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82% of restaurant/bar operators think they’ll have to close without another Restaurant Revitalization Fund grant

The Independent Restaurant Coalition surveyed members about their concerns with financial survival at this point in the pandemic

Joanna Fantozzi, Senior Editor

September 9, 2021

2 Min Read
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Joanna Fantozzi

Nearly four months after the Restaurant Revitalization Fund closed, and with no word yet on whether or not Congress will vote on a second round, independent restaurant operators are starting to be pessimistic about their chances of economic survival. According to an Independent Restaurant Coalition survey of about 800 restaurant operators released on Thursday, 82% of restaurant and bar owners think they will have to close if the RRF grant is not refilled.

“Hundreds of thousands of neighborhood restaurants and bars are now teetering on the brink of permanent closure,” Erika Polmar, executive director of the Independent Restaurant Coalition said in a statement. “Over 90,000 restaurants and bars have closed since the start of the pandemic. We do not want any more to close their doors because Congress and the Biden Administration have not provided the relief they need to survive. The only thing that will save these small businesses that support 16 million jobs is refilling the RRF.”

Multiple versions of a Restaurant Revitalization Fund refill have been introduced by Congress this summer, including bipartisan legislation that would add $48 billion in emergency funding to the depleted fund. The legislation was blocked from passing by unanimous consent by Sen. Ran Paul in August, and both houses of Congress went on recess for the rest of the month, recently returning after the Labor Day holiday.  

Related:The Senate proposed a $48 billion Restaurant Revitalization Fund replenishment

The Independent Restaurant Coalition held a press conference Thursday to urge the House Small Business Committee to prioritize restaurant relief as part of the budget reconciliation package.

According to the IRC survey of its members, 85% of operators did not receive an RRF grant, and their rejection was underscored by the controversy surrounding the distribution of grants in May and June.

Restaurant operators reported multiple waves of previously approved funding that was rescinded by the U.S. Small Business Administration following the outcome of multiple discrimination lawsuits earlier this year. Although the SBA held a meeting for businesses effected the first time around, they never directly addressed the subsequent confusing messages business owners received as the fund ran dry.

“We took on so much debt to be able to continue what we were doing and now all those things are coming back,” Chris Shepherd, chef and owner of Underbelly Hospitality in Houston, Texas said in a statement. “Without the RRF, I’m not sure how we will figure it out. It is imperative that Congress refill the RRF so that thousands of restaurants in Houston and across the country have the chance to survive and continue breathing life into our communities […] They told me how much I was getting and I never got it."

Related:Here’s who received the largest Restaurant Revitalization Fund grants

There is no word yet on if or when Congress will vote on replenishing the Restaurant Revitalization Fund.

Contact Joanna at [email protected]

Find her on Twitter: @JoannaFantozzi

About the Author

Joanna Fantozzi

Senior Editor

Joanna Fantozzi is a Senior Editor for Nation’s Restaurant News and Restaurant Hospitality. She has more than seven years of experience writing about the restaurant and hospitality industry. Her editorial coverage ranges from profiles of independent restaurants around the country to breaking news and insights into some of the biggest brands in food and beverage, including Starbucks, Domino’s, and Papa John’s.  

Joanna holds a bachelor’s degree in English literature and creative writing from The College of New Jersey and a master’s degree in arts and culture journalism from the Craig Newmark Graduate School of Journalism at CUNY. Prior to joining Informa’s Restaurants and Food Group in 2018, she was a freelance food, culture, and lifestyle writer, and has previously held editorial positions at Insider (formerly known as Business Insider) and The Daily Meal. Joanna’s work can also be found in The New York Times, Forbes, Vice, The New York Daily News, and Parents Magazine. 

Her areas of expertise include restaurant industry news, restaurant operator solutions and innovations, and political/cultural issues.

Joanna Fantozzi has been a moderator and event facilitator at both Informa’s MUFSO and Restaurants Rise industry events. 

Joanna Fantozzi’s experience:

Senior Editor, Informa Restaurant & Food Group (August 2021-present)

Associate Editor, Informa Restaurant & Food Group (July 2019-August 2021)

Assistant Editor, Informa Restaurant & Food Group (Oct. 2018-July 2019)

Freelance Food & Lifestyle Reporter (Feb. 2018-Oct. 2018)

Food & Lifestyle Reporter, Insider (June 2017-Feb. 2018)

News Editor, The Daily Meal (Jan. 2014- June 2017)

Staff Reporter, Straus News (Jan. 2013-Dec. 2013)

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