Mullery bill in Democratic package to help restaurant, bar workers

WILKES-BARRE — State Rep. Gerald Mullery on Wednesday said the food service industry is among one of the hardest hit industries in Pennsylvania due to COVID-19.

“These hardworking business owners and their staff lost wages and profits through no fault of their own and they need assistance now,” Mullery said. “We need to do everything we can to ensure their businesses survive this pandemic.”

A bill introduced by Mullery, D-Newport Township, has been included in a legislative package announced by House Democrats to provide relief to owners and workers of Pennsylvania restaurants, bars and clubs impacted by the COVID-19 pandemic.

Mullery’s bill would waive the liquor license renewal fee for any bar, restaurant or club that suffered more than a 25% downturn in business due to the virus.

Citing the distressing impacts COVID-19 is having on Pennsylvania’s restaurant industry and a recent Yelp survey showing more than half of restaurants could close permanently due to the virus’ impact, Democrats in Harrisburg have crafted a legislative package aimed at providing relief to community business owners and the workers that cook and serve our food.

The package includes nine bills that would provide grants to local restaurants, bars and clubs, reduce and eliminate specific licensing fees, extend discounts to licensees and protect businesses by guaranteeing their insurance pays out in future emergencies.

These efforts will provide direct relief to an industry of Pennsylvania businesses the virus has hit hard, House Democratic leaders said. Restrictions put in place have been necessary in the state’s response to COVID-19.

The other bills in the package include:

• Earmarking CARES grant funding from the federal government to be directed to small, community restaurants instead of national chains to ensure those dollars are invested back into the region.

• Earmarking CARES grant funding from the federal government for Pennsylvania breweries, distilleries and wineries forced to reduce capacity to protect patrons.

• Expanding access to outdoor dining for restaurants and diners, including removing limitations concerning public thoroughfares, fees and delays in approval.

• Increasing the discount for restaurants and bars holding liquor licenses when they purchase wholesale alcohol from 10% to 15%, putting more money back in the pockets of operators to keep their doors open and staff employed.

• Eliminating the $500 off-premise catering permit fee to allow more restaurants to safely cook food in kitchens and deliver it to safe outdoor locations, as well as remove the March deadline to submit an application to do off-premise catering, and end the 52-event-per-year cap.

• Eliminating sales tax late payment penalties on restaurants and bars purchasing alcohol from wholesalers and allowing for a repayment grace period when the industry has recovered.

• Requiring business insurance policies to pay damages and benefits when a disaster emergency is declared.

• Allowing license holders with licenses in safekeeping relief from paying the license renewal or validation fee for one year.

Mullery said quick action is needed on the bills to help mitigate the financial burdens faced by these small businesses.

GOP majority holds hearing

Owners of the state’s restaurants, bars and taverns told members of the House Majority Policy Committee Tuesday the industry cannot survive the governor’s extreme COVID-19 restrictions on indoor dining and bar seating.

“Over the last four months, owners and employees at bars and restaurants have been jumping through hoops to comply with the ever-changing orders coming down from the Wolf administration in hopes of helping their businesses survive the pandemic,” said Rep. Martin Causer, R-Cameron, chairman of the committee. “Then, on July 15, the rug was pulled out from under them as they were ordered to cut back their business even further with less than 12 hours’ notice and no real explanation about why from the governor or secretary of Health.”

Causer called the hearing in response to Gov. Tom Wolf’s July 15 order that required restaurants, bars and taverns to reduce their operations to just 25% capacity for indoor dining, while any bars or nightclubs that only serve alcoholic beverages and no food had to close completely.

With approximately three dozen members in attendance in person or virtually, the committee heard four hours of testimony as owners and advocates shared their frustrations and challenges relative to the orders over the last four months. They explained how the reductions in their operations are affecting related upstream businesses and offered suggestions and pleas for help to move toward recovery before they are beyond the point of no return.

Several testifiers offered input on steps the state and the General Assembly could take to assist them as they seek to move forward and recover from the impacts of the virus mitigation efforts.

It is estimated the state is home to more than 25,000 restaurants employing more than a half million people. According to the latest unemployment data for the Commonwealth, the food and accommodations industry has the highest unemployment rate at 17.2%.