May 2026

Monthly News & Updates

Chairman's Message

Aloha HRA Ohana,

I am writing this from my hotel after spending the last 4 days at the 2026 National Restaurant Association Show in Chicago, and what an impressive show it was! Sheryl and I represented Hawaii and attended the Annual NRA Leadership Conference the day before the show, which had representatives from most of the 50 states. Key issues facing our industry were discussed, best practices were shared, and networking with other leaders in the industry truly made it a rewarding and overall great experience.

The next 3 days, Sheryl and I attended the expo itself, which was held at the massive McCormick Place on the Chicago waterfront. The size of the expo was bigger than any I have ever attended, and I felt that even 3 days wasn’t enough to see everything and visit all of the vendors. Sheryl rounded up as many of the Hawaii attendees as she could for our annual picture together, and it was great to see over 30 people from Hawaii there, although I’m sure there were many more who didn’t make the photo op. For anyone who hasn’t attended before, I highly recommend checking it out. After attending the Leadership Summit and Show, I came away with some thoughts I’d like to share with you all:

SONIC Opens First Oʻahu Location in Kapolei

SONIC Drive-In officially opened its first Oʻahu location in Kapolei on Saturday, May 16, marking the brand's expansion into a second Hawaiʻi market following its Maui debut in 2023. The locally owned restaurant features roller-skating carhops, double drive-thru lanes, patio seating, and Hawaiʻi-exclusive menu items, including the Teriyaki Smasher.

The strong turnout at the grand opening reflected community excitement for the brand's arrival in West Oʻahu, adding another option to the area's growing dining landscape.

Join Us at the 18th Annual HRA Golf Tournament - July 28

The 18th Annual Hawaiʻi Restaurant Association Golf Tournament, presented by HMAA, is happening Tuesday, July 28 at Pearl at Kalauao. One of the premier events on Hawaiʻi's foodservice industry calendar — and Platinum team spots are nearly sold out. If you've been considering joining us on the course, now is the time to secure your spot.



We also have options to participate for non-golfers, hole sponsorships are also available — a high-visibility way to put your brand in front of Hawaiʻi's top foodservice owners, operators, and industry leaders. Open to both HRA members and non-members.

HRA Members: You May Be Entitled to an IRS Penalty & Interest Refund

Two recent federal court rulings have determined that the IRS lacked authority to assess certain penalties and interest charges during the COVID disaster period (2020–2023). As a result, small business owners who were penalized during that time may be eligible to recover those amounts — but the IRS will not issue them automatically — you must file a claim to receive a refund.

Adesso Tax Services is a Hawaiʻi Restaurant Association member and trusted tax recovery firm that handles the entire claim process on your behalf.

You may qualify if, between 2020 and 2023, you:

• Filed a tax return late and were charged a late-filing penalty
• Paid taxes late and were charged late-payment penalties or interest
• Received an IRS notice such as a CP14 or CP504

How it works:

1. Complete a short 2-minute online questionnaire to assess your eligibility
2. Authorize Adesso to access your IRS transcripts and file on your behalf
3. Adesso identifies qualifying amounts and prepares your claim
4. The claim is mailed to you for signature, then filed with the IRS



With a June 20th deadline, now is the time to check your eligibility.

SBA Disaster Loans Available for Hawaiʻi Storm Recovery

The U.S. Small Business Administration is offering low-interest federal disaster loans to Hawaiʻi businesses, private nonprofits, homeowners, and renters affected by the severe storms, flooding, landslides, and mudslides that occurred from March 10 to 24. Hawaiʻi County, Maui County, and the City and County of Honolulu are eligible for both physical damage loans and Economic Injury Disaster Loans.



The deadline to apply for physical damage loans is June 10, 2026, and the deadline for Economic Injury Disaster Loans is January 7, 2027. Apply at sba.gov/disaster or contact the SBA Customer Service Center at (800) 659-2955.

Oʻahu Small Business Loan Fund: Applications Now Open

Applications opened May 20 for the Oʻahu Small Business Loan Fund, a public-private partnership between the City and County of Honolulu's Office of Economic Revitalization and Feed the Hunger. The program provides low-interest loans for early-stage entrepreneurs on Oʻahu who may not qualify for conventional bank financing.



The fund is designed for businesses with little to no credit history, no minimum credit score requirement, and operations that are either pre-revenue or under three years old. It's a strong opportunity for emerging Hawaiʻi food and restaurant businesses looking for accessible startup capital.

Apply for WE by CPB Rising Tide Cohort 6

Applications are open for the sixth cohort of WE by CPB Rising Tide, a ten-session entrepreneur program sponsored by Central Pacific Bank in partnership with YWCA Oʻahu's Patsy T. Mink Center for Business and Leadership and Rising Tide Hawaiʻi. The program is designed for women business owners looking to strengthen their financial management, marketing, and leadership skills.



The program is open to for-profit, 51% woman-owned businesses with at least three years of operation and annual revenue between $250,000 and $5 million. All program fees are fully funded by Central Pacific Bank. Applications close June 7, 2026.

Hawaii Restaurant Association in the News

• KHON2 — Crucial Mother's Day for Recovering Businesses
• Hawaii News Now — Hawaii Residents Feel Pressure of Rising Fuel Costs

Farm-to-School Program Showcases Hawaiʻi-Grown Ingredients at Scale

Hawaiʻi's Department of Education farm-to-school program continues to demonstrate the strength of local sourcing at scale, most recently through a statewide school lunch featuring pork guisantes made with Hawaiʻi-grown ingredients. The meal utilized more than 7,400 pounds of locally sourced pork from Island Farms in Waiʻanae and nearly 950 pounds of Hawaiʻi-grown green bell peppers — a clear example of how local agriculture can support institutional food service in meaningful volume.



The initiative reflects an ongoing effort to connect Hawaiʻi farmers with statewide food service operations, providing fresh, locally grown ingredients to students while strengthening the broader local food ecosystem. Positive student reactions to the dish underscore the program's continued momentum.

Getting Immigration Reform Right for Restaurants

The National Restaurant Association has outlined three principles to guide immigration reform that reflects the realities restaurant operators face every day. With nearly one in four restaurant workers born outside the United States and labor shortages projected to continue, immigration reform is a core workforce issue for restaurants of every size and concept.



In a 90-second video update, NRA leadership walks through the principles: protecting the current workforce, fixing the work visa system, and building a modern immigration system for the future. The framework aims to support operators, employees, guests, and local economies alike.

DOL Rescinds Biden-Era Overtime Rule

The U.S. Department of Labor has officially rescinded the Biden-era overtime rule that would have expanded overtime eligibility for millions of salaried workers. With the rule formally removed, the DOL is restoring the 2019 standard of $684 per week, or approximately $35,500 annually.



For restaurant operators, this means current federal overtime requirements remain unchanged, providing consistency after months of legal uncertainty. Operators who adjusted pay or classifications in anticipation of the 2024 rule should consult their legal teams to review next steps. State-level overtime laws may still impose higher thresholds and require continued compliance review.

Webinar: How Apprenticeships Empower the Restaurant Industry

Nine out of every ten restaurant managers started their industry career in entry-level roles. To strengthen pathways for workforce growth, the National Restaurant Association Educational Foundation partnered with the U.S. Department of Labor in 2016 to establish the first nationwide, industry-recognized apprenticeship initiative — a model that combines paid on-the-job training with classroom instruction.

This recorded webinar from National Apprenticeship Week features Apprenticeship program graduates and employer partners who have seen success with the model over the past decade, offering operators a practical look at how apprenticeships can support talent development and long-term workforce stability.

Wholesale Food Prices Trending Higher

According to recent National Restaurant Association analysis, wholesale food prices have trended higher in recent months, adding pressure to restaurant operators already navigating rising costs across labor, energy, and insurance. The shift reflects broader inflationary trends and may continue to impact menu pricing strategies and overall profitability.



Operators are encouraged to monitor wholesale cost movements closely and review purchasing strategies to mitigate the impact on margins.

Navigating a "Complex" Consumer Environment

The restaurant industry is navigating what the National Restaurant Association is calling a "complex" consumer environment, marked by low consumer sentiment, ongoing cost pressures, and reduced visit frequency. Despite these challenges, consumers are still prioritizing dining out, giving operators an opportunity to adjust value strategies and sustain demand.



Concepts like Fogo de Chão and DineAmic Hospitality are leaning into expanded value offerings and weekday-focused promotions to capture both pressured consumers and higher-income guests looking for an enhanced experience at the right price point.

Restaurant Sales Rise for Third Consecutive Month

Eating and drinking places registered total sales of $101.0 billion on a seasonally adjusted basis in April, according to preliminary U.S. Census Bureau data — up 0.6% from March and marking the third consecutive monthly increase. The continued rise comes despite significant wallet competition from surging gas prices, signaling resilience in consumer dining behavior.



Larger tax refunds and recent stabilization in the labor market have helped buoy consumer spending, though both factors will need to continue playing their part as elevated gas prices persist.