Formatting necessary for an accurate reading of this text may be shown by tags (e.g., <DELETED> or <BOLD>) or may be missing from this TXT display. For complete and accurate display of this text, see the PDF.
[Extensions of Remarks]
[Page E538]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
INTRODUCTION OF THE RESTAURANTS ACT OF 2020
______
HON. EARL BLUMENAUER
of oregon
in the house of representatives
Monday, June 15, 2020
Mr. BLUMENAUER. Madam Speaker, there is perhaps nothing more central
to communities large and small than their local restaurants.
Restaurants play host to everything from first dates to marriage
proposals and many of life's important memories. The focal restaurant
industry supports Top Chef Masters, first jobs, and parents working
double-shifts to give their children a brighter future. The COVID-19
pandemic has put all of this in jeopardy.
Since mid-March, the vast majority of independent restaurants have
closed their doors, laid off most of their employees, and are unsure
what their business model will be after the pandemic. While independent
restaurants employ more than 11 million people, the food supply chain
touches every corner of the country and every congressional district.
From farm workers and fishermen to truck drivers and distributors, the
restaurant industry provides a $1 trillion annual boost to the United
States; economy, to say nothing of supporting tens of millions of
livelihoods.
The restaurant industry has been uniquely devastated by the COVID-19
pandemic. This is particularly true of independent establishments that
account for more than three-quarters of all restaurants and bars in the
United States. The restaurant sector is the top contributor to
unemployment rolls across America. In April alone, 5.5 million
restaurant workers lost their jobs, accounting for 27 percent of total
job losses in the month. Some of these jobs are coming back but many
will not return without assistance.The National Bureau of Economic
Research predicts that only 15 percent of restaurants will be able to
stay open if the COVID-19 pandemic lasts six months.
The RESTAURANTS Act would establish a $120 billion restaurant
revitalization fund at the Department of Treasury. Funding would be
available to food service or drinking establishments that are not
publicly traded or part of a chain with 20 or more locations doing
business under the same name. The grant values would cover the
difference between revenues from 2019 and projected revenues through
2020. The first 14 days of the grant's availability is only available
to restaurants with annual revenues of $1.5 million or fewer, ensuring
that the smallest restaurants are prioritized. Additionally, the
legislation includes administrative funding toward outreach and
engagement to restaurants owned and operated by women, Veterans, and
people of color. A study on this proposal found that the fund would
generate at least $183 billion in primary benefits and $65 billion in
secondary benefits--more than double the amount of the fund.
In the past three months, Congress has demonstrated the political
will to pass more than $3 trillion of relief to most sectors of the
economy--the House of Representatives just passed an additional $3
trillion of relief. There were broad-based programs and there was
targeted relief for specific industries. Yet restaurants have not been
a recipient of any targeted relief. We can't afford not to act.
Millions of livelihoods, hundreds of thousands of businesses, and the
fabric of our communities is at stake.
____________________
