December 2011 Archives

Driven by positive same-store sales and an increasingly optimistic outlook among restaurant operators, the National Restaurant Association’s Restaurant Performance Index (RPI) rose to its highest level in five months in November.

The RPI – a monthly composite index that tracks the health of and outlook for the U.S. restaurant industry – stood at 100.6 in November, up 0.6 percent from October. In addition, November represented the second time in the last three months that the RPI stood above 100, which signifies expansion in the index of key industry indicators.

“The November increase in the Restaurant Performance Index was fueled by broad-based gains in both the current situation and forward-looking indicators,” said Hudson Riehle, senior vice president of the Research and Knowledge Group for the Association. “Restaurant operators reported their strongest net positive same-store sales results in more than four years, while customer traffic levels also grew in November.”

The Georgia Restaurant Association is working with the state's Department of Education to enhance vocational culinary training for secondary school students that help create job opportunities for them once they graduate.

Karen Bremer, the GRA's executive director, was one of several business and industry leaders named to the board of education's Career Pathways task force to help oversee an overhaul of its technical curriculum. She will focus on updating academic courses and training for the hospitality and tourism track.

Bremer said she is working closely with Lee Gray, executive director of the Hospitality Education Foundation of Georgia, which coordinates the National Restaurant Association Educational Foundation's ProStart program in the state, to help establish curriculum for students interested in culinary and foodservice management careers.

Food trucks, currently one of the most popular segments in foodservice, are driving an effort to be more eco-friendly, industry watchers are saying.

It's not that this emerging segment is "greener" than market sectors populated by brick-and-mortar restaurants per se, observers agree. Because the trucks are proliferating so rapidly, they're increasing the number of foodservice places that can engineer sustainability into the operation from the ground up.

Or, in the case of rolling feeders, such as southern California's Green Truck or New York City's Snap Food Truck, from the tires up.

Following a second trip to Atlanta to learn more about that city's zero waste zones program, the South Carolina Hospitality Association says it is committed to pursuing a similar sustainable model for restaurant and hotel businesses in Columbia, S.C., the state's capital.

 "The biggest takeaway [for me] is it's a lot easier to do than it sounds," said Douglas O'Flaherty, the SCHA's director of operations," one of several participants on the Atlanta trip. "This second tour solidified that it really is easy to do. That was proven time and again."

 The trip, organized by Holly Elmore, founder and CEO of Elemental Impact, a nonprofit that focuses on sustainable waste diversion; Chris Moyer, subject matter expert for the National Restaurant Association's Conserve Sustainability Education Program; and O'Flaherty, featured a series of tours and roundtable discussions with zero-waste experts from the Sheraton hotel in downtown Atlanta, the Georgia World Congress Center, local restaurateurs and officials from the Environmental Protection Agency. It also included a tour of Greenco, a composting facility in Barnesville, Ga., that specializes in the collection of organic materials such as food from commercial foodservice operations.

The National Restaurant Association has extended the nominations deadline for its annual Faces of Diversity and Restaurant Neighbor Awards until Jan. 7, 2012.

The Restaurant Neighbor and Faces of Diversity programs are part of the NRA's Restaurant Industry Awards, which celebrate a commitment to diversity and charitable giving. Both awards programs honor those members of the quick service, fast casual, casual, fine dining and contract foodservice segments who best represent the restaurant industry's ideals.

All individuals employed in the foodservice and hospitality industry are eligible to be nominated for either award, but manufacturers and suppliers are not.

The IRS has announced the amount that businesses can deduct for the cost of operating a car for business reasons in 2012.

The rate for deductions is 55.5 cents per mile for business miles driven in 2012. This is the same rate that was in effect for the last six months of 2011.

Businesses that don't want to track actual gas costs can use the IRS's standard mileage rate to figure out the deductible cost of operating a car for business purposes. Many businesses also use the IRS's optional rate as their benchmark for reimbursing employees for mileage.

Businesses and taxpayers can always choose to calculate the actual costs of using their vehicles rather than using the IRS rate. Get details on the IRS website. 

A plan to open up the domain-name market to thousands of new top-level domains continues to generate controversy.

The National Restaurant Association was part of a coalition representing more than 150 national organizations that Dec. 14 asked a House Energy & Commerce subcommittee to urge ICANN -- the organization that manages the domain-name process -- to hold off on its planned Jan. 12 roll-out of a new application process. The ICANN initiative could eventually expand the current 22 top-level domains (such as .com and .org) to thousands of new domain names.

The NRA continues to work to alert Congress and the Commerce Department about the business community's concern that the process could cost American businesses billions of dollars as companies register new domains to protect their brands and trademarks. The NRA also believes the plan will confuse consumers by spreading Internet searches across thousands of domains.

The Dec. 14 House hearing followed a contentious Senate Commerce Committee hearing Dec. 8. The NRA submitted a statement to both committees registering the restaurant industry's opposition to the January roll-out.

Federal Trade Commission Chair Jon Leibowitz has called ICANN's plan "a potential disaster." In a Dec. 12 editorial, "What's the .rush," the Washington Post called the initiative "not ready for prime time."

The National Restaurant Association's Joy Dubost, Ph.D, R.D., shares tips for avoiding weight gain during the winter months. The national Restaurant Association's Kids LiveWell program helps families find healthful kids menu options at restaurants nationwide.

New research from the National Restaurant Association shows that one in five Americans (26 percent) plan to give a restaurant gift card as a holiday gift this year. However, more than twice as many (59 percent) say they would like to receive a restaurant gift card, indicating a potential restaurant gift card deficit in Christmas stockings across America.

The National Restaurant Association’s research shows that women (65 percent) are somewhat more likely than men (52 percent) to want to receive a restaurant gift card this holiday, but Americans across age groups are equally likely to enjoy a gifted restaurant gift card.

In addition, of those who would like to receive a restaurant gift card as a holiday gift this year, 58 percent prefer that gift card to be for their favorite restaurant. Twenty-nine percent would like gift cards to be for restaurants they haven’t been to before, and 11 percent said they would like gift cards for a restaurant that they likely wouldn’t visit if they didn’t have a gift card.

When it comes to using restaurant gift cards, 44 percent of those who wish to receive a restaurant gift card as a holiday gift said they would use it within a few weeks; 43 percent said they would save it for a special occasion; and 12 percent said they would use it as soon as possible.

The National Restaurant Association estimates that 100 million Americans plan to celebrate the New Year by going out to a restaurant or bar, or order restaurant takeout or delivery.

The Association’s new research also shows that half of American adults plan to dine out with family or friends over the next few weeks to celebrate the holidays.

The survey shows that one in five consumers (20 percent) plan to go out to a restaurant or bar on New Year’s Eve, and 22 percent say they plan to order restaurant takeout or delivery on that day. On New Year’s Day, 12 percent plan to dine out and 16 percent say they plan to order takeout or delivery from a restaurant.

In addition, 10 percent of consumers say they plan to dine out on Christmas Eve, 8 percent plan to dine out on Christmas Day, and 4 percent plan to do so on the start of Hanukkah (Dec. 20). Fifty percent say they plan to share a special meal with family or friends at a restaurant during the holidays.

Thousands of restaurateurs have joined in a series of "Presidential town hall teleforums" where leading presidential candidates field questions from small business owners.

The series is organized by the National Restaurant Association, National Federational of Independent Business, National Association of Home Builders, and Associated Builders and Contractors. Four candidates have appeared so far: Former House Speaker Newt Gingrich, U.S. Rep. Ron Paul (Ky.), U.S. Rep. Michelle Bachmann (Minn.), and Texas Gov. Rick Perry.

Invitations were extended in late summer to all leading presidential candidates. The organizations are still hoping to confirm President Barack Obama and former Mass. Gov. Mitt Romney.

Listen to the sessions recorded so far.  

National Restaurant Association member Perry Moy, Plum Garden, McHenry, Ill., told a House Small Business subcommittee Dec. 12 that small businesses need access to capital and freedom from new government mandates.

Testifying at a field hearing in Woodstock, Ill., Moy said "banks are sitting on money and not lending it out." Moy has been in business nearly 50 years, and says even small businesses with stellar credit can't meet the criteria to get financing. He urged lawmakers to take the steps they can to make Small Business Administration loans easy to get. "If Congress can help keep the SBA's loan guarantees high, banks' exposure is minimal. It's a way to ease the pain as we get out from under the credit crisis."

Moy also asked lawmakers to put a moratorium on new mandates, taxes and regulations. "Each new rule and regulation that comes to light seems to be more complicated than the ones enacted before," he said. "Businesses like mine are hard hit by all levels of government" as revenue-strapped agencies scramble for revenue.

"We are good actors. We want to comply with the law," Moy said. "But these government mandates can divert our resources and savings. I'd rather spend those dollars on payroll and staff."

The House Small Business Committee's Subcommittee on Economic Growth, Tax and Capital Access held the Dec. 12 hearing on "Is Uncertainty Contributing to the Jobs Crisis: The Views of Local Illinois Small Businesses."

The savings from reduced debit card interchange fees continues to add up.

Many restaurateurs are seeing the effects of financial reform legislation, now that a government cap on debit card swipe fees has been in effect for about two months.

The cap, which took effect Oct. 1, is a limit on what large banks can charge merchants for accepting debit card transactions. The Federal Reserve announced the limit in June.

A new program to expand Internet domain names will cost U.S. businesses billions of dollars and confuse consumers, the National Restaurant Association said in testimony submitted to a Senate committee Dec. 8.

National Restaurant Association’s “What’s Hot in 2012” survey of nearly 1,800 professional chefs – members of the American Culinary Federation (ACF) – reveals that children’s nutrition and local sourcing will be the hottest trends on restaurant menus this coming year. The chefs also identified smartphone apps and tablet computers as the top technology trends. In addition, 6 out of 10 chefs said they would consider a food truck as an entrepreneurial business venture.

“The top menu trends we’re seeing in our What’s Hot in 2012 survey reflect the macro-trends we have seen grow over the last several years,” said Joy Dubost, Ph.D, R.D., director of Nutrition & Healthy Living for the National Restaurant Association. “Nutrition – especially when it comes to children – is becoming a major focus for the nation’s nearly one million restaurants, in tune with consumers’ increasing interest in healthful eating.”

“Local sourcing of everything – from meat and fish, to produce, to alcoholic beverages – is another big trend for 2012. Local farms and food producers have become an important source of ingredients for chefs and restaurateurs wishing to support the members of their business community and highlight seasonal ingredients on menus,” Dubost added.

The National Restaurant Association's What's Hot in 2012 survey of nearly 1,800 professional chefs (members of the American Culinary Federation) reveals the top menu trends for the coming year.

The National Restaurant Association's Joy Dubost, Ph.D, R.D., shares the latest research on kids' menu trends from our What's Hot in 2012 chef survey, including more healthful options.

Executives from the Georgia Restaurant Association recently met with officials from the state's Department of Agriculture to develop a promotional program that would build awareness among restaurateurs and consumers about locally grown food products and the important relationship local chefs have with farmers.

Called the "Georgia Grown Restaurant Program," it is expected to generate increased industry and public interest in support of local products. It also would focus on the nutritional importance of local foods and involve public and culinary schools in the use, training and recipe development of locally sourced, seasonal, sustainable cuisine.

At the meeting, Karen Bremer, the GRA's executive director, Melanie Hollingsworth, nutritional educator for the Georgia Department of Agriculture, and several restaurant industry members established criteria they said would ramp up interest in the local food movement. The criteria included the selection of four area chefs to participate in spring and fall school events, a visit to a culinary and/or technical school to observe its "chef" training program, farm tours, the creation of cooking demo videos that feature Georgia Grown products and cooking events that showcase locally-sourced items.

National Restaurant Association President and CEO Dawn Sweeney served on a panel Dec. 6 with the mayors of Oklahoma City, Okla., Somerville, Mass., and Baton Rouge, La., to talk about state and local initiatives to reduce obesity -- and how restaurants are contributing to the effort.

In her latest Ask the Nutritionist commentary, the National Restaurant Association’s Director of Nutrition & Healthy Living Joy Dubost, Ph.D., R.D., tackles gluten-free cuisine.

Awareness of gluten intolerance has been growing over the past several years, drawing attention to the importance of adjusting restaurant menus and preparation methods. Gluten-free cuisine has increased in demand, thus you will now see various gluten-free menu options from pasta to beer to desserts.

Gluten refers to a naturally occurring, specific complex of proteins found in grains that is not fully digested by some people. Celiac Disease (CD), a genetic-based auto-immune disease, is the intolerance to gluten that elicits an immune response that may lead to an onset of symptoms that can affect the gastrointestinal or digestive system, density of bones, skin and the nervous system.

The National Restaurant Association played a key role last week in helping Congress understand the burdens that excessive or costly rules and regulations can impose on businesses.

The restaurant industry donated nearly $3 billion to charitable efforts last year, according to the latest America Works Here advertisement issued by the National Restaurant Association.

The ad, which was produced as part of the NRA's ongoing campaign to tell the story of America's restaurants, highlights the industry's commitment to local communities through charitable giving.

"America's restaurants serve more than great food, they respond in times of need and nourish communities nationwide, said Scott DeFife, the association's executive vice president of policy and government affairs. "When you support a restaurant, you support your community and your neighbors."

In his latest commentary, the National Restaurant Association's Chief Economist Bruce Grindy breaks down the economic indicators of the last several days.  Steady yet unspectacular job growth, along with improving consumer confidence and healthy retail sales, all point toward a gradual firming of the nation’s economic recovery. 

The nation’s jobs recovery continued its slow and steady climb in November, according to the latest figures from the Bureau of Labor Statistics.  The national economy added 120,000 jobs in November on a seasonally-adjusted basis, up from a gain of 100,000 jobs in October.  Although it marked the 14th consecutive month of job growth, only three of the gains exceeded 200,000, which is essential for the economy to really gain steam. 

The private sector continued to drive growth with an increase of 140,000 jobs in November, the 21st consecutive gain in private payrolls.  Overall, the private sector has added nearly 3 million jobs since the recovery began, or roughly one-third of the 8.8 million jobs it shed during the recession.

As the nation approaches the first anniversary of the landmark Food Safety Modernization Act, the Food and Drug Administration is busy writing regulations to explain how the law will affect the food supply chain, according to a briefing issued by Hogan Lovells, a Washington, D.C., law firm that represents the National Restaurant Association.

The legislation, which was signed into law last year, primarily affects manufacturers and other businesses that handle and manage food products before the products reach grocery stores, restaurants and other outlets, said Joan McGlockton, the NRA's vice president of industry affairs and food policy.

The NRA was a strong proponent of the legislation, which makes the most sweeping changes in decades to enhance food safety across the supply chain. McGlockton said the NRA remains "a strong supporter of the act as we do believe it will increase consumer confidence in the safety of the U.S. food supply."

The National Restaurant Association applauded the U.S. House for passing the Workforce Democracy and Fairness Act Nov. 30.

The NRA had written to all House members urging their support for H.R. 3094. Among other provisions, the bill would override a proposal from the National Labor Relations Board governing the timetable for elections in union campaigns.

The NLRB had proposed speeding up the time between when a union petition is filed and the time employees vote on unionization to as short as 10 days.