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. Follow. According to the Small Business Administration, which handles the fund, restaurants and other eligible businesses can receive funding "equal to their pandemic-related revenue loss up to $10 million per business and no more than $5 million per physical location." However, in May, the Senate didnt pass the proposed increase, which was viewed by many as a setback. Sie knnen Ihre Einstellungen jederzeit ndern, indem Sie auf unseren Websites und Apps auf den Link Datenschutz-Dashboard klicken. Recipients cannot claim wages paid with RRF grant money as wages for purposes of the ERTC or PPP forgiveness. "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. Painel do Inscrito | Conference Software For an optimal experience visit our site on another browser. SBA stopped accepting applications in July 2021 with the program oversubscribed and almost all its funds disbursed. "We must continue to look forward because the enormous challenges of the industry will continue beyond today. GAO makes seven recommendations to SBA, including to assess pre-award controls and address deficiencies, strengthen post-award reporting, take additional steps to identify fraudulent or ineligible awards, and develop and implement a plan to address potentially fraudulent award recipients in a timely manner. Realizar Login. 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 . For more information, please check out our Privacy Policy. About 40% of eligible applicants received awards from the resulting Restaurant Revitalization Fund before it was depleted. The Latest Restaurant Revitalization Fund (RRF) Updates For more information about the SBA, visit sba.gov. House, Senate introduce bills adding $40B to RRF | Restaurant Dive 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. The wisdom of those measures is debatable; the pain from them is undeniable. Get the free daily newsletter read by industry experts. Access from your Country was disabled by the administrator. Is the grant money taxable and are the expenses deductible? 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. The Small Business Administration (SBA) began accepting applications and awarding funds in May 2021. Supply chain shortages are still a massive problem for restaurants, and the cost of doing business grows by the day. We noted in our report, however, that SBA's post-award review procedures for RRF state that flagged awards will be reviewed when the recipients certify that they have spent their entire award or after they submit their final use-of-funds report (not when fraud is initially suspected). the aid could benefit? This news doesnt exactly come as a surprise, but earlier this year, there was some hope that more money was coming. 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. JUNE 2022: In 2022, many RRF updates are in the works. Copyright 1999 2023 GoDaddy Operating Company, LLC. 3807, the Restaurant Revitalization Fund Replenishment Act of 2021. By June 2021, the fund's $28.6 billion had been disbursed to 100,000 applicants in grants averaging $283,000. Restaurant Revitalization Fund As such, well continue to see the consequences of that failure in the coming months. Recipients are not required to repay the funding as long as funds are used for eligible uses no later than March 11, 2023. 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 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). Painel do Inscrito | Conference Software This program will provide restaurants with funding equal to their pandemic-related revenue loss up to $10 million per business and no more than $5 million per physical location. Realizar Login. The National Restaurant Association is asking Congress to replenish the Restaurant Revitalization Fund as the Covid omicron variant hits operators' businesses. SBA emphasized pre-award controls to detect fraudulent or ineligible applications but has not assessed their effectiveness. The House passed the Relief for Restaurants and other Hard Hit Small Businesses Act of 2022 (H.R. Or 28,399 closures. If H.R. The $55 billion bill would largely replenish a grant program created by the American Rescue Plan that provides assistance to restaurants. A similar attempt to refill the RRF was left out of the omnibus spending bill earlier this year. 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. All of the funds had to be used for valid cases and claims up to March 11, 2023. National Restaurant Association asks Congress for aid amid omicron LOOK What Happened When This Restaurant Posted a Politically Incorrect Sign. Atendimento ao inscrito. "We hear from restaurants and bars owners each day who applied for a grant and never received one. 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 SBA will work with the Department of Justice to disburse the money, according to the NRA. In GovTrack.us, a database of bills in the U.S. Congress. In January 2023, SBA stated that it follows standard operating procedures to refer suspicious activity to the OIG. LOOK What Happened When This Restaurant Posted a Politically Incorrect Sign (Recommendation 7), Restaurant Revitalization Fund: Opportunities Exist to Improve Oversight. Senha. The bill would also put $13 billion toward other businesses impacted by the COVID-19 crisis. Among its objectives, this report examines recipient characteristics, SBA's internal controls and fraud risk management practices, and SBA's efforts to monitor recipients. Assessing controls and addressing deficiencies would help SBA better ensure program integrity. 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. Congress eventually set aside $28.6 billion dollars for the RRF in the American Rescue Plan Act. The act illustrates a timeless truth legislative bargaining is additive. The American Rescue Plan created the Restaurant Revitalization Fund. 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. 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. This recommendation will remain open until SBA provides evidence of conducting data analytics across RRF awards to detect potentially fraudulent recipients. It is axiomatic that the titles of congressional bills, like the titles of Marx Brothers movies (Duck Soup, Horse Feathers), are not scrupulously informative. The Senate has a $48 billion bill, with more than restaurants eligible for revitalization: gyms, minor league sports teams, companies that support live entertainment events (lighting and sound technicians, etc. Nearly 1 year ago, the Restaurant Revitalization Fund (RFF) stopped taking applications. In addition to restaurants and bars, eligible businesses include food trucks, bakeries, wineries or breweries and inns. the Senate didnt pass the proposed increase, Easy Tips To Understand How To Properly Read Your Balance Sheet, Restaurant Business & Startup Loans: Complete Guide, Business payroll costs, including health insurance, Payments on any business mortgage obligation (both principal and interest; note: this does not include any prepayment of principal on a mortgage obligation), Business rent payments (note: this does not include prepayment of rent), Business debt service (both principal and interest; note: this does not include any prepayment of principal or interest), Business utility payments, maintenance expenses, Business supplies (including protective equipment and cleaning materials), Covered supplier costs, same definition as under PPP Forgiveness nonpayroll expensesfood purchases, Legal expenses, marketing expenses, insurance expenses, business licenses, shipping fees, equipment (new hood or a new grill, new fryers, etc.). We sponsor the industry's largest trade show (National Restaurant Association Show); leading food safety training and certification program (ServSafe); unique career-building high school program (the NRAEF's ProStart). RASI will only use your information to contact you about our products and services. Restaurant Revitalization Fund Replenishment Act of 2021 (2022; 117th Together with 52 State Associations, we are a network of professional organizations dedicated to serving every restaurant through advocacy, education, and food safety. There comes a point where the right policy is: Stop smoothing. Restaurant Industry News and Resources in Georgia. Reps. Brian Fitzpatrick (R, PA) and Earl Blumenauer (D, OR), and Sens. (Recommendation 5), The Associate Administrator for the Office of Capital Access should develop, document, and implement procedures to use enforcement data on suspected fraud in other SBA programs, such as PPP, to identify potential fraud in RRF recipients. Roger Wicker (R-MS) and Kyrsten Sinema (D-AZ), signed the letter . 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. Restaurant owners have taken on substantial debt and tapped into their own savings accounts, just in an effort to keep the doors open. Restaurant Revitalization Fund What's the impact of the Senate's failure to pass RRF? This program provides emergency assistance for eligible restaurants, bars, and other qualifying businesses impacted by COVID-19. An estimated 90,000 restaurants have already closed their doors during the pandemic, and that number will likely continue to grow. 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. The American Rescue Plan created the Restaurant Revitalization Fund. Updates to the Restaurant Revitalization Fund - ARF Financial 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) 11 a 13 de maio de 2022 - Lavras/MG. 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.