Restaurant & Lodging - Spring 2024

CREATIVE COST CONTROLS

Finding Ways to Lower Prime Costs

ADVOCACY UPDATE: Short Session, Local & National Issues

Industry Champions: Members Heard on Capitol Hill

Making Waves in the Oregon Coast Hospitality Sector

Bonnie Morales and Israel Morales, Kachka, Portland PHOTO COURTESY OF KACHKA, BY AJ MEEKER

You have the power to reduce food waste and improve your bottom line.

Oregon’s love of food runs deep. The evidence is all around us – in restaurants, cafes and hotels that pride themselves on high-quality, fresh ingredients. But to truly cherish food, we have a responsibility to stop wasting it.

Food production and preparation require tremendous resources including farmland, clean water and air, labor and energy. Yet millions of tons of food is wasted each year.

As food professionals, you have the power to eliminate significant amounts of waste. You can order just the right amount, use it from tip to tail and root to leaf, show your colleagues and your customers what’s possible – and delicious. If you find yourself with surplus food, donation may be an option. And be sure to compost the scraps.

Reducing food waste protects Oregon’s natural resources for future generations and can help your bottom line. Visit FoodWasteStopsWithMe.org for food waste prevention resources and request free assistance from a food waste reduction specialist.

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four times a year by Oregon Restaurant & Lodging Association (ORLA), 8565 SW Salish Lane, Suite 120, Wilsonville, Oregon, 97070 503.682.4422

learn

about ORLA visit us online at OregonRLA.org

PUBLISHER

JASON BRANDT / PRESIDENT & CEO JBrandt@OregonRLA.org

LORI LITTLE / EDITOR LLittle@OregonRLA.org

HEIDI JANKE / DESIGN HJanke@OregonRLA.org

MEMBERSHIP

To become a member of the Oregon Restaurant & Lodging Association, please contact us at info@OregonRLA.org or 503.682.4422.

ADVERTISING

Please support the advertisers herein; they have made this publication possible. For information on advertising opportunities, please contact ORLA:

MARLA McCOLLY

Director of Business Development at 503.428.8694 or MMcColly@OregonRLA.org

SUBSCRIPTIONS

To update your digital and print subscriptions to this publication and all ORLA communications visit OregonRLA.org.

2023-24 ORLA BOARD OF DIRECTORS

Shannon McMenamin, Chair, McMenamins

Patrick Nofield, Vice Chair, Escape Lodging

Komal (Tina) Patel, Treasurer ALKO Hotels

Katie Poppe, Secretary, Blue Star Donuts Harish Patel, Immediate Past Chair, Florencein, Inc.

Marin Arreola III, Advanced Economic Solutions (AES) Inc.

Jolee Bancroft, Mo's Restaurants

Terry Bichsel, Rivertide Suites Hotel

Joe Buck, Babica Hen / Lola's / Gubanc's

Liz Dahlager, Mereté Hotel Management

Gillian Duff, El Gaucho Portland

Gordon Feighner, Jam on Hawthorne

Kevin Filipello, Bandon Dunes Golf Resort

Justin Freeman, Bagel Sphere

Cheri Helt, Zydeco Kitchen & Cocktails

Kurt Huffman, ChefStable

Alkesh Patel, Evergreen Hospitality Development Group

George Schweitzer, The Benson Hotel

Natalie Sheild, Togather Restaurant Consulting

Jim Smith, Mountain Mike's Pizza, Cascades Coffee House

Rick Takach, Vesta Hospitality

Jake Vanderveen, McDonald Wholesale Co.

Scott Youngblood, CASCADA

Dhruti Amin, Ex Officio Board Member, ALKO Hotels

Punky's Diner and Pies, Medford

SPRING 2024

Controlling Costs

PHOTO COURTESY OF CONNIE RONDA

A kitchen fire, lawsuit, or workplace injury can dent your bottom line if you don’t have the right insurance in place.

That’s why ORLA offers a free annual insurance review to every member.

And it’s why we launched the Hospitality Insurance Program (HIP) in collaboration with the Risk Strategies Fournier Group. You gain the benefit of ORLA’s purchasing power, plus insurance tailored to your business.

Find out if you have coverage gaps. Schedule your free review today.

Call or email to schedule:

FROM THE CEO

Making Waves in the Oregon Coast Hospitality Sector with New DOL Grant

The Oregon Hospitality Foundation recently launched a significant workforce development project along Oregon’s coastline. As part of the team leading the efforts, ORLA Workforce Development Coordinator Ella Sturdevant does an excellent job defining the scope of the project in this editorial.

To many, the Oregon Coast is their family's favorite place to build a sandcastle, the place they go to enjoy a fresh seafood meal, the place that whisks them away from the stress of everyday life for a night or two. The Oregon coast is a beautiful and diverse vacation destination, but it cannot be all these things without hospitality workers. A seafood meal can't exist without the chefs who cooked it or the wait staff who served it. An overnight getaway can't exist without a front desk attendant to greet guests or the housekeeping staff to ensure their room is clean and comfortable. By 2031, the Oregon Coast is projected to generate nearly 40,000 jobs. However, despite its crucial importance to regional economic prosperity, there currently lacks an industry sector partnership dedicated to effectively gathering, evaluating, and supporting both coastal workers and businesses.

In partnership with the Oregon Coast Visitors Association, Northwest Oregon Works, Southwestern Oregon Workforce Investment Board, and Lane Workforce Partnership, ORLA and the Oregon Hospitality Foundation are rising to answer this call. As a collective, they created a collaborative project with stakeholders to analyze, research, and recommend strategies for strengthening the Oregon Coast's vital hospitality sector. The final product of these efforts will take the form of a white paper report. The Oregon Department of Labor (DOL) has recognized the importance of this partnership by awarding the project federal grant funding with the potential for further implementation awards.

The big questions that will drive this research are: What does the Oregon Coast need to have an optimized and healthy hospitality sector? What can coastal hospitality leaders and managers do to improve workforce outcomes for their businesses and communities?

The proposed white paper will provide an answer to these questions by first defining the current state of the Oregon coastal hospitality sector. Through anonymous focus groups and surveys, the voices of hospitality employees will paint a qualitative snapshot of the region. All research materials will be heavily informed by the US Department of Labor's Good Jobs Principles: Recruitment and Hiring, Benefits, DEIA (Diversity, Equity, Inclusion, and Accessibility), Empowerment and Representation, Job Security and Working Conditions, Organizational Culture, Pay, Skills and Career Advancement.

The focus of these surveys will be understanding the experience and barriers to employment for rural communities, unemployed/underemployed adults (including Able-Bodied Adults without Dependent Children), youth (age 17 and over), immigrants, BIPOC residents, and returning citizens. This qualitative data will pair with quantitative wage reports, employment statistics, and seasonal tourism levels to complete the picture. A compiled analysis of the data will then illuminate both shortfalls and efficiencies in the fabric of the sector. To establish a path forward, hospitality career and educational networks will be identified to anticipate and create the capacity to serve industry needs for quality candidates.

In its beginning phase, the workforce partnership is off to a strong start by appointing a highly qualified sector strategist to spearhead project oversight. Rebecca Donley, a current Oregon Coast community member, has stepped up to the plate with a wealth of industry experience on her resume. Before joining the OHF team, Rebecca played a pivotal role in various hotel operations, contributing to the establishment of new departments and outlets, and enhancing existing ones. As she adapts to her new position, she will be seeking collaboration from both employers and employees for her year-long investigation.

Looking to the future, ORLA members can expect to gain valuable insights from the work of Rebecca and the partnership. The creation of this white paper will not only provide coastal operators with the opportunity to learn best practices from their peers but also the opportunity to benchmark their business(s) within the scope of their entire industry sector.

With the growing demand for coastal hospitality labor, strides need to be made toward a more sustainable labor force. Now, with the support of the partnership and the DOL, OHF can continue these efforts in our coastal communities. However, this project cannot succeed without the ongoing participation of industry stakeholders. From chefs to wait staff, from front desk clerks to housekeeping staff, we need the perspectives of all kinds of hospitality employees across the sector. Not only that, but we also require the ultimate support of operators to empower their staff members to engage in this work. With the commitment of all, we have the potential to find a path forward that will benefit all.

Interested in having the voice of your organization heard? Contact Rebecca Donley at RDonley@oregonrla.org.  ELLA

STURDEVANT, WORKFORCE DEVELOPMENT COORDINATOR, ORLA

ADVOCACY UPDATE

Short Session News, Local & National Engagements

Legislative Session Update

As of this writing, the 2024 Legislative Session is more than halfway through and showing signs there will be passage of bills related to housing, mental health and addiction, and changes to the Paid Family and Medical Leave Act related to scheduling. In addition, help for operators applying for an OLCC Service Permit is likely coming as is funding to help attract more youth sporting events to Oregon.

SB 1537 is Governor Kotek’s housing bill and is designed to help alleviate Oregon’s housing crisis by freeing up land for cities to expand the Urban Growth Boundary (UGB) as well as provide funding for infrastructure. The Governor is hoping to build 36,000 housing units per year, up from around 22,000 per year that are being built. The Legislature has already amended the bill, reducing the requested funds from $500 million to $350 million.

SB 1539 is asking for $1.5 million to provide grants to local government bodies to attract youth sporting events. The grants would be administered through Sport Oregon and are intended to bring more events to the state to boost tourism and economic conditions.

HB 4138 allows the OLCC to issue a temporary service permit to an applicant for a service permit allowing them to operate until the service permit is approved. The bill applies to breweries, wineries, cideries and any establishment wishing to serve alcohol on-premises for consumption.

For a complete list of the bills ORLA is tracking and the most recent information, please visit OregonRLA.org/legislativeframework.

Update on Paid Leave Oregon

Oregon employers and employees began paying in to Paid Leave Oregon on January 1, 2023. Benefits to employees were available starting September 3, 2023. Since then, more than 28,000 applications have been processed, about 80 percent of the total applications received.

Some employees have reported delays in receiving benefits and have had to deal with fraudulent claims being made in their name, further slowing the process.

With House Bill 4035, the Oregon Employment Department has asked to reallocate some of the Unemployment Insurance Trust Fund dollars to staffing to help alleviate the issues. The reallocation would not impact employers’ rates or the solvency of the fund.

Paid Leave Oregon offers Oregon employees up to 12 weeks of paid leave for family, medical or safe leave. The program was created in 2019 through House Bill 2005. Oregon became one of only 11 states to offer paid family and medical leave.

As of the end of the year, the program has paid out over $104 million in benefits since payments began to go out in September.

Grants Pass Meals Tax Status

On February 21, 2024, Grants Pass City Council voted 5-3 against adopting the proposed food and beverage tax ordinance, however, it may still appear on the ballot for a future vote.

Operators in Grants Pass showed up in droves with signs and buttons, as well as to testify against meals tax.

Back in January of this year, the Council had agreed to proceed with a sales tax paired with a utility fee, and despite being asked to send it to voters, they appeared ready to pass this at the Council level without going to the vote of the people.

Restaurants showed up in force with ORLA to testify at the February meeting, proving we are all willing to do what it takes to protect our industry. We were able to demonstrate the strength of our local

restaurant hospitality community by showing up in large numbers, well organized, and with professionally designed signs and buttons.

We heard from City Council that due to the “educated and organized” voice of our industry along with the commitment by ORLA to file a referendum if they passed this without the vote of their constituents, they decided to not pass the sales tax on meals at the Council level.

National Hill Runner Program

Earlier this year, ORLA, in partnership with the National Restaurant Association, helped activate several industry leaders to serve as “hill runners” to support industry advocacy efforts in Washington, D.C. Hill Runners are members who are dedicated to working with Oregon’s Congressional delegation on important federal issues, helping to educate them on how legislation impacts our industry, and serving as a resource for our elected leaders.

ORLA is proud to announce the following members as part of the National Hill Runner Program:

• Barbara Sidway

Geiser Grand Hotel and Restaurant

• Emma Dye

Crisp Salads

• Jerry Scott

Elmer’s Restaurants, Inc. and Egg ‘n Joe

• Jim Smith

Mountain Man Pizza and Cascades Coffee House

• Justin Freeman Bagel Sphere

• Treva Gambs

Gamberetti’s, Markum Inn and G3 Pizzas & Burgers

FAQ: Non-Prescription Drug Sales

Recently, a hotelier reached out to ORLA with a question about the legality of selling aspirin to guests at the gift shop or the front desk, and if there was some license needed to do so.

The answer: Yes. Oregon law requires any outlet selling medications to the public to be registered with the Oregon Board of Pharmacy. Outlets selling only over-the-counter (OTC) medications to the public are required to register as a Class A Non-Prescription Drug Outlet.

What is a Nonprescription Drug Outlet?

A Nonprescription Drug Outlet is any outlet that sells over-thecounter non-prescription medication to the public. This includes stores, gas stations, hotels, gift shops, taverns and other outlets offering over-the-counter medications for sale.

What is an Over-the Counter Medication?

According to the FDA over-the-counter drugs are:

• Drugs that do not require a prescription

• Regulated by the FDA

• Purchased off the shelf in stores

You may sell over-the-counter FDA approved medications that do not require a prescription. Here are a few examples of the over-thecounter medications you can sell:

• Aspirin

• Ibuprofen

• Nyquil

• Rolaids

• Tylenol

• Pepto Bismol

• Theraflu

• Nasal Spray

When does the Nonprescription Drug Outlet Registration Expire?

Nonprescription Drug Outlet Registrations expire January 31, annually. The renewal fee is $75 if the registration is renewed prior to January 1 of that year. The renewal notification will be mailed in November of each year.

More information can also be found in the brochure from the Oregon Board of Pharmacy at: Oregon.gov/Pharmacy/Documents/ NonPrescriptionDrugOutletBrochure.pdf.

Payment Card Settlement

The Payment Card Settlement is the biggest antitrust class-action settlement in history and sets aside about six billion dollars for millions of U.S. merchants who for years paid artificially inflated Visa and Mastercard interchange fees. If your restaurant accepted

Visa and/or Mastercard at any time between January 1, 2004, to January 25, 2019, then you are likely a member of the class settlement and entitled to a share of the settlement.

The deadline to submit a claim either through the physical mailer or online is May 31, 2024. Visit PaymentCardSettlement.com to submit a claim. The process is designed to take only 5-15 minutes and the portal will autofill most information when submitting the individual’s “Claimant ID” and “Control Number” found in the claim letter or by submitting the business’s Tax ID, if the claim letter is not available.

Member Resource: New Tip Pooling Guidance

Given the complexities of tip pooling and the heightened attention on this issue by the restaurant industry, ORLA responded by creating a new resource for operators to assist with steps to take when the Department of Labor (DOL) shows up unannounced at your place of business. ORLA worked with our friends at Jordan Ramis to produce this step by step basic guide. Members can access the Tip Pooling Guidance document along with additional resources on this topic by logging in to the Member Portal of ORLA’s website at OregonRLA.org

If you have any questions on ORLA’s advocacy efforts, or wish to get more involved, please contact me at Astley@OregonRLA.org.



GREG ASTLEY, ORLA

OREGON’S WINNING VIDEO LOTTERY FORMULA

Prioritizing Efficient and Effective VLT Operations

In 2023, Oregon Lottery began a new approach to how Video Lottery Terminals (VLTs) were managed across the state. Early results point to positive returns for Lottery and for retailers.

“The pandemic disrupted our operating model and challenged us to look at how we could create a more sustainable long-term strategy, particularly around how we invest in and manage equipment,” said Lyndsey Peterson, Oregon Lottery’s manager of gaming products. “We needed an approach that was consistent, flexible, and data driven.”

One of Lottery’s priorities was developing a new funding and management model for its Video Lottery terminals. In the past, budgets and priorities for modernizing equipment were variable. Oregon Lottery has been working to replace older VLTs with new models each year, but it can’t be done all at once.

“We now have a defined budget each year to keep the product modern and

sustainable, with around 1,000 to 1,100 new machines being purchased and phased in every year,” she said.

With this ongoing investment in new equipment and nearly 11,000 VLTs deployed at retailers across Oregon, it is critical for Lottery to be vigilant in efficiently and effectively managing the machines.

“We’re trying to optimize the overall number and placement of the machines in our fleet,” said Peterson. “We want to ensure that we provide retailers with the right number of VLTs to meet player demand, while also managing Lottery’s investment dollars and supporting responsible gaming.”

This meant looking differently at the variables that drive revenue performance and redefining the criteria for retailers to add and retain VLTs. One of those was assessing how heavily a machine was being used day to day at existing retailers.

“When we review performance, we are looking at who has the greatest need,” said Spencer Haley, Oregon Lottery’s operational excellence manager. “We look at everyone and whoever is at the top, we approach them about adding Video Lottery machines.”

One of those retailers enjoying strong sales is Flespy’s Bar & Grill in Grants Pass. Coowner Ryan Fleming said he opened the bar in 2019 and likes to think of the space as a neighborhood hub for entertainment, with karaoke, a pool table, and late-night food being some of the features that complement their Video Lottery machines.

“We made the Video Lottery area a cozy room that’s clean,” he said. “It’s separate from the bar, and people don’t feel like they are being watched. It’s a space I would like to be in if I was playing.”

Flespy’s started with three machines, which is standard for all new retailers, and quickly earned a fourth machine a year later. Having demonstrated consistent sales, the bar earned its fifth VLT this spring.

Oregon Video Lottery Player Demographics:

• Between 25 and 54 years old

• Have completed some college or technical school

• Have household incomes of less than $100,000

• 57% male and 43% female

Average Video Lottery Revenue Per VLT:

• $108,599 in Video Lottery net revenue per terminal per year

o $9,050 in Video Lottery net revenue per terminal per month

o $298 in Video Lottery net revenue per terminal per day

(Note: Net revenue is the amount of money that is received from the operation of Video Lottery games after the payment of prizes but prior to any other payment.)

Average Video Lottery Commissions Per Retailer:

During 2023, Video Lottery retailer commissions totaled over $270 million. Across the average 2,054 active retailers, this translates to:

• Approximately $132,000 in Video Lottery commissions per retailer per year

o $11,000 in Video Lottery commissions per retailer per month

o $361 in Video Lottery commissions per retailer per day.

“We see more Video Lottery activity when we have specials in the bar that drive business,” said Fleming of their popular “Taco Tuesday” promotion or karaoke nights offered four times a week.

The waitlist for new Video Lottery retailers once stood at over 350 interested applicants following a pause that resulted from the pandemic. After processing dozens of applications, the waitlist is likely to be cleared by the summer. Oregon Lottery continues to process those applicants as inventory and resources allow. Currently, there is inventory to offer machines to both new retailers and existing retailers who are eligible based on their sales performance. New locations and terminal additions are reviewed on a quarterly basis.

Retailers can talk with their Lottery account manager at any time to review sales data. Haley said this approach in relying on more data allows Oregon Lottery to manage equipment budgets and offer a better product to retailers.

“Our new approach allows us to plan for the next decade and look forward more than we’ve ever done before,” he said.  OREGON LOTTERY

INDUSTRY CHAMPIONS

How

an Oregon ‘Pancake Salesman’ Gets Heard on Capitol Hill

Your involvement makes a difference no matter what size business you operate. As Oregon restaurant and lodging owners and operators, you have tremendous stories to tell and experiences to share. The bills and laws elected officials consider at the local, state, and federal level can have a huge impact on your business, which is why they need to hear directly from you.

Recently, one of our members traveled from Oregon to Washington, D.C. to tell his story on how crime impacts Main Street businesses. This is just one example of numerous times industry operators have stepped up to share their voice and educate policymakers on issues that affect hospitality businesses.

Member Testimony on Capitol Hill

ORLA member and President & CEO of Elmer's Restaurants, Jerry Scott, testified in January before the U.S. House Committee on Small Business regarding the impact of crime on his business and the restaurant industry. As a hospitality advocate, he highlighted the essential role restaurants play in every community, and how the cost of dealing with an increase in crime can have a significant impact on restaurants.

“When our community is concerned about safety, they are not enjoying local restaurants at the same frequency as normal,” stated Scott in his testimony. “The chronic problem of neighborhood crime is frightening customers and devouring our bottom line.”

Jerry Scott spent almost two hours testifying before the House Committee’s hearing on “Crime on the Rise: How Lawlessness is Impacting Main Street America.” He shared his perspective on how rising crime rates affect small businesses, particularly restaurants. He emphasized an increase in incidents such as armed robberies, vehicle breakins, and homeless issues, urging federal

action to address these issues and assist businesses in coping with the increasing costs of security.

“After every crime, when the owner is done picking up the pieces, they must ask themselves, ‘Is it worth it?’ When they start answering no… the neighborhood becomes less like a place where you want to live.”

Jerry Scott is one of six Oregon operators serving as a National Hill Runner, supporting the National Restaurant Association's industry advocacy efforts in Washington, D.C.

Become an Oregon Hill Runner

ORLA can achieve great things when restaurant and lodging operators actively engage with their respective State Representative or State Senator. Earlier this year, ORLA created the Oregon Hill Runner Program in preparation for the 2025 Legislative Session. Our initial objective is to identify members who currently have working relationships with elected officials at any level of government.

Participating Oregon Hill Runners will be expected to proactively reach out to their assigned elected leader on a quarterly basis and engage in conversations about the opportunities and challenges they face as an owner or manager in Oregon’s hospitality industry.

If you are interested in participating as an Oregon Hill Runner, let us know. Your engagement in this program can help make a difference as we build momentum and bring more value to ORLA’s ongoing advocacy efforts for the hospitality industry.

ORLA supports a number of avenues for industry members to engage with local law and policymakers. Visit OregonRLA.org/GetInvolved for details and consider how you will step up and share your story.  LORI LITTLE, ORLA

PHOTOS BY NATIONAL RESTAURANT ASSOCIATION

Ask your agent for an ORLA group quote with SAIF.

ORLA members who meet the group eligibility requirements can receive a 7% discount with SAIF on workers’ comp premiums in the ORLA group plan, upon workers’ comp renewal date.

ORLA MEMBERS:

Contact your agent and ask for an ORLA group quote, or contact SAIF directly at 888.598.5880.

EXISTING SAIF CUSTOMERS:

Ask your agent or contact SAIF directly at 888.598.5880 for an ORLA group quote.

A RESEARCH ODYSSEY:

Navigating Coastal Excellence

In the gentle embrace of the beach, where the rhythmic dance of waves meets the whispers of coastal winds, a captivating research journey through the heart of hospitality is unfolding. Partnering with Lane, Northwest, and Southwest Workforce boards, and through generous funding from the Department of Labor, the Oregon Hospitality Foundation (OHF) team is embarking on a year-long research project to uncover unique opportunities and challenges faced by our industry along the Oregon Coast. From hidden gems to well-trodden paths, join us on our voyage to unveil the unique challenges and extraordinary opportunities shaping the essence of hospitality labor along the Oregon coastline.

Leading this expedition is our new Hospitality Sector Strategist, Rebecca Donley, who brings with her the expertise of a rich and varied professional background, where she has navigated through many roles within the hospitality industry. From entrylevel hostess to upper management, her heart has always belonged to the ocean; and regardless of her position, she has always worked at the coast. Because of this, she has fostered a unique understanding of the nuances that define the coastal hospitality landscape.

Navigating the intricacies of hospitality requires a strategic approach, one that harmonizes operational efficiencies with the warmth of genuine connection. As we delve into this research project, we are committed to elevating every aspect of the guest, employee, and owner experiences. Our strategy finds inspiration in the Department of Labor’s Good Jobs Principles, and we will be using these principles as guideposts to work towards promoting more diversity, equity, inclusion, job security, fair pay, and professional growth within our industry. Collaboration forms the backbone of this endeavor, with the Oregon Hospitality Foundation and Workforce partners joining hands. The OHF, as the 501(c)3 arm of the

Oregon Restaurant & Lodging Association, plays a pivotal role in steering our project's objectives, ensuring a comprehensive approach to workforce development. Our workforce partners, Northwest, Southwest, and Lane County, add depth and expertise to our project. For example, Lane County Workforce Board conducted a similar project in the tech sector last year, with much success. Additionally, we’re connecting with local businesses, workers, and community leaders to foster a network that not only uplifts our industry but also contributes to the flourishing tapestry of the Oregon Coast community. Together, we strive to redefine what it means to experience coastal hospitality.

Our journey is rooted in the belief that hospitality extends beyond the confines of a stay; it is about crafting moments that linger in the hearts of our guests. From the meticulous attention to detail in our accommodations to the curated culinary experiences that celebrate local flavors, we are dedicated to building memories that reflect the essence of the Oregon Coast.

Our approach is not confined to boardrooms; it's a hands-on journey. In the coming months, focus groups and surveys will be the vehicle for collecting authentic narratives, grounding strategies in the real experiences of industry stakeholders. The data gleaned will form the backbone of a white paper set to be released in 2025, offering insights and recommendations to shape the future of coastal hospitality. March 2024 marks a pivotal moment as our survey opens its gates. This is an invitation for all coastal hospitality businesses, large or small, to be a part of this transformative journey. Your experiences, your challenges… they all contribute to the narrative we're crafting for the future. The lessons we will learn this year will inspire us to innovate, to push boundaries, and to set new standards for excellence. We honor the legacy of coastal hospitality while embracing the opportunities that the future holds.

Considering all this, we invite you to be an integral part of this journey. Your presence is what makes this venture truly special. Reach out to Rebecca to share your insights, discuss your experiences, or simply connect via text or call at 714.483.6542. Alternatively, share your thoughts via email at rdonley@oregonrla.org. Your voice matters, and it's an integral part of this expedition. Together, let us redefine coastal hospitality, creating a legacy that transcends the ordinary and leaves an indelible mark on the shores of the Oregon Coast. The waves of change are rolling in, and your contribution is the wind in our sails.  OREGON HOSPITALITY FOUNDATION

UPHOLSTERY Made Beautiful

Creating the right environment for your guests is critical for your success. Well maintained seating plays a vital role in achieving that feel that keeps your guests coming back. At Northland our upholstery team will help you repair or replace your worn furniture or help give you the new look that sets your space apart, creating an experience your guests will remember and share.

We can help you with custom seating and upholstered fixtures for hospitality spaces, including guest rooms, restaurants, and other common spaces. We are also your source for anything from banquettes to headboards at the contractor level or for FF&E.

TCreative Cost Controls

Finding Ways to Lower Prime Costs

he bane of every business owner’s existence right now is rising expenses, especially for prime costs (labor and materials). “We've witnessed a considerable rise in costs since the onset of the pandemic,” said Taran Patel, managing principal at A-1 Hospitality Group, which owns several hotels in Oregon and Washington. “This surge can largely be attributed to factors such as inflation, supply chain disruptions and escalations in wages. Each of these elements carries repercussions that are eventually transferred to business owners and, consequently, to consumers.”

In addition to wage increases due to climbing minimum wage and Oregon’s new paid sick leave policy, Dustin Myers, owner of Climate City Brewing, The Twisted Cork

and The Vine in Grants Pass, is struggling with increases in insurance costs. “We’ve seen a lot of carriers drop bars altogether, and the cost of liquor liability insurance is skyrocketing,” he said. “We’re seeing that nationwide. Unemployment insurance is going up. I raised prices around the beginning of the year and it was one of the first times that I’ve raised prices to address fixed costs. Taxes and licensing and those types of fees that have also gone up pretty ridiculously.”

It can be hard to do much about fixed costs, but Oregon business owners are cautiously optimistic that relief from some of the prime cost increases they’ve faced in recent years is in sight. “There has been a recent trend of price stabilization over the past few

months, raising hopes for a return to a more manageable economic landscape,” said Patel.

Israel Morales, co-owner and director of operations for Portland’s Kachka restaurant, agreed. “COVID-19 related food costs due to supply chain problems have started to come down a bit. Certainly not to prepandemic levels,” but at least he’s seeing some improvement.

It’s impossible to wait for the global economy to improve before saving money on prime costs. So many hospitality brands are looking to creative solutions, particularly around staffing, to lower expenses.

“At the beginning of 2022, Kachka implemented a new wage equity model

and removed tips,” said Morales. Instead of providing a tip line, the restaurant adds a 22 percent service charge to all bills. With this revenue, they are able to provide workers a minimum wage of $25 an hour, free health insurance, and an opportunity to participate in profit sharing.

Applying a service charge instead of asking for tips removes wage inequity between the front-of-house and back-ofhouse workforce, Morales said. It quashes the racism and other forms of bias that often come into play with tipping. Just as important, it allows Kachka to pay workers a living wage and ensure they can receive healthcare when they need it.

Morales considers the move a big success. “Since implementation, we’ve seen some initial turnover in the front-of-house, although that has settled down,” he said. “We have seen very little in the back-ofhouse and zero in management.”

Connie Ronda, owner of Punky’s Diner and Pies in Medford, said her best option for controlling labor costs is to ask staff to be flexible on their hours. While she has a set schedule for employees, “we may call them an hour to a half hour before they come and ask them to come late or not come at all. Sometimes we send them home early. I hate doing it to them, but they’re pretty understanding about it.”

Employees are also cross-trained to have more than one job at a time. For example, a dishwasher may also portion products from large boxes into smaller containers for the cooks and stock, restock and rotate them appropriately, Ronda reported.

Tim Smith, vice president of operations for Springfield-based Mereté Hotel Management, said the company is preparing to pilot an idea he’s successfully implemented at properties in other states: a paid-per-room compensation model for room attendants. “Room cleans are assigned a dollar amount that is mathematically

worked out to our budget per hour,” he said. “The housekeeping staff is internally incentivized because if they’re more productive than we’re budgeting them to be, they earn more per hour.”

Say, for example, that housekeepers at Mereté are paid $16 an hour. Under the new model, they might be expected to clean two rooms per hour at $8 per room. If they can clean three rooms per hour, now they’re earning a wage of $24 per hour.

“Theoretically, this model creates a lot of opportunities for longevity in employment, movement within the company in terms of growth and job opportunities, and helps attract serious employees,”

-

Since moving to Oregon nine years ago, Myers has been thinking seriously about shifting to an employee ownership model. Workers would have an opportunity to buy into the business and receive a share of the profits. Instead of tipping, guests would pay slightly higher prices for menu items, which would allow the restaurants to raise overall wages.

“Theoretically, this model creates a lot of opportunities for longevity in employment, movement within the company in terms of growth and job opportunities, and helps attract serious employees,” Myers said. “There’s a place for part-time employees,

but this creates a place for people who are looking for careers in the hospitality industry. There aren’t a lot of those around in Southern Oregon right now.”

A more dedicated, consistent workforce should provide an improved guest experience, which will help the business thrive overall. “This is a constant conversation among my peers: finding people who care as much as you do,” Myers said. “This addresses the fact that this can be seen as a pretty transient work population.”

Myers also sees the employee ownership model as a form of succession planning. “It gives restaurateurs, especially mom-and-pop shops, a potential way out if you slowly sell the restaurant to your employees and empower them to run it profitably,” he said.

In the meantime, Myers is looking to technology to provide some relief from high labor costs. His restaurants use QR codes for ordering, and he has equipped his waitstaff with handheld devices that allow them to take orders and credit card payments at tables. He called the latter “a game changer.”

“It really reduces the time servers spend tableside and traversing to the kitchen to relay orders and special instructions,” he said. “That means you can put less people on the floor. When I started serving, I could work four table sections. Now, my servers can handle eight to 10 table sections pretty fluidly.” Critically, he does not feel there’s been a decrease in guest experience. When servers can work more efficiently, they still have plenty of time to interact with guests.

Myers is looking into robot expediters at the brewery, which has more of a casual, family-friendly vibe. The robots would be used to run meals from the food trucks and beer from the brewery to tables. In addition to saving on daily labor costs, “robots don’t get sick. With the current time-off scenario, I have to pay for two people if someone gets sick,” he noted.

DUstIn MYers, owner, CliMate CitY Brewing, the twisteD Cork anD the vine, grants Pass

“Since implementation, we’ve seen some initial turnover in the front-of-house, although that has settled down,” he said. “We have seen very little in the back-ofhouse and zero in management.”

- Israel Morales, Co-owner kaChka, PortlanD

Bonnie Morales and Israel Morales, Kachka, Portland PHOTO COURTESY OF KACHKA, BY AJ MEEKER

Mereté is currently participating in a beta test with a software company to pilot an AI purchasing program. “It’s doing predictive orders for us based on what the computer algorithms dictate our spending should be based on our occupancy,” Smith said. Based on an initial inventory, the program tracks how much inventory goes out, forecasts future business based on the number of upcoming room rentals and sends a forecast for what needs to be ordered. Perhaps most importantly, Smith said, “the program also sources products through a pricing algorithm to find the vendor that is offering the best pricing at that moment.”

The ability for a computer to do that research rather than a human is perhaps the biggest game changer, but Smith is also excited that the program will cut down the need for staff to do inventory. “It takes the guess work out of orders,” he said. “Our departments are very busy, so asking them to assure their ordering is spot on and in line with what need to do sometimes can be pretty challenging. When counts do get done, people are racing through them.”

A computer won’t always get it right — some groups of guests are likely to consume more disposable products than others — but Smith’s sense is that there will be fewer errors. The program has made a significant impact since it began running. “At our pilot property, they’ve saved 28 percent so far,” he said.

Properties owned by A-1 hospitality are also using technology tools to control costs. “Our properties have proactively embraced AI tools, enabling us to streamline operations and achieve greater efficiencies,” said Patel. “It has helped us with budgeting, forecasting, ensuring guest reviews and feedback are being responded to in a timely manner along with drafting welcome letters to our valued guests.”

Streamlining processes is another solution Myers is pursuing to lower expenses. “In both the back-of-house and front-of-house, we’ve implemented some standard operating

“I have an entire spreadsheet of every single food we buy and where we buy it from and how much it costs.”

- Connie ronDa, owner PUnkY’s Diner anD Pies in MeDforD

procedures around larger format prep items like sauces so we can have them ready for the week. We’ve cut a lot of time with batch cocktails for bartending. Now, some of our best movers take seconds to prepare instead of minutes.”

Some of the work to lower costs is in paying closer attention to little details. “We maintain continuous diligence in holding our vendors accountable, ensuring that they offer us the most competitive pricing available,” said Patel. “A significant portion of our hotels are affiliated with reputable brands, allowing us to leverage advantageous bulk order pricing.”

Myers has also moved to bulk ordering for his three properties rather than allowing each to buy its own supplies. But as a small operator with limited storage space, bulk purchasing of food and supplies isn’t really an option for Punky’s. Controlling costs means frequent shopping.

“We shop everywhere,” Ronda said, from the larger supply companies that deliver to local stores such as Food 4 Less, Costco and Safeway. “I have an entire spreadsheet

of every single food we buy and where we buy it from and how much it costs.” A family member who is employed at the restaurant visits those shops nearly every day to purchase food, paper products and other necessities. It’s a lot of work, she noted, but it’s the best way to get the products she wants — which means not sacrificing quality — while still keeping expenses under control. The restaurant also purchases cases of products, when possible, since there is typically a price break with a case.

To keep a handle on prime costs, Myers advocated paying very close attention to all available financial and other data. “We’re looking at sales per hour overlaid with labor per hour and preparing to make hard decisions in terms of our hours,” he said. Restaurant owners are often remiss to change their opening or closing hours for fear of upsetting customers, but in this environment, restaurants are increasingly having to make those tough decisions.

Regularly reviewing P&L statements and other financial statements to look for places to cut costs or make more is a must. “You have to sit down and just pull apart the numbers and look at them with a curious mind,” he said.

Financial reviews and creative problem solving shouldn’t be limited to owners. Morales advocates for teaching managers to read and understand P&Ls so they have better tools to proactively (rather than reactively) control costs. “The devil is in the details,” he said.

While cutting costs can seem daunting, it can be critical to keeping a business functioning. The advantage to focusing on prime costs is that business owners have more control over them, and there are many creative solutions that can be implemented after careful consideration. These operators have found creative ways to lower the amount of money going out the door and increase the amount to help their bottom line. 

SOPHIA BENNETT

MAXIMIZING PROFITS

The Financial Benefits of Sustainable Food Waste Management in Hospitality

In the dynamic world of food service and hospitality, where culinary creativity meets customer satisfaction, there is a growing awareness of the significant impact food waste has on both the environment and the bottom line. It is a challenge that demands attention, but it also presents a unique opportunity for businesses to enhance profitability through sustainable practices. By implementing strategic measures to prevent waste, optimize operations, and repurpose food scraps, establishments can not only diminish their environmental footprint but also unlock substantial cost savings that contribute to long-term financial success.

Let us delve deeper into the financial benefits of sustainable food waste management and explore practical strategies for maximizing profits.

Cost Reduction Through Waste Prevention: One of the most effective ways to save money is by preventing food waste in the first place. By implementing efficient inventory management systems, forecasting demand, and adjusting menu planning based on cross utilization, portion size and seasonal availability, businesses can minimize over-purchasing and reduce the amount of food that

goes unused. This not only lowers food costs but also decreases expenses associated with waste disposal and labor.

Proper food storage is an essential aspect of waste prevention. Ensuring that perishable items are stored correctly at optimal temperatures and in appropriate containers can extend their shelf life and reduce spoilage. By implementing best practices for food storage, businesses can lessen the risk of food waste and maximize the utilization of their inventory.

For example, by closely monitoring purchasing habits and adjusting ordering quantities accordingly, restaurants can decrease excess inventory that would otherwise end up in the trash. Additionally, incorporating menu items that utilize ingredients across multiple dishes can help ensure that all inventory is used efficiently, further reducing waste, and increasing profits.

Financial Incentives for Food Donation: Donating edible surplus food to local charities or food banks not only benefits the community but also provides financial incentives for businesses. In many cases, tax deductions or credits are available

PHOTO COURTESY OF METRO

for establishments that participate in donation programs, offering a tangible financial benefit. By diverting excess food from landfills and instead redirecting it to those in need, businesses can also save on disposal costs.

Operational Efficiency and Labor Savings: Streamlining operations and optimizing workflow can lead to considerable savings. Implementing well-structured food preparation and serving practices can minimize waste. For example, training staff members to accurately portion meals and cut down on over-serving can help prevent customer plate waste while also improving overall operational cost-effectiveness.

Moreover, incorporating automation and technology into food waste management processes can further enhance efficiency and reduce labor costs. Utilizing software solutions for inventory management, forecasting, and waste tracking can streamline operations, optimize resource allocation, and identify areas for improvement, leading to cost savings and increased profitability.

Revenue Generation from Food Scraps: Instead of viewing food scraps as discards, businesses can leverage them as potential revenue sources through innovative repurposing. For instance, businesses can explore creative ways to use food scraps within their own operations, such as using vegetable trimmings to make sauces, condiments, and stocks or incorporating leftover ingredients into existing or special menu items. By maximizing the utilization of all food resources, businesses can prevent waste and save money. Additionally, implementing a food scraps separation program (compost service) may reduce waste disposal costs.

Embracing sustainable food waste management is not only financially beneficial and environmentally responsible but also enhances brand reputation, attracts environmentally conscious customers, and fosters a positive impact on the community. By prioritizing food waste prevention, optimizing operations, and repurposing food scraps, hotels and restaurants can simultaneously drive profitability and contribute to a brighter future for generations to come.

Visit FoodWasteStopsWithMe.org for food waste prevention resources, learn from local chefs and request free assistance from a food waste reduction specialist.  OREGON METRO

ABOUT

Food Waste Stops with Me is a collaboration between Metro, the Oregon Restaurant & Lodging Association, the Oregon Department of Environmental Quality, as well as city and county governments to help food service businesses reduce food waste.

5 STEPS TO LOWER YOUR INSURANCE EXPENSES

Help Mitigate Costs Through Proactive Planning and Safe Practices

Managing insurance expenses is a critical goal for hospitality businesses and offers a pathway to greater financial stability. By adopting a proactive approach to risk management and implementing the following tips, it’s possible to reduce insurance costs without sacrificing protection.

1. TIMING:

Plan ahead to get the best insurance outcomes

Begin collaborating with your broker well in advance, ideally 90 to 120 days before your renewal date. It's crucial to select a broker who understands your business operations and the insurance nuances for the hospitality industry. By establishing this partnership early, you can work together to craft a compelling narrative that articulates who you are as a company, what sets you apart, and why insurance carriers should view you as an ideal customer.

In today's landscape, securing insurance coverage goes beyond merely obtaining a quote. It's about identifying what you seek to safeguard, how you would protect it, and how to combat risk related to your specific business. You're not just purchasing a policy; you're strategically protecting your assets and mitigating risks in a tailored, proactive manner.

2. PROPERTY:

Check your replacement values and schedule maintenance

Knowing the complexities of your property is paramount in securing comprehensive insurance coverage. Delve into the history of your building, including any renovations or upgrades to essential

systems. Most importantly, whether you own the building or not, understanding the updates to plumbing, electrical, and roofing is crucial. Establish a proactive approach to maintenance. Effectively communicating these improvements and maintenance plans to your insurer helps demonstrate your attention to detail and commitment to risk management. The underwriter gains a clearer understanding of your property's unique needs, ultimately influencing the insurance terms and coverage offered.

In addition, rather than relying on outdated appraisals, it's crucial to assess your property’s current replacement value. In the event of a future loss, an underwriter will use the replacement cost value in calculating your claim settlement. If the number is wrong, you can end up underinsured.

3. LIQUOR LIABILITY INSURANCE:

Focus on training, hazard reduction, and social media management

Merely possessing a server permit is no longer sufficient in navigating the complexities of alcohol sales. Utilize incident logs to monitor risks. Also, maintain a clean presence on social media platforms.

To mitigate liquor liability issues, prioritize employee training. Teach responsible alcohol service practices, cues for identifying intoxication, and conflict resolution techniques. Additionally, you want to minimize hazards on your premises, such as uneven surfaces or poor lighting.

Make sure your social media presence accurately reflects your business image — both first-party and third-party content. These activities will help you manage liquor liability insurance cost. In Oregon, consider implementing the Responsible Vendor Program.

4. WORKERS’ COMPENSATION INSURANCE:

Revisit your workplace safety practices

Take a fresh look at your employee onboarding process and ongoing employee training programs. Enhancing or revamping these programs can be a low-cost way to reduce workers’ comp claims.

Ensure workers understand their rights and responsibilities regarding safety from day one of employment. Also, provide comprehensive training on injury prevention techniques and proper procedures for reporting incidents. These steps set the foundation for a safety-conscious culture, instilling a sense of responsibility and awareness among employees.

Moreover, employee training is crucial for maintaining a safe work environment and minimizing the risk of accidents and injuries. Provide ongoing education on topics such as hazard identification, safe work practices, and proper equipment usage. By prioritizing these areas, businesses can proactively reduce the frequency and severity of claims.

5. CYBERSECURITY:

Require multi-factor authentication, zero-trust, and training

Familiarize yourself with digital threats and how to protect your business from cybercrime. Implement multi-factor authentication

(MFA), if you haven’t already done so. Adopt a zero-trust approach and provide thorough employee training. These are crucial steps to fortify your defenses against evolving threats in the hospitality industry. Also, cyber insurers will require these precautions as a condition for offering coverage.

MFA adds an extra layer of protection by requiring multiple forms of authentication (such as entering a specific code, calling a known contact, or answering as secret question), thus reducing risk of unauthorized access and requests.

Embracing zero-trust principles further enhances security by verifying requests before action. This approach urges caution, particularly regarding financial transactions initiated via email, phone, or text message. Avoid sending payment, banking information, or credit card details until you have validated the requests are legitimate. Encourage employees to verify such requests by contacting known individuals in person or via a trusted phone number to mitigate the risk of falling victim to fraudulent schemes. Lastly, comprehensive employee cybersecurity training helps foster a culture of security awareness by showing employees how to recognize and respond to phishing, vishing, smishing, and other types of digital attacks. | Rob Hoover, Risk Strategies Fournier Group.

HOOVER, RISK

ABOUT

Rob Hoover of Risk Strategies Fournier Group manages ORLA’s Hospitality Insurance Program (HIP). Contact him at gethip@risk-strategies.com for more information on any of the topics in this article.

BUILT FOR HOSPITALITY

JOIN US MAY 14 , 2024 | TOPGOLF, HILLSBORO

Whether you’re an aspiring golf pro or picking up a club for the first time, Topgolf is everyone’s game. No golf experience required. Industry allies will host small groups of operators in outdoor hitting bays, where they will enjoy hosted food and beverage and game play. Free for ORLA Members who RSVP in advance at OregonRLA.org/events.

BAY SPONSORS

• BELFOR Property Restoration

• Curtis Foodservice Equipment

• Hospitality Insurance Program (HIP)

• Northland Furniture

• TMC Financing

SPONSOR

RAFFLE

IT’S YOUR BUSINESS:

Controlling Costs Through Employee Involvement

At SAIF, our vision is to make Oregon the safest place to work. Your vision likely includes operating a successful, profitable business. Both visions require people who are committed and passionate about the work they do and the service they provide. Keeping employees safe and healthy is the first step in controlling costs.

The following situations will have direct and indirect impacts on your bottom line:

• Workplace injury or illness

• Guest emergency or service concern

• Security issue(s)

• Problems with electrical, plumbing, or HVAC systems

• Inclement weather conditions

• Structural, facility, or guest amenity issues

• Employees who don’t show up, call in sick, or are unable to come into work

Though these situations are difficult to anticipate, there are still things you can control to minimize the impact on your business. Plus, prevention efforts in one area often have a positive financial impact on other areas. Here is a list of considerations for improving your cost control measures.

Understand the Difference

Between Compliance and Safety

A compliant workplace may not be safe, and a safe workplace may not be compliant. Businesses must focus on both compliance and safety to have a successful workplace.

Provide Training and Set Expectations

• Establish a new employee onboarding program

• Conduct specific training for all job tasks via demonstrations

• Train for all new job assignments

• Verify your employees’ comprehension through assessments

Management and Lead Position Responsibilities

• Train, demonstrate, and enforce proper behavior

• Monitor behaviors and processes designed to prevent injuries and illnesses

• Review all injuries and incidents and make corrections

• Develop a hazard identification and control process

• Develop and consistently manage a progressive discipline policy

Provide Feedback and Encourage Frequent Communication

• Maintain open lines of communication

• Empower supervisors to serve as job coaches

• Reinforce things that are working well

• Seek to understand why employees don’t follow procedures

• Create a process for employees to report and resolve issues

• Show appreciation for individual and team safety achievements

• Create a positive work environment

Expand Problem Solving

• Involve tenured employees in problem solving

• Seek suggestions and ideas from experienced staff on cost and efficiency savings

• Have employees participate in evaluating both safety and business risks and hazards

Find more information and ideas at saif.com/learntolead.  SAIF CORPORATION

ABOUT SAIF is Oregon’s not-for-profit workers' comp insurance company.

WHO SHOULD BE HONORED?

Oregon’s hospitality industry is brimming with outstanding individuals who go above and beyond, raising the bar for excellence in performance, service and commitment to the industry. The ORLA Hospitality Industry Awards seek to recognize these outstanding individuals and organizations who truly exemplify Oregon hospitality.

As an annual highlight of the ORLA Hospitality Conference, the Hospitality Industry Awards help us celebrate those who raise the bar for excellence in performance, service and commitment to the industry.

Who should be recognized this year?

• Restaurateur of the Year

• Lodging Operator of the Year

• Allied Member of the Yea

• Employee of the Year

• Team Leader of the Year

2023 Employee of the Year

Demetrio De La O Rendon, Lakeshore Inn

TEN STRATEGIES TO CUT COSTS AND MAINTAIN PROFIT

A Guide for Restaurateurs Looking to Thrive While Navigating Economic Challenges

In today’s economic climate, it's crucial to take proactive measures to secure the financial well-being of your business, not just to survive – but thrive. As the costs of running a food service business continue to rise, hospitality business owners are facing new and evolving challenges that demand innovative strategies to maintain and improve profits.

As a well-established global equipment finance provider, SilverChef has drawn on the collective wisdom of its network, from chefs and baristas to experienced business owners and savvy start-up customers to share 10 strategies to assist in reducing costs and enhance your bottom line. These practical approaches can not only save money but also fortify your business for sustained success in 2024 and beyond.

1. Menu Updates for Cost Efficiency:

Review and reinvent your menu to identify high-margin dishes and remove low-profit or low-turnover items, enhancing cash flow.

2. Leverage Free Training Opportunities:

Utilize free training for staff from suppliers and ORLA, enhancing customer experience without additional costs.

3. Focus on Energy Efficiency:

Appliances that can minimize energy and water usage, along with initiatives to reduce single-use packaging, should be a focal point not only for better sustainability but to also reduce costs.

4. Negotiate Supplier Deals:

Secure the best deals through negotiations with preferred suppliers, exploring exclusive relationships through an annual tender process.

5. Implement a 'Day Dot' Sticker System:

Reduce food waste by marking the age of prepared food items with a systematic labelling approach.

Alex Apostolopoulos, Hellenika Cultured Creamery PHOTO COURTESY OF SILVERCHEF

6. Optimize Stock Levels:

Determine the minimum stock required for different times and days, preventing over-preparation or stockouts and minimizing both wastage and time expenditure.

7. Maintain POS System Accuracy:

Keep prices up to date in your POS system for improved staff efficiency, reduced errors, and better sales visibility.

8. Maximize Fridge/Freezer Space: Adjust shelf heights for optimal use of space, ensuring efficient cold air circulation.

9. Switch to LEDs:

Opt for LEDs that last longer and use 75 percent less energy than incandescent bulbs, contributing to both cost savings and reduced carbon emissions.

10. Community Collaborations:

Partner with local community groups/events to promote your business, fostering community involvement and building a loyal, high-value customer base in Oregon.

In the dynamic landscape of the hospitality industry in 2024, the path to improved profitability requires a multi-faceted approach. From strategic pricing adjustments and energy-efficient practices to sustainability efforts and community collaborations, businesses must navigate these challenges with a holistic and innovative approach.  SILVERCHEF

ABOUT

Since 1986, SilverChef has assisted more than 74,000 hospitality businesses with flexible equipment finance solutions, investing more than $1.5 Billion in the hospitality industry across the globe. SilverChef is excited to partner with ORLA and provide an industry leading solution to Oregon, where all of your commercial kitchen equipment needs can be found in one place. Visit silverchef.com or contact us at 1.888.233.9910 for more information on hospitality equipment and flexible finance.

Did you know?

All ORLA members get a free annual insurance review.

See if you have coverage gaps or risks that need attention.

And explore ORLA’s Hospitality Insurance Program.

oregonrla.org/riskstrategies.html Contact: gethip@risk-strategies.com

Hellenika Cultured Creamery small-batch hand crafted dairy delights.

LODGING PERFORMANCE

Hotel Benchmark Data

The information contained in this report is provided by STR. For detailed lodging performance data for your area, contact STR at 615.824.8664 ext. 3504 or info@str.com. ORLA members can log in to access to monthly reports on OregonRLA.org in the Resource Library.

RESTAURANT INDUSTRY SNAPSHOT

Eugene & Springfield Job Posting Data

The following data, sourced from Lightcast, is provided by the Oregon Hospitality Foundation. Lightcast offers a hybrid dataset derived from official government sources such as the US Census Bureau, Bureau of Economic Analysis, and Bureau of Labor Statistics. The following illustrates trends in job postings for restaurant occupations in Eugene and Springfield.

2,359

401

29 DAYS

3:1

CREATE A CULTURE OF FOOD SAFETY

Train Your Team with ORLA’s ServSafe® Manager Training

• Training to protect against foodborne illness

• Covers FDA Food Code / Oregon Food Code

• Meets the “Demonstration of Knowledge” requirement

• Meets “Person in Charge” requirement

• Meets “Food Handler” requirement

• Certification is valid for 5 years

PRIVATE COURSES

If you have 20 or more employees for the ServSafe course, and you have a classroom setting, we can provide the trainer at no additional cost! Companies may also combine employee groups to meet the 20-person minimum. Contact Paul Folkestad at ORLA for details at 503.753.3696.

IN-PERSON COURSES

Join other industry professionals for in-person instruction and testing. Classes are usually held throughout the state on Mondays. Find dates at OregonRLA.org/ServSafe.

UPCOMING IN-PERSON CLASSES:

• Monday April 8, Eugene

• Monday April 15, Willsonville

• Monday April 29, Wilsonville

• Monday May 13, Wilsonville

• Monday May 13, Eugene

• Monday June 10, Wilsonville

• Monday June 17, Eugene

• Monday June 24, Wilsonville

NEWS BRIEFS

Happenings From Around the Industry

Industry Intel, Fresh Ideas, Operator Resources... Delivered!

ORLA's magazine keeps Oregon hospitality operators in the know, but to keep it coming, membership is key. The Summer issue will be the last issue sent to nonmembers for free. To ensure we stay laser-focused on what our members’ needs are, we will start mailing the magazine only to ORLA members. So, join us today! Scan the QR code or contact us to unlock exclusive benefits like this one and stay connected. Not sure if you're a member? Let us know, we're happy to help! Contact info@oregonrla.org or call 503.682.4422.

Network Exchange on the Coast

The Travel Southern Oregon Coast Conference annually brings regional tourism partners together to learn, build relationships, and find solutions to industry challenges. As a sponsor of the event, ORLA sent two team members to network with industry stakeholders on the South Coast, Regional Representative Terry Hopkins and Oregon Coast Hospitality Sector Strategist Rebecca Donley. They helped convey the association’s strategic initiatives, introduced new training

New Industry Grants Bring More Voices to Our Capitals

The association is taking a more intentional effort to bring rural voices to both our state and national capitals this year. Launched in early 2024, ORLA’s Hospitality Industry Grants provide interested ORLA members the opportunity to apply for grant funds to assist with costs incurred to travel and stay in Salem and Washington DC while attending events. If you are interested in recovering costs associated with engaging lawmakers during the National Restaurant Association’s Public Affairs Conference, or for the ORLA Hospitality Conference, visit OregonRLA.org/grants for more information.

Help Stop Human Trafficking

State of the Restaurant Industry Report

The state of the restaurant industry in 2024 is strong thanks to the agility of its operators and employees. The year ahead appears to be on a strong trajectory – with sales forecast to reach a new record high of $1.1 trillion, and employment growth of 200,000 jobs – bringing total industry employment to 15.7 million people by the end of the year. Operators are cautiously optimistic for the year ahead. Nearly 8 in 10 operators expect their 2024 sales will be higher or hold steady at 2023 levels but expect higher costs will challenge their profitability. Thanks to our dual membership agreement, ORLA members can download this report for free; visit Restaurant.org.

ORLA joined forces with the nonprofit, Businesses Ending Slavery and Trafficking (BEST) to make human trafficking awareness training available to all members and their staff, free of charge. BEST provides specialized training in human trafficking prevention, and their Inhospitable to Human Trafficking training for the hospitality industry is now be available to help restaurant and lodging employees across Oregon learn the indicators of human trafficking and how to safely report it. Visit OregonRLA.org/trafficking for details.

WHAT YOUR PEERS ARE SAYING

Meet Some Oregon Restaurant & Lodging Association Members

Membership in ORLA means being part of the only organization in the state devoted to protecting and promoting the interests of our industry. It’s all of us together that makes that possible.

Get inspired by these peer profiles where members share how they cultivate team culture and why they are an ORLA member. And for a little fun, we also wanted to know about their what books and podcasts they are listening to and their first job in the hospitality industry.

Tell Your Peers a Little About You! If you are a member, and are willing to be profiled here, please email us at info@OregonRLA.org. Also, let us know if there is a question you would like to see your peers answer.

GET TO KNOW SOME OF YOUR PEERS BY READING THEIR RESPONSES TO THESE EMPLOYEE RELATED QUESTIONS:

What is one thing your organization does to cultivate a strong team culture? What is one reason you are an ORLA member?

BRANDON KRAFT, CHA

LAM Hotels, North Coast, OR

Title: Managing Member/Regional Manager

Joined the Company: 2006

Member Since: 2020

First industry job: Front Desk

What are you reading: The Mistborn Saga, Brandon Sanderson

What is one reason you're an ORLA member?

ORLA’s advocacy for us during the pandemic was a pivotal decision in keeping our membership. They helped more than local municipalities in most cases.

Garibaldi Portside Bistro, Garibaldi

Barview Jetty Store, Rockaway Beach

Title: Owner and Operator

Started the Company: 2016

Member Since: 2023

First industry job: McDonald's

What are you reading:The Honest Enneagram: Know Your Type, Own Your Challenges, Embrace Your Growth, Sarajane Case

How does your organization cultivate team culture?

As a business owner and employer, I try to listen to my staff's feedback, good and bad. An open door leads to open communication.

SUE NEUER

Hotel Elliott, Astoria, OR

Title: General Manager

Joined the Company: 2019

Member Since: 2002

First industry job: Sunriver Resort Marketing Services Manager

What are you reading: The Fiscal Feminist, Kimberlee Davis

How does your organization cultivate team culture?

We cross train all employees so they can step in and help each other out when needed. No one ever says, "That's not my job." All the departments work together as a team to get the job done.

AMANDA CAVITT

JENNIFER SUSKI

HotelKey, Seattle

Title: Director of Business Development

Joined the Company: 2023

Member Since: 2024

First industry job: Housekeeping

What are you reading: Crescent City, Sarah J. Maas

What is one reason you're an ORLA member?

We joined ORLA to be more involved in the Oregon Hospitality Community. Our team wants to bring affordable/intuitive technology to all hotels and restaurants.

ROB HOOVER

Risk Strategies/Fournier Group, Portland

Title: VP Business Development

Joined the Company: 2001

Member Since: 2005

First industry job: “French fry master” What are you listening to: New Heights podcast

What is one reason you're an ORLA member?

To help the industry. My first boss Gail Knapp once said, “There is nothing like building a space where everyone is welcome and breaking bread and creating friendships for life.”

REBECCA DONLEY

Oregon Hospitality Foundation/ORLA

Title: Oregon Coast Workforce Strategist

Joined the Company: 2023

Member Since: 1932

First industry job: Restaurant Hostess

What are you listening to: Ologies podcast

What is one thing your organization does to cultivate a strong team culture?

Regular communication, team-building activities, and recognizing individual contributions to strengthen our collective success.

CHERYL LUBBERT

Sakura Ridge Farm & Lodge, Hood River

Title: Owner

Joined the Company: 2024

Member Since: 2024

First industry job: Server, Ocean City, MD

What are you listening to: The Knowledge Project podcast

What is one thing your organization does to cultivate a strong team culture?

We brainstorm and collaborate on new ideas together. We also have each other’s backs when life happens. Flexibility is the key to a good working relationship.

MATTHEW LOWE

Jordan Ramis PC, Oregon

Title: Attorney

Joined the Company: 2015

Member Since: 2015

First industry job: Pizza delivery

What are you reading: The Bible

What is one reason you're an ORLA member?

As an attorney representing clients in the hospitality industry, I have found ORLA to be a strong and committed advocate for the industry which aligns with my aspiration to be a strong and committed advocate for my clients.

TISH EGAN

The Toasted Barrel, Grants Pass

Title: Owner/General Manager

Joined the Company: 2024

Member Since: 2024

First industry job: King Freeze window server, Merlin, OR

What are you reading: Where the Crawdads Sing, Delia Owens

What is one reason you're an ORLA member? Terry Hopkins, who is a fellow bar owner and leads the charge for ORLA in Southern Oregon, has been a supportive hero!

HOW CAN WE SERVE YOU?

Membership in ORLA means being a part of the only organization in the state devoted to protecting and promoting the interests of the entire hospitality industry. Contact us for questions; let us know what issues are affecting your business and how we can help. We have your back!

MEMBERSHIP CONTACTS:

STEVEN SCARDINA

Regional Representative 503.718.1495 SScardina@OregonRLA.org

TERRY HOPKINS

Regional Representative 541.441.2219 THopkins@OregonRLA.org

MARLA McCOLLY

Director of Business Development

503.428.8694

MMcColly@OregonRLA.org

GOVERNMENT AFFAIRS CONTACTS:

MEMBER SOLUTIONS

Save Time and Money with ORLA’s Cost-Saving Member Programs | OregonRLA.org

PREFERRED PARTNERS

JASON BRANDT

President & CEO

503.302.5060 JBrandt@OregonRLA.org

GREG ASTLEY

Director of Government Affairs 503.851.1330 Astley@OregonRLA.org

MAKENZIE MARINEAU

GA and Regional Leadership Teams Coordinator 541.404.0033 MMarineau@OregonRLA.org

AIDAN EARLS

Executive Coordinator Government Affairs 971.224.1508 AidanE@OregonRLA.org

OREGON RESTAURANT & LODGING ASSOCIATION MAIN OFFICE: 503.682.4422 • info@OregonRLA.org

FINANCIAL PARTNERS

HOSPITALITY BUSINESS INSURANCE: HIP

ORLA Members receive a free audit of insurance and risk management programs and can save an average of 10-15%.

COMPUTER EQUIPMENT AND IT SUPPORT

ORLA Members receive up to 30-40% off the everyday price on select Dell products. Members can also receive round-the-clock access to IT help with ProSupport, only from Dell.

CREDIT CARD PROCESSING

ORLA Members get a discounted flat swiped rate of 2.3% + .05 a transaction, plus additional fees waived and tools to run your business more efficiently.

WORKERS’ COMP INSURANCE

ORLA’s group program with SAIF affords members an additional 7% premium discount if they meet the eligibility requirements.

ORLA FINANCE CENTER

ORLA Members access huge savings with various tax credit programs and small business lending.

HOSPITALITY PARTNERS

Find additional member-to-member exclusive cost-saving offers and benefits aimed at improving your bottom line online at OregonRLA.org/hospitality-partners

• ASCAP - ORLA Members can save up to 20% off their first-year music license fees.

• BMI - ORLA Members can save up to 20% off their music licensing fees.

• Check This Out - Up to $1,000 refund on SMS campaigns and no set-up fee

• Garth T. Rouse & Associates - Comprehensive health insurance services for ORLA members

• GigSmart - Savings on temporary and permanent staffing solutions

• HR Annie Consulting - Exclusive member discounts on trainings, handbooks, and on-demand HR support

• My Accounting Team - 10% off first 3-months of service, free data migration, POS integration and training

• Oregonian | OregonLive - Deep savings on high impact marketing strategies from Oregonian Media Group

• Paylocity - Up to 35% in savings over normal pricing on new products and services

• RX Music - Members save up to 50% off normal pricing for curated music or music video programs

• Ubiquity - Discounts on easy-to-use, affordable 401(k) solutions

• Workstream - Members save 10% on hiring, team management and payroll products. Plus waived install fees.

NEW MEMBERS

ORLA Would Like To Welcome The Following New Members From November 2023 – January 2024

• AssuredPartners, Eugene

• Bamboo House, Portland

• BEST, Seattle, WA

• Blacksmith Public House, Redmond

• Century Hotel, Tualatin

• Certificate Clearing Corporation, Chicago, IL

• Check This Out, Bozeman, MT

• Comfort Inn & Suites, Lincoln City

• Del Rio Vineyards, Gold Hill

• Garibaldi Portside Bistro, Garibaldi

• Horsefeathers Hotel, Hood River

• HotelKey, Carrollton, TX

• The Hotel Salem, Salem

• Itzanee, LLC, Grants Pass

• Margaritas Mexican Grill, Coos Bay

• Northwest Roots Hospitality, Sherwood

• Sakura Ridge Farm and Lodge, Hood River

• SocialCrowd, Irvine, CA

• Susan's Barbecue, Bend

• The Toasted Barrel, LLC, Grants Pass

• Vertical Diner and The Gold Room, Portland

• WHA Insurance, Eugene

Where to go for training

industry-specific financial services from experienced professionals.

• Tip Tax Credit

• Self-Employed Tax Credit

• Employee Retention Credit

• Small Business Lending

The Oregon Restaurant & Lodging Association is partnering with Adesso Capital to help small businesses finance their dreams. With over $1 billion secured, Adesso Capital helps keep businesses in business.

LOOKING AHEAD

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