Pennsylvania Restaurant & Lodging Matters by Graphtech

FALL 2015

PRLA 2015 Officers CHAIRMAN Jeff Cohen Smallman Street Deli/Weiss Provision Company Western Chapter VICE CHAIRMAN John Graf Priory Hospitality Group Western Chapter TREASURER Stephen Musciano ARAMARK at PNC Park Western Chapter IMMEDIATE PAST CHAIRMAN Rick Sell Metz Culinary Management Northeastern Chapter PRLA STAFF

PRESIDENT & CEO John Longstreet | jlongstreet@prla.org OPERATIONS MANAGER Eric Adams | eadams@prla.org EXECUTIVE ASSISTANT Vicki Zeppa | vzeppa@prla.org VICE PRESIDENT OF MEMBERSHIP DEVELOPMENT Amy Daniels | adaniels@prla.org

inside this issue

DIRECTOR OF MEMBERSHIP DEVELOPMENT—EAST Brenda Mendte | bmendte@prla.org DIRECTOR OF MEMBERSHIP DEVELOPMENT—WEST Tom King | tking@prla.org director of Membership development—CENTRAL Joseph Ambrosio | jambrosio@prla.org Member Services Manager Christine Preuss | cpreuss@prla.org MEMBERSHIP DEVELOPMENT REPRESENTATIVE Charlie Anderson, Northwestern PA Director of Finance & Human Resources Diane Sherwood, CPA | dsherwood@prla.org director of Government Affairs Melissa Bova | mbova@prla.org director of education Hope Sterner | hsterner@prla.org DIRECTOR OF EVENTS & ENGAGEMENT Heidi Howard, CMP | hhoward@prla.org DIRECTOR OF COMMUNICATIONS Stephanie Otterson | sotterson@prla.org ACCOUNTING MANAGER Paula Judd | pjudd@prla.org OFFICE ASSISTANT Gisela McBride | gmcbride@prla.org Professional Services Provided by GENERAL COUNSEL Shumaker Williams, P.C. Keith Clark GOVERNMENT AFFAIRS Pugliese Associates, Harrisburg Lou Biacchi Greenlee Partners, Philadelphia Andrew Zalenski Accountant and Independent Auditors Brown, Schultz, Sheridan & Fritz Jim Nace, CPA investment advisors Conrad Siegel Tara Mashack-Behney Pennsylvania Restaurant & Lodging Matters is a publication of the Pennsylvania Restaurant & LODGING Association 100 State Street, Harrisburg, PA 800-345-5353 | www.prla.org | info@prla.org Sarah DiCello, Publications Manager 717-238-5751 x118 sarah@thinkgraphtech.com

Chairman’s Message

PAC/PEC Contribution Form

CEO Message

Pets Offer Hotels a Solid Source of Revenue

Giving Back: Making Year-Round Philanthropy Part of Your Business Plan

Legislative Corner

Legislator Spotlight

Education & Training

The ProStart Advantage

Legal Docket

Member Milestones

Welcome New Members

For Advertising Information: Alexis Kierce, Account Manager 717-238-5751 x119 alexis@thinkgraphtech.com

Pennsylvania Restaurant & Lodging Matters is published quarterly by the Pennsylvania Restaurant & Lodging Association, 100 State Street, Harrisburg, PA 17101, tel 800-345-5353, and is a benefit of membership in the association. Articles do not necessarily reflect the view or position of the Pennsylvania Restaurant & Lodging Association. Editorial coverage or permission to advertise does not constitute endorsement of the company covered or of an advertiser’s products or services, nor does Pennsylvania Restaurant & Lodging Matters make any claims or guarantees as to the accuracy or validity of the advertiser’s offer.

Creative Design Graphtech

chairman’s MESSAGE If you have been keeping up with PRLA’s Quick Bites and the Legislative Updates, then you know that PRLA and five other plaintiffs (Church Brew Works, The Modern Jeff Cohen Café, Storms Restaurant, Rita’s Italian Ice and Dirt Doctors Cleaning Services) have sued the City of Pittsburgh for violating its Home Rule Charter by passing mandatory paid leave.

care more about our bottom line than our people. How many of you consider your employees to be like family? We know without them our businesses would not even have a chance to be successful.

Union advocacy groups have picketed outside the plaintiffs’ businesses claiming they don’t care about their employees, harassed customers, stuffed flyers in condiment baskets, and threaten to “escalate their efforts if they [the plaintiffs] don’t see the wisdom of backing off the suit.”

While everyone joins PRLA for their own reasons, I hope you understand how vital PRLA’s advocacy work is to your business. I just attended PRLA’s Government Affairs Committee meeting at the Annual Conference where I learned PRLA is tracking about 300 pieces of legislation in Harrisburg that either directly or indirectly impact our businesses.

While this appears to be a local issue, I assure you it’s not. Philadelphia has a paid sick leave law on the books. It’s only a matter of time before another local government wants to make business decisions for the business owners. The work PRLA does in Harrisburg, especially John Longstreet and Director of Government Affairs Melissa Bova, is critical in protecting us from the numerous pieces of legislation coming after small businesses and our industry.

It’s a frustrating position to be in. We are painted as heartless business owners who

If you haven’t already contributed

to PRLA’s political action committee, consider doing so before the end of the year. Use the contribution form below or call the office at (800) 345-5353 to make the pledge to support your industry.

Jeff Cohen Chairman of the Board

PAC/PEC Contribution Form

Political Action Committee & Political Education Committee

YES! I want to protect my industry and support the PAC and PEC. I/my company will contribute the following amount:

CONTRIBUTION TYPE q Personal Check (payable to PRLA-PAC)

q $50

q $500

q $2,500

q Corporate Check (payable to PRLA-PEC)

q $100

q $750

q $5,000

q PAC-to-PAC Check (payable to PRLA-PAC)

q $250

q $1,000

q other $_______

q Credit Card (MasterCard or Visa only)

CONTRIBUTOR INFORMATION

CREDIT CARD PAYMENT

*required

*Company Name

Card Type:

q MasterCard

q VISA

*Address

This is a :

q personal card

q corporate card

*City

*State

*Zip

*Phone

Website

*Contact Name

*Contact Email

PRLA, ATTN: PAC/PEC, 100 State Street, Harrisburg, PA 17101

Pennsylvania Restaurant & Lodging matters

Credit Card #

Exp. Date

CVV/CVC

Cardholder’s Name

RETURN FORM & PAYMENT TO

4 •

How many of you consider your employees to be like family? We know without them our businesses would not even have a chance to be successful.

• FALL 2015

Billing Address (if different) City Cardholder’s Signature

State

Zip

We’ll help inCreaSe your diShroom effiCienCy. So you Can foCuS on your bottom line. at ecolab, we understand your dishroom is only one of many responsibilities. We can make managing it easier with our full line of dishmachines and cleaning agents designed to keep energy costs down, productivity up and employees safe. from our state–of–the–art Apex™ warewashing system, to detergents, rinse additives and epa–registered sanitizers, we’ll keep your dishes — and reputation — sparkling.

CEO MESSAGE

GIVING: BARBER CHAIR WISDOM In reviewing my 401K performance recently, I was reminded of advice I received during the economic downturn of 2008. According to Mike, my barber, if people had given away more of their money, they would have lost less. In all the confusion of the almost-recession of 2008 that included billion-dollar rescue packages, economic stimulus plans galore, and corporate bail outs like we have never seen before, Mike’s words may well John Longstreet represent the voice of reason, rising above the rhetoric, the hypotheses, and the speculation about the economic turmoil. This isn’t the first-time that Mike’s homespun, spiritually-based wisdom has impacted me, but this may have been the most prophetic, in light of the circumstances at that time. Even the feeblest math student can understand the basis of Mike’s premise. If you reduce the money you have by giving it away, in an economic downturn like that which we currently are experiencing you will lose less. Mike points out that there is more to it than simple math. Consider Proverbs 28:27. “He that giveth unto the poor shall not lack: but he that hideth his eyes shall have many a curse.” Could it be true that by helping others, by giving away some of that hard earned cash that more will come to you? Brenda and I would tell you that while we are not wealthy by any standard measure, we feel incredibly blessed. Perhaps some of that has come from our efforts to help others. But there is certainly more compelling evidence than the Longstreets. Some of the wealthiest people in 6 •

Pennsylvania Restaurant & Lodging matters

• FALL 2015

our history, including John D. Rockefeller, Andrew Carnegie, and Oprah Winfrey have emphasized giving as a part of their success. In the words of Milton Hershey: “Other rich men wait until they die and then tell others what they want done. I preferred to execute my will while I was still alive.” In this “season of giving” it’s worthy to note that the hospitality industry is one of the most benevolent in the US. Consider these facts: • Restaurants donate more than $3 billion to charity each year. • About 90 percent of restaurants participate in community engagement. • Whether through local programs or national initiatives, almost 75 percent of restaurant owners donate to food relief/ combatting hunger. • Approximately 85 percent of hotels contribute to charities. • About 85 percent of hotels also make in-kind contributions of room nights, meeting space, goods or services. As we enter 2016 with its likely continued turmoil, we would do well to remember the words of Mike, my barber, “The more you give, the less you lose.” Or, as Albert Einstein said, “The value of a man resides in what he gives and not in what he is capable of receiving.”

John Longstreet President & CEO

Pets offer hotels

a solid source of revenue By Sarah Bergen | As seen in Lodging Magazine September 2015

For an increasing number of Americans, leaving behind their furry friends when traveling is no longer an option. The American Pet Products Association estimates that Americans will spend more than $60.5 billion on their pets in 2015. In addition, the 2015-2016 National Pet Owners Survey found that 37 percent of owners are taking their dogs along on vacation. It is not a surprise that an increasing amount of that revenue is pouring into pet-friendly lodging and accommodations; after all, these critters are part of the family, and they deserve a getaway, too. Many hotel properties have tuned into this trend and are getting a leg up on the competition by opening their doors to both

guests and their pets. “Pet owners in the United States are now regularly bringing their pets along on family vacations, weekend getaways, and even business trips,” explains pet travel expert and founder of a pet-friendly travel company, BringFido, Melissa Halliburton. “Pet fees can be particularly profitable for hotels, generally boosting room night revenue by 20 to 30 percent. And add-on services, like pet items in mini-bars and snack shops, can add even more to the bottom line.” Since founding BringFido 10 years ago, Halliburton has seen firsthand the capital benefits of a hospitality environment that welcomes pets. She has also found a way to capitalize on this trend by offering FALL 2015

•

services such as the Dog Treat Delivery Program, which provides hotels with fresh, quality treats. Transitioning into a pet-friendly hotel comes with logistical challenges, but many locations are minimizing renovations by designating one floor for guests with pets. Pet-friendly guestroom updates include hard surface flooring and play areas. “Hoteliers will always need to balance the needs of dog lovers and non-pet owners,” Halliburton says. “Not every guest will be happy to see a pet strolling through the lobby, but most brands have found a way to accommodate everyone—and those are the brands seeing the profits.” Pennsylvania Restaurant & Lodging matters

• 7

Giving back Making year-round philanthropy part of your business plan Most of us think more about charitable giving around the holidays—about 34 percent of all charitable giving is done during the last three months of the year. Maybe it’s the clang of the Salvation Army bell as we walk into the store that reminds us to give. According to a 2012 Edelman study, 72 percent of consumers would recommend a business that contributes to charity over one that doesn’t. This number will only go up due to the increased consumer clout of millennials. They account for about 30 percent of the population and spend an estimated $200 billion annually.

8 •

Pennsylvania Restaurant & Lodging matters

• FALL 2015

Millennials consider themselves civicminded and active participants in today’s world and are demanding others, especially companies, do their part to make a lasting, positive impact on the future. This doesn’t just impact where millennials shop but also where they work. In Cone Inc.’s Cause Evolution & Environmental survey, 87 percent of millennials surveyed take cause marketing

and a company’s commitment to the community into consideration when deciding where to work. The National Restaurant Association also found that partnering with a charitable organization can boost employee morale. Employees feel good knowing they are not just making a living, but are also making a difference in the lives of those in need. The Cone survey also revealed that 89 percent

of employees surveyed felt a strong sense of loyalty to their employers when they are familiar with their companies’ cause programs. In addition to boosting morale, partnering with charitable organizations can help you build your brand, slightly ease your tax burden and, most importantly, make a major difference in the lives of many.

Let’s look at what you can do to add year-round philanthropy to your 2016 business plan.

Donate surplus food to a food bank. About 96 billion pounds of food go to waste each year. Food Donation Connection is a national partnership that helps NRA/PRLA members end hunger and reduce food waste. FDC serves as a liaison between foodservice companies and social services agencies that provide feeding programs to those at risk of hunger.

Listen to your staff. Ask your staff what causes they care about or create a task force made up of staff members at all levels to help decide what charities to support. The most successful community programs and partnerships are ones that have special meaning to you or your employees.

Ask your customers for inspiration. Understanding the needs of your community can lead to incredibly worthwhile efforts with real impact. If you haven’t heard of about the Dinner 4 Kids program created by Ollie’s American Restaurant, then visit our home page to watch a 3-minute video about the program and its impact on the Edwardsville community.

Invest in the future of the industry. The ProStart program equips students with career experience and training in all aspects of the restaurant industry. Sign up to mentor aspiring professionals and work with them both in and out of the classroom. Hire ProStart graduates, donate to the scholarship fund or sponsor the Pennsylvania ProStart Student Invitational this February.

While the holidays may be the time of year charitable giving comes into focus, remember that these causes have year-round needs. So, with some up-front planning, you can make yearround philanthropy part of your 2016 business plan.

Do what you do best. For restaura teurs, do what you do every day— feed people. More than 35 million Americans are living with or on the brink of hunger and the nation’s restaurants are rising to the challenge of providing food for those who need it most. For hoteliers—that could mean offering space for an event or rooms for those displaced by a disaster.

FALL 2015

•

Pennsylvania Restaurant & Lodging matters

• 9

legislative corner

STATE

FEDERAL

LOCAL

Pennsylvania’s political scene Budget update As of the writing of this article, Pennsylvania has hit 100 days without a budget. Political rhetoric has hit an all-time high and the House, Senate and Governor’s Office are no closer to a deal.

paid leave mandates on private business. This legislation is more important than ever now that Philadelphia’s paid leave mandate has officially gone into effect and Pittsburgh has also passed a paid leave mandate. PRLA continues to maintain that it is not the role of local government to be passing these mandates on private business. Privatization, alcohol reform, direct wine shipment

The House and Senate side of the story In August, the House and Senate offered a budget compromise to the Governor that guaranteed him $400 million in additional education funding as long as he agreed to comprehensive pension reform. The Governor said he needed time to review the proposal—after over a month passed with no answer—the Senate decided to return to session to pass a stop-gap budget to fund schools and non-profits that have not received any funding during the stalemate. The day the Senate returned to session to begin the process, the Governor rejected their proposal from August and offered a proposal of his own that includes leasing of the Pennsylvania Liquor Control Board (PLCB) operations and pension reform.

Changing the operations of the PLCB continue to be front and center in the minds of elected officials. Republicans want to privatize the entire PLCB system, while Democrats support modernization to allow the PLCB to operate more like a private business (one that happens to have a monopoly). In addition, the Governor supports leasing the PLCB system with the requirement that all current employees keep their jobs. In the meantime, PRLA has been focusing on educating legislators on the need for true wholesale pricing for licensees—no matter what the route the legislature decides to take. We are also focusing on the passing HB 189 (Sonney—R, Erie), which would allow direct wine shipment but more importantly—reduces the mark-up on special liquor orders (SLO) from 30 percent to 10 percent.

The Governor’s side of the story

Hotel tax reform

The Governor claims that passing a stop-gap budget would be an admission of defeat and that he would only sign a stop-gap proposal if a budget number is agreed to. On the day the Senate returned to session, he rejected their proposal and offered his own proposal, which he claims is giving them what they want on liquor and pension reform. While the House and Senate have not outright rejected the Governor’s proposal, they have continued the process of passing a stop-gap budget. A measure that the Governor said he will once again veto.

The Senate is expected to take up HB 794 (Gillespie—R, York) this fall. The legislation enables an increase in the local hotel tax in third- through eighth-class counties from 3 percent to 5 percent— but more importantly—redefines the use of the funds to ensure they are used strictly for tourism promotion. The Governor is expected to sign the legislation.

Where do we go from here? Hopefully, by the time you read this article a budget is passed, but as of the writing of it, the sides have never been further apart. In the meantime, the House and Senate have returned to session for the fall which allows us to focus on other PRLA priorities. Paid leave preemption Struggles continue as we contend with a veto threat from the Governor if we send him Senate Bill (SB) 333 (Eichelberger—R, Blair), which would preempt local municipalities from passing

10 •

Pennsylvania Restaurant & Lodging matters

• FALL 2015

Tourism study The long awaited tourism study on the impact the lack of tourism funding has had on Pennsylvania’s economy is expected to be released later this fall. The information will be used to educate legislators on the high return on investment they would see if they truly invested in tourism promotion.

Federal Issues Federal overtime The deadline to submit comments regarding the change in federal overtime regulations has passed and now the Department of Labor

Budget Update

Federal Overtime

PRLA Sues the City of Pittsburgh

Upcoming Classes DECEMBER

FEBRUARY

12/7 Reading 12/7 Williamsport

2/1 2/8 2/8 2/22 2/22 2/22 2/29

JANUARY (DOL) will review the hundreds of thousands of comments it received. The primary focus of comments from the hospitality industry consist of the following: • Making no changes to the “duties test,” which is the general description of responsibilities used to classify which employees are management and therefore exempt from overtime pay. • The DOL states that bonuses can be considered part of an employee’s overall pay, but it cannot be larger than 10 percent of an employee’s weekly salary. We believe all bonuses should be considered part of the overall wage.

1/11 1/11 1/25 1/25

Lancaster Philadelphia Harrisburg Monroeville

Wilkes-Barre Butler Reading Greensburg York Philadelphia State College

EARLY BIRD CLASS PRICING* $130 members/$170 non-members *Early bird pricing must be pre-paid 14 days prior to the class. Regular prices are $135/member and $175/ non-member. Taxes, shipping & handling fees apply.

GIVING BACK ServSafe profits are reinvested in industry education, outreach and advocacy programs.

• The current regulations state that the salary threshold will be increased to $50,400—our hope is that the threshold will be a more reasonably and justifiable $35,000. • Comments have also been submitted to oppose the automatic indexing included in the regulations. Music licensing The National Restaurant Association has joined other business groups in asking the Department of Justice to bring SESAC under the same legal scrutiny as BMI and ASCAP. SESAC is currently not subject to the same regulations that block abusive practices in collecting royalties from venues that have music. The coalition, that PRLA supports, is to ensure fair treatment of both artists and venues.

serving the needs of the restaurant and HOTEL industry for more than 45 years

Local Issues PRLA sues the City of Pittsburgh In the beginning of August and less than a month after its introduction, Pittsburgh City Council passed a paid leave mandate on all businesses located within the city limits. The City is governed by a Home Rule Charter which means that, under state law, these counties may not pass mandates on private businesses. PRLA has sued the City—citing their actions were illegal and the law is therefore invalid. Philadelphia paid leave is in effect Unfortunately, Philadelphia is not a Home Rule county and until paid leave preemption (SB 333) is passed—the law in the City remains valid and in effect. As of August 13, businesses in the City must allow employees to use accrued paid leave.

Acquisition, sale and financing of restaurants and hotels • Liquor license acquisition and sale • Defense of liquor license citations and enforcement actions • Dram shop liability • Structuring to limit liability Employment law and wage & hour issues • Litigation, mediation and dispute resolution • Intellectual property protection including trademarks, copyrights and trade secrets • Tax, business and estate planning SERVING THE FOLLOWING AREAS: PENNSYLVANIA MARYLAND NEW JERSEY NEW YORK WASHINGTON DC

1-888-794-5542

www.shumakerwilliams.com

FINALLY. A partner who works as hard as you do.

Why is it so hard to find a pest control company who can just get the job done? It shouldn’t be. Since 1928, Western Pest Services has lived by three simple rules: do what you say you’re going to do, deliver quality work in all areas, and treat everyone with dignity and respect. The search for a partner who thinks like you do is over. Finally.

877-840-0504 · foodservice.westernpest.com Contact us for a free inspection today.

legislator spotlight What made you want to run for political office? A: The status quo. The mentality in Harrisburg is often “We’ve always done it this way,” and I was tired of watching this mentality result in an inefficient government that spends without constraint and imposes entirely too many regulations on businesses.

Senator Scott R. Wagner (R, York)

Talk to political candidates and ask them their views on the issues important to you. The key is to continue the conversation and maintain relationships with these individuals.

With the budget impasse continuing, why, in your opinion, has a compromise not been reached? A: Gov. Wolf refuses to come to the realization that a tax-and-spend budget is not what residents of the Commonwealth want, and it is not a responsible way to manage Pennsylvania’s finances. He is also entrenched with the public sector unions that represent teachers and liquor store workers, who benefit greatly from our current pension system, and of course the latter, from the liquor system that Republicans have advocated privatizing. Until he remembers how he supposedly turned around his family business and implements similar cost saving and waste reducing measures, the budget impasse will continue, and the Commonwealth will remain financially distressed.

How does being a business owner, make you different from many other elected officials? A: I started my first business when I was 20 years old, and with each company I have had successes and failures, and I have learned many lessons along the way. Being a business owner has taught me how to manage the bottom line, ensure the best return on investment, operate efficiently, and achieve success through hard work and determination. Operating our state government should not be any different, especially when it comes to spending taxpayers’ money. Also, as a business owner, I have experienced the direct results of law changes, tax increases, and overregulation of businesses. Anytime a decision must be made in Harrisburg I am analyzing how it will affect the business community.

If you could change one thing about the legislative process, what would it be? A: The speed. Half the time it feels like we are coasting along in neutral waiting for something to happen rather than being proactive. We are a full-time legislature, yet we are only in session a few days each month. 14 •

Pennsylvania Restaurant & Lodging matters

• FALL 2015

I have imposed a two-term limit (8 years) for myself, and I have high expectations of what I want to accomplish in that time. However, the lack of urgency in Harrisburg may prove difficult. I’m always up for a challenge though.

What are your top three priorities in the coming months? A: I have four actually: Property tax relief, pension reform, liquor privatization, and paycheck protection. Pension reform and liquor privatization are key to rein in spending and provide additional revenue needed for the Commonwealth without raising taxes. In turn, when we have control of spending we will be able to provide much needed property tax relief. Of course, without paycheck protection, the teachers’ union will continue to benefit from taxpayer-funded collection of their dues money, a portion of which is used to lobby against pension reform and property tax relief.

Where do you see Pennsylvania in five years? A: With a new governor. Additionally, consumers will be buying liquor and wine from private retailers, homeowners will be free of property taxes, a fair funding formula for schools will be in place, more of our young folks will be graduating from technical schools and filling the current skills gap in the manufacturing community, and our pension system will be less of a financial burden thanks to reforms.

What advice would you give a member of the hospitality industry that wants to be more politically engaged, but isn’t sure how to be? A: First, every day in your job take note of how government is impacting the work you do. What taxes do you pay and does your business pay? What government-mandated regulations must you follow? Once people realize all of the ways their government impacts them, they have more solid ground to stand on when they become politically involved. Second, develop relationships. The hospitality industry, I am sure, knows the importance of this for their own work, but the same is true in politics. Schedule meetings with your legislators to discuss the impacts you have realized in your job and any pending legislation that could affect your industry. Talk to political candidates and ask them their views on the issues important to you. The key is to continue the conversation and maintain relationships with these individuals.

EDUCATION & training

National Food Safety Month highlights restaurant industry best practices

National Food Safety Month puts a spotlight on the restaurant industry’s ongoing commitment to food safety. This year’s NFSM theme was “Let it Flow,” which focused on the flow of food through a restaurant. NFSM, held annually in September, was created in 1994 by the National Restaurant Association (NRA) to heighten awareness about the importance of food safety education. NRA offers free resources for foodservice industry professionals and this year highlighted tips for a number of food safety topics including receiving, storage, thawing and holding, preparation and service. “The restaurant industry is dedicated to excellence in food safety year-round, and this important campaign provides the opportunity for restaurants to showcase their commitment to serving the highest quality meals to their guests every day,” said Hope Sterner, PRLA’s director of education. “With our industry serving 130 million meals daily, food safety is always a top priority for the country’s one million restaurant and foodservice establishments,” said Phil Kafarakis, chief innovation & member advancement officer for the National Restaurant Association. “Every September, we look forward to highlighting the industry’s commitment to food safety education. This year, we are excited to share a variety of new resources with vital food safety tips and best practices.” For the fifth consecutive year, NFSM was sponsored by SCA, maker of the Tork® brand of away-from-home professional

The restaurant industry is dedicated to excellence in food safety year-round, and this important campaign provides the opportunity for restaurants to showcase their commitment to serving the highest quality meals to their guests every day. Hope Sterner Director of Education, PRLA

hygiene products in North America. SCA’s Tork® brand is committed to food safety education and hygiene product solutions. You can still access the training tools and resources from this year’s campaign including activities, posters, infographics, and videos on the NFSM website: FoodSafetyMonth.com. Follow @ ServSafe on Twitter for year-round food safety tips, facts, best practices and other resources. FALL 2015

•

Pennsylvania Restaurant & Lodging matters

• 15

THE

ProStart

ADVANTAGE

ProStart equips students with the skills necessary to achieve long-term, rewarding careers in the hospitality industry. For employers, hiring ProStart students comes with several compelling advantages. ProStart students are interested and engaged in the business ProStart students come to work with a natural interest in the hospitality industry. While most students take ProStart in high school because they are interested in cooking, many also have an interest in pursuing a career in foodservice. Many students begin ProStart with the goal of becoming chefs, only to discover a passion for business and restaurant management. While there are unlimited paths students can take with their restaurant career, they all start with a common interest in the industry, either on the culinary or business side of the equation.

ProStart students understand the industry ProStart students learn about the industry expectations in the classroom. In fact, according to a recent survey of ProStart educators and students, ProStart educators and students felt ProStart gave students the most realistic preview of professional behavior and what to expect on the jobâ&#x20AC;&#x201D;from hours worked to job responsibilities. 16 â&#x20AC;˘

Pennsylvania Restaurant & Lodging matters

â&#x20AC;˘ FALL 2015

ProStart students are skilled

ProStart students are experienced

Through the Foundations of Culinary Arts and Restaurant Management curriculum, ProStart students gain an understanding of food and workplace safety, as well as kitchen skills, knowledge of foodservice and cooking techniques.

When hiring, ask a student if they have achieved or are working toward earning their National ProStart Certificate of Achievement. To earn this industry-recognized credential, students must pass two national exams, document 400 hours of work experience, and demonstrate proficiency in 52 of 70 workplace competencies developed by the industry.

ProStart students have critical employability skills

A majority of students report that ProStart teaches them foundational work-readiness skills, including teamwork, professionalism, time management, workplace communication and decision-making skills. These employability skills make ProStart students prime candidates for advancement.

See ProStart students in action February 24, 2016, at the second annual Pennsylvania ProStart Student Invitational at the Penn Stater Conference Center Hotel. The winning teams in the culinary and management competions will represent Pennsylvania at the National ProStart Student Invitational.

Pennsylvania’s ProStart Schools Adams County Tech Prep A.W. Beattie Career Center Central Westmoreland CTC Crawford County CTC Eastern Westmoreland CTC Fayette County CTI Greater Johnstown CTC Indiana County Technology Center Jefferson County Dubois AVTS Keystone Central CTC Milton Hershey School Monroe CTI Northumberland CTC

FALL 2015

•

Pennsylvania Restaurant & Lodging matters

• 17

LEGAL DOCKET

Evan C. Pappas, Esquire SHUMAKER WILLIAMS, P.C. General Counsel, Pennsylvania Restaurant & Lodging Association

ask

The Attorney

Succession Planning Can Help Ensure Long Term Success for your Hotel or Restaurant Sometimes referred to as a “will for businesses,” a business succession plan should be considered by hotel and restaurant owners, large or small, to help ensure the viability of their business in successive generations. The business succession plan helps to establish how ownership and leadership of the business will be transitioned in the event of a death or retirement of key owners or employees. Unlike a will, however, which generally liquidates and distributes property after a death — the succession plan’s main objective is to structure a roadmap to keep your enterprise alive and well. Hotels and restaurants are well known for being disproportionately owned and operated as family businesses — which presents unique opportunities and challenges. For example, although a small family business could be placed into the hands of competent, capable hands of family members who stand ready to inherit the business once the older generation passes it on — such is not always the case. Current owners of an establishment considering their options for succession should ask themselves whether they believe the younger generation possess the interest, passion, requisite business experience, and knowledge of the industry to run the business. Lack of succession planning can devastate an otherwise well-operated business. According to the Family

Business Institute, only about 30 percent of family businesses survive into the second generation, 12 percent are viable into the third generation, and only about three percent operate into the fourth generation or beyond. No single reason can be attributed to the challenges faced by small businesses. Each is unique and managed by personalities that may require each succession plan to be tailored specifically for that business. Some businesses might confront the reality that the next generation lacks the necessary passion for the business. If this reality is ignored, or worse, never identified, problems will definitely emerge, and the sustainability prospects will be diminished. Another challenge is seen where senior members restrict management and ownership of the company to only other family and extended family, despite their lack of involvement and proven abilities. One major reason businesses fail to adopt succession plans is because it requires consideration of uncomfortable, difficult issues. However, delay leads to the risk of “unplanned succession” — i.e., an untimely death, disability or incompetency. Unfortunately, sometimes the best business decisions require the potential for hurt feelings, especially when you are dealing with family or close business associates. A successful plan requires every key employee and owner to be questioned as to their intentions with the company and what role they

see themselves and others playing in the long term. For example, the creation of a succession plan may require a father to ask his son or daughter if he/she desires to take over the business and, if so, what qualifications or training does he/she possess to guide his/her actions. Is it feasible to get the necessary training in place? Depending on the response, it may require a father to ask his child to step aside so that someone else may run the company. Despite the difficult questions and decisions that need to be made, the alternative may be no future business at all. Business succession plans are not one-dimensional and should address succession and continuity of both ownership as well as management and operations. Ownership succession can be a very sensitive issue to address, although of the utmost importance, including how retiring current owners are to be paid for their ownership interests without jeopardizing the business’ capital resources. Management succession is concerned with ensuring that the necessary passion, talent and support exist for day-to-day operations and management of the company. This will require some businesses to look both at the quality of their Board of Directors as well as the succession of their key employees and officers.

A business succession plan is imperative for any size business across all industries. Depending on the size or complexity of the business, there may be several professionals involved, including business consultants, accountants and lawyers. If you have any questions about whether a business succession plan is right for your business and how to get started, please contact Shumaker Williams, P.C., Evan C. Pappas at 717.909.1655 or Keith A. Clark at 717.909.1612.

18 •

Pennsylvania Restaurant & Lodging matters

• FALL 2015

MEMBER MILESTONES BERKS-SCHUYLKILL CHAPTER

Make plans to attend the annual Berks-Schuylkill Chapter Duck Dinner which will be held on Sunday, November 22 at the Stone Mansion in Leesport. This zany experience includes running commentary by former PRLA Chairman Reg Leibensperger, a deliciously prepared dinner of duck and all the trimmings, wine and beer. Proceeds go to the PRLA scholarship fund. BUCKS-MONT CHAPTER

The newly formed Bucks-Mont Chapter is hard at work planning a springtime fundraising event, called “Taste of Bucks-Mont,” at The Fuge in Warminster, which will include local restaurants, breweries, wineries and distilleries sampling their products. VIP ticket includes butler passed hors d’oeuvres and admission to the exclusive centrifuge viewing platform. BRANDYWINE CHAPTER

Many thanks to all who participated in the Brandywine Chapter Back to School Golf Outing which was held on September 14 at AppleCross Country Club in Downingtown. Golfers enjoyed a beautiful day on the course including a beer-truck/food-truck lunch by Victory Brewing Company and P.J. Whelihan’s Pub!

raise $25,000 and help craft beer fans make the connection that choosing Headwaters Ale is more than just a taste preference, it is a decision to help preserve the planet one sip at a time. CENTRAL CHAPTER

PRLA Central Chapter, American Culinary Federation Harrisburg Chapter and PA State Troopers Camp Cadet came together again on October 19 for the 24th annual Central Chapter Golf Outing which was held at Hershey Country Club. Many, many thanks to the army of volunteers, including culinary students led by the infallible Chef Charlie Gipe who produced and presented the tournament lunch and steak dinner. Sponsors and donations were prolific and too many to properly mention here. Singer Equipment Company of Elverson, the sixth largest foodservice equipment, supplies and kitchen design company in the country, recently announced the appointment of Fred Bonaccorso as President of the M Tucker division. Mr. Bonaccorso will be responsible for M Tucker’s strategy and execution in the Northeast. Mark your calendars for the 6th annual PA Flavor! The Ultimate Beer Fred Bonaccorso & Food Pairing, which will be held on Saturday, April 23, 2016, at the Main Hall, PA Farm Show Complex in Harrisburg. PA Flavor is presented jointly by the Brewers of PA, PRLA, the American Culinary Federation and the Department of Agriculture’s PA Preferred Program, and is designed to showcase the many unique beer and food offerings in Pennsylvania.

By the way, Victory Brewing Company is re-launching the popular Headwaters Ale with a new look, national distribution and strengthened commitment to environmental stewardship. A portion of every Headwaters Ale sold in cans, bottles or on tap will be donated to the Headwaters Grant to help fund watershed stewardship groups. Over the next year Victory endeavors to

Devon Seafood, Hershey, welcomed Chef Wesley Hellberg to the team as executive chef earlier this year. Chef Wesley returned to the Hershey Entertainment & Resorts culinary team after a year as room chef of Mountain View Restaurant at Hollywood Casino & Penn National Race Course in Grantville, Pa. Previously, Chef Wesley was chef de cuisine at both The Hotel Hershey’s Harvest restaurant and for Hershey Golf Collection. He earned his culinary arts degree from Johnson & Wales University in Providence, R.I. in 2002.

FALL 2015

•

Pennsylvania Restaurant & Lodging matters

• 19

Members Milestones continued Houlihan’s in Hershey received two national franchise awards for 2015. At the 2015 Houlihan’s Conference Awards Ceremony in Amelia Island, Fla., the Hershey location earned the prestigious 2015 Operation of Excellence Award and Top Sales Award for its dedicated commitment to brand standards and leading sales nationwide. Only seven of the 92 general managers and their teams received the Operation of Excellence Award nationally. KEYSTONE CHAPTER

Barrel 21 Distillery & Dining, from the team at Otto’s Pub, has recently opened on Atherton Street in State College. Menu selections are influenced by globalization, diversity and seasonal, local availability, celebrating local resources and inspiration from immigrants who bring culture and new cuisine to State College. On September 15, members of the PRLA Keystone Chapter joined local Penn State School of Hospitality alum for a reception in honor of Dr. Donna Quadri, newly appointed director, Penn State School of Hospitality Management at T.G.I. Friday’s in State College.

Stay tuned for details of Lehigh Valley Chapter’s annual cigar night fundraiser which will be held in spring 2016. This yearly fundraiser includes food samplings, craft beer and hand rolled cigars. The event benefits the PRLA Educational Foundation for scholarships and ProStart. PHILADELPHIA CHAPTER

Want to be more involved with the political process in Philadelphia? Do you want to work for positive change in Philadelphia—as opposed to always being on the defensive? Please join us on November 12 at 3 p.m. at R2L Restaurant to learn more about what PRLA, with your help, can do to make a difference for the hospitality industry in Philadelphia. PRLA wishes The Prime Rib a Happy 50th Birthday! The Baltimore location opened its doors October 1965 with Philadelphia close behind. Congratulations on your many years of exemplary service to the industry. WESTERN CHAPTER

LANCASTER CHAPTER

Kudos to the team at Foxchase Golf Club and the Lancaster Chapter board of directors for pulling off another successful golf outing on September 21. It was a beautiful fall day which concluded with a fabulous dinner buffet. Proceeds from the yearly event benefit the PRLA Educational Foundation Scholarship Fund. LEHIGH VALLEY CHAPTER

Discover Lehigh Valley took home a Mid-Atlantic Emmy® Award for the Lifestyle Program Feature/Segment category in a ceremony held at the Philadelphia Hilton on September 19. The winning piece, DISHcover Lehigh Valley: Porters’ Pub, was produced and hosted by Kim Lilly in partnership with Fire Rock Productions of Emmaus and Countess Communications of Allentown. This is Discover Lehigh Valley’s first Emmy® nomination and first win. Lehigh Valley Chapter held a panel discussion called “Maintaining Your Online Reputation in the Age of Social Media” on September 8 at Historic Hotel Bethlehem, sponsored by WeiserMazars LLC. Fred Kaplan of WeiserMazars moderated the panel. Congratulations to Mike Axiotis upon his promotion to Executive Vice President of Operations for Lehigh Valley Restaurant Group. Under Mike’s leadership over the past five years, four outstanding new operations teams have been added at Mill Creek, Hamburg, Collegeville and York. During this same time period, LVRG’s restaurant sales have grown by more than 50 percent.

DoubleTree by Hilton Hotel & Suites Pittsburgh Downtown hosted the PRLA Fall Conference and Awards Gala October 2527. The inspirational, educational, and fun event included two panel discussions, visits from the PLCB and DISCUS and a kick-off breakfast with Using All the Crayons author Chris Rodell. Sunday night attendees enjoyed a fabulous wine pairing dinner hosted by The Carlton, which included five courses paired with wines handpicked by proprietor Kevin Joyce. Women in Hospitality Pittsburgh will hold a Shopping and Networking event on November 11 at Rivers Club. Attendees will shop cash and carry vendors while chatting with their peers and noshing on hors d’oeuvres provided by Rivers Club. Find more information at www.prla.org/wih. Live Well Allegheny was launched in January 2014 by County Executive Rich Fitzgerald as a comprehensive, innovative strategy on wellness that embraces a broad concept of living well to include physical health, mental wellness, personal and community safety, prevention and preparedness, and much more. The effort is being led by the Board of Health and Health Department Director Dr. Karen Hacker. The program promotes a healthy lifestyle through outreach to communities, schools, businesses, and work places, and asks residents to join in efforts to improve their own health and the health of Allegheny County.

Mike Axiotis

20 •

Fox Chapel Golf Club in Pittsburgh was the location for the PRLA Golf Classic West on September 28. What began as a rainy start ended up a great day of golfing and socializing. Golf chairmen Sean Casey of Church Brew Works and Tony Ferraro of Reinhart Food Service should be commended on their efforts and support of the outing which benefits the PRLA Political Education and Political Action Committees.

Pennsylvania Restaurant & Lodging matters

• FALL 2015

WELCOME new members Restaurant Members

Home 231

The Huddle

Harrisburg

Pittsburgh

Ali’s Marketplace Gluten Free Zone

Honeygrow – Philadelphia

The Mint Gastropub

Philadelphia

Bethlehem

Jimmy Wan’s

The Old Mill Family Restaurant

Murrysville

Arooga’s Grill House & Sports Bar – Route 11 Mechanicsburg

Baby Blues BBQ Philadelphia

Cranberry Twp

Garnerville

Jimmy Wan’s

The Station House Irish Pub & Steakhouse

Pittsburgh

Joseph Ambler Inn North Wales

Gouldsboro

State College

Legends Sports Bar & Grille

Three Sisters Deli

Mechanicsburg

Harrisburg

Benjamin’s Western Avenue Burger Bar

Mary’s Place

TJ’s Hideaway

Barrel 21 Distillery & Dining

Pittsburgh

Bill’s Bar & Burger Pittsburgh

Blue Moon York

Bobby’s 19th Hole Bar & Grill Beaver Falls

Brady’s Run Grille Fallston

Braveheart Highland Pub Hellertown

C&D Bar and Grill New Oxford

Crave and Co. Harrisburg

Cure Restaurant Pittsburgh

Denny’s Beer Barrel Pub Clearfield

Diamond Market Bar & Grill Pittsburgh

Essan Thai Restaurant York

Fat Daddy’s York

Fox Chapel Golf Course Pittsburgh

Fuel & Fuddle Gastropub Pittsburgh

Good Burrito Elizabethtown

Grub Burger Bar Chester Springs

Hi Life Diner Mechanicsburg

Clearfield

Evans City

Nemacolin Country Club

Tomato Pie Café

Beallsville

Harrisburg

North Shore Cafe

Vernick Food & Drink

Pittsburgh

Philadelphia

Painter Catering

Villa Nova Restaurant

Wrightsville

Lancaster

Papa John’s Pizza

Villa Nova West

Williamsport

Lancaster

Papa John’s Pizza

Village Tavern & Trattoria

Flemington

Pittsburgh

Pretzel Crazy

Villaggio Cucina

Pittsburgh

Lahaska

Primanti Bros. Washington

Visaggio’s Ristorante

Washington

Enola

Pyramid Club

West End Cafe

Philadelphia

Pittsburgh

Rick’s Sports Bar & Grill

Westline Inn

Export

Westline

Slingshots Bar & Grill

Wicked Fox Bar & Grill

Moscow

Pittsburgh

Storms Restaurant

Z Pub & Diner Beaver Falls

Pittsburgh

Taps Tavern

Lodging Members

Bethlehem

Tartine Restaurant

Baymont Inn & Suites Mechanicsburg Harrisburg West

Pittsburgh

Taverna 5450 Fairfield

Mechanicsburg

The Brick

Hawthorn Suites by Wyndham

Carlisle

Lancaster

The Fuge

Microtel Inn & Suites by Wyndham Enola/Harrisburg

Warminster

Enola

The Grand Valley Inn

Park Inn Harrisburg West

Fallston

Mechanicsburg

FALL 2015

•

Pennsylvania Restaurant & Lodging matters

• 21

ServSafe your door. ServSafe at at your door.

PRLA Corporate Classes bring ServSafe to PRLA Corporate Classes bring ServSafe to you and your employees at a time that fits you your and your employees at a time that fits schedule. your schedule. We provide the instructor, all certification We provide instructor, all certification materialsthe and documentation to satisfy local materials and documentation to satisfy local and state requirements. and state requirements. Contact Director of Education Hope Sterner, Contact Director ofor Education Hope Sterner, 717-963-8368 hsterner@prla.org, to book 717-963-8368 or hsterner@prla.org, to book your corporate class today. yourCorporate corporate class today. classes require a minimum of 15 participants. Corporate classes require a minimum of 15 participants.

Harford Mutual

is serving up complete Restaurant Coverage in Pennsylvania including Liquor Liability Ask your agent or visit HarfordMutual.com

1-800-638-3669

www.harfordmutual.com

Penn Wells Lodge

CBRE

Reserve Media Inc.

Wellsboro

508 S 20th Street Philadelphia, PA 19083 Mr. Nick Quinn

1 Union Square West, Suite 208 New York, NY 10003 David Levin

Comcast Business

Restaurant Technologies Inc.

3800 Horizon Boulevard, Suite 300 Feasterville Trevose, PA 19053 Michael O’Donnell

230 Turner Industrial Way Aston, PA 19014 Daniel Kateusz

Conroy Foods

Road Runner Recycling

Philadelphia

100 Chapel Harbor Drive, Suite 2 Pittsburgh, PA 15238 Jim Conroy

2424 E. York Street, Suite 307 Philadelphia, PA 19125 Bob FitzPatrick

Management Company

Customer Bank

Samuels & Son Seafood Co.

DePalma Hotels & Resorts

43 Summitt Square, Suite 200 Langhorne, PA 19047 Lynn Brown

317 Meade Street Pittsburgh, PA 15221 Annette Richardson

Exchange Underwriters Inc.

Southern Wine & Spirits Of Pennsylvania

Ramada State College Hotel & Conference Center State College

The Hotel at Mohegan Sun at Pocono Downs Wilkes Barre

The Ritz-Carlton Philadelphia

Arlington, TX

Institutions Gaynor’s School of Cooking Pittsburgh

North Montco Technical Career Center Lansdale

Allied Members Acrobatique Creative 2585 Washington Road Pittsburgh, PA 15241-2565 Ronda Zegarelli

Adelfi Promotions Inc. PO Box 522 West Chester, PA 19381 Veronica Sahota

ADP 930 Century Drive Mechanicsburg, PA 17055 Caitlin Sutjak

All-Clad Metalcrafters 424 Morganza Road Canonsburg, PA 15317 John Watkins

Anago Cleaning Systems 300 Old Pond Road, Suite 202 Bridgeville, PA 15017 Bill Ross

Bradley’s Hard Surface Cleaning 108 Remington Way West Grove, PA 19390 Michael Bradley

Budzius Insurance Agency 1000 Continental Drive, Suite 500 King Of Prussia, PA 19406 Mike Budzius

121 West Pike Street Canonsburg, PA 15317 Steve Scuilli

137 Sherwood Drive Greensburg, PA 15601 Danielle Spear

Expense Reduction Analysts

(Bucks-Montgomery, Lehigh Valley, Philadelphia and Berks-Schuylkill Chapters) 236 Lamplighter Lane Huntingdon Valley, PA 19006 Ed Flanagan

GBS HR & Benefit Solutions

The Hirshorn Company

(Phildelphia, Bucks-Montgomery and Lehigh Valley Chapters) 14 East Highland Avenue Philadelphia, PA 19118 Jeff Boardman and Brandon Harris

Waxman Photography

6 North Park Drive Hunt Valley, MD 21030 Eric Bayne

513 West Chocolate Avenue Hershey, PA 17033 Ali Waxman

Green Apple Barter Services

WeiserMazars LLP

PO Box 101131 Pittsburgh, PA 15237 Justin Krane

501 Office Center Drive, Suite 300 Fort Washington, PA 19034 Fred Kaplan

J.C. Ehrlich Co. Inc. 25 Decibel Road, Suite 101 State College, PA 16801 Jim Greib

Jackson Welding Supply Co. Inc. 1421 West Carson Street Pittsburgh, PA 15219 Dawn Cerreta

Majestic Wine & Spirits USA 487 Devon Park Drive; Suite 216 Wayne, PA 19087 Chris Papariello

Menu123

(Bucks-Montgomery and Philadelphia Chapters) 1710 Walton Road, Suite 207 Blue Bell, PA 19422 Mike Isakov

Prudential Insurance Company of America 1001 Ardmore Boulevard Pittsburgh, PA 15221 Matthew Polick

FALL 2015

•

Pennsylvania Restaurant & Lodging matters

• 23

Proud of the company we keep To learn more, contact Ken Haag 732.433.0895 or ken.haag@e-hps.com heartlandpaymentsystems.com All logos and trademarks are property of their respective owners

ÂŠ 2015 Heartland Payment Systems, Inc.