Annual Report 2020

RIHA offered a 90-day complimentary membership to foodservice establishments from April to June 2020 to maintain our hospitality community, do our very best to ensure its strength, and provide critical information to keep customers and employees safe. It was important for us to remain steadfast in our commitment to our members that we would do everything possible to help our industry successfully navigate this situation. Over 30 small businesses took advantage of this offer, many of them sending in dues after seeing the value in RIHA membership. Additionally, we serviced the entire state with over 4,000 industry leaders receiving our critical communications by providing updates to the ever-changing landscape our industry is now operating in.

Hospitality business was crippled by the pandemic however, rather than allowing it to close businesses for good operators rose to the occasion creatively rethinking their business models. Those that had never offered To Go service were now taking to go orders, offering curbside pickup, and introduced delivery services. Though with new offerings also came food safety challenges.

RIHA partnered with the RI Department of Health to draft and approve guidelines for safe practices and procedures including:

• Donated Food Guidelines
• Face Covering Guidelines
• Food Safety Guidelines
• Takeout and Delivery Guidelines
• Restaurant Sales of Bulk Items Guidelines

RIHA also had informational webinars to remind operators of important procedures and practices to focus on daily. As an industry, staff safety and guest safety were front of mind. Webinars and trainings covered topics such as:

• Proper glove use
• No bare-hand contact
• Face coverings
• How and when to handwash
• Proper cooling and storage
• Time temperature control
• Cleaning vs. sanitizing
• Bodily fluid clean up

When the coronavirus pandemic shut down in-person activities, the hospitality industry was hit hard and had to pivot new ways of doing business to keep their operations afloat. The National Restaurant Association assisted with education in a time of need, providing the opportunity to take free online courses including:

• ServSafe Food Handler
• ServSafe Takeout: COVID-19 Precautions
• ServSafe Delivery: COVID-19 Precautions
• ServSafe Reopening Guidance: COVID-19 Precaution

Since April, more than 600,000 people have taken these courses ensuring safe food handling keeping staff and guests safe, strengthening food safety skills and knowledge, and building consumer confidence.

Both the National Restaurant Association and the American Hotel and Lodging Association also offered training classes to help current hospitality employees up-skill to advance their careers. Free course modules were available through:

• ServSuccess: Restaurant Professional and Restaurant Supervisor learning suites
• AHLEI Supervisory Skill Builders
• AHLEI Hospitality Manager: Leadership
• AHLEI Certified Hotel Administrator courses

RIHA stored, gathered, and distributed over 100,000 masks to over 200 companies in the hospitality industry. RIHA even took it a step further and partnered with Discover Newport to distribute PPE to our industry in the Newport County Area. Our staff was eager to meet new faces and reconnect with members whom we have missed so much since COVID hit in March of 2020 (socially distanced of course!)

Rebekka Hammond, Finance and Administrative Assistant, putting together bags of disposable masks and vouchers to Ocean State Job Lot for Free N’ Clear disinfectant.

After a shutdown there is always a reopening phase, but how the industry came back was going to be important. Guests were concerned to eat out and State mandated travel restrictions prevented guests from traveling. With this in mind, RIHA created toolkits that would allow operators to view, implement and teach safety procedures.

Professionals in the foodservice industry are used to keeping a sanitary workspace, but operating in a pandemic is different. The pandemic made it clear we had to heighten our efforts. Included in the toolkit are best practices, reopening guidelines, high touch areas and how to clean and sanitize to prevent spread of illness, food safety guidelines, guidance from the FDA, PPE supplies and resources, fact sheets, posters and training, and so much more. The toolkit serves as an everyday checklist.

Though the toolkit was important for internal use, guests had to be made aware that companies were taking all necessary precautions to keep them safe which led to the creation of the Rhode Island Restaurant Pledge and the American Hotel and Lodging Safe Stay.

The RI Restaurant Pledge is a promise made by restaurants to customers that the particular location is following the best health and safety procedures to ensure the safety of both guests and employees. When customers see the RI Restaurant Pledge sticker or flyer endorsements, they can be certain that the restaurant is taking a leadership role in protection their community and also allows customers to learn what they can do to help keep everyone safe.

The AHLA Safe Stay is for hotels industry wide to focus on enhanced hotel cleaning practices, social interactions and workplace protocols to meet new safety challenges and expectations as a result of COVID-19. The Safe Stay Guidance includes employee and guest health, employee responsibilities, enhanced cleaning and disinfecting protocols and products and day to day checklists.

Consumer Confidence Cards were developed to educate the public on what restaurants are doing to keep guests and employees safe.

During COVID, our local municipalities played an important roll in helping our industry.

Municipal Tax Relief
Understanding that cashflow was of the utmost importance to our industry, RIHA sent requests to all 39 cities and towns to provide some type of municipal tax relief to businesses, including that they extend local tax deadlines for business

Several municipalities, including Cranston, Pawtucket, Providence and Warwick took action by creating payment programs for small businesses struggling with the impacts of COVID-19.

Slow Industry Recovery Predicted in 2021 at RIHA’s Virtual 17th Annual Economic Outlook “Breakfast”

Industry Experts Say Rhode Island’s Economy Will Rebound Over Time

Cranston, RI – September xx, 2020– Industry analysts addressed approximately 75 Rhode Island hospitality professionals during the 17th annual Economic Outlook “Breakfast,” which was hosted virtually for the first time by the RI Hospitality Association (RIHA). Their findings suggested that in 2021, Rhode Island can expect both the restaurant industry and the lodging industry to slowly begin recovering in the wake of the COVID-19 pandemic.

This year’s panelists included Hudson Riehle, Senior Vice President of Research and Information at The National Restaurant Association; Rachel Roginsky, Principal of Pinnacle Advisory Group; and Heather Singleton, Chief Operating Officer of the RI Hospitality Association (RIHA) and the RI Hospitality Education Foundation (RIHEF).

According to Roginsky, Rhode Island’s lodging industry took a big hit in 2020, suffering a 53.5% decrease in RevPAR in July 2020 when compared to July 2019. Nationally, Roginsky predicts that room rates will remain significantly depressed and slow to recover, that there will be an increase in permanent closures and a decrease in new supply entering the market, and that while leisure travel will return in moderation, group travel will likely be the slowest segment to recover.

Roginsky analyzed the lodging markets in Providence, Warwick, Newport and Middletown. Providence took a significant step back, with RevPAR decreasing 61.3% from 2019. Warwick, too, shows a decline from last year. With a massive decrease in passengers at T.F. Green, a significant increase in unemployment and a surge in office vacancy, Warwick’s RevPAR decreased 39.1% from 2019.

On Aquidneck Island, Newport saw a decrease in both ADR (down 13.4%) and RevPAR (down 48.6%) since 2019. Finally, Roginsky analyzed the Middletown market, noting that ADR is down 16.5% and RevPAR is down 46.6%.

Hudson Riehle addressed the economic backdrop and performance of the restaurant and food service industry nationally. According to Riehle, national restaurant sales remain well below pre-Coronavirus levels, hitting a low of approximately $30 billion in sales during the month of April, compared to nearly $62.5 billion in sales in April of 2019. That number has climbed to $52.5 billion in July, compared to nearly $65 billion in July of 2019.

Coronavirus concerns, employee recruitment and sales volume are the biggest challenges that restaurant operators are facing in 2020. Because of these challenges, Riehle says that the economy is now only 2.5 million jobs above the 2008 Recession peak as of August, compared to 14.1 million jobs above the peak in February. In July, only 20 states and Washington D.C. had more jobs than before the job losses started in February 2008.

Riehle predicts an industry contraction with geographic variations sustaining to close out 2020. While uncertainty and weakness will continue into 2021, a greater emphasis will be placed upon food delivery, carry-out, alcohol, value-added products and digital service with consumers continuing to manage their spending.

Heather Singleton, who spoke on behalf of RIHA/RIHEF, discussed key statistics affecting the Rhode Island labor force, as well as leisure and hospitality employment on a national scale. According to her findings, Rhode Island’s unemployment rate in July sat at 11.2% compared to 3.6% in July of 2019. Similarly, the United States’ unemployment rate in July was at 10.2% compared to 3.7% in July of 2019. From February to April, a 60 day period, Rhode Island lost 62% of its leisure and hospitality jobs. Singleton also shared employee resources, ranging from mental health and financial services, to community resources and more.

According to statistics provided by the American Hotel & Lodging Association (AHLA) as a result of a recent survey with more than 1,200 respondents, 87% of hotels reported being forced to lay off/furlough staff due to COVID-19. 36% of these respondents have been unable to bring ANY of their furloughed or laid off workers back to full-time employment and just 37% of hotels have been able to bring back at least half of their full-time employees.

The National Restaurant Association (NRA), which conducted a survey of more than 6,500 restaurant operators nationwide, found that 8+ million restaurant employees were laid off or furloughed within the first month of the pandemic, with two out of three restaurant employees losing their jobs, and four out of ten restaurants closing altogether. The industry is expected to lose $240 billion by the end of 2020.

From the beginning of the shutdown, RIHA fought for economic relief programs from the Federal and State government.

• After months of negotiations, RIHA worked with Commerce to roll out the Restore RI program, which gave businesses impacted by COVID grants. At the beginning of the program, the grants were up to $15,000, but due to RIHA’s continued efforts, this was later increased to $30,000.
• When the State rolled out the Take it Outside Initiative, RIHA was a key partner in providing heaters, blankets and funds to businesses needing assistance in promoting outdoor dining.
• Knowing that our hotels and tourism attractions had been decimated by COVID, Commerce RI developed the HArT grant program to provide direct aid to hotels and tourism businesses.
• In November, Governor Raimondo implemented a 10:00 p.m. curfew on restaurants. RIHA demanded that our industry receive from type of funding to offset the cost – the state provided grants up to $10,000.
• When the state entered the PAUSE on November 30, 2020, RIHA pushed for additional economic relief, which resulted in grants up to $50,000.

Our aid in this area continues and we are working closely with national partners, the National Restaurant Association and the American Hotel & Lodging Association to get the necessary funding for our industry.

RIHA is a proud partner of Hope & Main’s Dish Up RI program, a retail food program providing a full range of FREE technical assistance to Rhode Island restaurateurs interested in producing their own retail product. Resources include conceptualization, branding, nutrition labeling, legal, and retail consultation. There are approximately 30 local businesses that will see this opportunity become a reality when their products are launched in Spring 2021. This opportunity is supported by Commerce RI and CARES Act funding.

For more information visit: https://makefoodyourbusiness.org/dishupri/

RIHA has launched the second episode of our #WeAreHospitality podcast now available here.

Host Bill Bartholomew will be hosting one-on-one interviews with leaders, experts, educators and influencers within the hospitality industry.

In this episode of #WeAreHospitality, RIHA's very own Laurie Camara talks about the impacts COVID has had on Food Safety and how our industry has been affected.

Available now at: https://wearehospitality.buzzsprout.com/

RI Hospitality Association Board of Directors

OFFICERS

DIRECTORS

Ex-Officio – NON VOTING

PAST CHAIRMAN – NON VOTING

Honorary – NON VOTING