At Your Service, Fall 2014

at your

Official Magazine of North Carolina Restaurant and Lodging Association

Service Legislative Wrap-Up Highlights from the not-so-Short Session

Hospitality Industry Pride

SEPTEMBER 2014 Issue, Vol. 3, Issue 3 www.ncrla.org

Decoding On-premise Promotions

table of contents in every issue

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Letter from the Chair and the President NCRLA Chair Joel Griffin and President/CEO Lynn Minges

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Upcoming Events Network with North Carolina’s hospitality industry leaders at one of NCRLA’s upcoming events

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Welcome New Members NCRLA welcomes several new members from across North Carolina

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A la Carte A sampler of hospitality-related news stories

features

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NCRLA Legislative Wrap-Up Hospitality highlights from the not-so-Short Session

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The Spirited Lawyer Understanding rules for governing on-premise promotions

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Manteo to Murphy Support the hospitality industry Oct. 27 at The Angus Barn

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Food Safety News Fostering a culture of food safety

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Restaurants and the Sharing Economy Uber and Airbnb paved the way for apps that could dramatically impact foodservice

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Respect. Value. Pride.

The hospitality industry should be proud of the opportunities it offers

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Education Foundation News Celebrate the Future of Hospitality on Nov. 2 & 3

NCRLA Executive Board of Directors

Joel Griffin, Chair Griffin Stafford Hospitality Jimmy Sizemore, Chair-Elect JP Steakhouse, LLC Randy Kolls, Treasurer Washington Duke Inn & Golf Club Lance Trenary, Secretary Golden Corral Corporate Brad Hurley, Immediate Past Chair 42nd Street Oyster Bar & Seafood Grill Vinay Patel Travel & Tourism Board Representative AH&LA Representative SREE Hotels, LLC Billy Sewell NRA Representative Platinum Corral, LLC Lynn D. Minges President and CEO NCRLA Frank Gray General Counsel and Lobbyist Jordan Price Wall Gray Jones & Carlton, PLLC Steven A. Mange Director of Government Affairs NCRLA Directors Kyle Agha New Town Bistro & Wine Bar Ed Book Charlotte Marriott City Center Phil Friedman Salsarita’s Fresh Cantina Peter Grills Charlotte Area Chapter Representative The Ballantyne Hotel & Lodge Christina Larson Darden Restaurants Randy Laster Pepsi Bottling Venture Scott Maitland Top of the Hill Restaurant, Brewery & Distillery Michael Martino Sheraton Imperial Hotel & Convention Center Kenny Moore Hwy 55 Burgers, Shakes & Fries Amber Moshakos LM Restaurants

THANK YOU NCRLA thanks its 2014 Corporate Partners

Eric Nelson Subway Sandwiches and Salads Robert M. O’Halloran East Carolina University R. Doyle Parrish Summit Hospitality Group, Ltd. Tom Sasser Harper’s Restaurant Steve Thanhauser Angus Barn, Ltd. Charles Thompson The Inn on Biltmore Estate

letter from the chair and CEO Support the PAC and protect your bottom line This year’s legislative short session was full of surprises, but our governmental affairs team met them head-on. When the Town of Brevard asked the General Assembly to allow a meals tax in the town, NCRLA went on the offensive, calling local restaurant owners and operators and inspiring them to make their concerns known. As a result, the bill died, and its sponsor, Senator Tom Apodaca, credited our organization for killing it.

This edition of At Your Service includes a complete overview of the highlights of the recent “short session.”

Every day, NCRLA fights for the hospitality industry and to protect your bottom line.

We have accomplished significant victories for the industry but there is much more we could accomplish if all our members supported the association’s political advocacy fund. The results of upcoming elections will determine the future of our industry, and your investment in the NCRLA PAC is the only way we can strengthen our voice and increase our advocacy efforts. Please consider contributing to the PAC today at www.ncrla.org/donatepac.

One way to support the PAC is to attend the annual Manteo to Murphy event, Oct. 27 at The Angus Barn in Raleigh. Manteo to Murphy is a vital fundraiser not only for the NCRLA PAC, which helps elect business-friendly candidates on the state level, but the National Restaurant Association’s Restaurant PAC, which does the same on the national level. For more information, go to www.ncrla.org/event/manteotomurphy.

We are excited to share news that NCRLA has partnered with Exposition Development Company to produce, promote and launch the annual N.C. Restaurant & Lodging Expo.

The first Expo will take place on Sept. 21-22, 2015 in Raleigh. The Expo will be filled with numerous chances to increase your profitability, gain valuable knowledge and meet with your peers. Aisles and aisles of companies that supply the foodservice and lodging industry will be there waiting to dazzle you with the latest in equipment, services, products, food and beverage options and the latest technological advances.

Finally, as we work to better serve your needs, NCRLA is currently conducting a member survey, the results of which assist us as we develop a strategic plan for our organization’s future. Please take a few minutes to participate in this survey as your input will play a key role determining the course of our organization – the programs we offer, the initiatives we undertake, and the policies we champion on your behalf. We appreciate your input and ideas. To take the survey, go to www.ncrla.org/membersurvey.

Joel Griffin

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Lynn D. Minges

At Your Service Volume 3, Issue 3 An official publication of the N.C. Restaurant & Lodging Association© OUR STAFF President & CEO Lynn D. Minges Chief Operating Officer/ Health and Safety Regulations/ N.C. Hospitality Education Foundation Alyssa Barkley, IOM Director of Government Affairs/ Staff Attorney Steve Mange Marketing & Communications Manager Karen A. Mann Membership Coordinator Kristin Worrell Education Programs Manager Ranita Bullock Education Foundation Coordinator Pollen Williamson Executive Assistant/NCRLA Board Liaison Lori Jones General Counsel & Lobbyist Frank Gray Membership Development – Charlotte and Western North Carolina Susan Freshcorn Membership Development – Charlotte Ben Kovolsky Printer Chamblee Graphics, Inc. Graphics and Design Paige Happel Friddle Creative Concepts & Solutions, (336) 908-0966 or paige-ccs@triad.rr.com BUSINESS OFFICE 6036 Six Forks Road Raleigh, N.C. 27609 Phone: (919) 844-0098 Toll free: (800) 582-8750 Fax: (919) 844-0190 For advertising and sponsorship inquiries, contact Marketing & Communications Manager Karen A. Mann at kmann@ncrla.org, (919) 747-2205 or (800) 582-8750

ncrla Legislative wrap-up

By Steve Mange, NCRLA Director of Government Affairs

Hospitality Highlights from the Not-so-Short Session Advancing and protecting your business interests

During the 2014 “short” legislative session, NCRLA worked diligently to advance and protect the interests of restaurant and lodging operators and to do everything in our power to create a favorable business and regulatory climate for the hospitality industry. What follows is a short summary of issues affecting the hospitality industry that arose during the short session.

After months of wrangling, the House and Senate finally agreed on a budget for the fiscal year that began July 1, which Governor McCrory signed into law in early August. The budget has several provisions that NCRLA fought for:

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After months of aggressive lobbying by NCRLA and a last-minute push by numerous NCRLA members, the General Assembly passed critical amendments to the 2013 carbon monoxide alarm law as part of a regulatory reform package.

The amendments to the carbon monoxide law include the following: 1. All forms of carbon monoxide alarms are allowed – including plug in with battery backup and combination smoke/carbon monoxide alarms – as long as they meet ANSI/UL standards and are installed in accordance with NFPA standards.

2. Enforcement will be through local fire inspectors rather than local health departments

BUDGET

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CARBON MONOXIDE ALARMS

Tourism marketing: The budget preserved an additional $1 million for tourism marketing that was included in the two-year budget passed in 2013.

3. Alarms will be required only in a sleeping room with a combustion appliance and any sleeping rooms that share a common wall, ceiling, or floor with a room containing such an appliance.

4. The carbon monoxide alarm law applies to Bed and Breakfast establishments.

5. Not only fossil fuel burning appliances, but also wood burning or coal burning appliances, will be covered by the law.

Film and TV incentives: The budget establishes a $10 million grant fund to attract film and TV productions, replacing the tax credit program that will expire on Dec. 31 of this year.

6. Candles, canned fuels such as sterno, and the like are not regarded as appliances covered by the law. Also, fireplaces in outdoor courtyards or patios are not covered.

State food and lodging program: NCRLA persuaded the General Assembly to restore $400,000 in funding to the state food and lodging program for the fiscal year that began July 1.

7. The Building Code Council is directed to adopt standards for carbon monoxide alarms contained in the 2015 International Fire Code, which are preferable to those contained in the 2012 Code.

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MEALS AND OCCUPANCY TAX

OTHER LEGISLATION

NCRLA was successful in defeating legislation that would have allowed the City of Brevard to impose a tax on prepared meals. This effort built upon last year’s successful campaign to defeat legislation that would have authorized a meals tax in City of Charlotte. NCRLA has been vigilant in opposing any new meals tax in any municipality because such taxes target customers of one segment of the retail market to fund projects or facilities that everyone can use.

Three other measures deserve mention:

In addition, NCRLA works diligently to ensure that any new occupancy taxes comply with established guidelines and that local governments use occupancy taxes according to the established formula: Two-thirds of any occupancy tax proceeds must be used to promote travel and tourism, while up to one-third may be used for local capital projects that benefit tourism. Although the General Assembly authorized a number of occupancy taxes consistent with the guidelines during the short session, a bill that would have authorized an occupancy tax in Jacksonville that was not consistent with the guidelines was defeated.

Second, because of tenacious lobbying by NCRLA, a requirement in the compromise budget that schools have epinephrine auto-injectors (commonly known as “epi pens”) does not extend to restaurants. Although the manufacturer of epi pens expressed an interest in legislation that would require or allow epi pens in restaurants, the NCRLA government affairs team derailed this proposal early in the short session.

First, Governor McCrory signed into law a measure (House Bill 1031) creating a nonprofit corporation charged with a range of business development functions previously carried out by the Department of Commerce, including business recruiting, job development, international trade, marketing, and travel and tourism. We are pleased that measure signed into law by Governor McCrory includes several key provisions sought

by NCRLA, including a definition of tourism marketing and a limitation on the use of tourism funds.

Third, the General Assembly passed NCRLAsupported legislation designed to protect business owners from frivolous patent infringement claims brought by so-called “patent trolls.” These patent trolls do not engage in meaningful research, develop useful products, or produce valuable services that benefit the economy of our state and nation. Instead, they seek to extort license fees from restaurant and lodging establishments and other businesses by sweeping up a large quantity of questionable patents and asserting frivolous patent infringement claims in scattershot fashion against hundreds or thousands of legitimate businesses.

Senate Bill 648, which Governor McCrory signed into law in early August, permits a business that receives a bad-faith patent infringement claim to sue the patent troll in North Carolina state court in an effort to recover damages and attorney fees.

The bill also empowers North Carolina courts to require that a plaintiff asserting a patent claim that the court believes is reasonably likely to have been made in bad faith post a bond to cover potential damages and attorney fees. (continued on page 16)

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The Spirited Lawyer

Understanding Rules for On-premise Promotions

By Laura Collier

keep in mind uniformity and equality

The goals of most restaurant owners include creating an enjoyable dining experience, generating excitement about the restaurant, making patrons feel special, and acknowledging and rewarding repeat guests.

A common question owners and managers ask is: “How do I attract patrons and reward guests while still complying with North Carolina’s Alcoholic Beverage Control regulations?” Often, restaurants are confused by the ABC regulations because there are different sets of rules for alcohol sold for on-premise consumption versus for off-premise consumption.

What is the Difference Between On-Premise and Off-Premise Regulations?

Some promotions that may be offered for offpremise alcohol consumption are prohibited for sales of alcohol for on-premise consumption. Under some circumstances, retailers may offer coupons, rebates, or loyalty or membership cards that offer alcohol discounts, but only if the alcohol is sold for off-premise consumption. 4 NCAC 2S .1006. This means that retailers may selectively offer discounts for off-premise alcohol to club members, patrons purchasing a specific quantity, or coupon holders.

However, these types of selective promotions are prohibited with respect to on-premise alcohol sales as impermissible “Happy Hour” specials.

What are NC’s On-Premise “Happy Hour” Rules?

Establishments are prohibited from offering “Happy Hour,” where alcohol discounts or free drinks for on-premise consumption are available for a period shorter than one full business day. Restaurants and bars are also prohibited from offering on-premise alcohol discounts or free drinks to only a certain segment of the population. Further, establishments are not allowed to offer multi-drink deals for on-

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premise consumption, which includes prohibitions against selling more than one drink for a single price, or establishing a single price based on the required purchase of more than one drink. 4 NCAC 2S .0232.

What do the “Happy Hour” Rules Prohibit in Practice?

The rules prohibit a classic “Happy Hour,” where drinks are discounted for a limited time such as 4-6 p.m.

ABC regulations also disallow “Ladies’ Night,” where only some patrons receive drink discounts. Offering a “Frequent Buyer Card,” where cardholders would receive free or discounted on-premise drinks based on the required purchase of on-premise drinks, is also prohibited. The prohibition against on-premise multidrink deals disallows “two-for-one” drink specials, unlimited drink packages such as “Bottomless Mimosas,” and also deals where an initial drink is one price, but refills are a nominal amount such as a penny or nickel. The rules also prohibit offering free drinks in exchange for purchasing something, such as a meal or t-shirt.

Restaurant owners should keep two concepts in mind when analyzing whether on-premise promotions comply with ABC regulations: uniformity and equality.

Promotions and single drink prices should be uniformly applied throughout the day, and any drink discounts should be equally applied to all guests.

The Spirited Lawyer is the legal practice of Laura Collier, an attorney dedicated to helping North Carolina food & beverage businesses succeed.

Laura is a longtime member of the hospitality industry, and has experienced the challenges facing the industry firsthand. You can contact Laura at laura@thespiritedlawyer.com or www.thespiritedlawyer.com. z

upcoming events and webinars Network with North Carolina’s hospitality industry leaders at one of NCRLA’s upcoming events Throughout the year, NCRLA hosts several events that are open to members and the hospitality industry. We also provide event information for the National Restaurant Association and the American Hotel and Lodging Association.

September 10 Charlotte Area PAC Reception, Central Piedmont Community College, Charlotte September 20 No Kid Hungry Charlotte fundraiser, Mimosa Grill October 5-8, AH&LEF Golf Classic, The American Club, Kohler, Wis.

March 22-24, 2015 N.C. ProStart Invitational, Durham Convention Center April 13-15, 2015 NRA & AH&LA Public Affairs Conference, Washington, D.C. June 1, 2015 Charlotte Chapter Golf Tournament Visit www.ncrla.org for more information and event updates. z

October 27 Board of Directors Meeting, The Angus Barn, Raleigh October 27 Manteo to Murphy PAC Event, The Angus Barn, Raleigh Nov. 2 Future of Hospitality Benefit, 1705 Prime, Raleigh Nov. 3 Future of Hospitality Golf Tournament, North Ridge Country Club, Raleigh Nov. 8-11 AH&LA Fall Conference held with the International Hotel, Motel + Restaurant Show and BDNY Jacob K. Javits Convention Center, New York, N.Y.

Peter Grills of The Ballantyne Hotel & Lodge and Brad Marsico SREE Hotels at the 2014 Charlotte Golf Tournament, which took place June 2 at Firethorne Country Club.

Support the Hospitality Industry Oct. 27 at The Angus Barn Make plans now to join NCRLA Oct. 27 at The Angus Barn in Raleigh for the annual Manteo to Murphy PAC Fundraiser.

This exciting annual event helps support the National Restaurant Association’s Restaurant PAC, which helps elect business-friendly candidates on the national level, and NCRLA’s own PAC, which does the same on a state-wide level. In addition to supporting our industry’s PACs through your attendance, you will enjoy remarkable cuisine prepared by some of the state’s best chefs, exciting live and silent auction

items and an evening of fellowship with your hospitality industry colleagues and friends.

NRA President & CEO Dawn Sweeney had this to say about the Manteo to Murphy event: “The National Restaurant Association is grateful to have such an enthusiastic and engaged membership in North Carolina. The state’s PAC event sets the standard for other state events across the country.

It’s also a great opportunity for networking with innovative and successful industry leaders.”

We look forward to seeing all of you on Oct. 27 at The Angus Barn. z SEP T EMB ER 2 0 1 4

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Food Safety News

By Ben Chapman, N.C. State University

Fostering a Culture of Food Safety support an environment where staff know the risks

It all started with a nice Friday evening dinner at a local restaurant.

Maybe it was an anniversary or a birthday celebration. Then something bad happened.

The part-time busboy, who also does salad prep when things are busy, didn’t wash his hands after a trip to the restroom. Then he grabbed some lettuce, tossed it in a bowl with some other veggies and mixed it all. By hand. He didn’t know that the illness he is working with was a result of norovirus and that he was still shedding the virus. The result: two or three days later, an individual dealing with the pain and nausea of a foodborne illness, swearing never to eat at any restaurant again.

Over the past decade lots of folks have been throwing around the term food safety culture to describe how a business operates. Education, training, equipment, tools, the environment, investment and support from higher-ups all influence how well an organization addresses risk, but there’s something else that binds it together.

The culture, or value system, can be the difference

between having an outbreak or not. The values dictate decisions from the front-line staff to the CEO. Maybe it’s the hippie in me but it’s sort of like the vibe of the organization that can be gauged by asking does anyone really care? And if they do, do they know what they should be caring about?

Using a variety of tools, consequences and incentives, businesses can create the vibe by demonstrating to their staff and customers that they are aware of current food safety issues, that they can learn from others’ mistakes and that food safety is important within the organization. Creating a culture of food safety within a business means supporting an environment where staff members know the risks and how to manage them, and where they value not making patrons ill.

Training is part of it. So is having some sort of verification that staff and supervisors are actually reducing risks. It’s pretty easy to point to a poor food safety culture – it’s more difficult to define a good one.

It is not enough to provide prescriptive information to food handlers and expect that it will be followed, especially when recognizing the multiple priorities, and time pressures, encountered in the kitchen system. Food safety information needs to be tailored to specific target audiences – and be delivered in an environment that supports the messages.

Food safety culture isn’t about mission statements and core values written on a poster. It’s about fostering feelings within the organization from top-to-bottom that this stuff matters – and that everyone, including the busboy, knows it’s risky to show up to work while ill. So they don’t.

Ben Chapman, Ph.D. is an associate professor and food safety extension specialist at North Carolina State University. z

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Restaurants and the sharing economy

Uber and Airbnb Paved the Way for Apps that Could Dramatically Impact Foodservice

By Joe Kefauver

the emergence of a “sharing economy” has upsides and downsides

Often this space is devoted to discussing the public policy issues and trends that impact the business models and bottom lines of restaurant and lodging operators.

It’s a familiar list of wage, benefit, tax and other regulatory issues that largely define the boundaries of the competitive playing field in which smallbusiness owners operate. These tough economic and political issues play out in the open, and the affected industries can seek to impact them as they see fit. However, lurking below the traditional playing field, a new threat to the traditional business model of the industry is taking root and, ironically, the industry itself may be helping to cultivate it.

Much has been written lately about the emergence of the “sharing economy” and its impact on traditional service industries. For those of you who are unfamiliar with the term, you may be familiar with the biggest star in the sharing economy galaxy, Uber.

Uber’s UberX is an on-demand car service operating in many metropolitan areas that advertises transportation for a price that is usually far lower than that of a traditional car service and in many cases even lower than the average taxi. What’s not to love? A smartphone-based application that delivers a car to your doorstep within minutes, whisks you to your destination and hardly puts a dent in the wallet. Progress at its finest. Or is it?

(I know at this point you might be saying, “Joe, what in the world does this have to do with the hospitality industry?” Bear with me.)

While UberX delivers a great service for those in a position to utilize it, it also presents a significant

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challenge to our existing tax and regulatory structures. Traditional taxi and car service companies across America are crying foul because, in most cases, these businesses carry significant cost burdens of licenses, fees, taxes and extensive regulations designed to protect their consumers and the general public. UberX pays none of these fees and complies with none of these regulations by stating that they are not a transportation company, but merely a software application that connects service providers and customers – basically a Match.com of the transportation sector. Because of this, the U.S. Conference of Mayors debated a resolution at

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Operators should compete on price, product and performance — not on whether or not they play by the rules.

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their Annual Meeting in June calling for UberX and similar companies to halt all operations in municipalities until they agree to some type of regulatory and tax structure.

Other sectors of the service industry are feeling the impact of the emerging sharing economy as well. In the hotel world, a little platform called Airbnb has now quietly become one of the largest operations in the country. It essentially offers any traveler with a smartphone or Internet access an inventory of available rooms in a given area, mostly in private homes, that the owner will rent for a night or a week at a fraction of the cost of a traditional hotel. Phenomenal, right?

Except for the fact that the “innkeeper” – like the UberX driver – has not had any background checks, operational permits, inspections or approvals. And what are the odds that they are declaring this windfall on their taxes?

price, product and performance – not on whether or not they play by the rules.

Politically, this has big ramifications. No one wants to be against innovation or be viewed as an aging business seeking protection from someone building a better mousetrap. And almost no one wants to appear pro-tax or pro-regulation.

However, restaurant operators need to realize that they have a stake in how this plays out. Whether it’s traditional storefront retailers fighting Amazon, traditional cab companies fighting Uber or the Motel 6 defending itself against Airbnb, those fights are their fights as well. While an UberX user may feel they’re on the cutting edge as their inexpensive car grabs them at the airport, they may just be unknowingly throwing a little more gas on an emerging brushfire.

Joe Kefauver is managing partner of Parquet Public Affairs, an issue management, communications, government relations and reputation assurance firm that specializes in service sector industries. This article originally appeared in Nation’s Restaurant News. z

In the foodservice world, the growth of these apps has been explosive. Why visit the Olive Garden when the lady up the street from Sicily can send out a notice via a smartphone app that she has made two pans of lasagna for the first 20 folks who show up with $5 each? Don’t believe me? Go to eatfeastly.com and see what you think. No health certificate. No ServSafe. No grease pit. No sales tax. And we thought food trucks would be a game changer.

The emergence of a sharing economy has a tremendous upside. It puts underutilized assets to work, it gets folks outside of the traditional workforce into the game, and it leverages technology and innovation. But the downside is that it undermines an agreed-upon tax structure that supports roads, airports, convention centers and other government services, and it bypasses basic consumer protection norms that underpin a consumer’s faith in a given business and its products. It also serves to put existing brick-and-mortar businesses at a competitive disadvantage. Operators should compete on

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new members NCRLA welcomes new members from across North Carolina Go to www.ncrla.org/membership to learn more about NCRLA and to download a membership application.

Bonefish Grill, Durham Bonefish Grill, Fayetteville Bonefish Grill, Greenville Chilis, Apex Comet Grill, Charlotte Green Sage Café – Westgate, Asheville Green Sage Café – South, Asheville Martelle’s Feed House Restaurant, Engelhard Peace – N- Hominy Q Shack, Belmont Qcrazy, Matthews Snoopy’s Hot Dogs & More, Garner Twin Peaks Restaurant, Concord Twin Peaks Restaurant, Jacksonville Shiki Asian Bistro Sushi & Bar, Durham Tasu Asian Bistro Sushi & Bar, Cary RallyPoint Sports Grill, Cary Revel Systems, San Francisco, CA Over Yonder, Valle Crucis Morningstar Law Group, Morrisville Mass Mutual Financial Group, Greensboro Hyatt House Raleigh North Hills, Raleigh Restaurant Solutions, Littleton, CO

ncrla Legislative wrap-up

Goldsboro Wayne County Travel & Tourism, Goldsboro The Bowery Restaurant, Franklin Perkins, Lund, Collar & Associates, PLLC, Raleigh Comfort Suites Raleigh Durham RTP Courtyard by Marriott Wilmington Hampton Inn - Concord Hampton Inn - Matthews Hampton Inn & Suites - Winston Salem/University Area NC Homewood Suites - Charlotte Homewood Suites - Durham Hyatt Place Charlotte/Arrowood Residence Inn by Marriott TownePlace Suites Jacksonville Curate Tapas Bar, Asheville Nightbell Restaurant & Lounge, Asheville Kirdasi, Inc., Matthews z

New Corporate Sponsor: Duke Energy

(continued from page 9)

ALCOHOLIC BEVERAGE CONTROL (ABC) The final budget for the current fiscal year increased annual registration and renewal fees from $200 to $400 for beer and wine permits and from $750 to $1,000 for mixed beverage permits.

On a related note, tax reform legislation passed earlier in the session (House Bill 1050) impacts

the hospitality industry by requiring the payment of all state taxes as a condition of receiving and holding an ABC permit (effective May 1, 2015).

Finally, the compromise budget contains one other noteworthy provision relevant to ABC permit holders: The budget moves the state ABC Commission from the Department of Commerce to the Department of Public Safety.

However, the ABC Commission will continue to be governed by an independent board.

NCRLA Director of Government Affairs Steve Mange can be reached at 919-861-0942 or smange@ncrla.org. z

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Respect. Value. Pride.

The Hospitality Industry Should be Proud of the Opportunities it Offers

By Lynn Minges, NCRLA President & CEO

offering a clear entrepreneurial career ladder

The late comedian and actor Rodney Dangerfield was well known for the catchphrase “I don’t get no respect!” and his monologues on that theme.

The hospitality industry suffers from much the same.

As an industry, we simply don’t get the respect we deserve. We must continue to work to earn the respect of opinion leaders and policymakers for the many positive contributions restaurant and lodging establishments make in communities all across North Carolina. And, as an industry, it’s time to stand proud of the career opportunities we offer and to encourage our employees to take pride in their profession.

The hospitality industry is one of the few today that offers a clear entrepreneurial career ladder – from dishwasher to line cook, from front desk or server to management and someday to ownership. In fact, 80 percent of restaurant owners started their careers in an entry-level position.

Ours is an industry that offers many benefits to employees: u

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Flexibility and Control. The hospitality industry offers the opportunity to earn extra money on your own terms – whether you’re a student working to pay for school or a parent juggling a hectic home schedule.

Real World Training. Restaurants and lodging establishments hire people with little or no experience and teach vital professional skills such as teamwork, multi-tasking, customer service and time management. These skills stay with people

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throughout their careers, either within the industry or in other professions. u

First Break. Half of all Americans work in the hospitality industry at some point in their careers.

In fact one in three Americans worked in a restaurant for their first job.

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Hard Work Pays Off. Employees in the hospitality industry are afforded an opportunity to succeed based on their own hard work.

Good Pay. Restaurant and lodging establishment workers are paid a fair wage based on their skill level and responsibilities.

Nationally, servers make an average of $16.13 per hour and bartenders receive median hourly earnings of $19.35 per hour.

Ladders of Opportunity. The typical employee who starts out at an entry-level wage receives a pay raise after six months. Moreover, 90 percent of restaurant managers started as hourly-paid employees. The industry provides workers with the opportunity to start in the dish room and work their way up to management or salaried positions.

Equal Opportunity. And, no industry is more diverse than the hospitality industry, where people of all backgrounds are given the chance to succeed. The U.S. Census Bureau data shows that growth in restaurant and lodging ownership among minorities and women has outpaced growth in the overall industry. And the industry has more women and minorities in management and ownership positions than virtually any other industry.

Across North Carolina, restaurants and lodging establishments play a vital role in the state’s economy. Our industry accounts for nearly 20,000 businesses – most of them with 50 or fewer employees. We provide employment for 11 percent of the state’s workforce and jobs for 426,200 restaurant workers and 38,150 who work in lodging establishments across the state.

Finally, hospitality businesses are pillars of the community. They are gathering places where people celebrate and catch up with neighbors.

Their workers live and raise families nearby and they often volunteer thousands of hours each year in their communities. Restaurant and lodging business owners and their employees play important roles in communities all across North Carolina.

NCRLA President & CEO Lynn Minges can be reached at lminges@ncrla.org or 919-844-0190. z

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a la carte A sampler of hospitality-related news stories

NCRLA launches new website and membership database Member data is at the heart of our association. After all, our members, supporters and volunteers are the foundation upon which NCRLA was built and the key to our continued success. This means that the maintenance of our membership database is critical.

To enhance our membership management, we have recently moved to a new membership database called YourMembership.com. There are many new features that we will roll out in the months ahead.

Right Now You Can: u Become a member of NCRLA online u Register for events online u Donate to the PAC or NCHEF online In the Future You Will Be Able To: u Receive automated membership invoices and reminders via email u Renew your membership online u Update your contact and billing information online u Participate in member groups/networking online If you would like to know more about how to access the NCRLA member database, contact Membership Coordinator Kristin Worrell at 919-277-8581 or kworrell@ncrla.org. z

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Star-studded multi-course dinner to benefit No Kid Hungry

Nominations open for the NC HEF Excellence in Education Champion Award

Chef John Fortes of Mimosa Grill, a longtime NCRLA partner, will join with special guests Colin Bedford of The Fearrington House, Vivian Howard of Chef & the Farmer, Jay Swift of 4th & Swift (Atlanta) and Joe Trull of Grits & Groceries (Belton, S.C.) to create a multi-course dinner benefitting No Kid Hungry. The dinner will take place Sept. 20 from 6-10 p.m. at Mimosa Grill in Charlotte. American Express is a national sponsor of this event. z

Nominations are now open for the N.C. Hospitality Education Foundation (NC HEF) Excellence in Education Champion Award. Nominees for this annual award must be considered a leader in North Carolina’s hospitality industry and have made outstanding contributions to advance educational excellence – hospitality-related or not – across the state. The award will be presented during NC HEF’s annual Future of Hospitality Benefit, which will be held Sunday, Nov. 2, at 1705 Prime in Raleigh.

Nominees can be from the restaurant, hospitality or tourism segment of the industry. Contact Ranita Bullock at 919-277-8582 or rbullock@ncrla.org. z

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N.C. State Fair issues RFI for food vendors at the fairgrounds The N.C. Department of Agriculture and Consumer Services, North Carolina State Fair is requesting information to assist in developing specifications for a future food and beverage proposal. This information may include recommendations for adding new operations for full-time restaurant operations, recommendations for logistical or proposal offering design, or recommendations for expanding or modifying food and beverage concessions menus and/or operations at multiple locations within the fairgrounds.

NOTE: An Optional Pre-proposal conference/site visit for all prospective Offerors is scheduled for 3 p.m., Thursday, Sept. 25, in the Restaurant Dining Room of the N.C. State Fairgrounds Hunt Horse Complex at 4601 Trinity Road Raleigh, N.C. 27606. Attendance at this conference is not mandatory, but will provide the opportunity to view facilities and current operations.

For RFI application and additional information about responding to this RFI contact: Amy Beddingfield, NCDA & CS Purchasing Section. Call 919-707-3056, fax 919-733-1048 or email Amy.Beddingfield@ncagr.gov. z

NRA and AH&LA announce joint Public Affairs Conference For the first time ever, the National Restaurant Association and the American Hotel & Lodging Association are joining forces for the NRA Public Affairs Conference and AH&LA Legislative Action Summit.

Our collective events will take place April 13-15, 2015 at the Ronald Reagan Building and International Trade Center, in Washington, D.C. For more information, contact Executive Assistant Lori Jones at 919-277-8580 or ljones@ncrla.org. z

National Food Safety Month celebrates 20th year This September marks the 20th annual National Food Safety month. This year’s theme will be a celebration of Food Safety Month’s history, and a look back at the best tips that are most relevant to restaurant staff today. Go to www.foodsafetymonth.com., where you’ll find a wealth of promotional tools, videos and tips to help you keep your customers safe. z

September 2014

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At Your S e rv ic e

21

Education Foundation News

Celebrate the Future of Hospitality on Nov. 2 & 3

By Ranita Bullock

participate in this fundraising event to benefit the education foundation

NCRLA’s Hospitality Education Foundation will host the 2014 Future of Hospitality Benefit and Golf Classic Nov. 2 & 3 in Raleigh.

The benefit will be held Nov. 2 at 1705 Prime, with the golf classic taking place the next day at North Ridge Country Club.

Event proceeds will benefit the Education Foundation, which provides scholarships and grants to students and teachers interested in becoming an integral part in North Carolina’s hospitality industry. The Foundation is dedicated to cultivating a strong, educated and committed workforce for the hospitality and tourism industry in North Carolina. More than $1.2 million has been awarded in scholarships and grants since 2005.

This exciting two-day fundraising event kicks off with a benefit to recognize the NC HEF scholarship and grant recipients, the Excellence in Education

Champion Award recipient and other leaders in education. This is a key opportunity for industry members to network with peers, get to know the students who will become the next generation of hospitality leaders, and bid on an array of items at the silent auction. Day two offers more opportunities to network with friends and colleagues, play golf and win prizes.

Gather your colleagues and friends and be a part of this engaging fundraising event to help train valuable workers for North Carolina’s hospitality industry and promote our industry’s commitment to creating jobs.

Visit www.ncrla.org/NCHEFBenefitGolfClassic to learn more about the benefit and golf classic registration details and sponsorship opportunities. For more information, please contact Pollen Williamson at pwilliamson@ncrla.org or 919-277-8583. z

NCRLA: Tenacious advocates for your business Your investment in NCRLA membership helps to underwrite our work on your behalf. Here

• • • • • • •

are a few reasons to join.

Increase business opportunities and relationships Enjoy buying advantages and discounts from top companies Achieve greater credibility Be protected by powerful advocacy that defends issues that directly impact your business Be the first to learn about policies that affect you Enhance your skills and knowledge through members-only educational seminars Gain access to expert advisors who will answer your specific industry questions

For more information about how membership in NCRLA can enhance your business’ bottom line, go to www.ncrla.org/costsavings or contact Membership Coordinator Kristin Worrell at 919-277-8581 or kworrell@ncrla.org.

We continually strive to be the “Broker of Choice” by adding value to our customers, every call, every day!

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For more information about our brands, please contact:

Kevin McCabe 919-413-2382

kmccabe@southernwine.com

Katherine Yarborough 336-707-8390

kyarborough@southernwine.com

9320 Focal Point • Raleigh, NC 27617 919-836-0300 visit us online at www.southernwine.com