Seating the Table for Restaurant and Hospitality Industry Success
During the last decade, the Louisiana Restaurant Association has significantly expanded its Advocacy Team—bolstering its influence, oversight and connectivity to a degree that aligns with the myriad of issues the highly-regulated restaurant industry faces.
What veteran restaurant owners understand, and new-to-the-industry operators will come to learn, is that advocacy on behalf of restaurants far exceeds the imagination and singular capabilities of even a seasoned business owner. The LRA focuses on the climate in which restaurants and the hospitality industry operate – beyond the four walls of an establishment.
All too often, restaurants are the default industry that government and policymakers target for increases and regulatory oversight of taxes and fees, labor and insurance, health, welfare and natural resources, among others. The LRA Advocacy Team actively educates these well-intentioned groups and individuals about the restaurant business model, which is vastly different for an average business. Restaurants and other establishments are often unfairly exampled and positioned as the source of systemic socio-economic issues.
What veteran restaurant owners understand, and new-to-the-industry operators will come to learn, is that advocacy on behalf of restaurants far exceeds the imagination and singular capabilities of even a seasoned business owner. The LRA focuses on the climate in which restaurants and the hospitality industry operate – beyond the four walls of an establishment.
All too often, restaurants are the default industry that government and policymakers target for increases and regulatory oversight of taxes and fees, labor and insurance, health, welfare and natural resources, among others. The LRA Advocacy Team actively educates these well-intentioned groups and individuals about the restaurant business model, which is vastly different for an average business. Restaurants and other establishments are often unfairly exampled and positioned as the source of systemic socio-economic issues.
State Legislative Victories
Having the ability to financially support lawmakers does not ensure wins for the restaurant industry. The LRA Advocacy Team works year-round to position itself as the source for what’s best for the restaurant and hospitality industries. Regardless of the diligence by the LRA, bills are introduced annually as the Legislative Session approaches that require the team to implore a series of tactics to block a bill from being heard, defeat it or in some cases, provide amendments to remove objections. From phone calls, meetings, working through coalitions, hosting education sessions for committee chairs and its members, and working with House and Senate leadership, the LRA Advocacy Team is committed to producing positive outcomes the restaurant and hospitality industries.
As you continue this exploration of LRA Advocacy, know that for every bill that makes its way through the process and becomes law, 10 times that number is not heard, killed in committee or on the House of Senate floor.
These are the highlights by year of the accomplishments of the LRA Advocacy Team on behalf of LRA members – Louisiana’s restaurants.
As you continue this exploration of LRA Advocacy, know that for every bill that makes its way through the process and becomes law, 10 times that number is not heard, killed in committee or on the House of Senate floor.
These are the highlights by year of the accomplishments of the LRA Advocacy Team on behalf of LRA members – Louisiana’s restaurants.
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2022
During the 2022 Louisiana Legislative Session, numerous bills proposed to establish or raise the state minimum wage anywhere from $15 to $18 per hour, mandate paid sick, family or vacation leave, and in one case – double the tip credit.
Preservation of the Tip Credit
The impact of doubling the tip credit from $2.13 to $4.26 per hour was defeated in committee. An advocacy strength of the LRA, is when we ask members to testify on their behalf, and provide testimony that illustrate the current reality of the issue, and the negative impact it would have on the restaurant if passed.
“We currently employ 188 people, and those that receive the tipped wage, their hourly rate on the low side is $15.57 an hour and on the high rate it’s $52.19,” Megan Braniff-Klock, General Manager of Ruffino’s cited in her testimony. “As you can see, even at the low end, our tipped employees are making twice the minimum wage.”
LRA paves way for Louisiana-based Craft Breweries
The LRA developed, negotiated and led in the passing of a package of bills that expand opportunities for Louisiana based craft breweries. Thanks to the ATC, Beer Industry League and the Craft Brewers Guild for partnering to create this legislation. In general, this will provide the opportunity to self distribute if desired, open additional tap rooms with breweries, transfer product between breweries and continue to utilize wholesale distribution, should they desire.
A separate bill will provide each brewery location to host up to 12 events per year at their taprooms, allow for using a licensed caterer for food and outside alcohol and continue to allow families to attend these events. This package was passed into law.
Revenue Expansion of Cottage Food Curbed
Louisiana’s Cottage Food Law allows for a home-based business to sell direct or online at private residences, roadside stands, special events and farmers’ markets. The state also allows retail sales in businesses like restaurants, grocery stores and coffee shops for all products except breads, cakes, cookies and pies provided they carry labeling that notes “not produced in an inspected facility.” The current law caps annual gross revenue at $20,000.
A bill to increase the annual gross revenue of a home-based cottage food business from $20,000 to $100,000 was introduced. The LRA, with the support of testimony from an LRA member, capped the amount to $30,000 annually.
A bill to increase the annual gross revenue of a home-based cottage food business from $20,000 to $100,000 was introduced. The LRA, with the support of testimony from an LRA member, capped the amount to $30,000 annually.
“If you’re doing $100,000 in revenue you definitely need employees to produce it,” said Adam Ducote of Counterspace Baton Rouge. “Once you get into that scope of production, you should become a licensed and inspected bakery and pay the necessary taxes and fees that a commercial bakery has to abide by.”
LRA Hospitality PAC
The LRA Advocacy Team uses the tried and true method of establishing and maintaining relationships with law and policy makers, many of which begin during the campaign process through the LRA Hospitality Political Action Committee. The LRA’s political action committee is one of Louisiana’s ‘Big PACs,’ which meets the criteria which a significant number of LRA members contribute at least a minimum dollar amount.
The LRA Chapters host annual fundraisers to strengthen the LRA Advocacy Team’s ability to gain an audience with legislators to educate them on multiple or single issues.
Many candidates for elected positions reach out to the PAC for financial support to campaign for a state legislative or local council seat. What they find is a process that begins with an extensive questionnaire designed to gauge and educate them on the array of issues foodservice establishments tend with – often annually in cases of labor-related mandates like wages and various types of paid leave.
Restaurants hold a special place to each and every person – whether it be a source of entertainment, sustenance or income, and they are found in every legislative district. It’s the starting place the LRA Advocacy Team uses to find an immediate common ground, learning where they love to dine and often times, if they ever worked in a restaurant.
Advocacy is a term that more accurately captures the varying efforts the LRA undertakes daily to promote and protect restaurants.
The LRA Chapters host annual fundraisers to strengthen the LRA Advocacy Team’s ability to gain an audience with legislators to educate them on multiple or single issues.
Many candidates for elected positions reach out to the PAC for financial support to campaign for a state legislative or local council seat. What they find is a process that begins with an extensive questionnaire designed to gauge and educate them on the array of issues foodservice establishments tend with – often annually in cases of labor-related mandates like wages and various types of paid leave.
Restaurants hold a special place to each and every person – whether it be a source of entertainment, sustenance or income, and they are found in every legislative district. It’s the starting place the LRA Advocacy Team uses to find an immediate common ground, learning where they love to dine and often times, if they ever worked in a restaurant.
Advocacy is a term that more accurately captures the varying efforts the LRA undertakes daily to promote and protect restaurants.
National Issues
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The National Restaurant Association is on the ground in Washington, D.C., protecting the restaurant industry at the federal level. To view hot button issues that are affecting restaurants today and learn more about the National Restaurant Association's official positions, click HERE.
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