U.S. Rep. Lizzie Fletcher (D-Houston) wants more federal aid for restaurants struggling to survive damage from the COVID-19 pandemic.
She joined more than 100 of her fellow members of Congress from both parties in calling for the additional funds.
“Restaurants are at the heart of our community here in Houston, and have experienced the pandemic's devastating impacts,” she said on Twitter. "That's why the #AmericanRescuePlan created the Restaurant Revitalization Fund. Now that its funds have run out, I'm working with colleagues to #ReplenishRRF."
The $28.6 billion revitalization fund was out of funds less than two weeks after it was launched, Roll Call reported.
The U.S. Small Business Administration received requests from restaurants totaling more than $65 billion, the story said.
As required by federal law, the program gave priority to smaller restaurants and those who owned by women, veterans or people who are from socially or economically disadvantaged backgrounds, Roll Call reported.
The funds can be spent by restaurants to pay operating expenses including rent and payroll and to build outdoor dining areas, Restaurant Business reported.
“This program will provide restaurants with funding equal to their pandemic-related revenue loss up to $10 million per business and no more than $5 million per physical location,” the U.S. Small Business Administration said on its website. “Recipients are not required to repay the funding as long as funds are used for eligible uses no later than March 11, 2023.”
Restaurants have been experiencing a shortage of workers as business picks back up as the pandemic subsides, Bloomberg News reported.
They have offered bonuses and higher wages to attract workers and the strategy appears to be paying off, Bloomberg said.
In May, the food service sector had the largest payrolls increase of any industry, adding 186,000 jobs, the story said. But there still aren’t enough restaurant workers with some people still reluctant to work in jobs that require contact with the public, Bloomberg said.