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More than $12M went to restaurants Federal grant money used to pay bills

More than $12 million flowed into Butler County restaurants from a federal grant program aimed at revitalizing eateries impacted by COVID-19.

Data from the Small Business Administration show 38 restaurants in the county received slightly more than $12 million from the Restaurant Revitalization Fund, with recipients stretching from Saxonburg to Slippery Rock and grant amounts spanning $6,000 to more than $3.5 million.

The largest amount, of $3.56 million, went to Armstrong Foods Inc., which operates the Ponderosa Steakhouse at Clearview Mall. That amount was more than thrice what the county business with the second-highest grant received, as BDNPL Operations LLC, which operates North Park Lounge in Cranberry Township, was granted $893,171.

Jack Cohen, director of Butler County Tourism and Convention Bureau, said the disbursements, no matter the size, will help the more than three dozen grant-receiving restaurants as they recover from the impact of COVID-19.

“The smaller (grants) are obviously for smaller restaurants, but that little bit of money could help pay off the utilities they haven't been able to pay,” Cohen said. “Some get caught up with food service companies, and others, trying to get and keep good employees: they may want to give money to those people.”

In other words, said Butler County Chamber of Commerce executive director Jordan Grady, the restaurants got some help.

“Those amounts are significant, and I would guess that they really change the scope of operations for the restaurants that received them,” Grady said.

Restaurants which applied for the grants could use the funds for payroll expenses, mortgage and rent payments, debt, utilities, maintenance, food and beverage, operating expenses and constructing outdoor seating. Cohen said he appreciates the federal government's effort to make the businesses whole, saying the COVID-19 pandemic threw a wrench into a business he described as having a 5% markup on foods.

“I am extremely happy for those restaurants the government helped — I really am — and they should be really happy they got it,” he said. “Those that didn't apply should start thinking twice if it comes up again.”

That last point — of constructing outdoor dining — scored some points for Grady, who said he expects some restaurants to “implement something into their operations that helps them advance into this post-COVID restaurant future that we're soon to be living in.”

Although nearly 40 restaurants in Butler County received grants through the program, Cohen said he was disappointed that figure wasn't higher. He said some business owners told him they couldn't receive a grant because the SBA had run out of funding for it.“It would be great if the feds put more money into the program and were able to help those restaurants that still need it,” he said.The pandemic, said Grady, forced “unimaginable trials and tribulations” upon local businesses. He added he was glad to see local restaurants on the list of recipients, as that means the funds weren't solely allocated toward “the larger operations.”Because the funding for restaurant grants took into account funds received via the Paycheck Protection Program — for eateries launched before 2019, the maximum funds they could receive was the difference between 2019 and 2020 gross receipts, minus any PPP loan — double-dipping wasn't a concern. What was a concern, Cohen said, was the ability of those in need to receive what they need.Still, he said, the grant program has created some good in an industry seemingly devoid of any good news during the past 16 months.“There are a lot of restaurants that needed help, and this was a great opportunity from the federal government to help,” he said. “All the restaurants that needed help should've filled that (application) out because the odds of the federal government putting more money in is still pretty good.”

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