 ORLA staff will be on the road April-May 2020 hosting Regional Meetings where members can engage in discussions on issues impacting their business. These meetings, held twice a year in fall and spring, provide members an informal, round-table forum to gain insight and intelligence, exchange ideas and ask questions.
[2020 dates and locations TBA] Topics to include: 2020 Legislative Session, local government affairs efforts, Oregon restaurant wage survey, Oregon Tourism Leadership Academy, as well as local and regional issues. If you'd like to host a meeting in your area, please contact Greg Astley, Director of Government Affairs, at Astley@OregonRLA.org or call 503.851.1330.
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ORLA’s Education Foundation Savors Progress at a Steady Pace
“The way of progress is neither swift, nor easy” - Marie Curie The hospitality industry may be behind others, such as healthcare, in terms of anticipating workforce challenges and creating a plan to address them. However, with growing partner engagement, we are starting to see small but steady progress this year! One notable achievement has been the ability of ORLAEF to hire a part-time ProStart and Foodservice Workforce Liaison. Irina Bakun’s focus is to assist culinary program teachers integrate foodservice/hospitality career awareness, experiences, and connections routinely into their teaching and activities. ORLAEF’s goal is to utilize Irina’s time and experience to work directly with districts, their teachers, and industry partners to help create clear pathways and opportunities for career exploration and employment. Funding came from a grant from the National Restaurant Association Educational Foundation. Other encouraging progress includes; PORTLAND ORLAEF’s partnership with Worksystems resulted in a pilot to use our industry’s guest service training curriculum with nine of its social service workforce training partners. The agency’s clients will learn valuable skills AND more about jobs in our industry. OREGON COAST Thanks to collaboration with the Oregon Coast Visitor’s Association, we have created a strong partnership with Northwest Oregon Works. The workforce development agency helped fund in-person training for prospective employees using AHLEI’s stackable credentials as well as current employees looking to upskill and advance their careers. Combined with a fall training effort, 74 industry certifications were earned. SALEM AREA ORLAEF is working in a pilot program with the area’s school districts, who support seven high school culinary training programs. Our joint goal is to build closer ties with local industry members and to create a model for productive and sustainable industry involvement with classes that focus on culinary and hospitality training. RETENTION STUDY We commissioned a best practices study with researchers from OSU’s Hospitality Management Program. Several Oregon businesses have implemented creative programs that have enhanced their employee retention. Watch the videos at Oregonrla.org/workforcepractices. GUEST SERVICE GOLD ® Since the training initiative’s launch, the course has been used by 1,833 individuals and resulted in 1,746 participants earning their Certified Guest Service Professional designation. To learn more about the course go to OregonGuestService.com. SUPPORT The leadership input and support from key partners who have contributed significant in-kind and cash resources has helped extend our reach via the programs above and also includes new industry training with food waste reduction. We are grateful to sponsors Travel Oregon, Sysco Portland, Vesta Hospitality, The Salem Convention Center, Metro, Curtis Restaurant Equipment, The Old Spaghetti Factory , and The Nines for their in-kind and monetary support as well as individual donors who have generously contributed monies. Please consider helping us continue our work by becoming a sponsor, donating, and/or becoming involved with our school programs. | Wendy Popkin, ORLEF “Progress means getting nearer to the place you want to be.” ― C.S. Lewis Wendy Popkin is the Executive Director for ORLA’s Education Foundation (ORLAEF), a nonprofit foundation dedicated to supporting the educational and training needs of the hospitality industry. Wendy is a 30+-year career veteran who describes herself as “fanatically enthusiastic about helping others enjoy the same type of fabulous career opportunities I have enjoyed in the hospitality industry.” Oregonrla.org/EdFoundation  ORLA proudly announces the launch of the Oregon Tourism Leadership Academy (OTLA), developed in partnership with the Oregon Destination Association and Travel Oregon, and led by the industry’s top experts. The new annual experiential learning program is targeted to public and private sector tourism professionals who are seeking to polish their leadership and professional skills, continue to grow their career accomplishments, and make positive and lasting contributions to the state’s tourism economy and its success.
“We believe we are embarking on a leadership experience which will prove to be transformative for program participants,” said Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association. “The academy will bring lasting personal and professional benefits to those who participate.” Curriculum, field visits, and hands-on experiences are strategically designed to support and align with the state’s tourism goals and objectives which include four Strategic Imperatives:
The OTLA experience is designed for professionals currently serving Oregon’s tourism and hospitality industries. Interested program participants should have supervisory, managerial, or executive responsibilities in either the private or public sector. Applications from industry professionals who will soon be responsible for similar levels of responsibility are also encouraged to apply for the academy program. The strategic imperatives outlined above will serve as the program’s core themes each year. Each theme will receive focus as a part of four multi-day experiential learning programs designed to provide academy participants with comprehensive educational experiences. Each year, 20 academy participants will immerse themselves in the academy’s professional development curriculum alongside industry experts and facilitators. For more information on the Oregon Tourism Leadership Academy, visit www.Oregonrla.org/OTLA. [updated 10.28.19] 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 are 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. 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.
News/Resources:
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. The hospitality industry and the state of Oregon lost a great champion when State Senator Jackie Winters passed away from lung cancer on May 29, 2019.
Beloved by all in the Capitol for her sense of fairness and justice, Sen. Winters began her political career in 1969 when, at the request of Governor Tom McCall, she was recruited to be supervisor of the Office of Economic Opportunity’s New Resources Program. In 1979 she was appointed Ombudsman by Governor Victor Atiyeh. During her tenure in that office, she helped create the Oregon Food Share Program, the first statewide non-profit food sharing network, which continues today serving Oregon’s neediest families. In 1985, Jackie opened her first Jackie’s Ribs restaurant in Salem. Over time, she and her family expanded to include three restaurants, two franchises, catering services and numerous appearances in national Bar-B-Q Cook-offs. Winters was elected to the Oregon House of Representatives in 1998 and became the first African-American Republican ever to serve in the Oregon Legislative Assembly. She was re-elected to this office in 2000 and then to the Oregon State Senate in 2002 where she served until her passing. On November 15, 2017, Winters was elected as Senate Minority Leader to replace Ted Ferrioli. She became the first black legislative caucus leader in the state. Jackie was an integral part of the Oregon Restaurant Association’s advocacy work as she served on the Government Affairs Committee and was part of the ORA’s Regional Board.  Luis Perez, Faces of Diversity - Oregon Winner Oregon Restaurant & Lodging Association (ORLA) announced the 2019 state winners of the National Restaurant Association Educational Foundation’s (NRAEF) Restaurant Neighbor and Faces of Diversity Awards. Three restaurants, Block 15 Brewing Company (Corvallis), Bentley’s Grill (Salem), and Mo’s Restaurants were named state winners for the Restaurant Neighbor Award. Luis Perez, franchise owner/operator of Elmer’s Breakfast-Lunch-Dinner in Corvallis, was named Oregon’s Faces of Diversity winner.
“The involvement and dedication these restaurants have shown in support of local philanthropy is commendable and exemplifies the spirit of our industry and our state,” said Jason Brandt, ORLA President & CEO. “It’s our honor to recognize these restaurants along with one restaurateur who has achieved success through perseverance and passion.” Nine out of 10 restaurants give back to their communities through charitable activities. Restaurants also play an important role in providing a ladder of opportunity for millions of Americans to achieve the American Dream. Each year, the NRAEF recognizes restaurants around the country for outstanding community service, diversity and lifetime achievement. These prestigious national awards honor restaurants that go above and beyond in supporting their community and inspiring others with their stories of success. All state winners were forwarded to NRAEF in consideration for national awards to be announced mid-March. Three national Restaurant Neighbor Award winners will receive a $10,000 award to help support their favorite charity or community project. National winners of the Faces of Diversity Award will have a $2,500 scholarship awarded in their name to an aspiring student from their state. In addition to the award, the national winners will be flown to Washington, DC to receive the award at a special banquet on March 27, 2019. Oregon’s award recipients will be formally recognized among their peers at ORLA’s Hospitality Industry Awards presentation during the annual Convention, this year in Seaside, September 16-17, 2019. For more information on Oregon's Restaurant Neighbor Awards, visit OregonRLA.org/restaurant-awards. Update 2.13.19 - The Centers for Disease Control (CDC) has officially declared the U.S. outbreak to be over; the FDA continues to recommend to suppliers and distributors that romaine lettuce be labeled with a harvest location and a harvest date, or labeled as being hydroponically or greenhouse-grown.
December 17, 2018 - The FDA, along with CDC, state and local agencies, is investigating a multi-state outbreak of E. coli O157:H7 illnesses linked to romaine lettuce grown in California. Restaurants and retailers should not serve or sell romaine from Monterey, San Benito, and Santa Barbara counties in California. Romaine from outside those regions need not be avoided. On December 13, 2018, Adam Bros. Farming, Inc., in Santa Barbara County, recalled products that may have come into contact with water from the water reservoir where the outbreak strain was found. The firm recalled red leaf lettuce, green leaf lettuce and cauliflower harvested on November 27 through 30, 2018. According to the firm, cauliflower was distributed to wholesalers in the U.S. The Adam Bros. recall has prompted a sub-recall by Spokane Produce Inc. of Spokane, WA. The firm recalled sandwiches and other products under the Northwest Cuisine Creations and Fresh & Local Sandwiches & Green Leaf Filets. The CDC has posted additional guidance regarding the romaine lettuce recall:
National Restaurant Association guidance: 5 Tips to Follow When a Recall Happens. Four members of Oregon’s foodservice and lodging industry have been selected for the statewide 2018 Hospitality Industry Awards as announced by Oregon Restaurant & Lodging Association (ORLA). Dave Thomason (Thomason Hospitality Group LLC, Grants Pass) was named Restaurateur of the Year; Doug and Becky Neuman (Neuman Hotel Group, Ashland) were named Lodging Operators of the Year; Kaarina Vera (Seaside Lodging LLC, Seaside) was named Employee of the Year, and Karnopp Peterson LLP (Bend) was named Allied Partner of the Year.
The recipients of these awards will be recognized among their peers and over 300 delegates of ORLA’s Convention during the Hospitality Industry Awards Dinner on September 30, 2018, at the Embassy Suites by Hilton Portland – Washington Square, in Tigard, Oregon. “Oregon’s hospitality industry is teeming with individuals who contribute significantly to the health of the trade,” says Jason Brandt, president and CEO of the Oregon Restaurant & Lodging Association. “These winners represent not only some of our industry’s most dedicated leaders and advocates, but also the exemplary service that sets the high standard for the entire industry to achieve.” Restaurateur of the Year: At 16, Dave Thomason started in the restaurant industry working as a busboy for the Carl’s Jr. chain in Anaheim, CA, and now has his own company overseeing 44 operations with a total workforce of over 600 employees. He has also been a very strong advocate of the industry having served 18 years as an ORLA Board Member and is a Past President of the Association. Through Dave’s leadership, experience and passion for hospitality, Thomason Hospitality Group has realized tremendous growth in recent years with no signs of slowing down. Taprock Northwest Grill opened for business in May 2009 and has been the centerpiece of Thomason Hospitality Group’s portfolio which also includes holdings throughout the state of Oregon for Elmer’s, Pita Pits, Human Beans, and Purple Parrots. Success isn’t all about growth and profits however. Dave believes their employees are their best asset and the greatest advantage over their competitors. He maintains that treating employees with respect values their individuality and empowers them to provide great service. Lodging Operators of the Year: In less than two decades Doug and Becky Neuman have transformed Southern Oregon’s hospitality scene. It all started as a real estate investment when they purchased the dilapidated Ashland Springs Hotel in late 1998 and “brought it back to its glory.” Their passion for Oregon led them to expand investments, and now Neuman Hotel Group’s portfolio includes four hotels, three restaurants, tow spas and soon a Victorian home. The Neuman’s impact on Southern Oregon goes beyond economic development and job creation, they filled a need in the community by revitalizing properties that celebrate what Oregon has to offer. More importantly, they have created an incredibly supportive work environment for close to 350 employees, investing in training and benefits that attract and retain a staff that love what they do. Employee of the Year: From front desk agent to manager, Kaarina Vera has proven that hard work, along with insight and being a quick learner can reward you with greater opportunities. When Seaside Lodging acquired ownership of the property where Kaarina was working the front desk less than a decade ago, they quickly saw her potential and transferred her to sales. Shortly after, she was promoted to Sales Manager for the Inn at Seaside – a strategic move for the Inn, as she helped double the sales. Kaarina’s exceptional performance directly contributed to the growth of the company which now includes four hotels. In her current position of Sales, Marketing and Revenue Manager for Seaside Lodging LLC, Kaarina continues to shine as one of the most “honest, ethical, sincere and efficient” staff members the company is proud to employ. Allied Partner of the Year: Karnopp Petersen, a law firm in Bend, Oregon, operates with a simple philosophy, “do your best work and give back.” For Karnopp Petersen, it’s not just about resolving disputes or winning litigation; they want to be a “value creator” for their clients by designing legal strategies that truly fit their clients’ needs, thereby giving them the best chance at achieving their goals. ORLA saw the value in this approach firsthand with a recent lawsuit regarding local lodging taxes. “The lodging industry in Oregon was in need of a law firm that could prevail in our pursuit of lodging tax protections. Karnopp Petersen has and continues to be one of ORLA’s most crucial partners in establishing the appropriate ways lodging taxes should be spent in Oregon,” said Jason Brandt, President & CEO, Oregon Restaurant & Lodging Association. “We’re more than pleased with the service they’re able to provide.” For more information on the Hospitality Industry Awards, visit OregonRLA.org/Awards or ORLA’s Convention, visit OregonRLA.org/Convention or call 800.462.0619. For press inquiries regarding the Hospitality Industry Awards, please contact Lori Little, director of communications, at 503.682.4422. June 27, 2018 - A measure strengthening Oregon’s required supermajority in order to increase state revenue appears that it is headed to the ballot in November. The measure clarifies that changes in tax rates, exemptions, or elimination of credits or deductions require at least three-fifths support in each chamber of the legislature. A coalition of small business groups turned in over 174,000 signatures supporting the measure by the end of June. The coalition believes that tax and fee increases should receive support from at least three-fifths of the legislature as voters intended when they passed Ballot Measure 63 in 1998. Do you think raising taxes on your family and homegrown Oregon companies should be as easy to approve as declaring marionberry pie the official state pie? We didn’t think so. The bar should be higher for the legislature to approve taking more of your hard-earned paycheck. Tax increases should always be the last option—never the first. We have a solution. We need you to visit EndEasyTaxHikes.com/orla right now to add your name to a citizen initiative petition to prevent the legislature from using gimmicks and loopholes to raise taxes easily. At EndEasyTaxHikes.com/orla, you can download and sign a petition—it will only take you three minutes. The website includes easy instructions to help you get signatures from your family members and colleagues as well. With your help, ORLA and thousands of other Oregonians will place Initiative Petition 31 on the ballot this November to end easy tax hikes. Background:
Ten years ago Oregonians smartly passed a constitutional amendment requiring any tax increase be approved by a supermajority of both the State House and State Senate. Now, since our state legislature can't get a supermajority to vote for a tax increase, they are creating and increasing "assessments" and "fees" that are really tax increases - because they only need a simple majority to implement and raise fees and assessments. We need you to visit EndEasyTaxHikes.com/ORLA and add your name to a citizen initiative petition to prevent the legislature from using gimmicks and loopholes to raise taxes easily. It's time to put a stop to this… a tax is a tax. Deschutes County Circuit Court Case No. 17CV41968
On September 26, 2017, the Oregon Restaurant and Lodging Association, BHG Bend, LLC, and Wall Street Suites, LLC (together, the “Plaintiffs”) filed suit against the City of Bend alleging that the City’s recently enacted Ordinance NS-2291 violated ORS 320.350(3) by impermissibly lowering the amount of room tax revenue expended to fund tourism promotion. Through their Complaint, the Plaintiffs sought (1) a declaration from the Court that NS-2291 violated ORS 320.350(3), and (2) an injunction preventing the City from enforcing NS-2291 and ordering the City to expend room tax revenue in accordance with ORS 320.350(3). The City answered, denying that NS-2291 violated ORS 320.350(3). The City’s sole affirmative defense was that the Plaintiffs each lacked standing to challenge the validity of NS-2291. After limited discovery was concluded, Plaintiffs and Defendants filed cross-motions for summary judgment. On May 8, 2018, the parties’ motions were heard by the Hon. Judge Beth Bagley. Plaintiffs were represented by Josh Newton. The City was represented by Ian Leitheiser. On May 23, 2018, Judge Bagley read the Court’s decision from the bench. The Court found that each of the Plaintiffs had standing to challenge NS-2291. The Court then found that by enacting NS-2291, the City violated ORS 320.350(3) by lowering the room tax revenue expended on tourism promotion below the rate agreed upon by the City prior to the enactment of ORS 320.350(3). Karnopp Petersen is in the process of preparing an order and judgment to be entered in the action. Once the final judgment is entered, the City may appeal the Court’s decision. The City will have 30 days from the date the final judgment is entered to file its Notice of Appeal. ORLA thanks the firm Karnopp Petersen LLP for their excellent representation in this case. Related News: Oregon Restaurant & Lodging Association Takes Legal Action Against the City of Bend to Protect Lodging Tax Dollars Intended for Tourism Promotion Update May 23, 2018 - A Deschutes County judge ruled that the City of Bend broke the law by redirecting restricted lodging tax dollars to street maintenance. As a result of the court hearing, $350,000 that had been reallocated to road repairs will be directed back to tourism promotion. ORLA thanks the firm Karnopp Petersen LLP for their excellent representation in this case. On May 8, 2018, the Judge heard arguments from the city’s attorney and an attorney representing the Oregon Restaurant & Lodging Association and two local hotels that sued the city in September. The Oregon Restaurant & Lodging Association (ORLA) filed a lawsuit September 26, 2017, against the City of Bend for diverting the City’s room tax revenues away from tourism promotion and reducing the allocation for tourism promotion below what is required by law. ORLA is challenging the validity and implementation of a recent Bend City Ordinance which amends the percentage of room tax revenue the City spends on the promotion of tourism and improperly diverts restricted room tax revenues to road maintenance. “Cities must follow the restrictions in place for disbursement of the lodging tax revenues they collect,” said ORLA President & CEO Jason Brandt. “Unfortunately, Ordinance NS-2291 results in Bend being out of compliance with state law. The vast majority of tourism revenues in Bend can already be spent on general fund purposes so we hope our lawsuit results in acknowledgment from the courts that this recent act is in violation of Oregon law and must be undone.” Bend City Ordinance NS-2291 violates state law (Oregon Revised Statue 320.350) in one or more of the following ways: a) 9% of the City’s 10.4% city room tax rate has a set of restrictions for appropriate use of those funds. Within the 9% city room tax rate, the City is statutorily required to spend 30 percent on tourism promotion and tourism related facilities. b) The remaining 1.4% city room tax rate is subject to a statutorily required 70% investment in tourism promotion and tourism related facilities. “Lodging operators should be recognized as financial partners of local governments,” said Brandt. “As tourism becomes more successful, so does the tax revenue provided to local governments to invest in the projects important to local residents.” A report from Longwoods International shows for every $1 invested in tourism promotion, $237 is generated in economic impact and $11 in tax revenue to the benefit of Oregon residents. ORLA is engaged on a state and local level, helping local municipalities realize that shifts in tourism promotion investments can do more harm than good. Brandt argues there is a direct correlation between tourism promotion and a community’s own tax revenue. “Tourism promotion dollars are crucial to keeping Oregon’s visitor destinations top of mind. Local communities stand to lose significant tax dollars for their general funds if tourists choose to travel elsewhere.” In 2003, the Oregon State Legislature passed HB 2267, mandating 70% of new or increased local lodging taxes be directed to tourism promotion or tourism related facilities. At that time, the City made the commitment to fund tourism promotion with 30% of the initial 9% tax rate in Bend. In 2013, the City’s residents approved Measure 9-94, which increased the City’s room tax rate from 9% to 10.4%. That 1.4% increase in tax rate is subject to the restrictions established in HB 2267. This past May the City passed an ordinance, in violation of the law, changing the allocation of tourism dollars. “The City claims their new allocation of lodging tax dollars still follows state law. This is incorrect,” said Brandt. “There is an error in the total investment they are required to make in tourism promotions and/or facilities.” The hospitality industry sees transportation investments as a crucial contributor to Oregon’s continued economic success. ORLA looks forward to working with Bend and other communities to help identify appropriate revenue streams to fund transportation investments including the unrestricted portion of lodging taxes. For more information, contact ORLA President & CEO, Jason Brandt, at 971.224.1501. ### The Oregon Restaurant & Lodging Association represents approximately 2,500 members, and advocates for over 9,900 foodservice locations and 2,200 lodging establishments in Oregon. The foodservice and lodging industry is responsible for 173,700 jobs bringing in over $10.8 billion in annual sales and generates over 54% of the annual tourism dollars spent in Oregon.
Related News: Oregon Restaurant & Lodging Association’s Tradeshow Offers Attendees Exclusive Experience with a New Virtual Sales Tool The Northwest Food Show, April 22-23 at the Portland Expo Center, will premiere the exclusive Virtual Reality Dome by Visiting Media, demonstrating how some Oregon businesses are already using immersive content to promote their businesses. This incredible interactive technology will help restaurants reach a customer base that is driven by new experiences. This is the first time tradeshow attendees will experience immersive content like 360˚ video, aerial photography, virtual reality, and 3D-modeling via the TrueTour® platform in a life-sized, portable virtual reality dome. Visiting Media developed TrueTour®, a revolutionary visual sales and marketing tool, to help businesses connect with their guests and potential customers on a whole new level. “Virtual reality can be a stunningly effective storyteller, adding an immersive and emotional component that showcases what’s unique to Oregon,” said Jason Brandt, President & CEO of Oregon Restaurant & Lodging Association (ORLA). “We are excited to partner with Visiting Media to provide this innovative solution to our hospitality members who are looking for more effective ways to reach their customers.” Visiting Media’s VR Dome is a 200° spherical projection dome with a built-in spherical 4K projector covering every inch of the dome’s interior with vivid lifelike imagery. TrueTour® projects 360° photography, 360° videography, 3D modeling and other virtual and augmented reality content, controlled and navigated with arm and hand gestures by the dome’s occupants. This creates a thrilling game-like immersive experience into any business presented upon the screen. The Northwest Food Show, presented by the Oregon Restaurant & Lodging Association, is a two-day tradeshow held April 22-23, 2018, at the Portland Expo Center. Celebrity chef Rick Bayless, winner of Bravo’s Top Chef Masters, headlines the event with a chef demonstration. The Show will also have James Beard Award-winning chefs Andy Ricker from Pok Pok and Greg and Gabrielle Quiñónez Denton, the owners of Ox, on the Chef’s Stage on Monday. More information on the Show, including the schedule of cooking demonstrations, Tasting Pavilion, and educational sessions, can be found at www.nwfoodshow.com. This event is only accessible to restaurant and foodservice industry-related businesses and is not open to the public. Media passes for the show are available upon request; contact Trey Carscadon at 503.201.4669. ### About Visiting Media
Visiting Media is a technology company dedicated to delivering the world’s best visual marketing solutions to inspire, describe, transmit and promote our members’ businesses. Building upon its mastery of innovative, immersive and virtual reality technologies, the essence of the brand is communicated through hundreds of professional and enterprise members who depend upon Visiting Media to receive tailored support, quality content production, and a substantial advantage as they redefine what is possible in the virtual and actual marketplace. VisitingMedia.com About ORLA The Oregon Restaurant & Lodging Association serves to protect and promote Oregon’s hospitality industry, representing approximately 2,500 members, and advocating for over 9,900 foodservice locations and 2,200 lodging establishments across the state. The foodservice and lodging industry is responsible for 173,700 jobs bringing in over $10.8 billion in annual sales and generates over 54% of the annual tourism dollars spent in Oregon. SB 1528B negates state income tax relief for Oregon’s small businesses The following business groups today expressed their disappointment in Gov. Kate Brown’s signing of Senate Bill 1528, which increases taxes on small business by more than $1 billion over six years. Statements follow. Associated Oregon Loggers Oregon-Columbia Chapter of Associated General Contractors Oregon Farm Bureau Federation Oregonians for Food & Shelter Oregon Power Sports Association Oregon Restaurant & Lodging Association Oregon Seed Council Oregon Small Woodlands Association Oregon State Association of Plumbing-Heating-Cooling Contractors Oregon Vehicle Dealers Association National Association of Insurance and Financial Advisors-Oregon NFIB/Oregon Northwest Auto Trades Association Jason Brandt, President & CEO for the Oregon Restaurant & Lodging Association: “As Oregonians running restaurants and lodging establishments continue to assess their tax liability under the new federal reforms, one thing is painfully clear – there will be no state income tax relief for Oregon’s small businesses. Oregon had an opportunity to replicate and amplify the successes of federal tax reform by connecting to the new 20 percent deduction on pass-through business income – which would have happened automatically, without passing a single bill this year. This is a very unwelcome and disappointing development. Raising revenue should require a supermajority vote of Oregon’s legislature. ORLA will be actively involved in campaign activity this summer and fall to give Oregonians the opportunity to vote for an end to easy tax hikes.” Anthony Smith, Oregon state director for the National Federation of Independent Business: “Lower taxes mean more opportunities for entrepreneurs to make investments in their businesses, their communities, and their employees. NFIB remains committed to preserving every possible benefit from federal tax reform because the Tax Cuts and Jobs Act has led to a significant surge in Small Business Optimism across the nation, reaching some of the highest levels on record. Unfortunately, Oregon has chosen a different path. Today’s signing of SB 1528 marks a significant step backwards for our state’s entrepreneurs. Cathi Webb, Executive Director for the Northwest Auto Trades Association: “It’s sad to see Oregon moving in the wrong direction. We were once a leader in recognizing the importance of providing tax relief to our homegrown, main street businesses. Now, Congress and the White House have raised the bar with an inclusive policy that lowers taxes for nearly every S-corp, partnership, LLC, and sole proprietorship. We could have done the same. We didn’t.” Jonathan Sandau, State Government Affairs for the Oregon Farm Bureau Federation: “The state’s decision to decouple from the federal tax code jeopardizes our local farmers’ economic competitiveness by blocking the full benefits that could have been realized from federal tax reform. By keeping those dollars on the farm, Oregon’s small farming and ranching families had an opportunity to engage on a level playing field to provide healthy, responsibly grown food to our local markets.” Jim Geisinger, Executive Vice President for Associated Oregon Loggers: “The state asks small businesses to pay more and more of the state’s obligations while making it more and more difficult to make a buck to tax! They can’t have it both ways!” Roger Beyer, Executive Director for the Oregon Seed Council: “For Oregon’s family owned farms this is a real blow. Unlike many other businesses, farms cannot pick up and leave the state if it is unprofitable to continue doing business. The state has increased the cost of producing seed significantly in recent years and today, the Governor showed us where her loyalties lie. This was a missed opportunity for Oregon.” Background According to the non-partisan Legislative Revenue Office, SB 1528B raises $244.4 million in 2017-19, $376.7 million in 2019-21, & $427.4 million in 2021-23, a total of more than $1 billion in additional revenue that was not part of the most recent state revenue forecast. The U.S. Small Business Administration reports that Oregon has over 350,000 small businesses, accounting for 99.4 percent of all businesses in the state and employing more than half of the state’s private sector workforce. The median income for individuals self-employed at their own incorporated businesses was $44,147 in 2015. For individuals self-employed at their own unincorporated firms, this figure was $20,672, including all income sources. ### About the Oregon Restaurant & Lodging Association
The Oregon Restaurant & Lodging Association serves to protect and promote Oregon’s hospitality industry, representing approximately 2,500 members, and advocating for over 9,900 foodservice locations and 2,200 lodging establishments across the state. The foodservice and lodging industry is responsible for 173,700 jobs bringing in over $10.8 billion in annual sales and generates over 54% of the annual tourism dollars spent in Oregon. About the National Federation of Independent Business Celebrating its 75th anniversary, the National Federation of Independent Business has taken the message from Main Street to the halls of Congress and all 50 state legislatures since 1943. NFIB annually surveys its members on state and federal issues vital to their survival as America's economic engine and biggest creator of jobs. NFIB’s educational mission is to remind policymakers that small businesses are not smaller versions of bigger businesses; they have very different challenges and priorities. If you have questions or concerns, contact Jason Brandt, President and CEO, Oregon Restaurant & Lodging Association, 503.682.4422, JBrandt@OregonRLA.org. Oregon restaurants can now share tips with heart-of-the-house employees A federal spending bill passed March 23 abolished a 2011 federal regulation that prohibited tip pooling in all circumstances with non-customarily tipped employees. Now, employers are once again allowed the opportunity to expand tip pools and share the tips among a broader range of employees in states where employers don’t take a tip credit. This change now allows tip sharing among both customarily and non-customarily tipped employees, including dishwashers and cooks. The new legislation also makes it clear that tips belong to the workers who receive them and that owners, managers and supervisors are prohibited from sharing in tip pools. “We believe team environments within restaurants lead to customer satisfaction and business success,” said Jason Brandt, president & CEO of the Oregon Restaurant & Lodging Association (ORLA). “Last week’s congressional action affirms what our industry knows to be true – the dining experience is made possible by wait staff, cooks, bussers, dishwashers and other hard-working employees who now have the opportunity to share in the success of great customer service through the sharing of tips.” The association looks forward to receiving further guidance and clarification from the U.S. Department of Labor. To learn more, read Key Issue: Tip Pooling Updates. ### About the Oregon Restaurant & Lodging Association
The Oregon Restaurant & Lodging Association serves to protect and promote Oregon’s hospitality industry, representing approximately 2,500 members, and advocating for over 9,900 foodservice locations and 2,200 lodging establishments across the state. The foodservice and lodging industry is responsible for 173,700 jobs bringing in over $10.8 billion in annual sales and generates over 54% of the annual tourism dollars spent in Oregon. 79th Legislative Assembly Garnered Real Outcomes
The “short” Oregon Legislative session officially ended March 3, 2018. The Government Affairs team at ORLA worked diligently to pass several pieces of good legislation and prevent more damaging laws from passing. Working collaboratively with other groups and organizations, some of whom we have not partnered with before, ORLA finished up a very successful short session on behalf of our industry partners. Here is an update on a few of the bills ORLA was working on and tracking: HB 4120A – Relating To Short-Term Intermediary Lodging Tax Payments In 2003, the Tourism Investment Program (HB 2267) was adopted, establishing the statutory framework for the transient lodging tax program. Third-party intermediaries have always played a role in short-term lodging and that role has increased as new short-term lodging models emerged in the marketplace and consumers more frequently turned to multiple online platforms to compare prices and make their vacation plans. In 2013, we believe the Legislature passed bills intending to treat short-term rental intermediaries the same as traditional hotels, motels and other lodging establishments who pay the transient lodging tax to the state, counties and cities. Unfortunately, some of these third-party short-term rental intermediaries have refused to pay taxes unless a voluntary collection agreement is signed and even then, the agreement stipulates no sharing of data between the short-term rental intermediary and the city or county. Cannon Beach recently rejected a voluntary collection agreement due to a lack of transparency and the inability to properly audit, thereby ensuring they were receiving the correct amount of transient lodging tax. The need to statutorily clarify that short-term rental intermediaries are responsible for collecting and remitting the transient lodging taxes was reinforced in 2016 by the HB 4146 Work Group and as a result, HB 2049 was introduced in the 2017 session. This session, ORLA worked with the League of Oregon Cities and State Representative Pam Marsh (D–Ashland) to help introduce HB 4120A, which requires short-term intermediaries like Airbnb to collect lodging taxes when they’re already collecting the lodging stay payment. After passing out of committee, HB 4120A was supported widely through a bipartisan vote (52-8) in the State House of Representatives. The bill then moved over to the Senate and to the Senate Finance and Revenue Committee where State Senator Mark Hass (D-Beaverton) led the committee in support of a 5-0 vote recommending passage to the rest of the Senate. Another member of the Senate Committee, State Senator Alan DeBoer (R-Ashland), carried the bill on the Senate floor to a 26-1 vote for a major hospitality win. The bill is now headed to the Governor’s desk for signing. HB 4088 – Relating To Music Licensing ORLA, working in partnership with the Oregon Winegrowers and with the support of music licensing company BMI, introduced HB 4088 to help regulate how music licensing companies can engage lodging and restaurant operators about the playing and/or performing of copyrighted music. The bill prohibits certain activities by, and specifies additional duties for, performing rights societies in notifying business proprietors concerning proprietors' duties with respect to performing copyrighted musical works and in negotiating contracts for paying royalties for performing copyrighted musical works. Essentially, the bill states: A performing rights society may not enter into, or offer to enter into, a contract under the terms of which a proprietor must pay royalties unless the performing rights society, at least 72 hours before entering into the contract, provides to the proprietor or an employee of the proprietor: (a) Information, at the proprietor’s request, as to whether specific copyrighted musical works are in the repertoire of the performing rights society; (b) An opportunity to review, electronically and free of charge, the most current available list of the performing rights society’s members or affiliates, and the most current available list of the musical works that the performing rights society licenses, in a format that the proprietor can search by title, publisher and performing artist; and (c) A schedule of rates and terms under which the performing rights society will collect royalties under the contract, including the terms of any sliding scale or schedule for any increase or decrease of the rates for the duration of the contract. Further, a performing rights society or any agent or employee of a performing rights society may not: (1) Enter onto the premises of a proprietor’s business to discuss or inquire about a contract under which the proprietor will pay royalties without first: (a) Providing identification to the proprietor or the proprietor’s employees; and (b) Specifying the purpose of the entry; (2) Use abusive, profane or obscene language when communicating with a proprietor or the proprietor’s employees; (3) Communicate with a proprietor or the proprietor’s employees in person or by telephone in locations or at times other than in the proprietor’s place of business during regular business hours unless the proprietor’s place of business is not open to the public and the proprietor or an employee, agent or representative of the proprietor agrees to communicate in a different location or at a different time; (4) Communicate with a proprietor or the proprietor’s employees after receiving notice from the proprietor’s attorney that the performing rights society or an agent or employee of the performing rights society must address communications to the proprietor’s attorney, except that a performing rights society or an agent or employee of the performing rights society may communicate directly with the proprietor or the proprietor’s employees if the attorney fails to respond to communications for a period of 60 days or more; (5) Engage in any coercive conduct, act or practice that is substantially disruptive to a proprietor’s business; (6) Use or attempt to use any unfair or deceptive act or practice in negotiating with a proprietor The bill was passed out of the House Business and Labor Committee and was carried on the House floor by State Representative Denyc Boles (R-Salem), passing 59-0 with one excused. On the Senate side, after passing out of the Senate Business and Transportation Committee, it was carried by State Senator Rod Monroe (D-Portland). It then passed the Senate 29-0 with one excused. The bill is now awaiting a signature by the Governor. HB 4054 A – Relating to the Removal of Personal Property (i.e., homeless camps) Although not a partner on this bill, ORLA was supportive of its passage. The bill which specifically allows the Department of Transportation to enter into an intergovernmental agreement with cities with a population of 500,000 or greater (i.e., Portland) creates an avenue for the city to continue their important work in cleaning up homeless camps regardless of whether the land is owned by the city or state. The bill cuts down the number of days from 22 to 2 for notification purposes. This bill passed 58-0 in the House with two excused and 27-0 in the Senate with three excused. It is now headed to the Governor’s desk for signing. In honor of Women’s History Month, the Portland Kitchen Cabinet, in partnership with ORLA and National Restaurant Association, hosted its second annual Women Who Stir the Pot. The event celebrating restaurant industry innovators and leaders was hosted at No Bones Beach Club in Portland on March 13, 2018. View photos from the event on Facebook. OregonSaves Wave Two (50 – 99 employees)
In mid-January, OregonSaves began sending employers with 50 – 99 employees in Oregon their first notice about the program in case they would like to register or claim exemption now, ahead of the May 15, 2018 registration deadline. For employers with an email address on file, the notice was sent by email. For all others, it was sent by regular mail. If an employer didn’t receive the notice and should have, they can reach out to the OregonSaves Client Services team at (844) 661-1256 or clientservices@oregonsaves.com. Employers in wave two can expect another notice about the registration deadline in April. OregonSaves is Now Open for Business Statewide Due to the success of the pilot phase of the program, OregonSaves is now open to any employer of any size with employees in Oregon. The deadlines for employers to register remain the same, but employers do not need to wait for them to join the program and start facilitating savings for their employees. Later this month, OregonSaves will send a notice to every employer in Oregon with instructions about how to join early. To date, more than 60 employers from later waves have seen the benefits of getting an early start and have already signed up. As Judi Randall, finance director at Douglas County Multi-Family Property Management Corp. in Roseburg, explained, “The process to get the program established was minimal, the OregonSaves software is easy to navigate, and the time and effort it took was worth the benefits the employees will gain from the program.” State Plan for Employees Launched July 2017 OregonSaves, a state-run retirement program for employees of businesses who do not currently offer a retirement savings plan, officially launched in July when 11 employers selected for the first pilot program began payroll deductions for participating employees. November 15, 2017 was the deadline for employers with 100 or more employees in Oregon to either register to facilitate OregonSaves or certify that they are exempt from the program. If an employer missed the deadline, they should reach out to the OregonSaves Client Service team at (844) 661-1256 or clientservices@oregonsaves.com. Background In 2015, the Oregon Legislative Assembly enacted legislation, which created the Oregon Retirement Savings Board. House Bill 2960 tasked the Board with the establishment and oversight of a state-run retirement savings program providing employees with a flexible opportunity to save through payroll deductions and the ease of getting started with automatic enrollment and annual contribution escalation. The new public website for OregonSaves is now live at OregonSaves.com and includes general information about the program as well as specific information for savers at Saver.oregonsaves.com and for employers at Employer.oregonsaves.com. Pilot programs Employees in the pilot program of OregonSaves have already saved more than $146,000 since July. Approximately 72 percent of the nearly 2,500 eligible employees have chosen to stay in the program. Most employees are contributing the standard 5 percent of their gross pay. Currently, the average contribution rate is 4.7 percent, and the average contribution is approximately $57 per pay period. Details Employers must collect (payroll deduction) and remit the payroll withholdings each pay period to the State. This will create additional paperwork for employers to deal with staff. There is no cost; the plan is funded into IRA's. Timeline OregonSaves is scheduled to roll out in phases starting with larger employers. The registration deadlines for employers are as follows: a. An employer employing 100 or more employees: November 15, 2017 (audit required) b. An employer employing 50 to 99 employees: May 15, 2018 c. An employer employing 20 to 49 employees: December 15, 2018 d. An employer employing 10 to 19 employees: May 15, 2019 e. An employer employing 5 to 9 employees: November 15, 2019 f. An employer employing 4 or fewer employees: May 15, 2020 Enrollment Process Ten days before the next deadline, employers who have yet to respond will receive a reminder notice. Employers are encouraged to register or certify as soon as possible to avoid the rush at the end. If an employer needs assistance, they should reach out to the OregonSaves Client Service team at (844) 661-1256 or clientservices@oregonsaves.com. Employers who register to facilitate OregonSaves will have 30 days after registration to add all of their employees to the system. Once employees are added, the system sends them notice about the program. Employees then have 30 days to decide if they want to participate. After that 30-day period ends, employees who haven’t opted out will be automatically enrolled, and payroll deductions should begin on the first pay date afterward. For example: Company A registers on Nov. 15. They need to enter their employees by Dec. 15. If they upload their employees on Dec. 15, their employees will have until Jan. 14 to decide if they want to participate. Company A will then begin payroll deductions on the next pay date after Jan. 14, such as Feb. 1 if they pay employees on the first day of the month. Rules The Oregon Retirement Savings Board has officially completed a second stage of rulemaking, which considered technical matters that were not in the first set of rules for OregonSaves, such as the process for employment services. The second stage of rulemaking began on June 14, 2017 and included three rulemaking advisory committee meetings. After holding a public rulemaking hearing on September 19, 2017 and considering input and feedback from a wide range of stakeholders, the Board filed updated rules with the Oregon Secretary of State’s Office on October 24, 2017. The updated rules have been posted on the Board’s website at Oregon.gov/retire/Pages/Rules.aspx. More information and a complete list of frequently asked questions for employers and employees can be found at Oregonsaves.com/home/overview/faqs.html. | ORLA FAQ’s about OregonSaves Traveling across the state the last 18 months and meeting with our members and others in the hospitality industry, one issue has continued to dominate the discussions: labor shortage.
Oregon’s economic growth is outpacing the rest of the country, people are moving here and visiting here in record numbers and unemployment is extremely low. Those factors are all contributing to fewer people seeking employment or looking to change jobs or companies. But in Oregon, we are also experiencing the consequences of recent regulations and laws passed making it difficult for businesses, small and large, to continue to grow, expand or even survive. In the last two years, Oregon’s legislature has passed an annual minimum wage increase, paid sick leave law, scheduling law (the first state in the country to do so) and implemented a mandatory retirement savings plan administered by the State. Alone, these laws and regulations would be difficult to adapt to and implement. Taken together, they have challenged many businesses to find new and different ways to adjust to so much regulation so quickly. To make matters worse, in Oregon, like seven other states, there is no tip credit for restaurants with servers. What this means is that unlike 43 other states, Oregon pays its servers at least the minimum wage plus tips - with many restaurants paying above minimum wage. Unfortunately, without a tip credit and with increasing minimum wage hikes annually, Oregon restaurants are left with little choice but to raise prices. Restaurants already have razor-thin margins; 95% of every dollar taken in by restaurants, on average, goes into the customers’ experience through food costs, labor costs or operating costs, so employers have few options. But as prices increase, a customer’s check increases and tips increase, raising wages even higher for servers and bartenders. Finally, the U.S. Department of Labor changed a rule from the Obama Administration disallowing tip pooling with the back of the house employees like cooks and dishwashers in states without a tip credit. The rule previously allowed for non-tip credit states like Oregon to utilize tip pooling to help with the wage inequity between front of the house and back of the house. Surveys indicate more than half of customers in full-service restaurants believe the tip is already being shared among all staff. As labor costs increase and a scarcity of labor continues to persist, employers will need to look for innovative ways to solve those problems. Some businesses are eliminating the need for “brick and mortar” locations and are moving to online stores. Some restaurants have moved from full-service to counter-service, cutting down on the number of employees needed. Another way has been the use of technology. McDonald’s has announced self-order kiosks for customers to use when ordering, robots can now be used to deliver coffee and towels to hotel guests, and some full-service restaurants are using tableside tablets to allow customers to not only order and pay for food but play games as well. A recent report from the Portland Business Alliance notes that automation is a bigger threat to foodservice and accommodation jobs which are at a higher risk than healthcare professionals. Certain geographic areas, especially in rural Oregon, are also at higher risk of losing jobs to automation. But the news is not all gloomy. Steve Brown, a futurist, speaking at the recent Oregon Leadership Summit noted the highest category of job growth is “Other” and went on to say there are jobs in the future we haven’t even created yet and ones that will be created because of technology. Automation and robotics will likely create new jobs for the industry that have them working alongside robots. For every kiosk or tablet used, there will need to be someone to manufacture new ones, repair existing ones and write the software for the programs. Robots may be used to deliver towels, but someone will still need to put the towels in the robot’s “hands” and keep up the maintenance. Many of these technological solutions will still need human interaction. Customers will still want to talk with the person in charge when they have a complaint or personally pass along a compliment to the chef. Technology or automation and people can work together to make sure we still provide customers with what they want to keep them coming back. As we get ready to give thanks for all we’ve received this year, many of us are preparing to pay that good fortune forward to those less fortunate.
This Thanksgiving, several of our area restaurants are giving back to community members in need. They are contributing a combination of financial and in-kind donations and are encouraging their customers and the public in general to join them in the effort. Giving new meaning to the words “Food is Love,” here is a sampling of just a few restaurants in Oregon trying to make a difference for the neighborhoods they serve: Prost On Nov. 23, the German pub/biergarten will hold its annual Thanksgiving Day Feast. The restaurant will open its doors at 6 p.m., to serve its annual free turkey dinner. Nearly 100 pounds of turkey, stuffing, mashed potatoes and sides will be on the menu. Even though the event is free, guests are encouraged to donate to those in need, AND also bring a side dish to share. Salt & Straw For the third year in a row, the Portland-based scoop shop is teaming up with Urban Gleaners, a nonprofit hunger relief charity. For every Thanksgiving Celebration series pint sold, Salt & Straw will donate another one to Urban Gleaners. The goal: increase the number of people Urban Gleaners is able to serve and bring holiday cheer to those in need. Verde Cocina On Thanksgiving Day, the Portland-based, gluten-free, paleo and vegan-friendly cafe and catering company is closing all of its locations except one – in Sylvan Heights, where it will serve a family-style meal to guests at 11 a.m., 1 and 3 p.m. What’s on the menu? Guests can choose between a turkey, salmon or stuffed delicata squash entrée, plus dessert. Advance tickets are $40 per adult and $12 per child. Tickets on Thanksgiving Day are $45 per adult and $15 per child. All proceeds will benefit the Oregon Food Bank. And if you can’t make the dinner, but still want to contribute, learn more about the Oregon Food Bank and make a donation. Restaurateurs in Portland, Oregon are banding together to raise funds and collect donations on behalf of Hurricane Harvey victims. Here are some of the events that have been and are being held to help those in need:
Stella Taco Through Sept. 3, the Austin-style taco shop’s locations donated all of its sales from its taco and drink specials. The proceeds went to the American Red Cross and the Hurricane Harvey Relief Fund. Le Pigeon and the Little Bird Bistro The French-Northwest themed restaurants donated 5 percent of their Aug. 31 sales to the United Way of Greater Houston, in an effort to help with Harvey relief efforts. Pastrami Zombie The restaurant said it raised more than $4,000 on behalf of the hurricane victims. Starting Sept. 1 through sell out, Texas-born owner Melissa McMillan gave 100 percent of sales from her Texas Barbecue Cheeseburgers. The money went to the Houston Food Bank. Each burger, plus two sides, is $12 each. The Country Cat Dinnerhouse & Bar Owners Adam and Jackie Sappington, along with the Little Green Pickle’s Carrie Welch, organized a Sept. 8 fundraiser featuring participation from 24 restaurants. Lardo Chefwich Throughout the month of September, Lardo will donate all proceeds from its sandwich sales to the Houston Food Bank. Gladstone Street Pizza The pizzeria donated a portion of its sales during the first week of September to “those affected by Hurricane Harvey.” |
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