The House Commerce Committee recently advanced legislation that would assist restauranteurs struggling financially because of the coronavirus pandemic.
There were more than 25,000 restaurants, employing 408,000 people in Pennsylvania before the pandemic started. Since February, 332,000 employees have been laid off or furloughed.
House Bill 2615 would allocate $250 million for a new Small Restaurant Grant Program. Restaurants can apply for grants that would be used as working capital to cover mortgage payments, rent, utility expenses, payroll expenses, or food and beverage materials for restaurant operations.
To be eligible, restaurants must have no more than 10 locations in Pennsylvania and employ less than 75 people. The restaurants also must have lost at least 50 percent of their monthly sales in April and May.
Grants would be awarded for up to $25,000 per location.
“Few industries have been harmed as much by the shutdowns caused by COVID-19 like the food service industry,” Rep. Todd Stephens (R-Montgomery), who sponsored the bill, said. “Even while many retail establishments have been allowed to safely reopen using Centers for Disease Control and Prevention guidelines, restaurants have been limited on seating capacities, and that limit has devastated restauranteurs and their employees.”
The bill moves to the full House for consideration.