Tuesday, April 5, 2022
There is a $55 billion relief package for restaurants, gyms, and other industries that is gathering steam in the House. The package would provide small-business pandemic aid with $42 billion allocated to restaurant relief and $13 billion for other “hard hit” industries. It is meant to backfill expired programs such as the Restaurant Revitalization Fund (RRF).
The Restaurant Revitalization Fund, established by the American Rescue Plan Act, provided funding to help restaurants and other eligible businesses impacted by COVID-19. Unfortunately, the $28.6 billion set aside for this program quickly ran out with only one-third of applied businesses receiving funding.
This new relief package is expected to provide grants to the other two-thirds of restaurants and other eligible businesses that originally applied for RRF. Although the bill does not reopen RRF to new applicants, it does provide an opportunity for those who were previously denied a chance to reapply.
The bill includes language that if there isn’t enough money to provide full grants to eligible businesses, funds would be reduced by an equal percentage, so all approved applicants receive funding. To receive the grant, eligible businesses must still be operating or reopen within 6 months of receiving the funding.
To ensure restaurants and other hard-hit businesses receive this much needed funding, please reach out to your House and Senate representatives with the following message:
“The House is preparing to vote on the Restaurant Relief bill. Many parts of our society, especially small businesses, were not included in past COVID relief, and with the arrival of Omicron in January and February, thousands of restaurants, gyms, and entertainment facilities who endured two years of COVID without government support, are now facing bankruptcy. We urge you to support these firms, who are struggling with conditions they did not create, by passing a one-time financial boost to keep them and their workers running.”
OnCentive is closely tracking legislation and will provide updates, when available.