As the COVID-19 pandemic began its assault on the United States, the liquor industry was one of the first sectors impacted. Restaurants and bars were forced to close, retailers saw their shelves stripped bare as customers stockpiled supplies, and spirits manufacturers converted their operations from distilling spirits to manufacturing hand sanitizer. As the pandemic continues, businesses have evolved by offering more carry-out options and finding creative ways to utilize outdoor seating areas. While businesses are finding new and innovate ways to do business, many states have passed sweeping legislation to help businesses adapt. In my last article, we were at the beginning of the COVID-19 pandemic and were just starting to see the many ways COVID-19 was impacting the liquor industry. Five months later, COVID-19 continues to shape the way the liquor industry does business.

According to the National Restaurant Association, the restaurant industry in the United States lost a total of $120 billion between March and May alone. It has been widely reported that this number could double by the end of the year, resulting in losses of $240 billion in the United States. In June, legislation was introduced in Congress to establish a $120 billion fund for independent food service or drinking establishments that had been decimated by the pandemic. The bill, widely known as the Restaurant Act of 2020, which stands for the Real Economic Support that Acknowledges Unique Restaurant Assistance Needed to Survive Act, or Restaurant Act, would provide grants to restaurants that are not publicly traded and have $1.5 million or less in revenue under normal circumstances. If passed, the grant could be used to cover payroll, benefits, mortgage, rent, protective equipment, food or other costs. It would provide additional or substitute funds to loans provided through the Paycheck Protection Program (PPP), which Congress passed in the $2.2 trillion coronavirus relief package in March, for restaurants to spend more on overhead costs, as well as payroll. While the Restaurant Act of 2020 appears to have a great deal of bipartisan support, it has yet to be voted on by either house.