News Release

Indiana Restaurateur Urges U.S. House Small Business Committee to Extend Expiring Tax Provisions
Congress Can Help Struggling Restaurants "Get Back on Track"

September 30, 2009
Contact: Mike Donohue (202) 331-5902, Maureen Ryan (202) 331-5939

(Washington, D.C.) – National Restaurant Association member John Frenz testified at today's hearing of the U.S. House of Representatives Small Business Committee on "Expiring Tax Incentives: Examining Their Importance for Small Businesses on the Road to an Economic Recovery." Frenz is CEO of Frenz & Schmidtknecht which owns and operates two Montana Mike's Steakhouse restaurants, located in Vincennes, Indiana and Danville, Illinois.

"In today's tough economic environment, it is vitally important that all small businesses are given every opportunity to succeed," said Frenz. "Extending these key tax provisions is one way Congress can help struggling businesses and restaurants across the country get back on track."

In his testimony, Frenz encouraged the Committee to extend several tax provisions set to expire before the end of this year, including:

The 15-year depreciation schedules for leasehold improvements, restaurant improvements and new construction, and retail improvements.

The charitable deduction for food donation to charitable organizations, helping offset the costs associated with storage and transportation.

The expanded net operating loss carryback provision included in the American Recovery and Reinvestment Act, giving small businesses the opportunity to adjust to changes in the business cycle by allowing losses to be offset against past profits.

An increase in the business meal deduction from its current level of 50 percent to 80 percent.

"I have been working in the restaurant industry since 1972 when I started as a busboy," said Frenz. "Since then, I have worked in a variety of restaurants across the Midwest and became a restaurant owner myself in 1981. After owning and operating restaurants for nearly 30 years, I understand how important it is for Congress to act now. Extending these expiring tax provisions will make a real difference to the 945,000 restaurant locations across the country. The impact on their bottom line will be evident, and will be good for the economy as a whole."

Frenz served as President and Chairman of the Indiana Restaurant Association from 1997-1999, and in the Indiana State House of Representatives from 1996-2004. He currently serves as President of the Vincennes/Knox County Convention and Visitors Bureau.