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 . There comes a point where the right policy is: Stop smoothing. This program provides emergency assistance for eligible restaurants, bars, and other qualifying businesses impacted by COVID-19. www.arffinancial.com/updates-to-the-restaurant-revitalization-fund/, Mozilla/5.0 (Windows NT 10.0; Win64; x64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/103.0.0.0 Safari/537.36. (Recommendation 7), Restaurant Revitalization Fund: Opportunities Exist to Improve Oversight. If the business permanently closes, the covered period will end when the business permanently closes; or, on March 11, 2023 whichever occurs sooner. Joanna Fantozzi | Apr 06, 2022. The $55 billion bill would largely replenish a grant program created by the American Rescue Plan that provides assistance to restaurants. 200Littleton, Colorado 80120. Last year, lawmakers created. Restaurant Owners RRF SBA EIDL Restaurant Revitalization Funds - Yahoo! Atendimento ao inscrito. What to do? The restaurant industry was the hardest hit by the pandemic. RASI will only use your information to contact you about our products and services. They said at least 90,000 restaurants and bars have closed since the pandemic started more than two years ago. (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 CARES Act includes a provision for GAO to monitor federal efforts to respond to the COVID-19 pandemic. The SBA has contacted recipients of the awards. 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. WASHINGTON, Nov. 23, 2022 /PRNewswire/ -- Today, the Small Business Administration (SBA) announced the release of $83 million dollars in unobligated Restaurant Revitalization Fund (RRF) grants to 169 operators with pending applications. 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) 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. Cardin's bill, S.4008, would provide $40 billion in additional funding for the Restaurant Revitalization Fund. GAO maintains that all of the recommendations are valid, as discussed in this report. 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. Congress is voting on a $42 billion Restaurant Revitalization Fund SBA agreed or partially agreed with two recommendations. 1101 W. Mineral Ave. Ste. All rights reserved. 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. Supply chain shortages are still a massive problem for restaurants, and the cost of doing business grows by the day. Restaurant Revitalization Fund What's the impact of the Senate's failure to pass RRF? 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. This government aide says it knows what voters want. On April 7, 2022, the House passed H.R. In January 2023, SBA stated that it follows standard operating procedures to refer suspicious activity to the OIG. This will remain until they fully expend the grant funding or the covered period expires. Nearly 1 year ago, the Restaurant Revitalization Fund (RFF) stopped taking applications. We recommended that SBA do so. Publicly Released: Jul 14, 2022. About 40% of eligible applicants received awards from the resulting Restaurant Revitalization Fund before it was depleted. 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. And stop digging. The American Rescue Plan created the Restaurant Revitalization Fund. 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. SBA emphasized pre-award controls to detect fraudulent or ineligible applications but has not assessed their effectiveness. | 2 p.m. Just over 100,000 businesses received funding (40 percent of eligible applicants). SBA took steps to detect fraudulent or ineligible applications. Both political parties agreed that the RRF should be replenished but couldn't reach a consensus on how to pay for it. What's the impact of the Senate's failure to pass RRF? The restaurant Ninety-six percent of RRFrecipients said the grant made it more likely that their business would survive. This news doesnt exactly come as a surprise, but earlier this year, there was some hope that more money was coming. The Association was first to lay out the plan for a restaurant industry recovery fund to Congress in April 2020. 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. "We hear from restaurants and bars owners each day who applied for a grant and never received one. Its abundantly clear that the Biden administration considers the pandemic to be basically over. H.R.3807 - 117th Congress (2021-2022): Restaurant Revitalization Fund 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. 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. Follow. This field is for validation purposes and should be left unchanged. Most applicants got to the trough too late, when it was empty. Klicken Sie auf Alle ablehnen, wenn Sie nicht mchten, dass wir und unsere Partner Cookies und personenbezogene Daten fr diese zustzlichen Zwecke verwenden. Its an AI bot. The Small Business Administration (SBA) began accepting applications and awarding funds in May 2021. H.R. Painel do Inscrito | Conference Software Restaurant Revitalization Fund Replenishment Act of 2021 (2022; 117th 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). ABC News reported on the story, where Anon explained how he was fed up with how sensitive people have gotten . By the time it closed in July 2021, the RRF. There are steps the government can take to support restaurants in every community, and we will continue to press for solutions at the federal, state, and local level.". 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. Payroll costs claimed as ERTC eligible wages, Forgivable payroll expenses on the PPP forgiveness application, Nonpayroll expenses claimed on the PPP Forgiveness application. (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. 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Expect to see many more restaurant closures in the coming months. Lawmakers approved the measure in a 223-203 vote, with only about a handful of Republicans backing it. If the recipient fully expends their funds prior to December 31, 2021, they will be asked to certify that proceeds have been used on eligible expenses. The Restaurant Revitalization Fund was established in March 2021 to support eligible entities suffering revenue losses from the COVID-19 pandemic. Recipients cannot claim wages paid with RRF grant money as wages for purposes of the ERTC or PPP forgiveness. (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. 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. 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. 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. In January 2023, SBA stated that it would conduct a review of RRF awards and use the results to inform the effectiveness of pre-award controls. Restaurant owners have taken on substantial debt and tapped into their own savings accounts, just in an effort to keep the doors open. After congress walked away from the funds replenishment in March 2022 and the Senate failed to pass the replenishment in May 2022, 177,000 establishments were left without aid. The Small Business Administration confirmed it will distribute $180 million in unspent money allocated for the Restaurant Revitalization Fund as awards, the National Restaurant Association said in an email to Restaurant Dive. A vague, anti-drag bill in Tennessee has bar and restaurant owners worried for their future, By submitting your email, you agree to our, Congress Wont Send Any More Financial Aid to Restaurants Despite Pleas From the Industry, The Weird (and Wired) Truth Behind Whats Really in Coca-Cola, Why Coca-Cola contracts with a chemical company to manufacture cocaine in New Jersey, there was some hope that more money was coming, just about a third of the grant requests that it received because the demand was so great, exhortations from everyone from Tom Colicchio to Elizabeth Warren for Congress to provide aid to restaurants, that ongoing rise in the cost of doing business, Liquid Deaths New Tea Tallboys Are Coming for AriZonas Neck, If You Took the Drag Away, Then Its Just Another Boring Bar, How to Make Misis Iconic Ricotta-Filled Occhi Pasta. Senate Minority Whip John Thune, R-S.D., splashed cold water on the prospects of the legislation moving forward, comparing it to the stalled Covid relief bill. In addition to restaurants and bars, eligible businesses include food trucks, bakeries, wineries or breweries and inns. 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. 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. SBA to disburse $180M in remaining RRF funds | Restaurant Dive 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. Restaurant Revitalization Fund LOOK What Happened When This Restaurant Posted a Politically Incorrect Sign Sie knnen Ihre Einstellungen jederzeit ndern, indem Sie auf unseren Websites und Apps auf den Link Datenschutz-Dashboard klicken. The unions proposals often focus on specific changes to systems workers interact with all day, every day, including equipment and mobile ordering. By June 2021, the funds $28.6 billion had been disbursed to 100,000 applicants in grants averaging $283,000. Would a grant recipient ever have to pay back any of the funds? "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. Lawmakers ask SBA for disbursement plan for $180M RRF leftovers For instance, it prevented over 30,000 suspicious applications from receiving awards. 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. The Restaurant Revitalization Fund was established in March 2021 to support eligible entities suffering revenue losses from the COVID-19 pandemic. Recipients are not required to repay the funding as long as funds are used for eligible uses no later than March 11, 2023. 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. Painel do Inscrito. The recipient has until March 11th of 2023 to use the RRF grant unless the business has permanently closed. Hence the Replenishment Act. Restaurant Industry News and Resources in Georgia. "This should be the driving factor in bipartisan support for replenishing the RRF. This recommendation will remain open until SBA develops and implements a plan to respond to potentially fraudulent and ineligible awards in a prompt manner. House passes aid for restaurants, small businesses affected by Covid 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! Brands like Chipotle, McDonalds and Starbucksarewalking a tightrope charge enough to protect the bottom line without alienating customers. Get the free daily newsletter read by industry experts. SBA does not immediately investigate all potentially fraudulent awards, and instead waits for recipients to submit final reports (which might not be until April 30, 2023). After this money was distributed, more than 177,000 applications were left in limbo at the SBA. 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. Painel do Inscrito. SBA stated that the results of the analysis are scheduled to be completed by March 2023. Small businesses of long standing, and families who went into debt to launch, say, restaurants or bars or bakeries just before the pandemic, now have blighted futures the caprice of rotten luck. As such, well continue to see the consequences of that failure in the coming months. National Restaurant Association asks Congress for aid amid omicron Christian Britschgi is dubious. Lawmakers. Among the 435 congressional districts, surely not one lacks businesses eligible for aid, especially from the Senate bill. In 2020, independent locations declined by 8 percent, according to The NPD Group. Roger Wicker (R-MS) and Kyrsten Sinema (D-AZ), signed the letter . Is another round of the Restaurant Revitalization Fund coming? 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 . 3807 (117th). 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. They have until March 2023 to spend the money. 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 . Congress Won't Send Any More Financial Aid to Restaurants - Eater Subscribe to Restaurant Dive for top news, trends & analysis, The free newsletter covering the top industry headlines, Permission granted by Starbucks Workers United, The Bornk Tuna Sandwich is Back at Erbert & Gerbert's, Olo and Flybuy Strategic Partnership Launches New Premium, Integrated Olo Expo and Order Fire , Interface Announces Technology Acceleration Program for Franchise Brands & Franchisees, CBS NorthStar and Ovation Join Forces to Boost Restaurant Brands' Revenue, By signing up to receive our newsletter, you agree to our, Webinar SBA Restaurant Revitalization Fund:: 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. 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. 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. 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. However, in May, the Senate didn't pass the proposed increase, which was viewed by many as a setback. Please enter a valid email and try again. (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. The Small Business Administration (SBA) began accepting applications and awarding funds in May 2021. 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