The words from Massachusetts Gov. Charlie Baker on Monday were meant to offer some hope for small business owners as he spoke of reopening industries within the state. For restaurant owners, it was what he failed to mention that evaporated any reason to hope.
As restaurants continue to withstand revenue losses of more than 75% over the last two months amid the coronavirus pandemic, Monday’s plan revealed little new information to guide the industry forward.
“I don’t want to sound like a Debbie Downer but there’s not enough cash, you can’t borrow enough money,” co-owner of Bay State Brewing Company Chip Jarry said. “You don’t throw a brick to a drowning man. That’s kind of what it feels like, but I also understand the health concerns people have. I just don’t know.”
Restaurants were again left searching for answers as to how they may reopen after Baker restricted on-site dining in March.
Baker said restaurants and hospitality fall into phase two. Each phase could last as little as three weeks, meaning restaurants could reopen with limited capacity in the middle of June.
However, reopening a new phase is predicated on health data, and negative metrics could force officials to delay another phase or return to a previous phase.
“I feel very helpless and I don’t like feeling that way,” owner of Niche Hospitality Group Michael Covino said. “I don’t like feeling that way because I want to take the information I have, assimilate it, form a plan and let my staff and team know this is my game plan.”
Covino said morale within his staff and among the hundreds people he laid off is worsening as information remains scarce on reopening. He said he has developed a number of plans, but feels like he can’t implement any because he’s received no guidance from the state.
The restaurateur expected the industry to fall within phase two. What angered him Monday was the fact that after two months, state officials told restaurants to continue waiting without any direction.
“I’m getting discouraged not because I don’t want to conform to the rules,” Covino said. “At some point there’s an arbitrary pick and choose of what the government thinks is safe for the consumer. You can’t tell me it’s safer to go grocery shopping than it is to go to a restaurant.”
At the very least, Covino thought guidelines would be laid out so that restaurants could prepare for the potential in opening in three weeks.
He also expected Massachusetts to possibly follow the lead of Rhode Island and New Hampshire in allowing restaurants to serve patrons outside, while prohibiting indoor dining.
“This industry provides a massive amount of jobs for this state and a massive amount of tax revenue and for them to just throw us aside and say, not only are you in phase two, but we haven't gotten around to it, is the ultimate slap in the face in my opinion,” Covino said.
In previous weeks, restaurateurs like Covino, expressed understanding and a commitment to work with state and local leaders to aid in combating the pandemic.
Last month in anticipation of a surge in Worcester, Covino closed his restaurants out of an abundance of caution in order to help the city.
"Obviously, every restaurateur is disappointed with the lack of a defined re-opening date in today’s announcement,” the Massachusetts Restaurant Association said in a statement. “Massachusetts restaurants need their suppliers to have time to restock perishable inventory before it can be delivered to them, they need to notify employees about returning to work and conduct other due diligence to ensure restaurants can open effectively.”
The only new information specifically for the restaurant industry included that the restaurant and hospitality working group met on May 15. When detailed plans are available for restaurants they will be released.
“It’s sort of nothing new,” developer of the Worcester Public Market Allen Fletcher said. “That’s not a criticism, it’s still hard to predict.”
Prior to Baker’s announcement on Monday, Fletcher hoped to reopen the Worcester Public Market on June 4. Portions of the market that focus on retail can begin a limited reopening on May 25. A best-case scenario would allow restaurants to follow two weeks later. Fletcher, though, hopes to reopen the entire market as a whole.
Fletcher now targets the week of June 15 as the goal to reopen the space in Worcester’s Canal District.
“I think by the time we get four weeks [from Monday], there will almost be a popular mandate to open. People are just going to be out there,” Fletcher said. “ I don’t think recklessly, but, man, this gets old.”
While Fletcher hopes the market can reopen the third week of June, he said nothing is set in stone since no detailed plans have been offered to restaurants.
For restaurants who applied and received Paycheck Protection Program loans, the funding was only provided to run through the end of June.
Regardless of any funding, Baker’s plan calls for restaurants to operate at least into July on a limited capacity basis.
Some restaurant owners anticipate the limit may be 25%. Small businesses weren’t built to serve a quarter of their clientele.
“If you took a business plan to a lender and said we expect to generate ‘X’ amount of revenue, oh by the way we’re only going to have 25% of the expected customers, they’d laugh in your face,” Jarry said.
Jarry is confident Bay State Brewing Company can navigate through the summer at a 25% volume.
He’s more concerned about a spike in cases or a second wave of COVID-19 returning the fall. It could potentially force restaurants to return to takeout only or even worse shut down.
It’s a recipe, he and others are no longer able to stomach.
“If there’s another winter wave, then what do you do?” Jarry said. “The bills don’t go away.”
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