ORLA Proposed Relief EffortsThe concepts below represent priority items for Oregon’s hospitality sector. Our goals as an industry are focused on (1) retaining as many staff as possible in the current environment, (2) creating and preparing operational recovery plans, and (3) bringing as many Oregonians back on payrolls across the state as soon as financially possible.
Over 375 industry members signed on to our hospitality relief efforts (see list of names below), joining us as a collective voice letting legislators know how many of our industry members are impacted by the Governor’s restrictions. Commercial Rent Relief & Flexibility for Commercial Mortgage Backed Securities (CMBS)
Assist Oregon Hospitality businesses with retaining cash wherever possible to save jobs still on payrolls around the state.
In the June 2020 Special Session, the legislature passed House Bill 4213. The bill prohibits residential and commercial evictions for nonpayment of rent during a defined ‘emergency period’ and ‘grace period’. The emergency period is defined as beginning on April 1, 2020 and ending on September 30, 2020. Following the emergency period is a 6 month ‘grace period’ for tenants to pay any outstanding nonpayment balances from the emergency period. The grace period ends on March 31, 2021. For more information on this and other advocacy issues, visit our Special Session page. Oregon Hospitality Recovery & Grant Program
Launch a multi-faceted recovery initiative with expanded emergency grants to broaden access for time-sensitive grants originally made available through Oregon’s Rapid Response Team in the Office of Workforce Investments.
Corporate Activity Tax (CAT) Delay
Assist Oregon Hospitality businesses in avoiding tax payments which will directly impact available cash on hand for fixed costs and employee paychecks. The most immediate, pressing issue restaurants and lodging properties have today is cash flow. One of the most important actions the Legislature can take is to help businesses keep people employed by passing immediate relief from the new Corporate Activities Tax. Requiring CAT tax payments in April will be the absolute worst timing possible for struggling businesses during this crisis. Companies will be forced to pay this tax instead of paying employees, meaning more layoffs for the hospitality industry. We urge you to:
>>ACTION TAKEN: On April 22, 2020, Gov. Kate Brown committed to waiving all penalties related to first quarter CAT payments. The Oregon Department of Revenue will be issuing additional guidance on this in the coming days. We and our fellow associations will continue to push for delay of the CAT for the first two quarters of the year. Predictive Scheduling Relief
Provide immediate relief from penalties associated with Oregon’s statewide scheduling law. It is extremely difficult for businesses to predict workforce needs in this uncertain time. To effectively continue and rebuild operations, flexibility in scheduling employees will prove to be crucial. Allow waiver of ORS 653.428 and ORS 653.450:
>>ACTION TAKEN: BOLI Commissioner Val Hoyle has stated that the Governor declaring a state of emergency triggers the exemption for predictive scheduling and will act accordingly. Employers need to show a good faith effort in communicating with employees as soon as possible the scheduling challenges they are facing. Read BOLI's statement. SBA No Interest Loans through Business Oregon
No interest loans in addition to available grants will be key to assisting hospitality businesses on their path to recovery. Loans (even with no interest designations) will be difficult to manage for many small businesses. Deferring debt to a later date may help some if long term repayment plans can be established as a glide path to recovery. Small Business Immediate Loans for Paid Family Medical Leave Act (PFML) and Emergency Paid Sick Leave (PSL)
The following companies have signed on to support the proposed relief efforts:
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