on May 19 prevented there being 60 votes to proceed with it. In January 2023, SBA stated that it was weighing potential solutions, such as adding functionality in the RRF platform to allow recipients to report their operating status. Recipients cannot claim wages paid with RRF grant money as wages for purposes of the ERTC or PPP forgiveness. In March 2021, Congress appropriated $28.6 billion to the Small Business Administration to help the food service industry weather the COVID-19 pandemic. Congress is voting on a $42 billion Restaurant Revitalization Fund Nearly 1 year ago, the Restaurant Revitalization Fund (RFF) stopped taking applications. 3807), which would refill the Restaurant Revitalization Fund with $42 billion,was reintroduced in. 11 a 13 de maio de 2022 - Lavras/MG. About 40% of eligible applicants received awards from the resulting Restaurant Revitalization Fund before it was depleted. Together with 52 State Associations, we are a network of professional organizations dedicated to serving every restaurant through advocacy, education, and food safety. If you are the site owner (or you manage this site), please whitelist your IP or if you think this block is an error please open a support ticket and make sure to include the block details (displayed in the box below), so we can assist you in troubleshooting the issue. For example, SBA considered applications made through external vendors to be low-risk, but over 4,000 recipients who applied through such a channel have been flagged for suspected fraud or ineligibility, including an alleged fraudster who received $8 million. New York City got him rehired, KFC is getting rid of 5 menu items but one fan favorite is finally coming back, Wagamamas Food Fight With Hedge Fund Is Delicious, Smart Mobility Data: The Essential Guide to US Retail Location Selection, What Diners Want: 5 Top Trends in the Restaurant Industry, NRA forecasts 2023 job growth, not major recession, Starbucks board opposes labor review backed by NYC pension funds, CA bill would establish joint franchisor-franchisee liability for QSRs, The Relief for Restaurants and Other Hard Hit Small Businesses Act of 2022 (H.R. They said at least 90,000 restaurants and bars have closed since the pandemic started more than two years ago. "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. Despite literal years of exhortations from everyone from Tom Colicchio to Elizabeth Warren for Congress to provide aid to restaurants, neither the Biden administration nor Congress has acted in a way to provide meaningful, comprehensive assistance. "This should be the driving factor in bipartisan support for replenishing the RRF. Copyright 2023 Sawyer Direct LLC | All Rights Reserved. All rights reserved. What are eligible expenses and restrictions that RRF grant recipients should know about? Supply chain shortages are still a massive problem for restaurants, and the cost of doing business grows by the day. Updated August 15, 2022 SBA Restaurant Revitalization Fund Grants But, then, weapons systems have been purchased because suppliers of components were spread across the country like tapenade on toast. Sie knnen Ihre Einstellungen jederzeit ndern, indem Sie auf unseren Websites und Apps auf den Link Datenschutz-Dashboard klicken. (Recommendation 2), The Associate Administrator for the Office of Capital Access should develop and implement policies and procedures for addressing RRF recipients who do not meet annual reporting requirements. 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. Calle Walton What Is In Her Hair,
Articles R
), buses and ferries, etc. For more information, visitRestaurant.org and find us on Twitter@WeRRestaurants, Cision Distribution 888-776-0942 A requirement for annual reporting submissions applies to any applicant who doesnt fully expend RRF grant funds before December 31, 2021. The RRF is actually part of the American Rescue Plan Act (ARPA), which was established in March 2021. 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. The bill would also put $13 billion toward other businesses impacted by the COVID-19 crisis. Restaurant Revitalization Fund Award Disbursements, May 3July 1, 2021. And SBA has not proactively used data analytics or information from enforcement entities to identify potentially fraudulent award recipients. This field is for validation purposes and should be left unchanged. What to do? Restaurant owners have taken on substantial debt and tapped into their own savings accounts, just in an effort to keep the doors open. Lawmakers ask SBA for disbursement plan for $180M RRF leftovers How many restaurants originally benefited from the Restaurant Revitalization Fund? The nation has never experienced as large and abrupt an intervention as the cumulative federal and state lockdowns of commercial activity imposed when covid-19 surged in 2020. This is not an infusion of funds into the RRF currently; in. U.S. Small Business Administration RRF Award Portal, Restaurant Revitalization Funding Program. This recommendation will remain open until SBA (1) assesses how the design of RRF pre-award controls may have adversely affected applicants from U.S. territories, and (2) documents steps to mitigate this issue for future programs. 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. Published: Jul 14, 2022. The Latest Restaurant Revitalization Fund (RRF) Updates Restaurant Revitalization Fund (RRF) Updates - August 2022 This is not an infusion of funds into the RRF currently; in fact, a new law was introduced and passed by the House of Representatives to replenish the RRF with more than $40 billion, but it did not pass the Senate (See June 2022 update below).It is not clear how, when, or to whom these RRF grants will be issued, so do not throw away any correspondence from the SBA because you may be one of the lucky stores to receive an extremely late RRF grant!As we learn more from the Small Business Administration (SBA) about the Restaurant Revitalization Fund (RRF) and any updates surrounding it, we will continue to make updates on the blog post and right here on The Tip Share!Read the full Blog Post: https://rasiusa.com/blog/restaurant-revitalization-fund-updates/Listen to the full Podcast Episode: https://anchor.fm/the-tip-share/episodes/Restaurant-Revitalization-Fund-RRF-Updates---August-2022-e1mtkjl/a-a8e5o0oSocial Handles: RASI Instagram: https://www.instagram.com/rasinc__/RASI Twitter: https://twitter.com/RASInc_RASI Facebook: https://www.facebook.com/RestaurantAccountingServicesIncRASI LinkedIn: https://www.linkedin.com/company/restaurant-accounting-services-inc-rasi Chapters:00:00 Intro00:15 $180 Million in RRF Unspent Funds - August 2022 Update00:48 What's next for the Restaurant Revitalization Fund in 2022 and into 2023?#RASI #FocusOnFoodNotFinances#restaurantaccounting #restaurantaccountingservices #restaurantaccountingsoftware #restaurantpurchasing #restaurantpurchasingprogram #restaurantbudgets #restaurantbudgeting #foodcosting #menuengineering #restaurantoperations #restaurantpayroll #restaurantHR #restaurantcompliance #restaurantconsulting #restaurantinventorymanagement #openingarestaurant #restaurantstartup RRF Taxability, RRF Update and ERC taxability LOOK What Happened When This Restaurant Posted a Politically Incorrect Sign. The American Rescue Plan created the Restaurant Revitalization Fund. "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. Rep. Earl Blumenauer, D-Ore., the main sponsor of the bill, and Rep. Dean Phillips, D-Minn., said Thursday that more than 80 percent of restaurants that didn't receive grants have reported that they are on the verge of permanent closure, citing a survey from the Independent Restaurant Coalition. The House already has passed H.R. CEO of Berryhill Baja Grill restaurants in Houston, Jeff Anon, decided to take matters into his own hands in regards to declaring his right to free speech. 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. Weitere Informationen ber die Verwendung Ihrer personenbezogenen Daten finden Sie in unserer Datenschutzerklrung und unserer Cookie-Richtlinie. By June 2021, the fund's $28.6 billion had been disbursed to 100,000 applicants in grants averaging $283,000. Do it again, but bigger. For more information, please check out our Privacy Policy. The wisdom of those measures is debatable; the pain from them is undeniable. Senha. There comes a point where the right policy is: Stop smoothing. The Restaurant Revitalization Fund covered period begins on February 15, 2020 and ends on March 11, 2023. This government aide says it knows what voters want. For more information about the SBA, visit sba.gov. Christian Britschgi is dubious. From independent operators to hospitality groups, most are disappointed and some are angry that there remains no federal aid to support struggling restaurants. Lawmakers. Rescuing restaurants (again) ought to give Congress indigestion, Sign up for a weekly roundup of thought-provoking ideas and debates, Alex Murdaughs conviction rested on a fateful phone video. This will remain until they fully expend the grant funding or the covered period expires. IE 11 is not supported. 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. To amend the American Rescue Plan Act of 2021 to increase appropriations to the Restaurant Revitalization Fund, and for other purposes. Updates to the Restaurant Revitalization Fund - ARF Financial In 2020 and 2021, restaurants, bars, and other food service businesses experienced substantial revenue loss and unemployment resulting from the COVID-19 pandemic. 2023 Restaurant Accounting Services Inc. All Rights Reserved. RASI will only use your information to contact you about our products and services. from 8 AM - 9 PM ET. The NRA wrote a letter to Congress on Monday urging policymakers to pass legislation that would refill the fund. It should take place Monday or Tuesday . However, in May, the Senate didn't pass the proposed increase, which was viewed by many as a setback. The SBA closed the program and stopped accepting applications on July 2nd, 2021. SBA disagreed with five recommendations, including to assess pre-award controls and implement a plan to address fraudulent or ineligible awards. The 177,000 restaurants that applied but didn't receive RRF funding represent around 20% of the industry, according to the National Restaurant Association, suggesting another round of restaurant-specific federal grants could improve the industry's recovery. GAO maintains that all of the recommendations are valid, as discussed in this report. Reps. Brian Fitzpatrick (R, PA) and Earl Blumenauer (D, OR), and Sens. National Restaurant Association Statement on the Release of $83 Million With so many questions surrounding the RRF, we created this resource and guide to provide answers. The President has encouraged most people to stop wearing masks in indoor spaces, something that was unthinkable a year ago. 3807 passes the House and then the Senate, it would be a massive victory for restaurants that are struggling to shake the effects of past dining room restrictions as they navigate supply chain shortages, surging inflation and a historic labor shortfall. 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 industry still has not recreated 565,000 jobs lost at that time, which is the largest current employment deficit caused by the pandemic among all U.S. industries. Restaurant Revitalization Fund Approaches Final Stand This recommendation will remain open until SBA (1) provides documentation of its review, and (2) addresses or mitigates any deficiencies identified. Until these funds were used up, they were available for eligible entrepreneurs, establishments, and corporations. "We hear from restaurants and bars owners each day who applied for a grant and never received one. Klicken Sie auf Alle ablehnen, wenn Sie nicht mchten, dass wir und unsere Partner Cookies und personenbezogene Daten fr diese zustzlichen Zwecke verwenden. In the initial shutdowns, more than eight million industry employees were laid off or furloughed. Follow. | 2 p.m. National Restaurant Association asks Congress for aid amid omicron The SBA is set to award an added $180 million in unspent funds allocated for the Restaurant Revitalization Fund (RRF) back in 2021. The first reports were due in December 2021, but 32 percent were overdue as of June 2022. 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. Recipients cannot claim other expenses paid with RRF grant money as nonpayroll costs for purposes of PPP forgiveness. (Recommendation 7), Restaurant Revitalization Fund: Opportunities Exist to Improve Oversight. And it underscores the inevitable inequities that accompany large-scale government interventions in the economy. Washington has succumbed to dangerous groupthink on China, Google releases civil rights review, caving to years of pressure. The SBA is set to award an added $180 million in unspent funds allocated for the Restaurant Revitalization Fund (RRF) back in 2021. There are several strategic . 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. Congress eventually set aside $28.6 billion dollars for the RRF in the American Rescue Plan Act. 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. More than 90,000 restaurants closed permanently or long-term because of the pandemic. The bill also would provide $13 billion for a Hard Hit Industries Award Program for small As a result, the U.S. Congress introduced legislation called the Restaurant Revitalization Fund (RRF) to help restaurants get back on their feet. (Recommendation 3), The Associate Administrator for the Office of Capital Access should enhance RRF post-award reporting procedures by adding requirements for recipients to report their operating status. There had, however, been 278,304 applicants seeking $72 billion. Or 28,399 closures. House passes aid for restaurants, small businesses affected by Covid Wenn Sie Ihre Auswahl anpassen mchten, klicken Sie auf Datenschutzeinstellungen verwalten. Use of Funds Validation is now available for Restaurant Revitalization Fund awardees. Restaurant Revitalization Fund Distributes $83M in Remaining Funds November 28, 2022 On Nov. 23, the U.S. Small Business Administration (SBA) released a statement about the current state of the Restaurant Revitalization Fund (RFF), which helped more than 100,000 restaurants and food and beverage business owners during the pandemic. For instance, it prevented over 30,000 suspicious applications from receiving awards. 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. According to the American Rescue Plan Act of 2021 (ARPA), the amounts received from the SBA in the form of a Restaurant Revitalization Grant shall not be included in gross income (non-taxable); additionally, the expenses incurred are deductible. The House is expected to vote on the bill,which has a mix of 234 Democratic and Republican sponsors, this week. National Restaurant Association Nov 23, 2022, 16:51 ET WASHINGTON, Nov. 23, 2022 /PRNewswire/ -- Today, the Small Business Administration (SBA) announced the release of $83 million dollars in. Apr 7, 2022. Restaurant Revitalization Fund: Opportunities Exist to Improve Rebecca Shabad is a politics reporter for NBC News based in Washington. Rescuing restaurants (again) ought to give Congress indigestion Including $85 million for certain border region businesses, such as those in (herewith a geography lesson) the Northwest Angle, which CQ Roll Call explains is a region of Minnesota that is separated from the rest of the state by the Lake of the Woods but shares land borders with Canada, whose strict pandemic protocols injured Americans living in the Angle. Even the Restaurant Revitalization Fund, with its paltry $28.6 billion in initial funding, wasn't enough to meaningfully help most establishments. Is another round of the Restaurant Revitalization Fund coming? The SBA will work with the Department of Justice to disburse the money, according to the NRA. I hear from business owners every day who are having to close their doors and since Congress and the White House couldnt see their way to refill the RRF, hundreds more will face the same fate in the coming weeks.. The age of the Silicon Valley moonshot is over. These restaurants fighting for survival cannot go it alone any longer, and should not be treated as a spot in the rear-view mirror of Congress.". Recipients are not required to repay the funding as long as funds are used for eligible uses no later than March 11, 2023. Copyright 1999 2023 GoDaddy Operating Company, LLC. Realizar Login. Cardin's bill, S.4008, would provide $40 billion in additional funding for the Restaurant Revitalization Fund. Among the 435 congressional districts, surely not one lacks businesses eligible for aid, especially from the Senate bill. In the wake of the COVID-19 pandemic, restrictions on gathering and other crowd control measures had a huge impact on restaurant owners. "We must continue to look forward because the enormous challenges of the industry will continue beyond today. The legislation would also provide $13 billion for other businesses affected by the pandemic, and it would establish oversight and reporting requirements to ensure grants are awarded properly and to verify the use of funding. Is the grant money taxable and are the expenses deductible? The U.S. House and Senate passed a bill, S.4008, which wouldve added $40 billion to the plan a significant increase over the approximate $29 billion originally proposed in the RRF. Taking additional steps to identify and address potentially fraudulent awards in a timely manner could help SBA recover funds. The American Rescue Plan Act (ARPA) established the Restaurant Revitalization Fund (RRF) to provide funding to help restaurants and other eligible businesses keep their doors open. In January 2023, SBA stated that it would offer to participate in a government-wide dialogue to address systemic weaknesses related to IRS and territories' tax validation systems. They are on the verge of closing permanently as a result.". Forty-three Senate Republicans, objecting to the fact that only a smidgen of the Senate bills cost would be offset by economies elsewhere, on May 19 prevented there being 60 votes to proceed with it. In January 2023, SBA stated that it was weighing potential solutions, such as adding functionality in the RRF platform to allow recipients to report their operating status. Recipients cannot claim wages paid with RRF grant money as wages for purposes of the ERTC or PPP forgiveness. In March 2021, Congress appropriated $28.6 billion to the Small Business Administration to help the food service industry weather the COVID-19 pandemic. Congress is voting on a $42 billion Restaurant Revitalization Fund Nearly 1 year ago, the Restaurant Revitalization Fund (RFF) stopped taking applications. 3807), which would refill the Restaurant Revitalization Fund with $42 billion,was reintroduced in. 11 a 13 de maio de 2022 - Lavras/MG. About 40% of eligible applicants received awards from the resulting Restaurant Revitalization Fund before it was depleted. Together with 52 State Associations, we are a network of professional organizations dedicated to serving every restaurant through advocacy, education, and food safety. If you are the site owner (or you manage this site), please whitelist your IP or if you think this block is an error please open a support ticket and make sure to include the block details (displayed in the box below), so we can assist you in troubleshooting the issue. For example, SBA considered applications made through external vendors to be low-risk, but over 4,000 recipients who applied through such a channel have been flagged for suspected fraud or ineligibility, including an alleged fraudster who received $8 million. New York City got him rehired, KFC is getting rid of 5 menu items but one fan favorite is finally coming back, Wagamamas Food Fight With Hedge Fund Is Delicious, Smart Mobility Data: The Essential Guide to US Retail Location Selection, What Diners Want: 5 Top Trends in the Restaurant Industry, NRA forecasts 2023 job growth, not major recession, Starbucks board opposes labor review backed by NYC pension funds, CA bill would establish joint franchisor-franchisee liability for QSRs, The Relief for Restaurants and Other Hard Hit Small Businesses Act of 2022 (H.R. They said at least 90,000 restaurants and bars have closed since the pandemic started more than two years ago. "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. Despite literal years of exhortations from everyone from Tom Colicchio to Elizabeth Warren for Congress to provide aid to restaurants, neither the Biden administration nor Congress has acted in a way to provide meaningful, comprehensive assistance. "This should be the driving factor in bipartisan support for replenishing the RRF. Copyright 2023 Sawyer Direct LLC | All Rights Reserved. All rights reserved. What are eligible expenses and restrictions that RRF grant recipients should know about? Supply chain shortages are still a massive problem for restaurants, and the cost of doing business grows by the day. Updated August 15, 2022 SBA Restaurant Revitalization Fund Grants But, then, weapons systems have been purchased because suppliers of components were spread across the country like tapenade on toast. Sie knnen Ihre Einstellungen jederzeit ndern, indem Sie auf unseren Websites und Apps auf den Link Datenschutz-Dashboard klicken. (Recommendation 2), The Associate Administrator for the Office of Capital Access should develop and implement policies and procedures for addressing RRF recipients who do not meet annual reporting requirements. 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.