Pennsylvania Restaurant & Lodging Matters

SPRING/SUMMER 2016

You Can’t

Manage Millennials (But You Can Lead Them)

PRLA 2016 Officers CHAIRMAN John Graf Priory Hospitality Group Western Chapter VICE CHAIRMAN Stephen Musciano Aramark at PNC Park Western Chapter TREASURER James Gratton Marriott International Philadelphia Chapter

Capitalize on millennial traits to gain business advantage

IMMEDIATE PAST CHAIRMAN Jeff Cohen Smallman Street Deli/Weiss Provision Company Western Chapter PRLA STAFF PRESIDENT & CEO John Longstreet | jlongstreet@prla.org

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OPERATIONS MANAGER Eric Adams | eadams@prla.org EXECUTIVE ASSISTANT Vicki Zeppa | vzeppa@prla.org 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

inside this issue

Member Services Manager Christine Preuss | cpreuss@prla.org 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

4

Industry Outlook

6 COVER STORY You Can’t Manage Millennials

(But You Can Lead Them) 10 Legislative Corner Education & Training

Professional Services Provided by

12

GENERAL COUNSEL Shumaker Williams, P.C. Keith Clark

14 Legislator Spotlight

GOVERNMENT AFFAIRS Pugliese Associates, Harrisburg Lou Biacchi Frank DiCicco Associates, Philadelphia Andrew Zalenski

17 Legal Docket

Accountant and Independent Auditors Brown, Schultz, Sheridan & Fritz John Bonawitz, CPA investment advisors Conrad Siegel Tara Mashack-Behney

18

Welcome New Members

21

Member Milestones

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

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. ©2015 All rights reserved. No part of this publication may be reproduced in print or electronically without the express written permission of the Pennsylvania Restaurant & Lodging Association.

SPRING/SUMMER 2016

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Pennsylvania Restaurant & Lodging matters

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INDUSTRY outlook This spring has been a busy season for PRLA and the hospitality industry of Pennsylvania. PRLA hosted the Destination PA Spring Conference at Skytop Lodge in the gorgeous Pocono Mountains, which boasted robust educational programming on a variety of topics and fun networking events.

John Graf

John Longstreet

“Our voice in Harrisburg is being heard. This spring saw two significant legislative victories, spearheaded by our exceptional government affairs team under the direction of Melissa Bova.”

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Pennsylvania Restaurant & Lodging matters

One educational session at our Spring Conference, titled “Leading the next generations” and presented by Mike Muetzel, inspired the millennial theme of this issue of the magazine.

Understanding the millennial mindset is critical to the hospitality and tourism industries in two ways: First, these are your employees and you are trying to figure out how to attract and retain top talent. And secondly, by 2020, 50 percent of revenue for hospitality will come from millennials.

Also at the conference, the PRLA Board of Directors agreed to a framework with the Pennsylvania Association of Travel & Tourism to transfer the PATT mission to PRLA. So, on behalf of the PRLA, we welcome our new members from the travel and tourism industry.

We are excited about the opportunity to continue the mission of unifying the voices of the hospitality and tourism industries in Pennsylvania.

We are confident this change will enhance and strengthen our efforts and our voice in Harrisburg.

Our voice in Harrisburg is being heard. This spring saw two significant legislative victories, spearheaded by our exceptional government affairs team under the direction of Melissa Bova. First, the governor signed the hotel tax reform bill (House Bill 794) into law. Now known as Act 18 of 2016, this legislation most importantly returns the focus of county hotel tax funding to tourism promotion by tightening the definitions relating to the use of the monies raised through hotel occupancy tax. It also allows 57 counties to increase their local hotel occupancy tax from 3 percent to 5 percent.

• SPRING/SUMMER 2016

The second victory came when Gov. Wolf recently signed a liquor reform bill into law. The reform contains many significant changes to the liquor code that improve consumer and licensee convenience. While a bill of this size isn’t going to be perfect, it does signify a monumental first step toward improving Pennsylvania’s dated wine and spirit system. It is the first significant piece of alcohol reform legislation passed since the end of prohibition and something PRLA has been working on for almost 10 years.

We hope to see you at our West PRLA Golf Classic on September 28 and wish you a successful and enjoyable summer in beautiful Pennsylvania.

This golf outing, as well as the one just held on June 21 outside of Philadelphia are our primary fundraisers for our advocacy efforts and proceeds support our political action committee. Our PAC is a critical tool in ensuring our voice continues to be heard in Harrisburg.

Warm regards,

John Graf Chairman of the Board

John Longstreet President & CEO

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You Can’t

Manage Millennials (But You Can Lead Them)

By Ken Wasco, Gordon Food Service® Customer Effectiveness Manager

Like all of us, millennials want to know what’s going on at work. They want to be plugged into the informational loop....

Whenever I do a team development session, I try to spend a little time beforehand with the

leaders of the organization. “What about your business keeps you up at night?” I ask them. “And what’s the one issue you seem to be dealing with over and over again?”

The responses I get are very telling about the state of the workforce today.

“Employees below the age of 35 keep me up at night,” is the usual answer to the first question, followed by a litany of complaints about that age group: “They are impossible to manage. They get bored so

Millennials at work If that news seems contradictory to you, welcome to the millennial generation— by most demographic-reporting group calculations, people born between 1977 and 1992. Millennials are walking contradictions. Here’s how that plays out in the workforce.

Millennials love working in teams. The more diverse the team, the better. And they will deliver as a team when you set your expectations high, but ONLY if they are updated frequently (i.e., daily) with feedback on how to keep improving.

you, especially in the area of technology.

Collectively, millennials are light-years beyond the rest of us when it comes to technology. They have skills you can put to great use in your operation.

Not every millennial is a tech genius, of course. But virtually all of them want to be “best utilized.” Again, you have to get to know millennials personally to figure out their “best fit” in your organization.

Millennials are like other generations in that they want to know where they stand with their boss and what advancement opportunities are available.

Where they differ is that they need to know everything right now. You need to be upfront with career possibilities and provide a roadmap to get from here to there. The day a millennial starts work is the day he or she wants to know “what’s next.” Be prepared to offer frequent progress reports—millennials want constant feedback. In fact, you should encourage millennials as often as you possibly can. Their parents did, and they’ll expect encouragement from you as well.

Like all of us, millennials want to know what’s going on at work. They want to be plugged into the informational loop. However, while they love teams, millennials also require a more individual­ ized, nuanced management approach.

Explanation and guidance Now for the issue foodservice leaders have to deal with again and again cellphones. It just seems impossible to separate a millennial from his or her smartphone.

You have to understand that a cellphone is a life tool for a millennial. Although they seek a work-life balance, they see no boundary between the two. Staying connected electronically is just what millennials do—so a simple rule of “no phones” won’t work. You need to explain, in detail, why a cellphone can’t be used in whatever jobs a millennial may hold.

easily. They don’t care the way we used to.

Work and people aren’t important to them.

They want things done their way, and they’re going to do it that way no matter how many meetings we have telling them otherwise.”

If that sounds familiar, I have good news … and even better news for you. The good news is that your younger employees aren’t all that different from other generations in your workplace. The even better news is that they are completely different from other generations in your workforce—and you can use these differences to your advantage.

Given all this, it’s not very easy to manage a millennial. Remember that management is all about “where we are”—meeting requirements, watching behaviors, noting problems, and taking corrective action.

But millennials’ focus is on the future.

So lead them where you want them to go. Help them build their skills, monitor their progress, and continuously finesse their performance based on a desired destination. When millennials see you as their mentor, the team as their vehicle, and their role as essential and advancing, then you will have employees who are improving your business.

Take the time to figure out what makes each millennial “tick.” Then you can tailor your message and your style based on their individual interests and motivations.

Engage in frequent dialogue with each millennial to gauge whether you’re providing too much or too little structure for them.

Millennials also crave involvement and detest boredom, so don’t hesitate to ask them to lend their expertise to a project.

Keep in mind, though, millennials desire balance between work and home life.

They may be unlikely to put in the kind of long hours you do. Still, they can be very effective in the hours they give SPRING/SUMMER 2016

This article originally appeared in the December 2015 issue of Michigan Restaurateur and was reprinted with permission from the Michigan Restaurant Association.

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Pennsylvania Restaurant & Lodging matters

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legislative corner

Act 18 of 2016:

Top 13 Frequently Asked Questions Gov. Wolf recently signed House Bill 794 into law. HB 794 is now known as Act 18 of 2016. It ensures the revenues collected through the tax are used for the tax’s original purpose—tourism promotion. It also enables an increase in the local hotel occupancy tax from 3 percent to 5 percent for 57 counties. Act 18 is effective immediately.

1

What does Act 18 do?

Lawrence, Lebanon, McKean, Mifflin, Monroe, Montour, Northumberland, Perry, Pike, Potter, Schuylkill, Snyder, Somerset, Sullivan, Susquehanna, Tioga, Union, Venango, Warren, Washington, Wayne, Westmoreland and Wyoming.

Act 18 is a comprehensive hotel tax reform bill that contains the following key provisions: • Clarifies the proper use of the tax to market tourism.

• Enables an increase in the local hotel occupancy tax for 57 counties from 3 percent to 5 percent.

• Expands the definition of what is considered taxable.

• Places requirements on grants.

• Creates a decertification process for TPAs.

2

What counties are impacted

by Act 18?

• Counties included in the previous section 1770.2: Blair, Cambria, Centre, Chester, Indiana, Lancaster, Lycoming,Mercer and York.

• Counties included in the previous section 1770.6: Armstrong, Beaver, Bedford, Bradford, Butler, Cameron, Carbon, Clarion, Clearfield, Clinton, Columbia, Crawford, Cumberland, Elk, Fayette, Forest, Franklin, Fulton, Greene, Huntingdon, Jefferson, Juniata,

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• Second class A counties moved to Section 1770.12 from Title 53: Bucks, Delaware and Montgomery

3 4

What does enabling an increase mean?

Currently, your county is capped at 3 percent maximum for local hotel taxes. Act 18 allows county commissioners to increase this tax via a resolution.

What if we don’t want to increase our tax?

You are not required to increase your tax or make any changes to the current use of your tax unless you are in violation of the new definitions and requirements of the law.

Pennsylvania Restaurant & Lodging matters

• SPRING/SUMMER 2016

What if I’m unhappy with the way the funds are currently being used but the county doesn’t want to make changes?

5 6

Contact the PRLA. We are here to help guide you through the process and facilitate a conversation with your county leadership, as needed, to ensure these funds are used appropriately.

What else is exempt from the local hotel occupancy tax?

• A charitable institution • Permanent residents • A college or university residence currently occupied by students enrolled in a degree program • An educational or religious institution camp or a registered camp • A hospital • A nursing home • Any part of a campground that is not a cabin

7

How are the funds collected and distributed?

Local hotel taxes are collected by the country treasurer. The treasurer then turns 96 percent of the funds over to the TPA. The county may keep four percent for processing.

What happens to the agreement with my county that it can keep a certain percentage to use for a grant program?

8 9

According to the law, all money needs to be given to the TPA and if the TPA feels that a certain percentage should go back to the county to be distributed as grants that directly benefit tourism, then the TPA may do so. The goal here is to ensure that the TPA is making the decisions that the funds are being used with the end goal in mind—putting heads in beds.

What are the definitions relating to the use of the tax?

• Marketing the area served by the agency as a leisure travel destination.

(Unchanged from previous law.)

• Marketing the area served by the agency as a business, convention, or meeting travel destination. (Combines two sections of previous law but unchanged.)

• Using all appropriate marketing tools to accomplish these purposes, including, but not limited to, advertising, publicity, publications, direct marketing, sales, technology and participation in industry trade shows that attract tourists or travelers to the area served by the agency.

(Slight change from previous law.)

• Programs, expenditures or grants that are directly and substantially related to tourism or a business, convention or meeting travel destination within the county augment and do not compete with private sector tourism or travel efforts and improve and expand the county as a destination market as deemed necessary by the recognized TPA. • Any other tourism or travel marketing or promotion program, expenditure or project that does not compete with private sector tourism or travel efforts as deemed necessary by the TPA.

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10 12 11 13 Are there any changes to what is considered taxable?

How can a county decertify a TPA?

Cabins on public or private campgrounds that are permanent structure with beds and running water are now considered taxable under the local hotel occupancy tax. No other part of a campground is taxable.

A county must pass a resolution decertifying a TPA. The resolution must be concurred in by resolutions of governing bodies of municipalities that exceed 65 percent of the population. The county must also hold a public hearing at least seven days before adopting a resolution to decertify a TPA.

What are the financial requirements of the TPA?

An audit or financial statement must be submitted to the county within 90 days of the end of the TPA’s fiscal year. If an audit or financial statement is not submitted, the county may take the hotel tax funds and place them in a special account until the financial statement is remitted. If an audit or financial statement is not submitted within 120 days, DCED may order the county to place the funds in a special account until the financial statement is submitted.

Who do I contact if I have additional questions about the law?

For additional questions, please contact: Melissa Bova, Director of Government Affairs, mbova@prla.org, 717-963-8371 direct, 717-599-1041 cell.

For the complete list of FAQs, please visit www.prla.org/Act18FAQs SPRING/SUMMER 2016

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Pennsylvania Restaurant & Lodging matters

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EDUCATION & training

Capitalize on millennial traits to gain business advantage Take notice of the next generation, and learn to “LIKE” them.

Listen, Include, get to Know, and Engage— to harness millennials’ best traits and leap ahead of competitors.

“Millennials present the greatest competitive advantage in our business,” says Kathleen Wood, founder of Suzy’s Swirl frozen desserts and Kathleen Wood Partners. Millennials, those born after 1980, represent a significant portion of the restaurant workforce. In an era of hightech transactions and strong demand for customer service and convenience, millennials can help older peers navigate the new business landscape.

Wood, who recently spoke at the NRA’s Human Resources Executive Study Group, suggests leaders use her LIKE model— Listen, Include, get to Know, and Engage— to harness millennials’ best traits and leap ahead of competitors. They’re incredibly loyal to the companies they love, so you use these tips to tap their potential.

Listen. Learn their language, Wood says. “Millennials are the most socially connected people we’ve ever met.”

They’re interested in social media and technology, and they love to share.

“As we move forward, the language of business will be social connectivity. This is what they speak. We’ve got to take this opportunity as leaders of this amazing workforce and really leverage them as our competitive advantage to keep ourselves, our businesses, and our future way ahead of the game.”

Include millennials in business discussions.

That allows them to see the big picture through the eyes of executives and leaders.

Senior leaders need to be more involved, too. Employees of all ages should learn how to better connect with one another.

Get to know employees by learning more about millennials. They think globally and crave authenticity and transparency.

If you understand what they want and expect, the whole team can benefit.

“Schedule time to connect on a noncrisis manner,” she suggests. “Reach out, recognize, and acknowledge.”

Engage millennials in everything from problem solving, to product development, to customer service. “When you start to 12 •

look at your new age resources, you really can start to look at your business in a profound way.”

Stop listening to the possible disasters of Facebook and Twitter, take social media for what it is, and unleash it for its possibilities.

Consider looking at business through the mobile lens millennials use. “How we train, how we connect, how we engage through the mobile lens—it really does make you think.”

“As leaders, we have so much to give, but we also have so much to get when we learn how to use all our powers together.

We also have an inherent responsibility to teach, coach and lead the next generation of leaders, just as the generation before us did. Potentially, our greatest legacy is to pave that path.”

Get comfortable being uncomfortable.

“There are going to be times we have to be uncomfortable with not always knowing the answer … It opens you to possibilities.”

Embrace the power millennials bring to the workplace with social connectivity.

Pennsylvania Restaurant & Lodging matters

• SPRING/SUMMER 2016

Originally published by the National Restaurant Association at www.restaurant. org/Manage-My-Restaurant

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legislator spotlight What made you run for the Senate?

A: I have always had a passion for public service and a desire to help people and build and improve communities. Growing up in McKeesport and witnessing its tremendous vitality before the steel industry collapsed, then living through the extraordinary difficulties in its aftermath gave me an appreciation for the heart, resilience and strength of the people of the Mon Valley region.

Senator Jim Brewster (D-Allegheny/ Westmoreland)

It is important that open lines of communication be maintained where accurate information can be exchanged about issues that are important to the [hospitality] industry.

Even as my professional responsibilities grew – eventually reaching the position of vice-president with Mellon Bank – I had a desire to give back.

My family and I were very involved in McKeesport and Mon Valley activities, in addition to the Democratic Party, so I sought election to office.

I served on council in McKeesport and became president after several years. In 2004, I was elected mayor.

As mayor, I learned that while there was a tremendous amount of work to do, there were also great opportunities. During my tenure as mayor, we stopped McKeesport’s economic decline and prevented it from going into “distress.” Simultaneously, we leveraged $27 million in state and federal funding and completed major local development projects.

When the Senate seat opened, I thought that I could continue to help individuals and communities, but on a much larger scale and with a substantially expanded array of issues.

As minority chair of the Senate Law and Justice Committee — what have been some of the things that you have learned/been surprised about?

A: As Democratic chair of the Senate Law and Justice Committee, I have learned a great deal about issues that are important to constituents, our business community and law enforcement.

It is critical know how our committee work has the potential to impact citizens on a daily basis.

As Democratic chair, I am fortunate that the Republican Chair of the committee works with me and approaches issues with thoughtfulness and balance. Sen. Chuck McIlhinny is willing to listen and provide a platform that enables opinions to be offered and considered fairly.

With a long history of dealing with liquor issues during in my career in public service before I was elected to the Senate and knowing firsthand how those issues influence business development, I was pleased to gain an in-depth understanding of possible policy changes from discussions with representatives of the hospitality industry, labor and others who are knowledgeable. In my effort to represent my constituents and develop the best policy possible, it is important to have accurate information.

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Pennsylvania Restaurant & Lodging matters

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What are some of the goals you have as Democratic chair of the Senate Law and Justice Committee?

A: I think it is important, as chair, to keep all members apprised of all relevant information about issues that are before, or may come to, the committee’s attention. In addition, it is important that the chair communicate openly with the Republican chair concerning issues and member priorities.

Given the high profile issues the committee has dealt with over the last couple years, it is important that all avenues of communication are available. As sponsor of the Senate Democratic liquor modernization legislation and a person who is very active in law enforcement issues, I also need to be an advocate for not only my priorities, but those of my Democratic members on the committee.

It seems that Harrisburg is in a constant state of gridlock lately, why do you think there isn’t ability to compromise anymore?

A: Unfortunately, some of the rancor and partisanship that we have seen for years in Washington seems to have come to Harrisburg.

In Pennsylvania, this is a product of more ideological members elected in gerrymandered partisan districts. Legislators are a reflection of their districts and the local politics. For many members, with the current partisan gerrymandered map in place, politics are attuned and lean to primary elections rather than general election contests in electorally-balanced districts.

When districts are more equitably drawn, members are not drawn to the extremes. What many fail to understand is that no one wins when there is partisan gridlock. Our citizens want progress and accomplishment, not a recurring political fight on every issue. Compromise is a way to find common ground even on the most difficult issues. Leaders who forge solutions should not be penalized in elections for trying to accomplish policy change by negotiating.

What many observers fail to realize is that the vast majority of bills considered on the Senate floor are unanimous or near unanimous votes and have a wide range of support. This proves that under the surface, there is wide agreement by both sides on a slew of issues. This presents a framework for bipartisan work on key issues.

What are some of the other goals you have legislatively over the next couple of years?

A: Beyond issues considered by the Law and Justice Committee, I have a well-developed

legislative agenda. This starts with my proposal to implement a responsible Marcellus Shale extraction tax. My plan would give drillers credit for their current Act 13 fee; continue the impact payments to local governments while using the remainder to support education.

My “Extraction for Education” plan is reasonable, responsible and would protect the competitiveness of Pennsylvania’s emerging gas drilling industry.

As a leader in education, I believe Pennsylvania needs to overhaul the process it uses to establish charter schools. I have been very involved in fighting the relatively arbitrary approval process through the state’s charter appeal board when our local school districts reject a charter application. If local school districts are helping foot the bill, they should have a say in determining the extent of charter infiltration within the bounds of the district.

In support of our steel industry, steelworkers and American products, I am doing what I can to combat foreign steel dumping while adding safety protections for communities. I have sponsored legislation to ensure that the steel used in drilling wells and related safety equipment is produced in the United States. To

increase transparency about the steel used in shale drilling, my proposal calls for establishing an interactive website that can track the country of origin of the steel that is being used in wells.

As a strong proponent of law enforcement, I am also very interested in the expanded use of body cameras for police officers.

I think they are important tools for law enforcement and believe there is an effective means to employ them in a police officer’s daily routine. In addition to these measures, I have sponsored legislation to eliminate blight in small cities, improve housing stock and rebuild local communities. As a means to improve government transparency and accountability, I have sponsored a series of government reform measures designed to tighten up laws related to expenses, automobile leasing and gifts.

If you could change anything in Harrisburg, what would it be?

A: I think a significant issue is the growing sense that Harrisburg is unable to get work finished on time and with a purpose.

We also need to return our focus on the needs of working men and women

and pursue agenda that is equitable, balanced and targeted to address key concerns of families. Job creation, fair funding for schools, improving health care and repairing the social safety net is critical. I think we really do need to turn aside the partisanship that resulted from the gerrymandering that occurred during the last reapportionment. Drawing a new, equitable map that preserves communities-of-interest, respects municipal bounds, and ensures compact and contiguous districts without political contortion would go a long way toward restoring balanced lawmaking and effective government.

What can the hospitality industry do to become more engaged with their legislators?

A: It is important that open lines of communication be maintained where accurate information can be exchanged about issues that are important to the industry. More visits to legislators in their offices, member contacts at social and community events plus literature supporting a particular argument helps members of the General Assembly better understand issues.

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LEGAL DOCKET

Keith A. Clark, Esquire and Kenneth J. McDermott, Esquire SHUMAKER WILLIAMS, P.C. General Counsel, Pennsylvania Restaurant & Lodging Association

ask

The Attorney

ADA Compliance for Websites We recently had a request to update our prior advice with respect to the issue of whether a website is a “place of public accommodation” and, therefore, required to comply with the Americans with Disabilities Act (the “Act”)?

Unfortunately, this is one of those legal issues that involves diverse decisions among the Federal Circuit Courts and a high dependency upon individual facts and circumstances, resulting in no decisive, generally applicable answer. To make the matter even murkier, despite the Act being law since 1990, and e-commerce being a major industry since the late 1990s, the Department of Justice does not anticipate it will issue any regulations related to how websites are to comply with the Act until 2018. The Department of Justice has indicated that the ADA applies to websites, but has repeatedly delayed promulgating rules governing the same.

The Act was written before the widespread adoption of the internet. As a result, it did not contemplate or discuss its application to websites. Consequently, it has been left to the courts to determine how to apply the Act to internet interstate commerce. Unfortunately, there is a split among the federal courts on this issue, with some Circuits holding that a website must comply with the Act, while others hold there must be a nexus between the alleged discrimination and a physical location.

Keith A. Clark

The Third Circuit, which includes jurisdiction over the Commonwealth of Pennsylvania, is one of the Circuits that, to date, requires a nexus to an actual, physical location. In Ford v. ScheringPlough Corp., (1998), the Third Circuit held that an individual’s communication with an insurance company via a website had no direct nexus to any actual physical location and, accordingly, was not subject to the Americans with Disabilities Act. The Sixth, Ninth, and Eleventh circuits also require a connection to a physical location.

The requirement that the alleged discrimination relate to a physical location generally means that these Circuit Courts have generally held the Act does not apply to websites; however, it may be possible for a claimant to prove a sufficient nexus exists between a website and a physical location to bring it within the Act. In National Federation for the Blind v. Target, Inc., (2006), the Federal District Court for the Northern District of California found that there was enough of a nexus between use of website services and services provided at actual brick-and-mortar stores to be considered “places of accommodation.”

Kenneth J. McDermott

In summary, based upon current case law within the Third Circuit, a Pennsylvaniabased business can defeat a claim that its website is not ADA-compliant if the claimant cannot prove a physical nexus between the website and a physical property. However, depending upon specific facts and circumstances, a plaintiff may be able to satisfy the requirement that the alleged website discrimination is connected to a physical location.

Furthermore, to the extent a plaintiff can achieve proper venue in a Court outside of Pennsylvania that does not require a nexus with a physical location (e.g., California Federal District Courts), a business may not be successful in defending a claim under the Act regarding its website.

If you have any questions concerning this or other legal issues, please contact Keith A. Clark (717-909-1612) or Kenneth J. McDermott (717-909-1624) at Shumaker Williams, P.C., PRLA’s General Counsel.

It remains an open question whether a case involving the use of a website to service a physical restaurant, hotel or attraction location for the purpose of providing take-out menus, reservations, etc. involves facts sufficient to find that there is a connection to a physical location.

SPRING/SUMMER 2016

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Pennsylvania Restaurant & Lodging matters

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WELCOME new members Restaurant Members

Culture Restaurant

Little Lion

Amada Philadelphia

Pittsburgh

Philadelphia

Distrito

Lyndon Diner

Philadelphia

York

DJ’s Taste of the 50’s

Lyndon Diner

Lancaster

Lancaster

Duke’s Hershey

Mac’s Route 8 Cafe

Hershey

Butler

Eggs N’at

Mad Chef Craft Brewing

Moon Township

East Petersburg

Fraternal Order of Eagles 1299

Manayunk Brewery & Restaurant

Carlisle

Philadelphia

Garces Catering Events at The Kimmel

Mario’s Dockside Grille

Philadelphia

Mario’s Woodfired Pizzeria

Armstrong’s Restaurant Bridgeville

Armstrong’s Restaurant Pittsburgh

Armstrong’s Restaurant Coraopolis

Aurora Huts LLC Wexford

Back Door Tavern New Brighton

Bacon, Bourbon & Beer Washington

Barney’s Bar & Grill Aliquippa

BaRuni’s Hotel & Grille on Duss Baden

Blue & Gray Bar and Grill Gettysburg

Bogey Macaws York

Bonefish Grill King Of Prussia

Bonefish Grill McCandless

Buenda Onda Philadelphia

Buford’s Kitchen Downtown Pittsburgh Pittsburgh

Buford’s Kitchen Moon Township Moon Township

Burgerz and Dogz South Park

Cafe Di Vetro Lancaster

Carmody’s Grill Pittsburgh

City Works King Of Prussia

Copabanana Philadelphia

Copperhead Grille Bethlehem

Crowe’s Traveling Cusine York

Cucina Catering LLC Reading

18 •

Pennsylvania Restaurant & Lodging matters

Garces Events Philadelphia

Garces Group Philadelphia

Garces Trading Company Philadelphia

Garlic Poet Restaurant & Bar New Cumberland

Grain Allentown

Gramia’s Bar & Restaurant Boyertown

Guerrilla Canteen Hershey

Hayloft Restaurant Milroy

Hill House Restaurant New Castle

Hooter’s Saint Louis, MO

Hooter’s Glen Mills

Hooter’s King Of Prussia

Hooter’s Philadelphia

Jaymee Lee’s Diner LLC Newville

Jet Wine Bar Philadelphia

JG Domestic Philadelphia

Kendrew’s Lounge Aliquippa

Little Johnny’s II New Castle • SPRING/SUMMER 2016

Beaver Beaver

Mercer Café @ The Navy Yard Philadelphia

Miscreation Brewing Company Hanover

Nahla’s Restaurant New Castle

Northeast Dairy Queen North East

P.F. Chang’s China Bistro Scottsdale, AZ

P.S. & Co. Philadelphia

Palazzo 1837 Ristorante Washington

Papa Dukes Bar & Grill Aliquippa

Papa Duke’s Paris Grill Aliquippa

Papa J’s Ristorante Carnegie

Pine Avenue Dairy Queen Erie

Popped Culture Harrisburg

President’s Pub Washington

Rex 1516 Philadelphia

Roadside Ribs and BBQ Jersey Shore

Rolling Acres Golf Course Beaver Falls

Rosa Blanca At Dilworth Philadelphia

Roxy’s Chatter Box Cafe Hummelstown

Sara’s Restaurant Erie

Lodging Members

Management Company

Comfort Suites

MTM Restaurant Group

DuBois

Warrendale

Country Living Inn Lancaster

Allied Members

Inn at Pocono Manor

Balfurd Linen Service

Pocono Manor

Tipton

The Mill Stone Manor

DiningDATA

Huntingdon

Chicago, IL

Hilton Garden Inn Pittsburgh Airport/Robinson Twp.

Empirical Consulting Solutions LLC

Pittsburgh

King of Prussia

Quality Inn Milesburg

Fisher & Phillips LLP

Milesburg

Radnor

Lititz

Holiday Inn Express Pittsburgh Airport

Ketrow Insurance

The Bayou

Pittsburgh

Bethlehem

Sheraton Society Hill

Kline’s Services Inc.

The Canton Chatterbox Restaurant

Philadelphia

Canton

Philadelphia

Sea Shell Bar & Grill Coraopolis

Shulligans Bar & Grill Aliquippa

Sip N Glo Philadelphia

Southpointe Golf Club Canonsburg

Starwood Rib & Steakhouse New Castle

Sugar Whipped Bakery

The Hamilton Kitchen & Bar

Labrador Inc. Harrisburg

Allentown

The Olde Bar

King of Prussia

Philadelphia

Heritage Hotel Lancaster

The Split Rail

Lancaster

West Chester

SpringHill Suites Pittsburgh Latrobe

Philadelphia

Towne Square Restaurant Vic’s Oven

DelGrosso’s Amusement Park

Philadelphia

Volver Philadelphia

Waffles INCaffeinated Beaver

Waffles INCaffeinated Pittsburgh

Wings, Suds & Spuds Moon Township

Zero Day Brewing Company Harrisburg

Philadelphia

New Heritage Insurance Agency Columbia

Patrice & Associates Harmony

Post & Schell PC Philadelphia

The Regis Group Inc.

Other Hospitality

Village Whiskey

Marsh McClennan USA

Latrobe

Beaver Beaver

Ambler

The Logan Hotel Holiday Inn Express King of Prussia

Tinto

Duncansville

Pittsburgh

True Associates Westfield

Tipton

Valley Proteins

Altland House Of Abbottstown Inc.

Valley Proteins

Mechanicsburg

Abbottstown

East Pittsburgh

Bedford County Conference & Visitors Bureau

Valley Proteins

Bedford

VLK Consulting Group

Greater Reading Convention and Visitors Bureau

Harleysville

Hatboro

Reading

Where & When, Pennsylvania’s Travel Guide Mount Joy

Lebanon Valley Destination Marketing Organization Lebanon

Australian Walkabout Inn Lancaster

SPRING/SUMMER 2016

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Pennsylvania Restaurant & Lodging matters

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2016 Upcoming Classes JULY

AUGUST

SEPTEMBER

OCTOBER

7/11 Wilkes-Barre

8/1

Reading

9/12 Erie

10/3 Bethlehem

7/11 Williamsport

8/1

State College

9/12 Wilkes-Barre

10/3 State College

7/18 Langhorne

8/8

Greensburg

9/26 Harrisburg

10/17 Downingtown

7/18 Monroeville

8/8

York

9/26 Monroeville

10/24 Bedford

7/25 Harrisburg

8/15 Grove City

9/26 Philadelphia

10/24 Butler

8/15 Philadelphia 8/29 Lancaster

10/24 Lancaster

GIVIN G BA PRLA CK ServS a are re invest fe profits ed i educa tion, o n industry utreac advoc h and acy p rogra Suppo m s. rt you r indu stry.

REGISTER prla.org/servsafe (800) 345-5353

8/29 Washington 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. All classes are a one-day course with proctored exam.

Textbook and lunch included. Classes start at 8 a.m., with exams starting at 3:30 p.m.

Group discounts for the one-day class are available when registering three or more students. Home study and online courses are available. Check prla.org for pricing. Retesting is available for $60. Corporate classes at your location for groups of 15 or more.

MEMBER MILESTONES BRANDYWINE CHAPTER

On May 11, the Brandywine Chapter hosted a Human Resources Panel. Panelists discussed unemployment compensation and PA Labor Laws, overtime v. salary and upcoming changes to exemptions and FLSA Laws, Family and Medical Leave (FMLA).

Thank you to panelists Betsy Benner, HR Manager at Victory Brewing, Jill Fisher, Esq., of Empirical Consulting and Magda Monicrief, HR Manager at Iron Hill Brewery for leading the conversation on these important topics.

CENTRAL CHAPTER

Two students from the Lebanon County Career and Technology Center Pastry Art Program recently placed Gold and Silver at the Pennsylvania SkillsUSA State Competition held at the Hershey Lodge in April. Sydnee Wolfe won a Gold Medal and Wilson Lopez won a Silver Medal in the Commercial Baking Competition. Sydnee will compete at SkillsUSA National Competition in Louisville, KY on June 22. SkillsUSA is the largest student organization in the world devoted to all industry trades.

Wilson Lopez (l) and Sydnee Wolfe placed Silver and Gold respectively at the Pennsylvania SkillsUSA State Competition in the Commericial Baking Competition.

LANCASTER CHAPTER

Good ‘N Plenty Restaurant was proud to host a breakfast for the community in honor of the 2016 National Day of Prayer. This year’s theme, Wake Up America, emphasized the need for people both personally and professionally to turn to God. The 55 people in attendance enjoyed a continental breakfast complete with scrumptious items from the restaurant’s in-house bakery.

Pastor Phil Good from Mill Creek Church facilitated the morning’s agenda. Speakers included local government officials, military and education personnel, media and church representatives, business owners and heads of families.

LEHIGH VALLEY CHAPTER

Detzi’s Tavern in Wind Gap was the setting for the Lehigh Valley Chapter’s Cigar Night fundraiser—Suds, Smoke, Savor. Chapter members and their guests enjoyed craft beer samples, wonderful food and, of course, cigars. The event raised funds for the PRLA Education Foundation. Thank you Jeff Detzi for hosting the event and to events planning committee for a terrific evening. Next up is the June 28 Chapter Baseball Night.

NORTHWESTERN CHAPTER

KEYSTONE CHAPTER

C.A. Curtze Company hosted the Northwestern Chapter’s June 7 meeting at its headquarters in Erie.

Congressman Glenn Thompson (R-PA 5th District) visited the Keystone Chapter meeting at Mountain View Country Club.

SPRING/SUMMER 2016

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Pennsylvania Restaurant & Lodging matters

• 21

Members Milestones continued PHILADELPHIA CHAPTER

More than 50 hospitality industry professionals boarded doubledecker buses for a “Philly by Night” tour at the most recent Women in Hospitality-Philadelphia event. The fully narrated tour included a stop at the Philadelphia Art Museum so guests could climb the famous Rocky Steps as well as a stop to take photos of the city skyline under the stars. A pre-tour reception hosted by the Philadelphia Marriott Downtown gave everyone time to network and enjoy delicious appetizers and cocktails.

Congratulations to Chapter President Ben Fileccia who will join Reserve Philly as its new general manager. Ben has been the general manager for Sbraga Dining for four years.

Western Chapter

In addition, Fairmont Pittsburgh co-workers celebrated Earth Day by planting trees along the North Shore Trail with the Western Pennsylvania Conservancy, Tree Pittsburgh and Friends of the Riverfront.

Congratulations are also in order for Monterey Bay Fish Grotto which recently won the Delicious Design 2016 award from Pittsburgh Magazine. The annual award highlights restaurants with beautifully designed dining spaces.

Congratulations to the Fairmont Pittsburgh which was named one of the 10 Best Hotels in the U.S. to Experience Major League Baseball in 2016 by Travel Pulse.com. The hotel was described as having “gorgeous views of one of the best ballparks in America.”

More news at the Fairmont—General Manager Matthew Sterne announced that Meghan Earnshaw joined the hotel as director of operations. Most recently, Meghan was director of rooms at the Fairmont Chicago.

Providing DIRECTV™ for Hotels

www.justv.tv

724.825.4865

leggert@satcomdn.com 22 •

Pennsylvania Restaurant & Lodging matters

• SPRING/SUMMER 2016

Western Chapter Vice President Pete Landis will open a new concept in Lawrenceville. The Roasted Barrelhouse and Eatery will be located in an upgraded 19th century-era commercial building and will feature a menu of slow roasted and smoked meats and vegetables. The restaurant will also showcase local beers along with wines and cocktails. It is expected to open in May. The Church Brew Works is celebrating 20 years this year— congratulations and here’s to many more!

Have something noteworthy to share? Email gmcbride@prla.org with “Member Milestones” in the subject line to be included in the next issue.

19th Annual PRLA GOLF CLASSIC WEST Monday, September 26 Fox Chapel Golf Club www.prla.org/golfwest

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