Paycheck Protection ProgramThe Paycheck Protection Program (PPP) is a COVID-19 relief measure consisting of loans backed by the Small Business Administration that help businesses maintain payroll and hire back employees during the COVID-19 crisis. After the program was implemented, it was apparent that limitations of the program did not recognize the unique and evolving challenges of the restaurant business cycle and our path to recovery. As a result, the Association advocated for changes in a letter to congressional leaders.
The Association along with state restaurant associations and restaurants across the country fought for important updates to the program which included:
- extending the covered period from eight weeks by an additional 16 weeks;
- adjusting the “75/25” rule on payroll/non-payroll expenses for forgiveness to 60/40;
- expanding loan terms from two years to five years for new loans, and other improvements.
Although the PPP ended on May 31, 2021, borrowers may be eligible for PPP loan forgiveness.
Blueprints for Restaurant Revival, State and Local Recovery
The Association sent a Restaurant Industry Blueprint for Recovery to Congress, outlining specific and immediate action the federal government can take to help restaurants and employees confront and overcome the lingering COVID-19 crisis.
View the Federal Blueprint.
Restaurants are the largest employer in many states and cities, and decisive action on recovery by local leaders is also a critical part of the industry’s future. The Association also developed a State Blueprint, encouraging lawmakers to take action that will help restaurants survive winter months and the remainder of the pandemic.
The State Blueprint includes 11 detailed steps lawmakers can take, including:
• Safeguard tax treatment to prevent any unforeseen liability of federal relief funds.
• Establish grants to save restaurants.
• Provide property tax relief.
• Make alcohol to-go a permanent option for restaurants.
• Enact pandemic liability protections.
View the State and Local Blueprint.