Dear Speaker Pelosi and Leader Schumer:
I appreciate your ongoing efforts to expand opportunity, facilitate economic growth, and create prosperity for all Americans in the Build Back Better reconciliation package. I am writing to request that you include additional relief funding for small restaurants that have suffered due to the COVID-19 pandemic.
North Carolina is home to nearly 20,000 eating and drinking locations, approximately 76% of which are independently owned--many of these by women and people of color. Food service businesses in North Carolina generate $21.4 billion, account for 8.7% of all employment in the state, and made up 16% of the state's sales tax revenue in 2019.
In short, our economy relies on the success of independent restaurants. Unfortunately, the COVID-19 pandemic has had a disproportionate impact on these businesses. During the earlier stages of the pandemic, over 75% of North Carolina's restaurants and other food services businesses were in danger of closing permanently. Approximately 56% of lost jobs in North Carolina are in the leisure and hospitality industry, which includes food services.
With the vital relief provided in the American Rescue Plan earlier this year, many restaurants were able to continue operations, and we saw restaurant sales grow 2.4% from May to June. However, as the Delta variant has spread across the country, this growth has declined.
As discussions regarding the budget reconciliation package continue, I urge you to include additional funding for restaurants in the upcoming legislation. I believe we need to build on the investments in the American Rescue Plan by providing additional assistance that will enable independent restaurants to keep their doors open until conditions improve.
Thank you for considering this request. Restaurants play an integral role in our economy and in helping our communities to Build Back Better. We must continue to support independent restaurants so that they can remain in business, sustain jobs within their communities, and contribute to economic growth in this critical period for recovery.
Very truly yours,
Deborah K. Ross
Member of Congress