Washington Hospitality Magazine May 2018 by Washington Hospitality Magazine

May 2018 │ 1

Washington Hospitality Association 510 Plum Street SE Olympia, WA 98501-1587

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REVIEW

HEROES

OUR LEGISLATIVE

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LEGISLATIVE 2018

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May 2018

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EDITORIAL STAFF Publisher, Anthony Anton Executive Editor, Lex Nepomuceno Editor-in-Chief, Marianne Scholl Art Director, Lisa Ellefson Managing Editor, Paul Schlienz Contributing Editors: Andy Cook, David Faro, Jillian Henze, Morgan Huether, Sheryl Jackson, Lisa Leinberger and Nicole Vukonich

Inside

May 2018

EXECUTIVE COMMITTEE Chair: Frank Welton, Hilton Worldwide Vice Chair: Chad Mackay, Fire & Vine Hospitality EXECUTIVE TEAM President and CEO, Anthony Anton Vice President, Teran Haase CFO, Darin Johnson Senior Director of Communications & Technology, Lex Nepomuceno Director of Local Government Affairs, John Lane Director of State Government Affairs, Julia Gorton Director of Internal Operations, Kylie Kincaid Director of Membership, Steven Sweeney Education Foundation, Naja Hogander Incubation Senior Manager, Ken Wells Benefit Programs and Events Senior Manager, Victoria Olson

Features 13

From Your Government Affairs Committee Co-Chairs

The 2018 Session in Review

Heroes to Our Industry

2018 Voting Report Card

Member Engagement Spotlight

510 Plum St. SE Olympia, WA 98501-1587 T 360.956.7279 | F 360.357.9232 wahospitality.org

In Every Issue Letters are welcomed, but must be signed to be considered for publication. Please include contact information for verification. Reproduction of articles appearing in Washington Hospitality Magazine are authorized for personal use only, with credit given to Washington Hospitality Magazine and/or the Washington Hospitality Association. Articles written by outside authors do not necessarily reflect the views or positions of the Washington Hospitality Association, its Boards of Directors, staff or members. Products and services advertised in Washington Hospitality Magazine are not necessarily endorsed by the Washington Hospitality Association, and do not necessarily reflect the opinions of the Washington Hospitality Association, its Boards of Directors, staff or members. ADVERTISING INQUIRIES MAY BE DIRECTED TO:

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360.956.7279 andyc@wahospitality.org Washington Hospitality Magazine is published monthly for members. We welcome your comments and suggestions. email: news@wahospitality.org, phone: 800.225.7166. Circulation: 6,310

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President and CEO

News Briefs

Association News

Local GA Update

Calendar and New Members

Ask the Expert

BELLINGHAM MAY 8

TACOMA MAY 14

HOSPITALITYSUMMIT.ORG

President and CEO

Success Starts With You If you look at the Association’s biggest wins of the year, they flat out do not happen without you, our members. We won because of all of you who got involved in the Washington Tourism Alliance (see tourism on page 18) and just did an amazing job of working with legislators. You continually reminded them what matters and helped us overcome hurdles to pass tourism promotion funding legislation. Because of you, we no longer have to say we’re the only state in the country without statewide funding for statewide tourism promotion. Similarly, the much-needed clarification on service animals wouldn’t have happened without our Hill Climb attendees. You were in legislators’ offices at the right time giving many real-world examples. You described how we support service animals, but need some clarification in the rules to make the system work better for everyone.

You will all approach being an ambassador in a different way and find your own path. •

The best way to be an ambassador is to stay informed of what’s going on in the industry. Sometimes your legislator will call you seeking your opinion. You want to be prepared when that phone call comes in to explain the impact of a bill. So, please receive our communications and stay up to speed. Attend Hill Climb. This year’s Hill Climb and the service animal legislation was one of the best examples of being at the right place at the right time. Attendees answered questions about bills they didn’t know were being considered. This feedback made a world of difference to the industry. Start or continue to build that relationship with your legislator two to three times a year, whether through the course of business or a scheduled meeting. Keep our Government Affairs team in the loop. When you learn something from your legislator, don’t assume that we know it. If you’re going to meet with your legislator, let us know so we can tell you the latest goingson and provide you with resources.

•

• Lastly, but certainly not least, your actions were critical to a huge tip pooling win for the full service restaurant side of our industry. When opponents said tip pooling was akin to theft, many of you reached out to your congressional representative one-on-one. You told your representatives not only that tip pooling is legal and the right thing to do, but it’s the most progressive thing we can do for teamwork, our employees, the business and bridging the gap in compensation between front-of-the-house and heart-of-thehouse.

•

Ways to become or recommend an ambassador: •

One-on-one conversations, real-world examples and the ability to look someone in the eye and build trust made a difference. Your work encouraged Congress to add a winning tip pooling update to its bill in March. We now need to learn from these wins and build toward the future. Our top priority for 2019 is to build trusted relationships with the majority of legislators across the state and in key city councils. To achieve this goal, we are recruiting 200 hospitality association members to become ambassadors to their local legislators. What is an ambassador? Ambassadors are hospitality industry bridges between our world of small business and the Legislature. Ambassadors are willing to take time to meet with city and state representatives over coffee to talk about the industry, about their businesses and about how what’s happening in Olympia affects their business. Being an ambassador is really about building relationships. In hospitality, we understand that better than anyone. So who do you know who can be an ambassador? Maybe you? And what does that look like?

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• •

Contact your area coordinator: wahospitality.org/ membership/team Contact Grassroots Manager Katie Doyle: katied@ wahospitality.org or 360-956-7279 ext. 151 Complete our online form: wahospitality.org/ ambassador_form

When you’re an ambassador, consider yourself the bridge between two worlds – the world of policymakers and the world of hospitality. You’re working with both worlds to deliver solutions that make your community a stronger place for your business and your employees. Our biggest wins do not happen without our membership. We’re looking forward to working with you to build more bridges in the coming year.

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Primary Source of Information | News Briefs

Yes to tip pooling! Washington restaurants can now share tips with heart-of-the-house employees. A federal spending bill passed March 23 abolished a 2011 rule that prohibited tip pooling in all circumstances with non-customarily tipped employees. Now, employers are once again allowed the opportunity to expand tip pools and share tips among a broader range of employees in states where tips are not recognized as wages. This change allows tip sharing among both customarily and non-customarily tipped employees, including dishwashers and cooks. The new legislation also makes it clear at the federal level that tips belong to the workers who receive them and that owners, managers and supervisors are prohibited from sharing in tip pools. Tips in Washington state have always been the property of employees. Case law and Washington’s new minimum wage law identify tips and gratuities as the property of employees. Owners and managers are also legally prohibited from benefiting from tip pools. “Anything that strengthens and clarifies these protections is welcome,” said Anthony Anton, president and CEO of the Washington Hospitality Association. “Working in the hospitality industry – in a hotel or restaurant – is being part of a team,” Anton said. “All employees are working toward the common goal of providing the best possible customer experience. This rule change helps our employees succeed by rewarding teams who work together and is truly a win for all team members.” The association looks forward to receiving further guidance and clarification from the U.S. Department of Labor. 8 │ wahospitality.org

Businesses ban together to protect Alaskan salmon Restaurants and other businesses around the Puget Sound are signing on to oppose expedited permitting for a pebble mining operation proposed in Bristol Bay, Alaska. In a letter-writing campaign led by Businesses for Bristol Bay, businesses are urging the U.S. Army Corps of Engineers to undergo a rigorous and fair review of the proposed mining site. Bristol Bay is home to one of the largest wild sockeye salmon runs in the world, producing nearly half of the world’s sockeye salmon supply. It is a vital source of salmon for Washington restaurants, and many are joining Businesses for Bristol Bay’s efforts to stop the proposed pebble mine. The group says the proposed mine will jeopardize the $480 million in annual economic benefit the salmon fishery generates locally and nationally. Tom Douglas, owner of 13 Seattle restaurants that employ 800 people, is one of Businesses for Bristol Bay’s partners. “I’m proud to support the whole economic chain around Bristol Bay sockeye, from the Alaskan and Washington processors that we buy our salmon from, to the fishermen who harvest it,” he has stated. For more information about the project, visit b4bb.com. Sequim Black Bear Diner earns franchise’s best restaurant award In April, Bret and Trish Wirta, owners of the Black Bear Diner in Sequim, received the franchise’s 2017 Founder’s Award. The award honors Black Bear Diner’s best restaurant of the year. “In 2017 the Sequim Black Bear Diner posted the largest percentage increase in sales, some of the highest rates of customer satisfaction, a perfect health inspection, and they even won the franchise Christmas decorating contest,” said Black Bear Diner CEO and co-founder Bruce Dean when presenting the award in a ceremony in Kihei, Hawaii. The Wirtas accepted the award on behalf of Manager Linda Donaghay, Assistant Manager, Bill Carmichael, and the entire Sequim Black Bear Diner staff. “We built a beautiful restaurant, but it’s the experience created by our hardworking and dedicated employees that make our guests want to return again and again,” said Bret Wirta. In addition to the diner, the Wirtas own Wirta Hospitality Worldwide, the Holiday Inn Express & Conference Center Sequim and the Quality Inn Sequim. Black Bear Diner, is a fast-growing, community-oriented, family dining concept that now has four locations in Washington and 108 locations nationwide.

Primary Source of Information | Association News Welcome to Hospitality Month 2018!

From first job to $100,000 a year, hospitality is a lifelong career. Hospitality Month 2018 is raising awareness of the industry and highlighting a valuable partnership. The Employment Security Department, WorkSource and the Washington Hospitality Association are teaming up for the second year to promote hospitality jobs and provide a solution to the industry’s labor shortage. With unemployment at record lows in Washington state, hospitality businesses are struggling to fill open positions. As of January 2017, 30 percent of the members of the Washington Hospitality Association said finding good talent was their top business concern. “Hospitality provides career opportunities at every level — lifelong careers as well as starting line jobs with core job skills that lead to success in other industries,” said Anthony Anton, president and CEO of the Washington Hospitality Association. Last year, Gov. Jay Inslee officially proclaimed May as Hospitality Month. In 2018, a second proclamation from the governor has been granted. A hospitality hiring event will be held in Tacoma on May 31. The hiring event will connect citizens with job opportunities, and employers with ready-to-work candidates. It is different from typical job fairs as it removes roadblocks to employment

like lack of transportation, certifications, permits uniform needs and child-care assistance. The association is also partnering with Workforce Snohomish on a hiring event on May 3 at WSU Everett. In 2017, the Washington Hospitality Association and the Employment Security Department developed a hospitalityspecific website within WorkSourceWA.com that promotes careers in hospitality, available training and links to job openings. The new site includes video testimonials of workers, direct links to specific hospitality job openings, a career ladder, links to training and links to labor market information that informs workers about the types of jobs available. The Washington Hospitality Association continues to use the site to educate potential new hires and as a benefit for members. “The Employment Security Department is proud to work with the Washington Hospitality Association, Gov. Jay Inslee and our WorkSource partners to promote rewarding careers in hospitality,” said Janelle Guthrie, Employment Security Department communications director. “The hospitality industry provides amazing opportunities across our state. We look forward to taking our efforts to the next level this year and helping employers find even more great talent to serve their customers.” — Jillian Henze

Washington Hospitality Summits come to Bellingham and Tacoma this month

The Washington Hospitality Association’s popular summit will be in Bellingham on May 8 at the Four Points by Sheraton Bellingham Hotel & Conference Center and in Tacoma on May 14 at Hotel Murano. The Hospitality Summits are presented by Food Services of America and offers a dynamic afternoon of industry information, high-level breakout sessions and a trade show. It is followed by a Hospitality Happy Hour for peer-to-peer socializing. At the Bellingham Summit, Microsoft’s Senior Services Manager of Global Dining Mark Freeman will give a keynote presentation highlighting the many innovative ways Microsoft dining services are developing and adopting new technologies to meet sustainability goals and the desire of its employees to make a difference in the world. In Tacoma, Washington Hospitality President & CEO Anthony Anton will discuss the state of the industry. Topics for breakout sessions include proactive strategies to prevent sexual harassment and the pros and cons of third-party delivery services. Attendee registration is $35 and includes coffee and snacks throughout the day and drinks and appetizers during the Happy Hour reception. Register at www.hospitalitysummit.org.

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Government Affairs | Local GA Update Seattle City Council is moving quickly on jobs tax The Seattle City Council wants to establish a tax on jobs to raise up to $75 million to spend on its response to homelessness, and it is moving forward quickly to develop and pass a proposal. The hospitality industry will be especially hard hit by a tax on jobs given our tight profit margins and large teams. Even restaurants that may fall below a revenue threshold for the tax can expect to feel the impact of a jobs tax as vendors and distributors will likely pass on the cost to hospitality businesses. Seattle needs to end its homeless crisis, but it will take a real plan, not a blank check, to solve homelessness. The Local Government Affairs Team in Seattle is working closely with members and the business community to urge councilmembers to oppose a jobs tax and to come up instead with effective and measurable regional plan that will deliver real results. As we go to press, legislation is scheduled to be introduced in the Finance and Neighborhoods Committee on April 23. A public hearing on the tax is also scheduled on April 23. The committee is expected to vote on the proposal on May 9, with the full council to vote on May 14. Draft rules for Seattle hotel ordinance released in April On April 9, Seattle’s Office of Labor Standards (OLS) released draft rules for the city’s Hotel Employees Health & Safety Initiative. The ordinance was approved by voters and became law in November 2016. The Seattle team and Seattle Hotel Association members were actively engaged in the rulemaking process. Unfortunately, OLS chose to disregard input from hotel employers on several sections of the rules, and as written, the draft rules expand beyond the scope of the law. The OLS overreach includes extending additional compensation to employees who voluntarily decline health coverage. This creates a cash incentive for employees to turn down health care insurance and goes against the intent of the law, which is to improve access to medical care. During the two-week comment period, SHA and its members submitted detailed comments on OLS’s overreach in the rules. The final rules are tentatively expected to be released on May 17.

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Spokane Hotel Motel Association aims to collaborate with city on homelessness The Spokane Hotel Motel Association is reaching out to the city of Spokane with an offer to help with the longstanding efforts to find workable and sustainable solutions to the city’s homelessness issue. During a recent meeting with Spokane City Councilwoman Lori Kinnear, board members asked for pamphlets or postcards explaining the city’s efforts to combat homelessness. The plan is to distribute these materials to visitors and guests to inform them that there are alternatives to giving money to panhandlers. At the March Spokane Hotel Motel Association meeting, Spokane Mayor David Condon discussed the city’s response to homelessness and the Give Real Change program. Condon said donations to the program would go a lot farther than money given directly to a person experiencing homelessness. Give Real Change has orange parking meters at various locations around the city and at Spokane International Airport, and all money collected in the meters is given to various charitable organizations to fight homelessness. Condon also encouraged members who notice transient camps near their businesses to dial 3-1-1 so the city can deploy outreach teams to connect those in the camps with needed resources. Bellingham council continues work to reduce carbon emissions The Bellingham City Council passed a resolution on March 19 to urge Washington legislators to pass measures that would impose a fee on each ton of carbon-emitting fossil fuels at the point of production and importation. The council also resolved to urge the U.S. Congress to pass legislation that deals effectively with climate change at the national level, for example by levying an annually increasing fee on the carbon in fossil fuels. The city is currently running more than 60 long-term measures to reduce carbon emissions across city government operations like streetlight replacement, building updates and efforts within the community including residential and commercial changes. The council’s goal is to reduce emissions by 100 percent in city government operations by 2050 and 85 percent within the community by 2050.

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What a session! As your Government Affairs Committee co-chairs, we would like to share the successes of one of the most positive legislative sessions for our industry in recent memory. Although it was a short 60-day session, your Government Affairs Committee and State Government Affairs Team were ready from day one to provide both offensive and defensive support. With your help, legislation to create a statewide tourism marketing program—our number one priority for the 2018 legislative session—was passed and signed by the governor. Our industry did not see any tax increases, legislation to promote healthy communities with safer food packaging passed, and legislation to give business owners more tools when handling situations involving service animals also passed with our support. The defeat of legislation to impose an additional $3 per night per room lodging tax in small cities leaves room for interim work on lodging tax transparency. These are just a few of the high-level highlights, and in the following pages you will find more information about these and other wins. Each week of session, your State Government Affairs Team briefed us during the committee’s conference calls. Here members received updated information on the status of the bills and issues being tracked. These calls provided an opportunity for members to get involved. The Government Affairs Committee thrives when active members help give the State GA Team guidance, ask questions, offer feedback and propose solutions when policies need improvement. This session, your engagement set a record. Consistently each week more than 20 Government Affairs Committee members participated on the committee conference calls. Without Government Affairs Committee members on these calls, the State GA Team cannot do its job or represent our interests in the halls and hearing rooms of the Legislature. Our successes will not happen without you. As frontline owners and/or operators, you know the challenges and opportunities associated with running a successful business in our state and current economic climate. This year, more than 150 Washington Hospitality Association members attended our largest grassroots advocacy effort of the year – Hill Climb. Our members spent the day meeting with their elected officials and interacting with each other. These meetings and relationships are critical to helping us advance the top priorities of the hospitality industry. As the State GA team moves into interim work with rulemaking on many different topics, your participation remains essential. Agency rulemaking has just as much impact on components of our industry as legislative sessions. We hope you will continue your engagement in our grassroots efforts, and if you aren’t already participating in our Government Affairs Committee activities, we hope you’ll get involved. In the fall, please come to the regional meeting in your area to help us identify priorities for the 2019 session. Please also consider joining our committee and participating in our weekly calls in 2019. Contact Katie Doyle at katied@wahospitality.org to learn more. Thank you for your continued support of our industry, Tim Bathke, Warwick Seattle Chad Mackay, Fire & Vine Hospitality Brian Moreno, McDonald’s

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The 2018 Session in Review When the 2018 legislative session started on Jan. 8, the Washington Hospitality Association State Government Affairs Team was ready for the quick 60-day session. Short sessions are typically categorized as a sprint, not a marathon, and that was the case this year. In fewer than 60 days, legislators in the House and Senate introduced more than 2,300 bills, which may be a new record for the most bills introduced in a short legislative session. With a slim new Senate Democratic majority and a two-vote Democratic majority in the House, the pressure was on Democratic lawmakers to pass the policy bills that failed to move forward when Senate Republicans were in control of the Senate. Among a host of other bills, the Legislature passed bills to help advance democracy in Washington state, including passage of the Washington Voting Rights Act. The Legislature also passed legislation to resolve a rural water rights issue known as the “Hirst decision,” passed the longdelayed 2017 capital budget which invests in K-12 school construction and provides thousands of infrastructure jobs in communities across the state. The Legislature also adopted legislation to addressed issues like juvenile justice reform, net neutrality, “Breakfast After the Bell” for hungry K-12 students, gun violence reduction, higher education, health care, the environment and affordable housing. Although it does not directly impact our industry, the State Government Affairs Team believes that a summary of the session would not be complete without a discussion of how the Legislature acted to exempt itself from public disclosure. Within a span of 48 hours, a bill to exempt the Legislature from the Washington Public Records Act was introduced, passed by both chambers of the Legislature and delivered to the governor’s desk. This bill did not have any public hearings or include any opportunity for debate. The media and Washingtonians across the state rejected this process and flooded the governor’s office with nearly 20,000 phone calls and emails urging the governor to veto 14 │ wahospitality.org

this piece of legislation. In an unprecedented move, 12 of the state’s newspapers ran front page editorials decrying the situation. Gov. Jay Inslee vetoed the bill, which can be viewed as a win for the democratic process. Understanding the new political landscape with Democratic majorities in each chamber, the Washington Hospitality Association took a solutions-oriented approach to the session. This approach included working with the sponsors of bills, our members and key stakeholders to improve and revise proposed legislation. The hospitality industry is one of opportunity and it is important to ensure small businesses, their employees and communities thrive.

# WINS The 2018 legislative session included many wins for the hospitality industry. These wins represent the culmination of years of hard work and perseverance, a commitment to excellence and advancement of the hospitality industry. A statewide tourism marketing program (Second Engrossed Fourth Substitute Senate Bill 5251) After years of hard work and persistence, Washington state will no longer have the unfortunate distinction of being the only state in the country without a statewide marketing program. Second Engrossed Fourth Substitute Senate Bill 5251 passed unanimously in the House and Senate and was signed into law by Gov. Jay Inslee, creating a statewide tourism marketing program. This bill is critical to the hospitality industry and was the number one legislative priority of the Washington Hospitality Association this session. The marketing program redirects $0.02 from the existing sales tax collected on restaurants, hotels and rental cars to the new statewide tourism marketing authority. The state will contribute up to $3 million per biennium. With a twoto-one industry led and supported match, the marketing program will have up to $9 million to help attract out-ofstate tourists to Washington state.

Earlier this year, a new tourism marketing plan was released which prominently features hotels and restaurants across Washington. This bill will help implement elements of the marketing plan. Passage of this bill is a major victory for our state and the hospitality industry. Thank you to everyone who played a key role in passing tourism this session! Modifying the King County lodging tax to fund the Convention Center expansion (Second Substitute House Bill 2015) The Washington State Convention Center is a popular venue for many conventions, trade shows, corporate meetings and other special events. In order to help fund the Convention Center Addition Project, Second Substitute House Bill 2015 modifies the King County convention center tax to include lodging establishments with fewer than 60 rooms. The bill also includes short-term rentals and creates some taxation equity among lodging businesses. Once complete, the expanded Convention Center will be another economic draw and driver for the region. Protecting those in need of service animals (Substitute House Bill 2822) Service animals provide necessary and essential services for those who need them. However, sometimes pets are misrepresented as service animals and can cause disruptions within businesses. This new state law adopts the federal definition of a service animal and allows business owners and operators more tools to handle situations involving disruptive animals. For example, if an animal appears to be misrepresented as a service animal, an enforcement officer may be called to ask if the animal is required for a disability and may inquire about the services the animal provides. If an animal is misrepresented, an enforcement officer may issue a civil penalty with fines.

New rules to separate violations of liquor manufacturers from tasting rooms (House Bill 2517) The Washington State Liquor and Cannabis Board has the authority to make and implement rules to enforce the state’s laws. Under this new law, the LCB must adopt a rule and schedule of penalties for an alcohol manufacturer who has committed a regulatory violation as a part of their “ancillary activities.” This is defined as a tasting room, tap room or involving retail sales. This bill is important because it now separates tap rooms and tasting rooms from being rolled into any violations on the manufacturing side. Anti-sexual harassment model policies and stakeholder work group (Senate Bill 6471) Our industry believes sexual harassment in the workplace is unacceptable. In response to the #MeToo movement, several pieces of legislation were introduced to reduce the instances of sexual harassment within the workplace. The Washington Hospitality Association was proud to support this legislation and requested to be a part of the work group which will create model policies to help prevent sexual harassment in the workplace. The model policies will be available for businesses to customize, use and implement if they choose to and offers a tool for businesses rather than create another penalty. Safer food packaging (House Bill 2658) Perfluoroalkyl and polyfluoroalkyl (PFAS) chemicals found in some popcorn bags and pizza boxes have been found to have a link to cancer. Legislation was introduced this session to remove PFAS chemicals from food packaging. The State Government Affairs Team worked with members May 2018 │ 15

to get direct feedback on this bill. From this feedback, changes to the bill were proposed and adopted in the final version of the legislation signed by the governor. These included a delay of one year, so businesses that rely on food packaging may continue to make their food packaging orders one year in advance. Additionally, an important clarification was made in the bill that manufacturers, not purchasers of food packaging, will be responsible for ensuring the products do not contain the harmful PFAS chemicals. This bill directs the state’s Department of Ecology to conduct an alternatives assessment by 2020 to see what other types of safer packaging alternatives are available on the market before banning the use of PFAS chemicals in packaging. Passage of this bill is the result of Washington Hospitality Association members, the State Government Affairs Team, and legislators working together to protect healthy communities and the environment. Promoting pre-apprenticeship programs for high school students (Substitute House Bill 2685) Maintaining the future of our talent pipeline is essential to the success of the hospitality industry. This session, a bill to promote and increase awareness of pre-apprenticeship programs for high school students passed and was signed into law by the governor. This bill requires the Office of the Superintendent of Public Instruction, along with the State Board for Community and Technical Colleges and the Washington Student Apprenticeship and Training Council to examine the opportunities for promoting registered pre-apprenticeship and youth apprenticeship programs for high school students. The Washington Hospitality Association Education Foundation is particularly enthusiastic about this bill as it will help high school students who want to advance in culinary arts or management programs like ProStart. A supplemental operating budget without new taxes (Engrossed Substitute Senate Bill 6032) The Washington State supplemental operating budget passed this session did not contain any new taxes, which the Washington Hospitality Association counts

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as a significant win for our industry. The updated $43.7 billion two-year budget spends an additional $750 million and included a controversial decision to use some of the state’s Rainy Day Fund to help pay for additional expenditures in K-12 education, mental health services, health care and higher education. The supplemental operating budget also provides a one-time $391 million property tax cut to alleviate some of the pressure put on property owners after property taxes were increased last session to help pay for education funding. Achieving gender pay equity in the workplace (Second Substitute House Bill 1506) Over the past several years, a bill requiring employers to pay equal wages for equal work has been debated and negotiated. House Bill 1506 was the work product of a multi-year effort to improve the intent and language in the bill. Along with a larger coalition of businesses, the Washington Hospitality Association advocated for the inclusion of four amendments to make the legislation more reasonable to implement. One of the amendments included preempting local governments from adopting different or duplicate equal pay laws. This provision was struck from the final bill to the dismay of the larger business coalition. With something as important as equal pay for equal work, Washington state should have one standard, not a patchwork of different laws. Although the bill ultimately passed without including preemption, two other proposed amendments were passed with the law. The amendments create a four-year statute of limitations, unlike the standard three-year statute of limitations in the wage claim act, and create a pathway for claimants to choose either an administrative remedy or court, but not both simultaneously. Finally, the bill creates clarity by ensuring equal opportunity for advancement.

BILLS THAT DID NOT PASS Occasionally, bills do not make it through the legislative process. This occurs when there is still work left to do or maybe because there are legislators or key stakeholders who oppose the bill or concept. This is the fickle nature of politics and the public policy process.

Requiring diaper-changing stations in certain restaurants (House Bill 2758) This bill would have required that restaurants with seating capacity for 60 or more guests and a children’s menu have diaper-changing facilities available to both men and women. The Washington Hospitality Association worked with the sponsor of the bill to make some improvements to the bill. It failed, however, to make it out of the House committee. Problematic conduct of off-duty employees (Substitute Senate Bill 5667) Washington state is an at-will employment state, meaning an employee may be let go or may quit without notice. If this bill would have passed, it would have created grounds for filing an unfair labor practice if a person were fired for activity they participated in while not at work. This bill would have prevented employers from ending employment with their employee even if their behavior damaged the business’ reputation or was against company policy. This bill did not advance out of the Senate Labor & Commerce Committee. Tripling the penalty for wage theft (Senate Bill 5249) If an employer fails to pay an employee the wages owed to them, the employee may file a wage complaint with the state Department of Labor & Industries. This bill proposed to increase the employer liability from double to triple the amount of wages withheld. The Washington Hospitality Association was not active in opposing this bill during the committee hearing. However, there was no evidence provided that tripling the damages would create more claims or recover additional lost wages.

Increasing local lodging taxes for small cities sets bad precedent (Senate Bill 6010) During our regional meetings last fall, the Washington Hospitality Association State Government Affairs Team heard from members that there is further work to do to increase transparency in the local lodging tax process. That’s why when a new $3-per-night, per-room lodging tax was proposed for cities with fewer than 10,000 people, the State Government Affairs Team worked to prevent the bill from moving forward. Adopting a new tax without examining the existing local lodging tax transparency system sets bad precedent. Later this year, the Washington Hospitality Association will begin conversations about the local lodging tax to have more clarity on the topic. No new taxes despite many tax proposals This session saw the introduction of a number of tax proposals including a capital gains tax, several options for a carbon tax, changes to the real estate excise tax and the business and occupation tax and new taxes on drive-thrus and sweetened beverages. Although none of these proposals passed the Legislature this session, they are not going to go away. In future legislative sessions, tax reform will likely be a hot topic as the demand for state resources grows. Overall, the 2018 legislative session was a good session for the hospitality industry in Washington state. Over the course of the interim the State Government Affairs Team will be engaged with members, agencies and stakeholders as the rulemaking process is implemented.

May 2018 │ 17

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Heroes to Our Industry At the end of each legislative session, we recognize lawmakers who are true champions of our industry’s priorities. These legislators work hard to understand the unique challenges facing our industry, to educate their caucuses and to advocate on topics of particular significance for the hospitality industry. We applaud and thank each of our heroes for their tireless work on our behalf.

Sen. Christine Rolfes Sen. Christine Rolfes, D-Kitsap County, has earned our industry’s appreciation for being a champion of tourism. As chair of the Senate budgetary committee, Ways & Means, she used her powerful position to include tourism funding in the supplemental operating budget. Without her action, our state would not be looking forward to tourism funding – a top priority of the Washington Hospitality Association. First elected to the Legislature in 2006, Sen. Rolfes has successfully championed measures to stimulate entrepreneurship, remove duplicative state requirements for business Photo courtesy of Washington State Legislative Support Services. licenses, mandate state agencies to accept electronic document submissions from businesses, among many other legislative accomplishments. We appreciate her support for business and, especially, her critical role in making state tourism funding a reality in 2018. Thank you, Sen. Rolfes!

Sen. Judy Warnick Sen. Judy Warnick, R-Moses Lake, earned our appreciation as a hero of the hospitality industry for her co-sponsorship of the bill that brings tourism funding back to Washington state. Sen. Warnick grew up on a small family dairy farm in Deer Park, in Eastern Washington. She and her husband, Roy, own and operate a small business in Moses Lake and a family farm. She is keenly aware of the challenges facing small business owners, and we, in the hospitality industry, appreciate her support. Photo courtesy of Washington State Legislative Support Services.

20 │ wahospitality.org

Thank you, Sen. Warnick!

Rep. Kristine Reeves Rep. Kristine Reeves, D-Federal Way, is a profile in courage. An outspoken advocate for the business community even when it means standing up to her caucus, Reeves has been a valuable friend to the hospitality industry with a proven record of working to make Washington a more business-friendly state. Rep. Reeves also works for the Washington State Department of Commerce as the director of Economic Development for the Military and Defense Sector. Her role focuses on promoting public and private economic development as it relates to military bases, defense Photo courtesy of Washington State Legislative Support Services. industry suppliers, contractors and small businesses. She also works with community organizations in their engagement with the U.S. military in Washington. We appreciate Rep. Reeves’ support for our industry and look forward to working with her in the future. Thank you, Rep. Reeves!

Rep. Cary Condotta Rep. Cary Condotta, R-East Wenatchee, deserves our appreciation for his long-time support for tourism in Washington state. He understands tourism’s importance to our economy and tirelessly worked to make sure that 2018 was the year that tourism funding finally passed the Legislature.

Photo courtesy of Washington State Legislative Support Services.

Rep. Condotta has been self-employed for more than 30 years. He is a strong advocate for improving the small business climate, with an emphasis on the productivity of government and promoting regulatory reforms. He would like to see Washington state strengthen its economy through innovation and creativity – not increasing business or general taxes – while increasing opportunity and liberty across the state.

The Washington Hospitality Association has honored Rep. Condotta three times as a hero for our industry, and we would not be surprised if we also do so again in the future. He’s been a steadfast friend to hospitality and all people who own and operate businesses in Washington state. Thank you, Rep. Condotta! May 2018 │ 21

Voting Report Card for the 2018 Legislative Session Members of the House of Representatives and Senate took a combined 1,043 votes during the short 60-day 2018 legislative session. A voting record is important because it highlights the priorities and policy positions of each member of the Legislature. The votes selected for this year’s Washington Hospitality Association Voting Record represent top priority issues for the hospitality industry. Many of the votes included in the record are amendments which aimed to alter the underlying legislation to better serve the needs of the thousands of small hospitality businesses in Washington state.

Gender Pay Equity – Amd. 837: Changes look back period for wages and interest owed to 3 years

Gender Pay Equity – Amd. 838: Creating one unified policy through local preemption

Gender Pay Equity – Amd. 846: Prohibiting simultaneous civil and administrative action

Final passage of Misrepresentation of Service Animals

Final passage of Tourism Marketing as amended by the House

Supplemental Operating Budget- Amd. 697: Senate Republican Striking Amendment on the budget

Final passage of Supplemental Operating Budget per Conference Committee

SENATE

Date

03/01/18

03/02/18

03/05/18

02/23/18

03/08/18

Vote

Legislative District

Bill #

2SHB 1506

SHB 2822

E4SSB 5251

ESSB 6032

Outcome

24-25-0-0

46-2-1-0

49-0-0-0

23-25-1-0

25-24-0-0

WA Hospitality’s Position

Voting Score %

85.71%

Sen. Jan Angel (R)

Sen. Barbara Bailey (R)

85.71%

Sen. Michael Baumgartner (R)

85.71%

Sen. Randi Becker (R)

85.71%

Sen. Andy Billig (D)

42.86%

20 8

Sen. John Braun (R)

85.71%

Sen. Sharon Brown (R)

85.71%

Sen. Reuven Carlyle (D)

42.86%

Sen. Maralyn Chase (D)

42.86%

Sen. Annette Cleveland (D)

42.86%

Sen. Steve Conway (D)

42.86%

Sen. Jeannie Darneille (D)

42.86%

Sen. Manka Dhingra (D)

42.86%

Sen. Doug Ericksen (R)

85.71%

Sen. Joe Fain (R)

85.71%

Sen. Phil Fortunato (R)

85.71%

= 80% or better voting score

22 │ wahospitality.org

Gender Pay Equity – Amd. 838: Creating one unified policy through local preemption

Gender Pay Equity – Amd. 846: Prohibiting simultaneous civil and administrative action

Final passage of Tourism Marketing as amended by the House

Supplemental Operating Budget- Amd. 697: Senate Republican Striking Amendment on the budget

Final passage of Supplemental Operating Budget per Conference Committee

03/01/18

03/02/18

03/05/18

02/23/18

03/08/18

Final passage of Misrepresentation of Service Animals

Gender Pay Equity – Amd. 837: Changes look back period for wages and interest owed to 3 years

Date

Vote

Bill #

2SHB 1506

SHB 2822

E4SSB 5251

ESSB 6032

Outcome

24-25-0-0

46-2-1-0

49-0-0-0

23-25-1-0

25-24-0-0

WA Hospitality’s Position

Voting Score %

Legislative District

Sen. David Frockt (D)

42.86%

Sen. Bob Hasegawa (D)

42.86%

Sen. Brad Hawkins (R)

85.71%

Sen. Steve Hobbs (D)

33.33%

Sen. Jim Honeyford (R)

85.71%

Sen. Sam Hunt (D)

42.86%

Sen. Karen Keiser (D)

42.86%

Sen. Curtis King (R)

85.71%

Sen. Patty Kuderer (D)

28.57%

Sen. Marko Liias (D)

42.86%

Sen. John McCoy (D)

42.86%

Sen. Mark Miloscia (R)

85.71%

Sen. Mark Mullet (D)

42.86%

Sen. Sharon Nelson (D)

42.86%

Sen. Steve O’Ban (R)

85.71%

Sen. Mike Padden (R)

85.71%

Sen. Guy Palumbo (D)

28.57%

Sen. Jamie Pedersen (D)

42.86%

Sen. Kevin Ranker (D)

42.86%

Sen. Ann Rivers (R)

85.71%

Sen. Christine Rolfes (D)

42.86%

Sen. Rebecca Saldaña (D)

42.86%

Sen. Mark Schoesler (R)

85.71%

Sen. Tim Sheldon (D)

85.71%

Sen. Shelly Short (R)

85.71%

Sen. Dean Takko (D)

42.86%

Sen. Kevin Van De Wege (D)

42.86%

Sen. Keith Wagoner (R)

85.71% 83.33%

Sen. Maureen Walsh (R)

Sen. Judy Warnick (R)

85.71%

Sen. Lisa Wellman (D)

42.86%

Sen. Lynda Wilson (R)

85.71%

Sen. Hans Zeiger (R)

85.71%

= 80% or better voting score

May 2018 │ 23

Gender Pay Equity – Amd. 666: Creating one unified policy through local preemption

Amd. 669: Prohibiting simultaneous civil and administrative action

Final passage of Tourism Marketing as amended by the House

Supplemental Operating Budget as amended by the House

01/17/18

02/08/18

03/02/18

02/26/18

03/08/18

Final passage of Misrepresentation of Service Animals

Gender Pay Equity – Amd. 664: Changes look back period for wages and interest owed to 3 years

Date

Vote

Legislative District

Final passage of Supplemental Operating Budget per Conference Committee

HOUSE OF REPRESENTATIVES

Bill #

2SHB 1506

SHB 2822

E4SSB 5251

ESSB 6032

Outcome

47-50-1-0

46-51-1-0

47-50-1-0

98-0-0-0

50-46-2-0

54-44-0-0

WA Hospitality’s Position

Voting Score %

Rep. Sherry Appleton (D)

42.86%

Rep. Andrew Barkis (R)

85.71%

Rep. Steve Bergquist (D)

42.86%

Rep. Brian Blake (D)

42.86%

Rep. Vincent Buys (R)

85.71%

Rep. Michelle Caldier (R)

85.71%

Rep. Bruce Chandler (R)

85.71%

Rep. Mike Chapman (D)

42.86%

Rep. Frank Chopp (D)

42.86%

Rep. Judy Clibborn (D)

42.86%

Rep. Eileen Cody (D)

42.86%

Rep. Cary Condotta (R)

85.71%

Rep. Richard DeBolt (R)

83.33%

Rep. Tom Dent (R)

85.71%

Rep. Beth Doglio (D)

42.86%

Rep. Laurie Dolan (D)

42.86%

Rep. Mary Dye (R)

85.71%

Rep. Carolyn Eslick (R)

85.71%

Rep. Jake Fey (D)

42.86%

Rep. Joe Fitzgibbon (D)

42.86%

Rep. Noel Frame (D)

42.86%

Rep. Roger Goodman (D)

42.86%

Rep. Paul Graves (R)

100%

Rep. Mia Gregerson (D)

42.86%

Rep. Dan Griffey (R)

85.71%

Rep. Larry Haler (R)

71.43%

Rep. Drew Hansen (D)

42.86%

Rep. Mark Hargrove (R)

85.71%

Rep. Mark Harmsworth (R)

85.71%

Rep. Paul Harris (R)

85.71%

Rep. Dave Hayes (R)

85.71%

24 │ wahospitality.org

= 80% or better voting score

Gender Pay Equity – Amd. 666: Creating one unified policy through local preemption

Amd. 669: Prohibiting simultaneous civil and administrative action

Final passage of Misrepresentation of Service Animals

Final passage of Tourism Marketing as amended by the House

Supplemental Operating Budget as amended by the House

01/17/18

02/08/18

03/02/18

02/26/18

03/08/18

Bill #

2SHB 1506

SHB 2822

E4SSB 5251

ESSB 6032

Outcome

47-50-1-0

46-51-1-0

47-50-1-0

98-0-0-0

50-46-2-0

54-44-0-0

WA Hospitality’s Position

Voting Score %

Rep. Jeff Holy (R)

85.71% 42.86%

Legislative District

Final passage of Supplemental Operating Budget per Conference Committee

Gender Pay Equity – Amd. 664: Changes look back period for wages and interest owed to 3 years

Date

Vote

Rep. Zack Hudgins (D)

Rep. Morgan Irwin (R)

85.71%

Rep. Bill Jenkin (R)

85.71%

Rep. Laurie Jinkins (D)

42.86%

Rep. Norm Johnson (R)

100%

Rep. Ruth Kagi (D)

42.86%

Rep. Christine Kilduff (D)

42.86%

Rep. Steve Kirby (D)

42.86%

Rep. Brad Klippert (R)

85.71%

Rep. Shelley Kloba (D)

42.86%

Rep. Vicki Kraft (R)

85.71%

Rep. Joel Kretz (R)

85.71%

Rep. Dan Kristiansen (R)

85.71%

Rep. John Lovick (D)

42.86%

Rep. Kristine Lytton (D)

42.86%

Rep. Drew MacEwen (R)

85.71%

Rep. Nicole Macri (D)

42.86%

Rep. Matt Manweller (R)

85.71%

Rep. Jacquelin Maycumber (R)

85.71%

Rep. Joan McBride (D)

42.86%

Rep. Gina McCabe (R)

85.71%

Rep. Bob McCaslin (R)

85.71%

Rep. Joyce McDonald (R)

85.71%

Rep. Jeff Morris (D)

42.86%

Rep. Dick Muri (R)

85.71%

Rep. Terry Nealey (R)

75.00%

Rep. Ed Orcutt (R)

85.71%

Rep. Timm Ormsby (D)

42.86%

Rep. Lillian Ortiz-Self (D)

42.86%

Rep. Tina Orwall (D)

42.86%

Rep. Mike Pellicciotti (D)

42.86%

Rep. Strom Peterson (D)

42.86%

= 80% or better voting score

May 2018 │ 25

Legislative District

Final passage of Supplemental Operating Budget per Conference Committee

Supplemental Operating Budget as amended by the House

Final passage of Tourism Marketing as amended by the House

Final passage of Misrepresentation of Service Animals

Amd. 669: Prohibiting simultaneous civil and administrative action

Gender Pay Equity – Amd. 666: Creating one unified policy through local preemption

Gender Pay Equity – Amd. 664: Changes look back period for wages and interest owed to 3 years

Vote

Date

01/17/18

02/08/18

03/02/18

02/26/18

03/08/18

Bill #

2SHB 1506

SHB 2822

E4SSB 5251

ESSB 6032

Outcome

47-50-1-0

46-51-1-0

47-50-1-0

98-0-0-0

50-46-2-0

54-44-0-0

WA Hospitality’s Position

Voting Score %

42.86%

Rep. Eric Pettigrew (D)

Rep. Liz Pike (R)

85.71%

Rep. Gerry Pollet (D)

42.86%

Rep. Kristine Reeves (D)

42.86%

Rep. Marcus Riccelli (D)

42.86%

Rep. June Robinson (D)

42.86%

Rep. Jay Rodne (R)

85.71%

Rep. Cindy Ryu (D)

42.86%

Rep. Sharon Tomiko Santos (D)

42.86%

Rep. David Sawyer (D)

42.86%

Rep. Joe Schmick (R)

85.71%

Rep. Mike Sells (D)

42.86%

Rep. Tana Senn (D)

42.86%

Rep. Matt Shea (R)

85.71%

Rep. Vandana Slatter (D)

42.86%

Rep. Norma Smith (R)

85.71%

Rep. Larry Springer (D)

42.86%

Rep. Melanie Stambaugh (R)

100% 42.86%

Rep. Derek Stanford (D)

Rep. Mike Steele (R)

85.71%

Rep. Drew Stokesbary (R)

85.71%

Rep. Monica Jurado Stonier (D)

42.86%

Rep. Pat Sullivan (D)

42.86%

Rep. Gael Tarleton (D)

42.86%

Rep. David Taylor (R)

85.71%

Rep. Steve Tharinger (D)

42.86%

Rep. Javier Valdez (D)

42.86%

Rep. Luanne Van Werven (R)

85.71%

Rep. Brandon Vick (R)

85.71% 85.71%

Rep. Mike Volz (R)

Rep. Jim Walsh (R)

100%

Rep. J.T. Wilcox (R)

83.33%

Rep. Sharon Wylie (D)

42.86%

Rep. Jesse Young (R)

85.71%

26 │ wahospitality.org

= 80% or better voting score

Member Engagement Spotlight Our members are at the heart of the Washington Hospitality Association’s grassroots movement. Without your input, participation and perspective, the State and Local Government Affairs Teams would not be as strong as they are. Whether it’s attending Hill Climb or joining local meetings, it’s vital to meet local legislators face to face. Building these relationships is one of the single most important ways that Washington Hospitality Association members can get involved with advocacy efforts. This session, the State Government Affairs team wanted to highlight several members who went above and beyond to make sure their voices were a part of the legislative process as the team accomplished their goals.

Champions of Tourism Andy Olsen, Columbia Hospitality – Andy is our tourism superhero. As the lodging industry representative on the founding board of the Washington Tourism Alliance, and most recently as WTA’s fearless leader, Andy has led the multi-year charge in the effort to pass legislation to fund a statewide tourism marketing program. Early on he traveled the state to help promote a tourism marketing plan, and he has testified plenty of times before various House and Senate committees. Andy participated in countless action alerts, hill days, and meetings with legislators and industry advocates over the years. He truly led by example and did so with a smile on his face. Andy's steadfast efforts and dedication were essential to the passage of our tourism bill. Andy, thank you! Ron Oh, Holiday Inn Express – North Seattle Shoreline As an ambassador and member of two Association boards, Ron always goes above and beyond for the hospitality industry. Ron worked with Rep. Cindy Ryu, D-Shoreline, on efforts to help get our tourism bill past the finish line. He also participated in action alerts and recruited multiple members of the Korean American Hotel Association to attend Hill Climb and share their stories with legislators. Debbie Wardrop, Resort at Port Ludlow – During session, Debbie traveled to Olympia to testify in support of our tourism bill on behalf of the Association in front of the Senate Ways and Means Committee. She spoke passionately about the hospitality industry and shared the important role tourism plays for our industry and local communities, like Port Ludlow. Debbie’s testimony was amazing and instrumental in helping move our bill forward.

Don Malatesta, Inn at Mallard Cove – Don gave compelling testimony on the impacts of tourism on small business in front of the House Community Development, Housing and Tribal Affairs Committee. He included great personal anecdotes, which helped convey his message and were well received by legislators. Thank you! Julie McAferty, Green Lake Guest House – As the president of the Washington Bed and Breakfast Guild and a small bed and breakfast owner, Julie’s voice was instrumental to our tourism efforts and the bill’s ultimate passage. We leaned on Julie time and time again to share her story. Julie has been a tireless advocate (she’ll probably be looking for a sub-in next year) and deserves significant kudos for her important role in the passage of our tourism bill.

Standout Allied Members Randy Irvine, Food Services of America – Randy’s contributions to the hospitality industry and Association have been invaluable. From being the presenting sponsor at Hill Climb and Taste Our Best to providing important feedback on legislation, Randy is a strong industry advocate and supporter. Tami Kennedy, Bargreen Ellingson Spokane – Tami is our grassroots rockstar! She has participated in every single action alert we have sent out this year and has made a significant impact on our issues by connecting with and sharing her perspective with elected officials.

May 2018 │ 27

INDUSTRY CALENDAR May/June TRAINING May 21

ServSafe® Manager, Kent

June 5

ServSafe® Manager, Seattle

June 19

ServSafe® Manager, Kent

June 25

ServSafe® Manager, Everett

MEETINGS May 8

H.I.H.I.T. Meeting

May 9

Retro Trustee Meeting

May 9

Seattle Restaurant Alliance Board Meeting

May 9

MSC Sub Committee Meeting

May 10

Seattle Hotel Association Board Meeting

May 15

Spokane Hotel Motel Association Meeting

May 15

Spokane Chapter Board Meeting

June 6

Seattle Restaurant Alliance Membership Meeting

June 12

Board Development Committee Meeting

June 13

Seattle Restaurant Alliance Board Meeting

June 14

Seattle Hotel Association Board Meeting

June 19

Spokane Hotel Motel Association Meeting

June 19

Executive Committee Meeting

June 19

Spokane Chapter Board Meeting

UPCOMING EVENTS May 8

Hospitality Summit, Bellingham

May 14

Hospitality Summit, Tacoma

May 31

Education Foundation Hiring Event

28 │ wahospitality.org

NEW MEMBERS Best Western Liberty Inn – Dupont

Pilchuck Event Center, Marysville

Bluebird Kitchen + Dining, Woodinville

Poulet Galore, Seattle

Casa Ricardos, Kirkland

Prairie Park Holdings, Yelm

Classic Hospitality Services, Seattle

Quality Inn & Suites Liberty Lake – Spokane Valley

Cochinito Taqueria, Spokane

Quinn’s Tap, Seattle

Comfort Inn, Bellingham

Red & Black LLC, Seattle

GuestHouse Inn, Enumclaw

Residence Inn – SeaTac

Honest Biscuits, Seattle

Residence Inn University District, Seattle

Jersey Mike’s Subs, Gig Harbor

Shakedown, Bellingham

Joe Chocolates PPM, LLC, Seattle

Trotter’s Restaurant, Auburn

Little Euro, Spokane Valley

Vien Dong Restaurant, Tacoma

Logan Tavern, Spokane

Vios Cafe @ 3rd Place, Seattle

Mustang Grill & Rollerskating, Prosser

Waffle Stop, Tacoma

Nectar, Spokane

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Ask the Expert

Use the five R’s to increase menu profitability By Rick Braa, CHAE

This time of year we evaluate our menu for changes. In the past, we’ve done this on emotion rather than data. Where should we start our analysis?

Menus are the secret love affair of restaurant owners. They often reflect the founder’s aspirations and ideas of what is missing in the market. Evaluating the menu several times per year creates good habits that keep the brand fresh. Tracking what sells and, just as importantly, what doesn’t sell is a weekly task to identify trends and assist in adjusting the menu. The top 20 percent of items sold typically represent 70 to 80 percent of sales. Every item deserves a stringent analysis of whether it belongs on the menu. If analytical behavior is slack or absent the number of menu items will increase, creating opportunity for performance issues. It’s natural to retain items because a vocal guest may be upset if it disappears from the menu, but facts are facts; if it doesn’t sell, take it off. Smaller menus are easier to train, use fewer ingredients, make problem solving easier, increase table turns by reducing the time spent with the menu and, if engineered correctly, maximize margin. Evaluate your menu by day part, category and overall. There may be things that move at lunch rather than dinner and vice versa. Start by computing the gross margin on each item, and the number sold since the last menu adjustment. Once each item has been computed by total gross margin, a map occurs visually on how profitably your menu lays out. Each item will fall into a category such as high or low volume, above or below average margin. Use four R’s to determine which items should stay, which ones need work and which ones need to go. Retain high volume, above average margin items. These items carry the profitability of the menu. They tend to define the brand and create an opportunity on the upside to increase pricing. High volume, above average margin items are least resistant to price increases. They should be adjusted with every menu change. Since best sellers are most frequently purchased, ensure execution is perfect every time they come out of the kitchen since the restaurant will be judged highly, based on the number of purchases. Remember to reward these items with great

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menu placement. The top sellers in any list tend to be the top and bottom item. Make sure stars shine on the menu. Reprice high volume, below margin items. The number sold is high, indicating demand and guest satisfaction, creating a pricing opportunity. Because the margin is lower, move these items above the average margin line with price increases. Evaluate the accompaniments and portion to potentially reduce cost if prices can’t be adjusted. Replate or reprice low volume, above margin items. This is where the hard work comes in. These may be great items that for some reason don’t sell well. Perhaps guest or crew perception sees these items as lacking value, not reflecting the brand well or simply not interesting. By replating with higher-perceived-value accompaniments, guests may be persuaded to select these items. Examine pricing as well; it could be the guest isn’t associating pricing with value. A price decrease may be in order. Rethink low volume, low margin items. Emotion is tricky. These items may have been on the menu since inception or may even have a little following. The crew probably likes them and so do you. The problem is that they don’t sell. Remove these items or reinvent them. Move them to a specials sheet on occasion to capture the demand all at once rather than keep them on the menu. Make it a habit to think of how small you can make your menu and create room for new items more on trend. If a menu has 50 items, the top 10 items will make up 70 to 80 percent of sales, proving that plenty of items are not selling proportionately to effort. The challenge is to shrink your menu 20 percent by cutting the bottom items and not adding back. Use the specials sheet to create interest for testing and demand items, but keep them off the menu. Reduce the overall size of the menu and keep it fresh with new, replacement items, and you’ll see profitability increase. For a more information on improving profitability and driving performance, contact AMP Services at rbraa@ampservices.com. Rick Braa is the co-founder of AMP Services, an accounting and consulting firm specializing in helping companies grow profitability.

100% NATURAL REFRIGERATION DEHUMIDIFIERS RD Fresh will…        

TAKE A RISK FREE 30 DAY TRIAL. Your ﬁrst 30 days are free to see for yourself. We are a monthly service with no contracts ever. If after 30 days you don’t see the value, you owe nothing.

Increase food shelf life up to 50% longer Reduce humidity and food orders Reduce Cross Contamination Reduce the spread of bacteria Reduce temperatures up to 5 degrees Reduce Refrigeration cycles Extend compressor life Reduce energy costs

Since implementing RD Fresh I have noticed that my raspberries and prepped vegetables were lasting longer, and odors are at a minimum. The dampness of the cooler is lower; in fact crackers that were accidently opened than placed in the cooler were not soggy the next day. Rich Carlone Ex Chef Showare Center

Some of the best chefs in NW using RD Fresh: Chef Gabriel Rucker (James Beard award winning chef) of Le Pigeon Oregon (rated 6th best restaurant in America) and Little Bird Portland Oregon, all the El Gaucho Restaurants, Seattle Yacht Club, Seattle Seahawks, Chef Adam Hegsted 6 restaurants in Spokane area and another James Beard semi ﬁnalist chef, and many more. 206.795.0694 | www.gogreenwest.com | www.rdfresh.info | YouTube: gogreenwest

Real-Time Location Accuracy that leverages your existing Wi-Fi infrastructure.

HELP ALERT is I-124 Compliant There’s growing recognition in the industry that employees working in isolation are at risk for harassment and/or assault. With HELP ALERT, staff can promptly and discreetly notify security of a threat while remaining calm, knowing help is on the way—helping to avert an escalation to violence. In Seattle, such protection is mandated as part of initiative I-124 under which hotels are required to provide certain hotel workers with panic buttons. • • •

Hotel workers are wearing HELP ALERT in cities including New York, Washington, D.C. and Chicago. Similar mandates and/or ordinances are in the implementation stage in California cities, and elsewhere. Such protection is being requested with increased frequency by unions representing hospitality workers.

SLEEK NEW DESIGN

Ergonomic design, worn pendant style, clipped on or carried in pocket.

SILENT ALARM

When pressed, panic button discreetly alerts responders to staff under duress.

REAL-TIME LOCATION

Pinpoints and updates staff location as they are on the move.

MASS NOTIFICATION

Notify your employees of potentially serious and life threatening situations.

To learn how we can help safely secure your staff, visit www.rft.com or call 800.669.9946