[January 8, 2021] - Continued Work with the Governor's Office; New PPP Rules
 
Local Updates: ORLA is communicating daily with the Governor’s Office as the suffering and economic toll continues to push hospitality businesses to the brink. Our latest conversations are revolving around:

• Requesting consideration for limited indoor dining in extreme risk counties with the creation of a county-managed indoor reopening application and addition of contact tracing at restaurants who have their limited indoor dining application approved by their county.
• Access to additional industry relief through state administered grants. View ORLA’s request and arguments here.
• The prioritization of the hospitality workforce for vaccinations once our health care workers, first responders, teachers, and Oregon’s at risk populations are completed.
• The justifiable arguments for turning on Video Lottery Terminals (VLTs) in Extreme Risk counties given face coverings can be worn at all times while playing.

Federal Updates: On Wednesday, the Small Business Administration (SBA) released several interim final rules related to the Paycheck Protection Program (PPP) and the second draw of PPP loans as outlined in the recently passed Economic Aid Act. The SBA announced that PPP will re-open the week of January 11 for new borrowers and certain existing PPP borrowers.

The National Restaurant Association has distilled this new PPP information into a seven-page "user manual" that can be accessed online here: PPP 2nd Draw: Helping Restaurants and Small Businesses.

The American Hotel & Lodging Association shared a few details on the eligibility and documentation requirements for new and second draw PPP loans in their latest communication to the industry. Hoteliers considering a second draw of PPP are urged to contact their lenders and begin gathering the data and information necessary to complete the application process as soon as possible. 

Additional Resources:

• Interim Final Rule on Paycheck Protection Program as Amended by Economic Aid Act (Released 1/6/2021)
• Interim Final Rule on Second Draw Loans (Released 1/6/2021)
• SBA Guidance on Accessing Capital for Minority, Underserved, Veteran and Women-Owned Business Concerns (Released 1/6/2021)

​
For more information and updates, visit SBA.gov/PPP and Treasury.gov/CARES.

[January 6, 2021] – Formal Request Submitted by ORLA for a Dedicated State Relief Fund for Hospitality
 
In Monday's blog post we referenced the importance of additional relief funds to further support Oregon’s struggling hospitality industry. Yesterday we formally submitted our request for a dedicated relief fund on top of funds received by hospitality operators to date managed by counties, Travel Oregon, and Business Oregon. The Oregon Legislative Emergency Board is scheduled to meet January 8 and you can read our formal request through the following link:

• ORLA Letter to the Legislative Emergency Board

[January 4, 2021] – 13 Counties Now Open for Indoor Dining / 23 Counties Still Labeled as ‘Extreme Risk’
 
This past week, Governor Brown announced the movement of 6 counties in Oregon from ‘Extreme Risk’ to ‘High Risk.’ The move results in the availability of indoor dining in these counties as well as 7 others who had already qualified as ‘Low’ to ‘High Risk’ counties. Indoor dining went back online as of January 1 for Clatsop, Lincoln, Douglas, Coos, Morrow, and Baker counties.
 
For a review of activity restrictions in each of the 4 risk categories, click the following link:

• County Risk Level by Sector (spreadsheet)

 
Regardless of risk category, restaurant and lodging operations across the state remain challenged with ongoing hardship due to health emergency restrictions, consumer demand, or a combination of both. The development this past week confirming the passage of an additional federal aid package in Washington DC was welcome news. Restaurant and hotel operations will be able to secure 3.5 times their monthly payroll costs (Total loan cap of $2 million) in the form of a forgivable loan which will certainly help many operators during the challenging winter months ahead. Additional communication and details will continue to be released by lending institutions who will participate in the next round of Payroll Protection Program loans for small businesses. Make sure to stay in close contact with your CPA, tax advisor, and/or lending institution to take full advantage of the next round of PPP funding.
 
The Oregon State Legislature has passed legislation creating a new revenue opportunity through the passage of Senate Bill 1801. Restaurant cocktails can now head out the door as a part of food deliveries. In addition, the costs incurred by restaurants who choose to partner with third party delivery companies has been capped at 15 percent statewide.
 
To review all the details and text of the bill signed into law by Governor Brown on December 23, click the following link:

• Senate Bill 1801 (Cocktails To-Go)

 
ORLA continues the important work of preparing for ongoing communication with the Emergency Board of the Oregon Legislature which will meet again in the coming weeks. The joint committee of both state representatives and senators makes important investment decisions with dollars made available through federal aid packages. We will continue to advocate for additional relief funds from the emergency board to further assist hospitality businesses as vaccine supply and access becomes more readily available to Oregonians in the months ahead.
 
Also, the 2021 session of the Oregon Legislature starts later this month and we must address the inequity in charging Oregon’s restaurant and lodging establishments higher unemployment insurance taxes for Covid related furloughs and layoffs. ORLA will work closely with elected officials in the Oregon House and Senate to address these inequities as employers prepare to pay first quarter taxes for 2021 in the month of April.

And in case you missed it, DOL released a final rule on tip pooling December 22, 2020 which will go into effect across the country on February 20, 2021. The final rule further establishes the legality of overseeing and managing a tip pool that includes staff who do not customarily and regularly receive tips by directly interfacing with a customer.  Announcement of this final rule codifies our collective win advocating for the importance of tip pools. Read more here.

​[December 21, 2020] - Update from the CEO on federal and state developments

Congress unveiled a $900 billion relief bill to provide short-term economic relief to the country in the face of the coronavirus pandemic. The plan includes several items that will benefit restaurants and lodging establishments, most importantly a second round of access to the Paycheck Protection Program (PPP), with unique provisions aimed to assist the restaurant and lodging industries, which continue to endure unparalleled job and revenue losses. 
 
The federal plan announced today targets restaurant and lodging relief with provisions including:

• Enhanced PPP Loan Size: The PPP provides a business with a forgivable loan based on 2.5 times its monthly payroll costs. Restaurants and hotels, however, can seek forgivable loans based on 3.5 times monthly payroll costs. 
• Enhanced Access to PPP: Companies that employ a total of 300 or more employees at all locations (combined) are deemed ineligible for the PPP. Today’s bipartisan plan reflects the reality that many mid-sized and larger restaurant groups are on the verge of bankruptcy and allows restaurants to qualify for PPP as long as they do not employ more than 300 employees at each physical location. 
• Extending CARES Act banking relief through the end of 2021, which will enable hoteliers to seek additional forbearance from their banks on conventional loans

 
Other provisions in the bill that will benefit hospitality operations include the deductibility of business expenses paid with PPP loans, enhancement of the Employee Retention Tax Credit (ERTC), extension of the augmented Work Opportunity Tax Credit (WOTC), and increased tax deduction for business meals.

In other news, the Oregon State Legislature is holding a third Special Session of 2020 and is poised to pass To-Go Cocktails legislation as well as statewide caps on third party technology and delivery expenses charged to restaurants. Today’s developments in the Oregon Legislature are expected to assist operators in realizing additional revenue for cocktail programs accompanying food purchases for takeout and delivery while also assisting operators with cost control on expenses.
 
Our ongoing communication with the media and with our stakeholders throughout the state will continue to acknowledge these tools will help some restaurant and lodging establishments stay in business while not doing much to help others. The depth and severity of the crisis continues to create winners and losers inside of specific industries as well as more broadly. Oregon’s second largest private sector industry needs more help and we will fight for ongoing assistance in our advocacy efforts with both the Oregon Legislative Emergency Board which will meet again in January as well as the longer term 2021 Oregon Legislative Session which starts in January and will most likely end around the beginning of Summer.

​Much more needs to be accomplished and we will remain vigilant in pursuing all avenues of relief in our mission to help save as many Oregon restaurant and lodging establishments as possible in our state.

​[December 18, 2020] - Here’s the latest from your state association.

Watch for another update next week before Christmas with more developments following Monday's Special Session. 

Special Session This Monday - The third special session of 2020 takes place for one day on Monday, Dec. 21. Thank you to ORLA's Director of Government Affairs Greg Astley for providing testimony last night as part of two public hearings scheduled for this Monday special session. The public hearing last night will be followed by a second hearing this Saturday (more info). ORLA is well positioned to provide leadership in getting LC 10 passed and we believe we have favorable chances in getting there. 
​
Federal Elected Leaders Close in on Covid Stimulus Deal - Progress continues on a COVID relief package and a deal could be announced soon. The proposal would include roughly $325 billion in small business relief, including $257 billion for the Paycheck Protection Program that helps employers keep workers who otherwise might go on unemployment. Both the National Restaurant Association and American Hotel & Lodging Association continue pressing to lower the revenue loss for eligibility from 30% to 25%, increase overall size of the loans, and allow deductibility for business expenses paid with PPP loans. ORLA will keep members apprised of the rollout if a PPP deal is reached. It's not too late to share your voice, visit ORLA's website to learn how you can take action.

Status of HB 4204 - We're hearing from lodging operators asking if there's a possibility at getting an extension to HB 4204 which provided flexibility to operators for mortgage obligations with financial institutions with an expiration on that flexibility coming up on December 31. We know the extension will not be a part of the special session on Monday but ORLA is still moving forward in advocating for an extension in the upcoming 2021 session. The initial passage of HB 4204 has proved to be a unique tool available to our industry here in Oregon that many other states do not have. We feel fortunate to have it in the first place and will work hard to get it extended if at all possible.

Give the Gift of Oregon and Get a Lodging Certificate - If you’re looking for last minute gifts for the holidays there are still several lodging gift certificates available which directly support ORLA’s nonprofit, the Oregon Hospitality Foundation. Most of the gift certificates are worth 40-90% more than the minimum donation value and make great gifts. Choose your destination here: oregonrla.org/winter.html.

[December 10, 2020] - ORLA Engages in 3 Frontline Battles to Save Hospitality Businesses
 
ORLA is anticipating the announcement of a third special session of the Oregon Legislature very soon and the session will most likely take place this coming week before the holidays are upon us. Your state association is keenly aware your ability to stay in business while adhering to business restrictions laid out in the ‘Extreme Risk’ category for applicable counties is near impossible. The ongoing taking of your dining rooms while paying all the bills associated with those dining rooms is anything but sustainable.
 
ORLA is engaging on 3 frontlines for the foreseeable future with our #1 goal being saving as many restaurant and lodging locations in Oregon as possible. Those 3 frontlines are:

• Launching the ORLA Legal Defense Fund. Please view the press release here announcing the ongoing efforts to assist hospitality operators with their right to defend themselves in court.

• Ongoing activation of restaurant and lodging operators at the federal level to secure the passage of federal relief. Take federal action here: Restaurant action and Lodging action.
  
  
• Engaging all Oregon elected leaders with the priorities we need addressed in both a Special Session and the 2021 Legislative Session. View those priorities here and take action. The issues referenced above are reviewed by ORLA's Government Affairs Committee and approved by ORLA's Board of Directors. For more information on ORLA's policy positions and priorities, reach out to Greg Astley, Director of Government Affairs.

 
We realize everyone is exhausted from an unbelievable year. But we need you to find that extra gear. Stand up, share your story, and make a difference for yourself, your business, and the Oregonians depending on us who no longer have a job.

[December 7, 2020] - ​Congress Must Support Restaurants This Year!

Congress needs to hear from restaurants today as they are in session for only a few days more. If they do not get their job done, restaurants will be in the cold until this February at the earliest. Read the National Restaurant Association's letter to Congress sent today along with the results of their latest survey on the economic health of the industry:

Oregon Findings (full survey results):

• 80% of Oregon restaurant operators say their total dollar sales volume in October was lower than it was in October 2019. 
  
  • Overall, sales were down 30% on average.
    
• 39% of Oregon operators say it is unlikely their restaurant will still be in business six months from now, if there are no additional relief packages from the federal government.
  
• 88% of Oregon operators say their current staffing level is lower than what it would normally be in the absence of COVID-19. 
  
  • 66% of restaurants are currently more than 20% below normal staffing levels.

National Findings (full survey results):

• 110,000 restaurants nationwide are closed… 10,000 more since the last survey in July
• 52% of former owners of shuttered restaurants say they will not return to the industry
• 59% of owners report their costs are going up even as sales are going down
• The average restaurant that is now permanently closed was in business for 16 years in the community

​​Congress needs to hear from you in these final days of 2020! We're helping the National Restaurant Association put the pressure on Congress to take action for the future of the restaurant industry.

For months, Congress has been trapped in a political tug-of-war while restaurants continue to go dark. A group of moderate Democrats and Republicans last week unveiled a compromise plan that has brought both parties back to the negotiating table. They are calling for a $909 billion relief bill, including a second round of Paycheck Protection Program grants, which with improvements could provide immediate assistance to restaurants.
 
We need Congress to pass the Blueprint for Restaurant Revival, but we also need to ensure they at least make a “down payment” on a relief plan before leaving town for the year. Our industry simply cannot wait for relief any longer. Efforts in Washington to find the “perfect” solution are laudable, but the lack of progress in the meantime has led too many operators to give up on the government and close down for good. 
 
Thank you for your continued support!

[December 4, 2020] - Updates from Your Association

Outdoor Dining
ORLA is in active discussions with the Oregon Fire Marshall’s Office (OFMO) to ensure our industry has the guidance necessary to provide safe outdoor dining space. As soon as next week the OFMO will have a new “outdoor checklist” that aligns with Oregon Health Authority guidelines, providing operators with a 'one stop shop' resource to know what they can do with dining outdoors and how to get there. We'll keep in contact with Assistant Chief Deputy Chad Hawkins and the Fire Marshall's Office as they finalize this resource so we can get it posted and out to all operators across the state.

​​​[To continue reading previous blog posts from ORLA's CEO, click "Read More" to the right] ​​​

ORLA in the News with U.S. Department of Labor Final Rule on Tip Pooling
A final rule on tip pooling in the United States was recently released on December 22, 2020 and will go into effect across the country on February 20, 2021. The final rule further establishes the legality of overseeing and managing a tip pool that includes staff who do not customarily and regularly receive tips by directly interfacing with a customer. Managers and supervisors are still prohibited from participating in tip pools. The final rule does define further, explaining as follows:
 
“...the final rule defines a manager or supervisor for purposes of section 3(m)(2)(B) as any employee (1) whose primary duty is managing the enterprise or a customarily recognized department or subdivision of the enterprise; (2) who customarily and regularly directs the work of at least two or more other full-time employees or their equivalent; and (3) who has the authority to hire or fire other employees, or whose suggestions and recommendations as to the hiring or firing are given particular weight. The definition also includes as managers or supervisors any individuals who own at least a bona fide 20 percent equity interest in the enterprise in which they are employed and who are actively engaged in its management.”
 
The one exception to this rule is “a manager or supervisor may keep tips that he or she receives directly from customers based on the service that he or she directly provides.”
 
In summary, the final rule simply codifies our collective win advocating for the importance of tip pools. Pages 11 and 12 of the Rule states:
 
“In 2016, a divided Ninth Circuit panel upheld the validity of the 2011 regulations. See Oregon Rest. & Lodging Ass’n (ORLA) v. Perez, 816 F.3d 1080, 1090 (9th Cir. 2016). Although the Ninth Circuit declined en banc review of the decision, ten judges dissented on the ground that the FLSA authorized the Department to address tip pooling and tip retention only when an employer takes a tip credit. The dissent noted that the Ninth Circuit itself had decided in Cumbie that the FLSA ‘clearly and unambiguously permits employers who forgo a tip credit to arrange their tip-pooling affairs however they see fit.’ … In its 2018 response to the petition for a writ of certiorari in the ORLA case, the government explained that the Department had reconsidered its defense of the 2011 regulations in light of the Ninth Circuit’s ten-judge dissent from denial of rehearing in ORLA and the Tenth Circuit’s decision in Marlow … the Department published in December 2017 an NPRM that proposed to rescind the challenged portions of the regulations.”
 
The actual regulation and a summary of the final rule can be found here: https://www.dol.gov/agencies/whd/flsa/tips.

Restaurant Employee Compensation Tools
With tip pooling being legal with back of the house employees, employers may have questions about what their options are. ORLA launched a Restaurant Compensation Solutions Workgroup to review tools being implemented in restaurant operations across the state, including mandatory service charges, tip pooling policies based on sales that assist in compensating kitchen staff, and dual tip lines notating tip options for both servers and kitchen staff. 

Tip pooling policies should be carefully reviewed with counsel before implementation to ensure compliance with all applicable requirements. For more on this subject, click the links below.

• Tip Pooling/Compensation Solutions (ORLA members only; login required)
• Download ORLA's Tip Pooling Information Sheet 
• NRA Webinar: Tipped Employees and Side Work Under the FLSA

Update: December 2019
​
​A federal spending bill passed in 2018 abolished a 2011 regulation prohibiting tip pooling; managers can now require that servers share tips with kitchen staff in states where employers do not take a tip credit. This change allows tip sharing among both customarily and non-customarily tipped employees in Oregon, including dishwashers and cooks. Managers, supervisors, and owners cannot participate in the tip sharing. A proposed rule to implement the change has been released as of October 7, 2019; comments were due by December 9, 2019. 

One thing this proposed rule seeks to address is that the words “supervisor” and “manager” were not defined in the 2018 spending bill. This is especially important to our industry since many have hybrid approaches to their service positions. Supervisors and managers in some of Oregon’s smallest restaurant operations commonly serve guests and have participated in front-of-the-house tip pools as a part of a team approach to foodservice.

Employers are to use the “duties test” to determine who qualifies as a supervisor or manager, and establish tip pool eligibility. Essentially, if an employee’s primary or regular duty is not management or supervising, they are still allowed to participate in a tip pool. For details on the standard of the “duties test,” read the U.S. Department of Labor (DOL) Field Assistance Bulletin. 

Prior to this change, the decision to participate in a tip pool was left to employees. For more context on the issue, check out Tipping the Scales (Oregon Business, April 2018). The Bureau of Labor and Industries (BOLI) FAQ may answer any additional questions regarding tips at Oregon.gov/BOLI.

​News/Resources:

• Final Rule: Tip Regulations under the Fair Labor Standards Act (FLSA), U.S. DOL, Dec. 2020
• Fact Sheet #15: Tipped Employees Under the Fair Labor Standards Act (FLSA)
• U.S. Department of Labor Issues Notice of Proposed Rulemaking for Tipped Employees, U.S. DOL, Oct. 2019
• WHD Field Assistance Bulletin 2018-3, U.S. Department of Labor, April 2018
• Service Charge Guidance, ORLA, 2019 
• Tip Pooling With Back-Of-House Is IN (in Most States); Manager and Supervisor Tip-Sharing Is OUT, Davis Wright Tremaine, April 2018
• Tip Pool Victory Bridges Heart-Of-House Wage Gap in Restaurant Industry, ORLA, March 2018

For additional questions, contact Greg Astley, Director of Government Affairs, at 503.682.4422.

This is for general informational purposes only. The information is not, and should not be relied upon or regarded as, legal advice. Please consult with your legal advisors.

Sustaining Operations and Avoiding Closures will Still Prove Challenging

FOR IMMEDIATE RELEASE: December 21, 2020

Contact:
Jason Brandt, President and CEO, ORLA
503.302.5060 | JBrandt@OregonRLA.org

Wilsonville, OR– Today, Congress unveiled a $900 billion relief bill to provide short-term economic relief to the country in the face of the coronavirus pandemic. The plan includes several items that will benefit restaurants and lodging establishments, most importantly a second round of access to the Paycheck Protection Program (PPP), with unique provisions aimed to assist the restaurant and lodging industries, which continue to endure unparalleled job and revenue losses. 

In addition, the Oregon State Legislature is holding a third special session of 2020 and is poised to pass To-Go Cocktails legislation as well as statewide caps on third party technology and delivery expenses charged to restaurants.

“Hospitality operators in Oregon have been pleading for both long-term and short-term economic support,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “Today’s developments will assist restaurant and lodging establishments with their quest to survive. However, it does not change the unsustainable trajectory facing thousands of Oregon small businesses who have ongoing bills for their dining rooms with little to no revenue to cover those expenses.”

Today’s developments in the Oregon Legislature are expected to assist operators in realizing additional revenue for cocktail programs accompanying food purchases for takeout and delivery while also assisting operators with cost control on expenses.

“The progress made today at both the state and federal levels feels like getting a new pair of running shoes,” said Brandt. “There is still a race for survival in conjunction with vaccine distribution and the majority of operators will remain unprofitable. Our reality remains the same – we are attempting to stretch out our cash until we actually get to the light at the end of the tunnel we’ve all been talking about.”

The federal plan announced today targets restaurant and lodging relief with provisions including:

• Enhanced PPP Loan Size: The PPP provides a business with a forgivable loan based on 2.5 times its monthly payroll costs. Restaurants and hotels, however, can seek forgivable loans based on 3.5 times monthly payroll costs. 
• Enhanced Access to PPP: Companies that employ a total of 300 or more employees at all locations (combined) are deemed ineligible for the PPP. Today’s bipartisan plan reflects the reality that many mid-sized and larger restaurant groups are on the verge of bankruptcy and allows restaurants to qualify for PPP as long as they do not employ more than 300 employees at each physical location. 
• Extending CARES Act banking relief through the end of 2021, which will enable hoteliers to seek additional forbearance from their banks on conventional loans

Other provisions in the bill that will benefit hospitality operations include the deductibility of business expenses paid with PPP loans, enhancement of the Employee Retention Tax Credit (ERTC), extension of the augmented Work Opportunity Tax Credit (WOTC), and increased tax deduction for business meals.

###

The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which is comprised of over 10,220 foodservice locations and 2,000 lodging establishments with a workforce of 183,191, and a total economic impact of $13.8 billion in annual sales for Oregon.

Oregon’s Legislature will meet on Monday, December 21 for a one-day Special Session to discuss four specific issues including To-Go Cocktails and Commission Caps on Third Party Deliveries. Read the draft of Legislative Concept (LC 10).  
 
We realize this legislation won’t fix everything so we are still working with the Governor’s office, Oregon Health Authority and Legislators to find ways to re-open dining rooms sooner and safely. You can help by contacting the Governor and your Legislators (find your legislator here) to let them know how little time you have left before you have to close your doors because of the restrictions on indoor dining. 
 
Public hearings have now been posted for Thursday evening (6:00-9:00pm) and Saturday morning (10:00am-1:00pm). You may provide written or oral testimony at these meetings. For more information on these public hearings and to sign up to testify, please visit the following websites:

• Public Hearing: Thursday, December 17, 6:00pm-9:00pm
• Public Hearing: Saturday, December 19, 10:00am-1:00pm

Written Testimony: 

• E-mail: J3SS.exhibits@oregonlegislature.gov
• Mail: Joint Interim Committee on the Third Special Session, 900 Court Street NE, Room 453, Salem, OR 97301
• Testimony is posted online to the Oregon Legislative Information System (OLIS) as part of the legislative record and made publicly available here. 

Oral Testimony (Live Remotely):

• Registration is required to testify by phone or video link. To sign up, either use the online form here OR call 833-588-4500 for assistance. Registration closes at 1 PM on Thursday, December 17, 2020. 
• Public Access Kiosk: For those who do not register to testify or do not have access to testify by phone or video link, a public access kiosk is located outside of the State Capitol Building.
• Please note, testimony is generally limited to 3 minutes so if you plan to testify “in person,” please prepare your remarks in advance to make sure you are heard completely.

Important note about testimony: Neither registration nor use of the public access kiosk is a guarantee that you will be able to testify during the meeting. The chair may determine that public testimony must be limited. For this reason, written testimony is encouraged even if you plan to speak.
 
The Presiding Officers are extending the period for public comment. The public record is open when a meeting is posted until 24-hours after the committee is scheduled to meet. For example, this means written testimony can be submitted now until 6:00pm on Friday for the public hearing on Thursday.

Our Industry Needs Your Voice at the Table! 
We need your voice at the Capitol to help pass this legislation. We need you to share your story of how the shutdowns, freezes and restrictions have impacted you and your employees and why this legislation would help you survive! If you are not already signed up for ORLA’s Text Alerts, please take a minute to text “ORLA” to 52886 today and sign up for important notices regarding key legislation and how you can help.

Thank you in advance for taking action.

Financial Support in Motion for Legal Battles on Multiple Fronts

FOR IMMEDIATE RELEASE: December 10, 2020

Contact:
Jason Brandt, President & CEO, ORLA
503.302.5060 | JBrandt@OregonRLA.org

Wilsonville, OR – The Oregon Restaurant & Lodging Association has officially launched a Legal Defense Fund as authorized by the state association’s Board of Directors. The fund will be used to address multiple inequities facing Oregon’s restaurant and lodging establishments in their quest to survive the ongoing pandemic.

“Operators from all corners of the state have reached their breaking point and have asked for continued legal support to fight for their rights,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “There is a growing list of inequities facing Oregon’s hospitality industry that require additional judicial oversight.”

Tens of thousands of hospitality businesses have permanently closed across the country due to government mandates including hundreds in Oregon. “Local and state government in Oregon over the past year have taken away business operations for public purposes,” said Brandt. “Small businesses across the state are owed compensation whether we’re talking about taking a dining room for virus mitigation or taking an entire lodging location for a certain duration of time.”

Operators across the state are also growing more frustrated by a lack of adjustment to taxes and fees that fail to consider the operational reality of the year 2020. Examples include exponential increases in unemployment insurance tax rates for 2021 and beyond, county health inspection fees based on the number of dining room seats in your establishment, and licenses for on-premises alcohol consumption.

“There are some local governments in Oregon deserving of recognition for the ways they have provided historic flexibility to operators,” said Brandt. “We need to build on that awareness within our government institutions to illustrate the severity of the situation. No operator should have to pay exponential increases in their unemployment insurance rates or normal costs for county health inspections or on-premises alcohol consumption licenses as if 2020 was another normal year of operation.”

ORLA’s Legal Defense Fund will provide financial support to operators interested in moving forward as plaintiffs in court. Lawsuits filed will be unique in nature and dependent on the circumstances facing operators with a focus on government restrictions causing a hospitality business location to close permanently.

“There will be those that argue these businesses would have had to close anyway due to the impacts of COVID-19 on consumer demand,” said Brandt. “We can prove that is simply not the case. Financial proof of the direct impact of government restrictions outside of consumer demand is widely available to us and will be shared with the courts as we fight for the survival of Oregon small businesses and the tens of thousands of Oregonian jobs within them.”

For more information on the efforts of the Oregon Restaurant & Lodging Association please visit OregonRLA.org. 

###

The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which before COVID-19 provided over 180,000 paychecks to working Oregonians. Currently, approximately 55,000 of those workers, or 30%, do not have work available to return to.

[Update as of 12.8.20]

Oregon OSHA Rule Updates: Grace Period Extended, Training Offered 

Grace Period
OR-OSHA will grant a 3-week extension to restaurants, gyms and other businesses impacted by the freeze/the new county risk levels. All other businesses are granted a 1-week enforcement grace period IF they are actively working to comply. Read memo from OR-0SHA.
 
Training Materials
OR-OSHA has released an online interactive education course designed to help employers meet four of the 10 training requirements found in their COVID-19 rules. The 1-hour course begins with an explanation of the dangers of COVID-19 and why the temporary rules were adopted. The course is then divided into four modules: Introduction; Signs, Symptoms and Transmission; Control Measures; and Conclusion. The course is available in both English and Spanish and should be incorporated with your other training planned under the rules. Find English Course and Spanish Course.
 
You can also download the presentation as a PowerPoint (scroll to bottom of page). While not required, OR-OSHA also included a model ‘training verification form’ for employees.
 
OR-OSHA also released completed Exposure Risk Assessment and Infection Control Plans over the weekend:

• Example Risk Assessment for Restaurant
• Example Risk Assessment for Manufacturer
• Example Infection Control Plan for Restaurant
• Example Infection Control Plan for Manufacturer

​Important Timelines to Remember:

• Base Rule: Effective November 16, 2020
  • Physical Distancing
  • Masks
  • Cleaning & Sanitation
  • Poster posted: Posters are available in English here and Spanish here.
• Building Operator Rules: November 23, 2020
• Exposure Risk Assessment: December 7, 2020*
• Infection Control Plan: December 7, 2020*
• Employee Training: December 21, 2020
• Ventilation Requirements (all workplaces): January 6, 2021

 
*Reminder you do not need to submit your Exposure Risk Assessment or Infection Control Plan to OR-OSHA for review. Your Infection Control Plan (if you have more than 10 employees or are an “Exceptional Risk Workplace”) needs to be available in writing to your employees at the workplace.
 
Helpful tools to-date:

• OSHA Poster and in Spanish
• Fillable Exposure Risk Assessment   (fillable version on landing page)
• Infection Control Plan here and in pdf form here
• Model Policy for Notification of Employees when COVID-19 Exposure and in Spanish
• Training Materials:
  • COVID-19 Fact Sheet has been released. Find that here.
  • Online training modules:
    • English Course
    • Spanish Course

[Update as of 11.6.20]
​
The final OSHA Temporary Rule addressing COVID-19 has been released. As a reminder, as Temporary Rules these are allowed to be in effect for 180-days. A discussion about making them permanent (possibly expanded/revised) is expected to begin in the coming weeks.

• View the OSHA Temporary Rule (A1) Mandatory Guidance for Restaurants, Bars, Brewpubs, and Tasting Rooms

 
Effective Date: November 16, 2020 to May 4, 2021

• Physical Distancing
• Masks
• Cleaning & Sanitation 
• Poster posted: Posters are available in English and Spanish

 
Delayed Effective Dates:  

• Building Operators: November 23, 2020
• Exposure Risk Assessment: December 7, 2020
• Infection Control Plan: December 7, 2020
• Employee Training: December 21, 2020
• Ventilation Requirements (all workplaces): January 6, 2021

 
Several resources are now available online under “Documents,” with more on the way in the weeks to come. OSHA also offers consultation services and technical specialists to help employers comply with the requirements.

View the entire Temporary Rule here: https://osha.oregon.gov/OSHARules/div1/437-001-0744.pdf
 
View workplace chart for application here: https://osha.oregon.gov/rules/advisory/infectiousdisease/Documents/Overview-Table-for-Oregon-OSHA-COVID-19-Temporary-Rule.pdf
 
OR-OSHA also released a fillable Exposure Risk Assessment to download – for use by employers in their compliance. We expect additional training tools to be released in the coming weeks including, model Infection Control Plans, videos for use in employee training and a sample/model Employee Notification Policy.
 

Update as of 10.28.20
There is a lot going on right now at the Oregon Occupational Safety and Health Administration (OSHA) and we wanted to provide a direct update to summarize all the activity. There are 3 separate public processes occurring at Oregon OSHA. Please take a look below and click through on any link if the issue is one you wish to provide comment on. If you’re interested in ORLA's perspective on each item, see the “ORLA Notes” with each paragraph below.
 
(1) COVID-19 Temporary Rulemaking

Oregon OSHA has initiated a process to create an infectious disease control standard temporary rule for all workplaces in Oregon. The process has included taking Phase 2 guidelines for our industry from the Oregon Health Authority and housing them at Oregon OSHA in a temporary rule format. By law, temporary rules can last no longer than 180 days.

• ORLA Notes:
  • The OSHA process on this rule was replicating what our industry has already been adhering to in Phase 2 through the Oregon Health Authority guidelines. We have expressed ongoing concerns about the lack of clarity in language to allow for less than 6 feet of distance between parties as one party wearing face coverings briefly walks past other customers already seated. These are logical exceptions to 6 feet of distance between parties while parties are seated and aligns with the current exception needed for staff to deliver food to tables. The other issues of concern relate to the requirement of an “Exposure Risk Assessment” conducted by all employers as well as the development of an “Infection Control Plan.” Employers with more than 10 employees will be required to have both the risk assessment and control plan in writing. 
• OSHA Timeline:
  • They plan to take written stakeholder comments on their final draft through the end of the day on Friday, October 30, and to adopt the rule some time the week of November 2. That rule will take effect 10 days after adoption (although several specific items must be completed between one or two months after adoption, depending upon the specific issue). It will remain in effect 180 days from adoption, unless it is repealed sooner. Oregon OSHA has said they will immediately begin working on a permanent infectious disease rule that will include intermediate requirements specific to COVID-19 – that rulemaking will be subject to the full permanent rulemaking process required by the Administrative Procedures Act, including public comment and public hearings before a final decision is made. Information about this process can be found here. Your comments can be sent via email to: Tech.Web@oregon.gov.

(2) Penalties – Increasing Minimum and Maximum Penalties

At the same time – and completely unrelated to the COVID-19 pandemic or the COVID-19 temporary rulemaking, Oregon OSHA is coming to the end of an eight-month period of public comment on changes to the existing penalty rules, including an increase in the maximum penalties that align Oregon penalties with federal OSHA as directed by both Congress and the Oregon Legislative Assembly.

• ORLA Notes:
  • Regardless of when the process started and the rationale for aligning fines with federal OSHA, no fines should be increased on Oregon’s small businesses in the middle of a pandemic. This is an example of horrible timing and has brought about great frustration amongst operators trying to determine next steps for their business. Increased OSHA penalties are just another unnecessary issue we need you to take action on in opposition. 
• OSHA Timeline:
  • These rules were first proposed on February 26, 2020, with public hearings scheduled in March and April. As the COVID-19 emergency unfolded, Oregon OSHA issued a new proposal that was identical to the first but that extended the comment period. On July 30 and July 31, 2020, Oregon OSHA yet again issued the same proposal and extended the comment period through October 30, 2020. The rule record remains open and will be open through October 30.
  • Both the rulemaking notice and the text of the rule can be found under the notice labeled “*Re-Proposed* Increase of Certain Minimum and Maximum Penalties for Alleged Violations” online here. Your comments can be sent via email to: Tech.Web@oregon.gov.

(3) Employer Knowledge/Employer Responsibility

The Employer Knowledge rulemaking has been on a similar time frame as the Penalties Rulemaking, but they are actually two distinct rulemaking proposals.

In this rulemaking, Oregon OSHA proposes to add two definitions and a paragraph to the Division 1 rules. The Oregon Supreme Court in CBI Services v. Oregon OSHA determined that Oregon OSHA needs to more clearly define how “reasonable diligence” and “unpreventable employee misconduct” are interpreted and applied in enforcement activities and Oregon OSHA believes that such guidance is most appropriately provided through an administrative rule. The proposed additions to the rules are to clarify in general how Oregon OSHA assesses an employer’s reasonable diligence, what constitutes unpreventable employee misconduct, how Oregon OSHA assesses an employer’s knowledge of a violation, and when an employer is and is not responsible for a violation that has occurred on its worksite. After spending several years developing the proposal, Oregon OSHA is coming to the end of an eight-month period of public comment on these proposed changes.

• ORLA Notes:
  • Oregon OSHA has proposed new rules making employers responsible for all unsafe acts of anyone whom the Agency deems to be either an agent of the employer or a supervisory employee. The proposed changes will fundamentally alter the law on how the Agency can satisfy its burden of proving employer knowledge in order to sustain a citation. Oregon OSHA has asserted that these proposed rules were in response to the Oregon Supreme Court’s direction to the Agency in the Oregon Occupational Safety & Health Div. v. CBI Services, Inc., case. In the statement of need for the proposed rules Oregon OSHA asserted that the Supreme Court in CBI requested that the Agency provide guidance to the courts on its interpretation of both “reasonable diligence” and “unpreventable employee misconduct.” Nowhere in the CBI decision did the Court make any mention of unpreventable employee misconduct. 
  • The Supreme Court said in “CBI” it recognized the Oregon Safe Employment Act (OSEA) created a fault-based citation system. This meant that OR-OSHA had the burden to prove that cited employers had either actual or constructive knowledge of the alleged violative conduct or conditions to sustain a citation. “Constructive knowledge” meaning the employer could, with the exercise of reasonable diligence, have known of the violative conduct or conditions.  
  • Second, with regard to constructive knowledge, the Court requested input from Oregon OSHA as to how it interpreted the phrase “reasonable diligence” as used in ORS 656.086(2). This is the statute which implemented the legislative intent to create a fault-based citation system. This request was tied to the appellate court’s duty to review the Agency’s conclusion in a given case that under ORS 654.086(2) a cited employer had “constructive knowledge” of a violation. Rather than simply answer the Court’s constructive knowledge question, OR-OSHA is proposing rules that deem the knowledge of all “agents of the employer” and “supervisory employees” to be “actual knowledge” of the employer itself. The concept of reasonable diligence, of course, is irrelevant in cases where actual knowledge is present. The bottom line is that the proposed rules make employers strictly liable for the unforeseeable unsafe acts of most employees, including all unsafe acts of any employee acting in a supervisory or “lead” role.  
  • Simply put, there is no connection between what the Supreme Court asked OR-OSHA to do in CBI, and what OR-OSHA is attempting to do with its proposed rules. 
• OSHA Timeline:
  • These rules were first proposed on February 26, 2020, with public hearings scheduled in March and April. As the COVID-19 emergency unfolded, Oregon OSHA issued a new proposal that was identical to the first but that extended the comment period. On July 30 and July 31, 2020, Oregon OSHA yet again issued the same proposal and extended the comment period through October 30, 2020. The rule record remains open and will be open through October 30.
  • Both the rulemaking notice and the text of the rule can be found under the notice labeled “*Re-Proposed* Amendments in General Administrative Rules to Clarify Employer’s Responsibilities” online here. Your comments can be sent via email to: Tech.Web@oregon.gov.

Please take action and make a difference if you can.

New Survey Findings Reveal Dire Situation for Restaurant Operators without Federal Financial Assistance
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FOR IMMEDIATE RELEASE: December 7, 2020

Contact:
Greg Astley, Director of Government Affairs, ORLA
503.851.1330 | Astley@OregonRLA.org

Today, the National Restaurant Association is releasing a letter to Congress with the results of the latest survey on the economic health of the industry, and the findings are bleak:

• 110,000 restaurants nationwide are closed… 10,000 more since our last survey just a few months ago.
• 52% of former owners of shuttered restaurants say they will not return to the industry.
• 59% of owners report their costs are going up even as sales are going down.
• The average restaurant that is now permanently closed was in business for 16 years in the community.

In Oregon, the findings are as follows:

• 80% of Oregon restaurant operators say their total dollar sales volume in October was lower than it was in October 2019. 
  • Overall, sales were down 30% on average.
• 39% of Oregon operators say it is unlikely their restaurant will still be in business six months from now, if there are no additional relief packages from the federal government.
• 88% of Oregon operators say their current staffing level is lower than what it would normally be in the absence of COVID-19. 
  • 66% of restaurants are currently more than 20% below normal staffing levels.

For months, Congress has been trapped in a political tug-of-war while restaurants continue to go dark. A group of moderate Democrats and Republicans last week unveiled a compromise plan bringing both parties back to the negotiating table. They are calling for a $909 billion relief bill, including a second round of Paycheck Protection Program grants, which with improvements could provide immediate assistance to restaurants.
 
“We need Congress to pass the Blueprint for Restaurant Revival,” said Greg Astley, Director of Government Affairs for the Oregon Restaurant & Lodging Association (ORLA). “While we are waiting for that to happen, we also need to make sure Congress at least passes some type of financial relief plan before leaving town for the year. Our industry simply cannot wait for relief any longer.”

While the recent $55 million in state funds will help the hospitality industry to some degree, it will not be enough to cover the massive losses brought about because of the pandemic and economic shutdowns.

“As costs continue to rise and revenues continue to fall for operators, and with more layoffs likely in the future, Oregon’s hospitality industry needs Congress to put aside the turf wars and come together to pass a relief package,” said Astley. “Without it, your neighbor’s job is in jeopardy and your favorite neighborhood restaurant may be the next one to forever close their doors.”

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The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which is comprised of approximately 10,000 foodservice locations and 2,000 lodging establishments with a workforce prior to COVID of 183,191. 


  

FOR IMMEDIATE RELEASE: November 20, 2020

Contacts:
Jason Brandt, President & CEO, ORLA | 503.302.5060 | JBrandt@OregonRLA.org 
Angelo Amador, Executive Director, RLC | 202.492.5037 | AAmador@Restaurant.org

Interview Coordination: Glenda Hamstreet, Executive Coordinator | ghamstreet@oregonrla.org

Portland, Oregon – Today, the Oregon Restaurant & Lodging Association (ORLA) and the Restaurant Law Center (RLC) filed a joint complaint in federal court for injunctive relief from the “Two-Week Freeze” mandated by the Governor, which prohibits indoor and outdoor dining in restaurants from November 18 through December 2. This action was taken to save many restaurants around the state, and to protect the livelihoods of thousands of food service workers who rely on restaurants and their customers. Both restaurants and their employees continue to suffer from the devastating effects of ongoing regulatory orders in Oregon during this pandemic.

“The restaurant industry prefers engaging in partnerships with our leaders in government,” said Jason Brandt, President and CEO of ORLA. “The latest restaurant restrictions in Executive Order 20-65 published on November 17 lack equity and due process. We hope to engage in communication with Governor Kate Brown and her professional staff as soon as possible to work towards a resolution that has not been available to us at this stage. In the meantime, Oregon’s restaurant operators must continue to follow all orders executed by the Governor until a federal court addresses the serious legal concerns brought forth by the industry.”

“The number one priority of America’s restaurant industry is to provide a safe and healthy environment for guests and employees,” said Angelo Amador, Executive Director of the Restaurant Law Center. “The industry is following applicable federal, state and local operating guidelines, and, where necessary, adapted their business models and adopted countless new measures to ensure that diners and workers remain safe. A blanket ban on indoor and outdoor dining is wrong and we believe the latest executive order in Oregon is also illegal. We hope our Complaint will encourage the Governor and other officials to meet to develop a more reasonable and pragmatic approach that protects the livelihood of restaurant industry workers and restaurateurs across the state.”

Click here to read the Complaint.

About the Oregon Restaurant & Lodging Association
The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which is comprised of approximately 10,000 foodservice locations and 2,000 lodging establishments with a workforce prior to COVID of 183,191.

About the Restaurant Law Center
The Restaurant Law Center is a public policy organization affiliated with the National Restaurant Association dedicated exclusively to defending the restaurant industry against government overreach at the local, state, and federal level by providing a voice for the industry in our judicial system.

Creation of a $75 Million Hospitality Relief Fund is Needed for Industry to Survive

FOR IMMEDIATE RELEASE: November 17, 2020

Contact:
Jason Brandt, President & CEO, ORLA
503.302.5060 | JBrandt@OregonRLA.org

Wilsonville, OR– Another shutdown of Oregon’s restaurants, bars and foodservice establishments is crippling an already broken and damaged industry.  While other industries in Oregon have experienced revenue losses on average of five percent from last year, the hospitality industry in Oregon has experienced revenue losses on average of at least thirty percent.

Because of this massive economic disparity, the Oregon Restaurant & Lodging Association (ORLA), the leading business association for the foodservice and lodging industry in Oregon, has sent a letter to the Legislative Joint Emergency Board asking for the immediate creation of a $75 million Hospitality Relief Fund to help operators and their employees survive another shutdown.

“There is no federal relief package waiting to be voted on and distributed from Congress or the White House,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “There are no stimulus checks being printed to help Oregon families pay their bills. There is no weekly check for $600 available for those servers, cooks, hosts and hostesses about to lose their jobs or have their hours cut again because restaurants can’t survive on takeout and delivery if they can do it at all.”

Restaurants and bars are still paying rent and there has been no extension of the commercial rent moratorium even though revenue has been cut by as much as 65% for some operators because of the shutdowns, “pause” and now a “freeze.”

Restaurants and bars are still paying OLCC license fees even though they are not able to serve hard alcohol or offer cocktails to go for customers doing pickup or delivery. They are still paying health inspection fees based on the number of seats they have in their establishment even though they cannot seat anyone in their establishment. There are payroll taxes, corporate activity taxes, property taxes on property they cannot fully use and commercial personal property taxes on property restaurants own.

In addition to the immediate creation of the $75 million Hospitality Relief Fund, ORLA is recommending several other solutions to the Legislature to help the hospitality industry survive.  Those solutions include:

• Passage of an already drafted Legislative Concept (LC 833) allowing for “To-Go Cocktails” from bars and restaurants
• Waiving or significantly discounting fees including but not limited to business licenses, corporate filing, health inspection fees and OLCC on-premises license fees to make up for the fact the businesses are not able to fully operate
• Extension of the Commercial Eviction Moratorium

“We were already hearing from members they were concerned about what another shutdown would do to their chances of staying open,” said Brandt.  “Without significant help from the state, the hospitality industry in Oregon–many of your favorite restaurants, hotels, bars and other places– will have to permanently close their doors, putting tens of thousands of people out of work.”

“Hospitality businesses need immediate help.  We cannot wait for February and hope a relief package will materialize and be approved at the federal level,” said Brandt. “This is an emergency and we need the Joint Emergency Board to take action now to save our industry and the tens of thousands of Oregonians who rely on it to put food on the table, pay their rent or mortgage and provide for their families’ needs.”

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The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which is comprised of approximately 10,000 foodservice locations and 2,000 lodging establishments with a workforce prior to COVID of 183,191. 

Statewide Industry Shutdown of Dining Rooms Does Not Add Up

Wilsonville, OR– On Friday, the Oregon Governor’s office announced wide ranging closures of all indoor and outdoor dining rooms across Oregon starting November 18. The announcement on November 13th came one day after a newly published report from the Oregon Health Authority identifying 2,893 Covid-19 cases associated with workplaces. Of those cases, 22 were tied to restaurants representing 0.76% of current workplace outbreaks.

“Our industry, along with the fitness industry, are the official targets of the latest directives from Governor Brown’s office,” said Jason Brandt, President & CEO of the Oregon Restaurant & Lodging Association. “We desperately need an explanation, and we are not getting straight answers. If 0.76% of active workplace outbreaks represent a need to shut down an entire industry, we have a real time crisis in how we are making regulatory decisions as a state.”

The Oregon Restaurant & Lodging Association (ORLA) has been an active partner in transforming thousands of hospitality environments to promote guest and employee safety. The industry continues to argue additional restrictions on controlled environments pushes virus spread to uncontrolled environments.

“We are running out of ways to express our deep concern about the correlation between dining room shutdowns and private behavior,” said Brandt. “If human interaction is going to take place during the course of the holiday season, then it is much more advantageous to have those interactions take place in controlled environments.” 

The state association continues to advocate for necessary adjustments to restaurant dining room protocol. For example, Governor Brown’s November 13th press conference stated private gatherings should be limited to 2 households or a maximum of 6 people. ORLA is advocating the same exact standard be allowed immediately in dining rooms across the state.

“Why are we allowing 2 private households to gather with up to 6 people in an uncontrolled environment and closing dining rooms when those same interactions can take place in a controlled dining room environment with oversight from a third party?” said Brandt. “We stand ready to help in getting this state back on track as thousands of livelihoods are at stake.” 
​
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The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which is comprised of approximately 10,000 foodservice locations and 2,000 lodging establishments with a workforce prior to COVID of 183,191. 

Industry Seeks Solutions Beyond Shutting Down, Putting People Out of Work

FOR IMMEDIATE RELEASE: November 13, 2020

Contact:
Jason Brandt, President & CEO, ORLA
503.302.5060 | JBrandt@OregonRLA.org

Wilsonville, OR– Today, the Oregon Governor’s office announced further restrictions on restaurants statewide beyond the previous two-week “pause.” The restrictions are being announced one week after the “pause” was announced and just two days after it went into effect.

The restrictions take effect Wednesday, November 18th and prohibit dining indoors or outdoors at any bar or restaurant. Drive-thru, takeout, delivery and curbside pickup will still be allowed. 

“Knowing small social gatherings are the focal point for the transmission of this virus, it is incredibly disappointing to see our industry once again targeted and to know bar and restaurant operators are having their employees’ and their own livelihoods put at risk,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “We continue to be asked to make significant sacrifices as an industry due to the nature of our business models.

The Oregon Restaurant & Lodging Association (ORLA) is recommending several solutions to help the hospitality industry survive. Those solutions include:

• Creation of a $75 million Hospitality Relief Fund to help restaurants, bars, breweries, cideries, lodging properties and other hospitality related businesses survive
• Waiving or significantly discounting fees including but not limited to business licenses, corporate filing, health inspection fees and OLCC on-premises license fees to make up for the fact the businesses are not able to fully operate
• Extension of the Commercial Eviction Moratorium

“We were already hearing from members they were concerned about what another shutdown would do to their chances of staying open,” said Brandt. “This latest round of regulations focused on restaurants will trigger an unknown amount of permanent closures impacting the livelihoods of thousands of Oregon families.”

In addition, ORLA is recommending these solutions to help stop the spread of the disease further:

• Implement a comprehensive, “Stay Home, Save Lives” public affairs campaign from the Governor and the state 
• Develop a comprehensive testing plan to increase rapid testing and contact tracing statewide
• Convene a Task Force to address social and community spread
• Establish a reconfigured Economic Advisory Panel to address continued COVID needs
• Early establishment of a comprehensive vaccine distribution plan

Oregon’s business community is sending the following letter to Governor Brown’s office in response to the latest round of restrictions.

“Businesses throughout Oregon have proven that they can make the operational changes necessary to keep their employees and their customers safe, even during this unprecedented pandemic. What we need now is a plan to address the root of the problem without causing additional harm to Oregonians throughout the state,” said Brandt. 

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The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which is comprised of approximately 10,000 foodservice locations and 2,000 lodging establishments with a workforce prior to COVID of 183,191. 

Newly announced restrictions on indoor restaurant spaces defy logic, data, and goals designed to reduce virus spread in Oregon

FOR IMMEDIATE RELEASE: November 6, 2020 (Updated 11.9.20)

Contact:
Jason Brandt, President & CEO, ORLA
503.302.5060 | JBrandt@OregonRLA.org

Wilsonville, OR– Today, the Oregon Governor’s office announced new restrictions on restaurants located in specific counties. The restrictions take effect next week and further reduce the total number of people, including staff, that can be on premise. The new restrictions for specific counties will change the current maximum of 100 people indoors and reduce the maximum to 50 people indoors. In addition, group dining at restaurants in affected counties will be reduced to a maximum of 6 people. The two-week pause applies to Multnomah, Marion, Jackson, Malheur and Umatilla counties. On Monday, Nov. 9, four more counties were added to the pause list; Washington, Clackamas, Baker and Union counties.

“We have said all along we were going to follow the data as a state and we have some of the most comprehensive, transparent data in the country being provided by the Oregon Health Authority in their weekly COVID reports,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “These new restrictions do not follow the data available to us. This action will directly result in more Oregonians interacting in uncontrolled, private environments as opposed to restaurants with controlled, regulated environments.”

The Oregon Health Authority’s weekly COVID report is published mid-week with the latest edition released on Wednesday, November 4. A copy can be obtained through the following link:

• OHA COVID-19 Weekly Report

The Oregon Restaurant & Lodging Association (ORLA) remains committed to thorough weekly reviews of any workplace outbreaks connected to the industry. In the latest edition, only 2 foodservice locations are identified out of approximately 75 workplace outbreaks across the state. The workplace outbreak section can be found starting on Page 22 with details included in Table 7 of the weekly report.

“We are one of the largest employers in Oregon and the efforts being undertaken by our operators across the state is nothing short of monumental. The weekly data continues to prove the importance of controlled, regulated environments like restaurants as an alternative to private gatherings,” said Brandt. “We are literally making decisions that could drive us in the wrong direction as a state.”

Safe Adjustments Needed to Regulations for Restaurant and Lodging Establishments

Wilsonville, OR– The Oregon Restaurant & Lodging Association is convinced two key regulations are ready for adjustments based on recurring COVID-19 weekly workplace outbreak reports. The weekly reports, available through the Oregon Health Authority (OHA) website, consistently show negligible outbreaks occurring in foodservice and lodging operations.

“We review the weekly reports from OHA religiously and can see the care being taken by our operators in controlled and highly regulated environments they manage,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “It is time, regardless of county phase, to allow operators the ability to stay open until midnight and to allow larger venues with ample square footage more flexibility in safely managing their capacity.” 
 
Currently, the Oregon Health Authority requires all foodservice operations in Oregon to close at 10pm regardless of their current phase of operation. In addition, all foodservice and event venues including lodging event space must limit their indoor capacity to 100 people including staff. 

“On the surface we realize a 100-person limitation sounds like an appropriate preventative measure to mitigate virus spread in Oregon,” said Brandt. “However, large scale venues have the ability to provide ample physical distance between associated parties of 10 or less and can accommodate more employees with hours while still operating safe, controlled environments.”

ORLA is focused on facilitating communication between the Governor’s office and small businesses operating restaurants and lodging establishments across Oregon. A recent push this past week to communicate stories with the Governor’s office resulted in over 100 small business stories being shared about how a midnight curfew would help save restaurants. ORLA hopes to share similar stories about the impact of the 100-person indoor cap as well and the ripple effect it has on local economies throughout the state.

“Some of the loudest voices in our industry on the importance of removing the 100-person indoor cap rule are coming from businesses who don’t have space to accommodate over 100,” said Brandt. “This showcases the ripple effect that hits smaller businesses when larger venues can’t accommodate larger groups in a community. Without the additional flexibility there is less activity and commerce in local communities and our operators rely on that foot traffic to stay afloat.”

For more information on the efforts of the Oregon Restaurant & Lodging Association please visit OregonRLA.org. 

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The Oregon Restaurant & Lodging Association is the leading business association for the foodservice and lodging industry in Oregon, which before COVID-19 provided over 180,000 paychecks to working Oregonians. Currently, approximately 55,000 of those workers, or 30%, do not have work available to return to.

​Contact:
Jason Brandt, President & CEO, ORLA
503.302.5060 | JBrandt@OregonRLA.org

​The 10pm closure time is confounding to the hospitality industry. Nothing about COVID-19 changes after 10pm. It is still a virus our industry takes seriously, and we have completely changed our businesses to accommodate for its realities. With the information we have available seven months into the pandemic, the 10pm closure is not based on science and does not reflect the reality of the situation regarding transmission of the disease.

It’s time to demand answers for why businesses cannot be allowed to operate past 10pm. Ask the Governor why this limitation still exists and let her know where you stand!

​Hospitality businesses are taking extra efforts to protect our communities, our customers, and our employees, and now we need help to make it on the other side of winter. We need the Governor to listen to us and trust us to help keep Oregonians safe. 

New Coalition Of Public And Private Sector Leaders Call On Congress To Act On COVID Relief Before Election 

Washington, D.C. (September 30, 2020) – COVID RELIEF NOW, a new coalition of nearly 200 major public and private sector groups across the U.S., today called for “No Recess without Relief” imploring Congress to not leave town for the 2020 elections without passing additional COVID economic relief – stating millions of jobs and survival of small businesses as well as vital government services are on the line.  
 
The coalition stated that if Congress fails to act, millions of employees will be furloughed or terminated; millions of unemployed Americans will lose their unemployment insurance pandemic benefits; hundreds of thousands of companies will be at risk of closing their doors forever; and the vast majority of state and local governments will have to curtail critical services in order to balance budgets due to a decline in tax revenue. 

Read the letter signed by coalition members, including the Oregon Restaurant & Lodging Association, that was sent to Congress today:

• COVID RELIEF NOW COALITION LETTER TO CONGRESS

This week is pivotal for COVID relief legislation and we must do everything we can to make sure our voice is heard. We need you to add your voice to ours. Write, call, and tweet your elected officials and tell them that the hotel industry’s needs must be included in any final bill.

Take action and share this message with your colleagues!  

[Aug. 25, 2020] - The following letter was submitted by ORLA to Metro Council in response to the delayed implementation of the Business Food Waste Requirement

Metro Council -

As you are well aware, the foodservice industry has been devastated by the COVID-19 pandemic. This virus scares many of our customers and workers from coming back until it’s safe. Employers are scrambling to try to pivot their business models and maintain enough cashflow to keep their employees’ jobs intact. People have poured their lives into their small business, only to see it jeopardized by something completely out of their control. It’s no surprise we’re seeing closure after closure.
 
The Oregon Restaurant & Lodging Association commends Metro for taking action in response to these uncertain times. While the business food waste requirement has worthy goals, this pandemic calls for foodservice operators to dedicate all attention and resources available to protecting their workers and their jobs. By delaying the implementation of these rules, you are recognizing this challenge, and for that, we say thank you.
 
Our recommendation to Metro is to consider delaying implementation until all jurisdictions under Metro’s purview have entered Phase 3. The foodservice industry is built on hospitality and face to face interaction. We will not enter any sort of normalcy until our customers and workers feel safe enough to venture outside their homes and see friends and family. Until then, many operators will simply not have the resources in personnel, time, or financial capital to dedicate to this important business change. In the interim, we are more than happy to continue as your partner in providing educational opportunities to foodservice operators to help eliminate waste and reduce costs.

Nicole Peterson
Oregon Restaurant & Lodging Association

[Metro] Comment on implementation delay

On March 20, 2020 Metro temporarily delayed implementation of the Business Food Waste Requirement for 6 months in order to assess the effects of COVID-19 and to allow time make a permanent decision about the program. Given the breadth of impacts of the pandemic Metro has chosen to further delay implementation and is in the process of amending Administrative Rules to reflect this change. 

Metro is seeking comments and feedback in relation to the implementation date change and resulting proposed changes to the Administrative Rules.

Administrative rule 4.000-4.085

ORLA sent a letter this morning to Representative Nancy Nathanson, Chair, Members of the House Interim Committee on Revenue, and the Senate Finance Committee urging them to oppose Legislative Concept 2. Please see the following call to action and take action today, WE NEED YOUR HELP!

Stop the Tax Sneak Attack!
Just when we thought things couldn’t get worse, the Oregon Legislature is now set to pass an ill-conceived proposal that would effectively impose $225 million in taxes on Oregon businesses, including restaurants and lodging, struggling to recover from the staggering impacts of the COVID shut downs.

But instead of admitting this is a new tax burden on struggling businesses, they will say this is simply a technical change, impacting only a few wealthy Oregonians. That’s simply not true. Many Oregon businesses will lose much-needed cash if this tax increase moves forward. 

More information is now available on the “Health, Economic Assistance, Liability Protection, and Schools (HEALS) Act” released earlier this week by Senate Republicans. As a reminder, the House introduced the HEROES Act proposal in May, which passed along party lines. Discussions are expected to now begin in earnest as Congress faces the July 31 deadline for enhanced pandemic unemployment insurance benefits.

Part of the Republican proposal would reduce these benefits from $600 per week to $200 per week on top of state administered aid until the end of September at which time the maximum benefit will be 70% of the recipient current wages -- but this will be a starting point for the negotiations.    
 
Read the National Restaurant Association’s summary of the proposal and the American Hotel and Lodging Association’s analysis of the HEALS Act.
 
Many of the hospitality industry’s priorities are included in the HEALS Act, including: 

1. PPP Recapitalization: Eligible small businesses with 300 employees or less and that show significant year over year revenue decline (currently 50%) will be eligible for a second PPP Loan. The NAICS Code 72 exemption language for Hospitality and Food Service, originally included in the CARES Act, is included in the Small Business proposal.  Additionally, there is increased funding for the SBA 7(a) program, which is targeted towards “recovery sector businesses.” 
2. Liability Protections: The “SAFE TO WORK Act” introduced by Senator John Cornyn (R-TX) provides liability protections for employers, schools and health care providers. This Act also provides limited liability protection for businesses until October 1, 2024. 
3. Targeted Tax Provisions: The expansion of the Employee Retention Credit (ERC) and Work Opportunity Tax Credit (WOTC), and a per employee credit for enhanced cleaning and acquisition of PPE in the Finance proposal. 
4. Business Meal & Entertainment Deduction: Supporting Americans Restaurant Workers Act: Senator Tim Scott (R-SC) introduced a separate bill which would fully reinstate the business meal and entertainment deduction. 

If you haven't yet, please take action on the National Restaurant Association's Blueprint for Restaurant Revival and/or the American Hotel and Lodging Association's Hotel Priorities Day of Action, thank you!  

Restaurants and Bars Among Hardest Hit by COVID-19 Pandemic
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[Wilsonville, OR] – The Oregon Restaurant & Lodging Association (ORLA), in partnership with the National Restaurant Association, recently completed a statistically significant survey around To-Go Cocktails, drinks made with distilled spirits for takeout, pickup or delivery to go along with meals purchased by guests.

The survey, conducted July 3-6th, shows 72% or nearly three in four Oregonians, said they would favor a proposal allowing customers to purchase cocktails or mixed drinks (made with distilled spirits) with their takeout and delivery food orders from restaurants. This is in addition to beer and wine, which is currently allowed.

Support is highest among those between the ages of 24-39 at 83%, with respondents between the ages of 58-74 showing the least support at 66%. Twenty-eight percent of adults said they strongly favor the proposal.  Fifty-nine percent of Oregon adults said they purchased takeout or delivery food from a restaurant for dinner during the week before they were surveyed.

ORLA President and CEO Jason Brandt said, “This is so encouraging for our members who have struggled just to stay open and keep people employed.”

Brandt continued, “This has been an incredibly difficult time when restaurants and bars have struggled to deal with the challenges of being shut down, having to pivot to offer only takeout, pickup or delivery and then trying to invite guests back into dining rooms and make them feel safe and comfortable. Knowing almost three out of four Oregonians support the option to purchase cocktails or mixed drinks to go with their meals means some restaurants and bars who might have previously had to close down actually have a chance to make it now.”

Allowing customers to purchase cocktails or mixed drinks (made with distilled spirits) for pickup, takeout or delivery requires a statutory change, meaning the Oregon Legislature would need to make the change to state law. Thirty other states currently offer To-Go Cocktails including Washington and California.

“From a public safety perspective, if more businesses are able to offer the service of delivery of alcohol to their customers, the need for those customers to physically go into stores and businesses is reduced, thus reducing the risk of community spread of COVID-19,” said Brandt.

Recognizing the need to help those who may have difficulty with alcohol addiction, ORLA’s website outlines a number of resources available to individuals, as well as training information to aid in prevention. More information on these resources and trainings can be found at OregonRLA.org/crisis-services-and-training.

For more information please contact Greg Astley, ORLA Director of Government Affairs at 503.851.1330.

ORLA is hosting another series of virtual town halls and all hospitality industry members and partners are invited to participate. 
 
The purpose of these virtual meetings is to provide a summary of the latest industry intelligence from the Governor’s Office, as well as from state and local leaders as we continue operations during Phase 2. We will review Public Health Guidelines, best practices, ORLA resources, and engage local operators about what strategies have been working since reopening.
 
We want to continue to keep businesses connected and feeling supported as we move through these challenging times. If you are interested in an overview of the latest Government Affairs updates and participating in a discussion about industry resources and guidance, this virtual meeting is for you.

To RSVP or if you have any questions, please contact your Membership Representative below and include any questions or comments you would like considered as part of our conversations.

Upcoming Virtual Town Hall Meetings:

Thursday, July 16 - 9:30-10:30 am
Polk, Marion, Benton, Linn Counties
RSVP to Greg Staneruck​

Monday, July 20 - 10:00-11:00 am
Washington / Columbia / Yamhill Counties
RSVP to Greg Staneruck​

Tuesday, July 21 - 3:00-4:00 pm
Coos, Curry, Douglas, Deschutes, Jackson, Jefferson, Josephine, Klamath, and Lane Counties
RSVP to Terry Hopkins

Wednesday, July 29 - 2:00-3:00 pm
Clatsop, Tillamook, and Lincoln Counties
RSVP to Greg Staneruck