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By Stan Harris
CEO & president of the Louisiana Restaurant Association

This piece was a guest column in the Beltway Beat by LaPolitics, part of the State Affairs network, February 28, 2024. 

Louisianians love celebrations, and each of these occasions—be it a birthday, anniversary, or the opening of football season—involves our world-famous cuisine. The heritage of the French or Spanish settlers is always noted, but the residents from Europe, Africa, or the Caribbean all impacted the development of our food and traditions.

This is one state where if a resident says they can cook it “better,” take them at their word. Our Louisiana restaurants have to serve food better than our average home cook. Many enter the restaurant business with their grandmother’s recipes, their life’s savings, and the entrepreneurial drive to succeed.
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Operating a restaurant today is more challenging than ever. As the LRA President and CEO, I worked in the industry for almost 30 years. And since joining the LRA in 2010, I’ve advocated for our restaurant industry every day. It is my passion.
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On the federal level, the LRA partners with the National Restaurant Association on critical issues facing our industry. We engage in federal policies that directly impact restaurants and hospitality businesses.

Currently, here are our top three issues: The increase in credit card processing fees continues to burden restaurant operators, affecting their costs. The bipartisan Credit Card Competition Act seeks to lower credit card processing fees. Despite efforts to advance the act, our progress has stalled as larger banks scare consumers with the loss of rewards programs or “points” for rewards.

Recently, the Tax Relief for American Families and Workers Act (H.R. 7024) passed the U.S. House with a bipartisan majority. This is a significant step toward providing relief to restaurants grappling with financial challenges lingering from the pandemic. This would restore EBIDTA interest deductions and implement 100% bonus depreciation for equipment and vehicles. These measures would foster economic recovery and sustain local communities.

Now in the U.S. Senate, we urge Senators John Kennedy and Bill Cassidy to support the passage of this legislation, underscoring its positive impact on Louisiana's restaurant industry.

Finally, our industry was blindsided by the Federal Trade Commission’s (FTC) proposal to ban fees and inclusion of charges to the guest check that aren’t priced into the menu. We advocate for transparency and value in fee structures. Restaurants would be barred from including service charges for group dining, credit card surcharges, or delivery fees. This regulation could increase a restaurant's costs as they consider options that don’t directly raise menu prices.

We believe the FTC's proposal exceeds its authority and have provided comments, noting both the rule's potential impact and the diverse needs of restaurants across the nation.

The LRA champions policies that encourage growth and sustainability for our unique restaurant industry and culture. We engage with elected officials and industry stakeholders to navigate these complex issues, as well as foster an environment conducive to the success of the hospitality industry. Since 1946, Louisiana’s restaurants have relied on the LRA to be their voice and advocate at all levels of government.