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Chicago restaurant owners want billions in federal grants
Chicago's restaurant industry was on the rebound and hopeful about the holidays before the omicron variant killed business.
CHICAGO - Chicago restaurant owners shared a dire warning Monday that some of them may be at risk of shuttering their doors if additional government funding is not made available soon.
Many restaurants are suffering after the omicron variant decimated their expected holiday revenue. Now, they are asking for a massive federal bailout in time for Valentine’s Day weekend.
A group of restaurant owners with the Chicago Restaurants Coalition is calling on the government to allocate $48 billion more in restaurant grants by Friday, Feb. 11 to help them stay afloat.
"Restaurant sales are some of the lowest they have seen in years," said Roger Romanelli, Chicago Restaurants Coalition coordinator.
Romanelli, coordinator of both the Chicago Restaurants Coalition and the U.S. Restaurants Coalition, said that 101,000 restaurants in the U.S. received some of the $29 billion originally available as part of the Restaurant Revitalization Fund (RRF). Still, he said 177,000 restaurants in the U.S. applied, but received nothing.
"The restaurants that did not receive the federal grants – those restaurants are on the brink of closing right now," said Romanelli.
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Hawkeye’s Bar & Grill co-owner Leonard DeFranco said he feels more of that money should have gone to independently-owned businesses.
"We are the canary in the minefield. If we as restauranteurs in hospitality, if we aren’t successful, then very little else will be," said DeFranco.
Joel Nickson – chef and owner of Wishbone in the West Loop – was also denied RRF money and fears he will have to resort to more layoffs if additional funding is not made available.
"We’re trying to make people aware that we may be on the bottom of the totem pole, but restaurants employ a lot of people and usually our money goes right back into the economy," said Nickson. "I’m hopeful it’s short term, but there’s only so long I personally can keep from laying off people. I just would be sorry to see just the chain restaurants survive and all the independents get wiped out."
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The Chicago Restaurants Coalition called out U.S. Senator Tammy Duckworth and U.S. Senator Dick Durbin on Monday, saying they are not doing enough to support Illinois restaurants.
In response, both senators said in statements to FOX 32 Chicago that they believe restaurants are vital to thriving communities and are in support of replenishing the Restaurant Revitalization Fund.
Statement from U.S. Sen. Duckworth:
"Restaurants are more than just a place to eat, they’re part of the glue that holds communities together," U.S. Senator Tammy Duckworth said. "For every restaurant that closes and every job that’s lost, our communities suffer. I fully support replenishing the Restaurant Revitalization Fund, and I’ll keep working with the Illinois Restaurant Association other industry leaders to help ensure these small businesses continue to get the federal support they need as soon as possible."
Statement from the Office of U.S. Sen. Durbin:
"Senator Durbin supports replenishing the Restaurant Revitalization Fund. Senator Durbin spoke on the Senate Floor in August in support of legislation to replenish the fund. When a colleague asked for unanimous consent to pass the legislation, Senate Republicans objected. Senator Durbin believes restaurants are the lifeblood of our communities. When they struggle, our cities struggle. Congress needs to do its part to give them a helping hand as we continue to deal with this pandemic."