GRA Weekly | June 27, 2021

GRA Weekly

June 27, 2021

LATEST RRF UPDATE

SBA Revokes More RRF Grants

Last Wednesday, more of the previously approved applicants received rejection notices for Restaurant Revitalization Fund (RRF) grants. According to the Independent Restaurant Coalition, the SBA informed 2,965 restaurants and bars already approved for an RRF grant that they would no longer receive funding.

The SBA’s latest decision was based on reviewing applications “due to an invalid industry flag” during the period when it was forced to stop prioritizing. It also told operators to not apply again and that it would maintain their processed application in the queue. Unless Congress replenishes the fund with $60 billion in additional funding, those applications will not be able to be processed again. Read More.

Some steps to take:

Contact the SBA at 844-279-8898
Contact your bank to ensure that the deposit has not been blocked due to fraud prevention systems
Contact your Representatives to make them aware of your situation and ask for assistance

SUPPORT RRF REPLENISHMENT

There have been a lot of announcements from the SBA this week on Restaurant Revitalization Fund (RRF) grants, but a lot of questions remain. Get the latest intel and perspective in last Friday's 90-Second Update.

As you know, legislation is pending in Congress to provide an additional $60 billion in funding for the RRF. Below is the list of those that have cosponsored the bill in the Senate. If you haven’t weighed in with your Senators, please do so using this link. Securing more bipartisan cosponsors on the bill signals to Washington leaders that finishing the mission of the RRF is a needed priority for restaurants.

RRF Replenishment Act – Senate Cosponsors (as of June 25)

Alaska

Sen. Lisa Murkowski (R)

Arizona

Sen. Kyrsten Sinema (D)

Sen. Mark Kelly (D)

Connecticut

Sen. Richard Blumenthal (D)

Iowa

Sen. Joni Ernst (R)

Illinois

Sen. Dick Durbin (D)

Maryland

Sen. Chris Van Hollen (D)

Michigan

Sen. Debbie Stabenow (D)

Mississippi

Sen. Roger Wicker (R)

Sen. Cindy Hyde-Smith (R)

New Jersey

Sen. Robert Menendez (D)

New Mexico

Sen. Martin Heinrich (D)

Wisconsin

Sen. Tammy Baldwin (D)

DOL ANNOUNCED PROPOSED RULES

US DOL Announced Proposed Rules Setting Forth New Tip Regulations Under The Fair Labor Standards Act

The U.S. Department of Labor recently announced a notice of proposed rulemaking to limit the amount of non-tip producing work that a tipped employee can perform when an employer is taking a tip credit. The proposed rule clarifies when an employee is working in a tipped occupation and when a worker has performed such a substantial amount of non-tipped labor that an employer can no longer take a tip credit and must pay the full federal minimum wage to the worker.

The Fair Labor Standards Act allows employers with tipped workers to pay as little as $2.13 per hour in direct wages, while taking a credit against the tips earned by the employee to make up the balance of the federal minimum wage of $7.25 per hour.

The proposed rule also clarifies that an employer may only take a tip credit when tipped employees perform labor that is part of their tipped occupation. Work considered part of the tipped occupation includes labor that produces tips and labor that directly supports tip-producing work, so long as the employee does not perform it for a substantial amount of time. For example, waiting on tables is an example of labor that produces tips for the worker. Labor that supports a server’s tip-producing work includes a server folding napkins or refilling salt and pepper shakers.

The proposed rule also clarifies that if an employee performs work that directly supports tip-producing work for a substantial amount of time – which either exceeds 20 percent of all of the hours worked during the employee’s workweek or exceeds 30 continuous minutes – that worker is no longer performing work that is part of the tipped occupation. The proposal clarifies that employers may not take a tip credit for work that is not part of the tipped occupation.

The department invites comments from the public on the proposed rule at www.regulations.gov. The comment period closes August 23, 2021.

WAGE AND HOUR WEBINAR

Wage and Hour Considerations for Reopening Your Restaurant

A one-hour live webinar on Wednesday, June 30, at 3:00PM will focus on various wage and hour aspects of reopening, including reimbursement for expenses, tip pooling and tip policies, predictive scheduling compliance, reporting time pay, payment for wellness checks, compensation for extra tasks related to disinfecting and protection, and handling unvaccinated workers.

Join Angelo Amador from the Restaurant Law Center and attorney Eli Freedberg with Law Firm Partner Littler Mendelson as they address unique issues that hospitality employers are facing in the wake of the COVID-19 pandemic. Eli will also provide insight on how the restaurant industry can get back to work.

Wednesday, June 30 | 3:00PM

REST IN PEACE

On Tuesday, June 15th, Chef Bobby Holley (Executive Chef of The Atlanta Fish Market) tragically went into cardiac arrest. His family and emergency medical technicians provided the best possible care they could. Sadly, on June 20th, Father’s Day, he passed away peacefully.

Everyone who knows Chef Bobby knows he is immensely loved and respected not only by his beloved wife, Amy, and their two young children, Connor (11) and Lindsey (13), but also by our Buckhead Life Family.

Although nothing will ease the pain his family is feeling during this devastating time, let us join together for the Holley’s to help alleviate some of the overwhelming financial burden that comes with this heartbreaking event.

From the funds collected, Buckhead Life Restaurant Group will match the amount donated. Donate Today.

SMALL BUSINESS TAX CREDIT PROGRAMS

Small Business Tax Credit Programs

Did you know that the American Rescue Plan extends a number of critical tax benefits, particularly the Employee Retention Credit and Paid Leave Credit, to small businesses? The American Rescue Plan extends a number of critical tax benefits, particularly the Employee Retention Credit and Paid Leave Credit, to small businesses. Learn More.

COBB FOODIE WEEK

Join in the fun of #CobbFoodieWeek by offering a sweet meal deal, redeemable September 11-18, 2021! This could be a discount, coupon, giveaway or a prix fixe menu option. All restaurants within Cobb County limits are eligible to participate at no cost, but are required to submit a meal deal to be included in Cobb Foodie Week promotions including online articles, chef highlight videos, targeted e-blasts, social media advertising, and influencer marketing. The sooner you submit your deal, the sooner we can begin promoting your restaurant’s participation in Cobb Foodie Week! Learn more at www.cobbfoodieweek.com.

CHILD TAX CREDIT

Starting on Thursday, July 15, nearly all working families in the United States will start receiving their Child Tax Credit. The Child Tax Credit in the American Rescue Plan provides the largest Child Tax Credit ever and historic relief to the most working families ever – and most families will automatically receive monthly payments without having to take any action. Learn More.