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LRA Policy Update: Progress, Challenges and Member Impact
Nov 19, 2025
As we approach the end of the year and the Thanksgiving season, LRA President and CEO Stan Harris shares key updates on federal and state policy issues shaping Louisiana’s hospitality industry — and extends heartfelt thanks to our members for their partnership and support.
Federal Government Reopens After 43-Day Shutdown
Last week, the Senate and House reached agreement on a clean Continuing Resolution, ending the 43-day federal government shutdown. This reopening is welcome news for the hospitality sector, especially as holiday travel ramps up. However, another federal development tied to this same legislation may create challenges for operators in the coming year — more on that below.
Tariffs: Some Relief, but Key Issues Remain
President Trump recently signed an Executive Order eliminating reciprocal tariffs on select food and agricultural products. After years in which operators have weathered nearly 40% increases in food costs, this move offers meaningful relief and could help stabilize supply pricing.
But several challenges remain:
- Country-specific tariffs on products from Brazil, India, and others are still in place.
- Imported wine and spirits continue to be tariffed.
- Overall operating expenses — from labor to utilities to supplies — remain elevated.
The LRA is working closely with the National Restaurant Association to advocate for broader reforms. We also await U.S. Supreme Court decisions that may determine how far presidents can go in imposing tariffs through executive order.
Hemp and THC Regulations: Significant Changes Ahead
Louisiana’s hemp-derived product market expanded under the 2018 Farm Bill, but it also created complexities around THC beverage and edible sales. State law grandfathered in operators holding hemp permits prior to mid-July 2023, but no new permits have been issued since then.
Most THC beverages currently served in Louisiana restaurants and bars contain no more than 5 mg per container. However, a new federal amendment tied to the Continuing Resolution dramatically lowers the allowable THC level to 0.4 mg per container beginning next year. This change has already caused confusion across the industry.
Additionally, while there was speculation earlier this year about marijuana being removed from the federal controlled substances list, recent presidential action makes nationwide legalization unlikely in the near term.
The LRA will continue monitoring regulatory developments and providing guidance on how these evolving rules will affect restaurants, bars, and enforcement.
Swipe Fees: No Settlement Yet
Many operators have heard about a possible settlement in the long-running VISA and MasterCard swipe fee lawsuit. At this point, nothing has changed. The companies simply submitted revised settlement terms for the judge’s review.
Our industry does not believe the proposal provides fair compensation — nor should it lock in a duopoly for another eight years. We will continue advocating for meaningful reform.
Election Results and Parish Propositions
Louisiana’s most recent elections delivered several notable victories for the hospitality community.
In New Orleans, the LRA Hospitality PAC proudly supported Aimee McCarron (District A) and Jason Hughes (District E), both of whom won their runoffs decisively. They will join a strong slate of incoming leaders also backed by the PAC:
- Mayor-Elect Helena Moreno
- Councilmembers-at-Large JP Morrell and Matthew Willard
- District B’s Leslie Harris
- District C’s Freddie King
- District D’s Eugene Green
This group will help steer progress on public safety, permitting, tourism, and economic vitality — though they’ll also inherit significant fiscal challenges from the outgoing administration.
Voters also approved major bond renewals in Orleans Parish, including the third renewal of Quarter for the Quarter — a 0.2495% sales tax that generates nearly $4 million annually to support public safety, cleanliness, and supplemental police presence in the French Quarter.
By contrast, East Baton Rouge Parish voters rejected all of their millage propositions, signaling concerns about how local revenues are allocated. The LRA will continue pushing for funding structures that are fair, predictable, and transparent for businesses.
A Message of Thanks
As Thanksgiving approaches, we want to express our sincere appreciation for you — the restaurant owners, operators, suppliers, and hospitality professionals who power our industry. Your resilience, engagement, and leadership in your communities inspire everything we do at the LRA.
Thank you for your membership and your trust. We look forward to a strong finish to 2025 and an even more successful year ahead.
From all of us at the Louisiana Restaurant Association, we wish you, your teams, and your families a warm and meaningful Thanksgiving holiday.
