ILBA INFORMATIONAL UPDATE JUNE 4, 2020
COVID19 DISRUPTION – THURSDAY JUNE 4, 2020
GOVERNOR PRITZKER SIGNS “COCKTAILS TO-GO”:
- Cocktails To-Go Recap:
Sealed container – means a new rigid container, has a secured lid or cap designed to prevent consumption without removal of the lid or cap and is tamper-evident. DOES NOT include a container with a lid with sipping holes or openings for straws or a container made of plastic, paper, or styro-foam (consider mason jars that are used for canning). Tamper-evident – means a lid or cap that has been sealed with tamper-evident covers, including, but not limited to, wax dip or heat shrink wrap.
Label must be on the container with the following information: Name of drink, list of ingredients, business name, license number, address, volume and date (date cannot be more than 7 days from the date of sale).
Placement – must be placed in the trunk or far rear compartment of vehicle if no trunk available.
No 3rd party deliveries are allowed.
Cocktails To-Go will be allowed for 1 year through June 2, 2021.
WBEZ RADIO CHICAGO – CLAUSNER INTERVIEW REGARDING COCKTAILS TO-GO:
Wednesday, June 3, 2020 – All Things Considered Hour 2 at 4:04pm. https://www.wbez.org/schedule
NATIONAL – ABL – PAYCHECK PROTECTION PROGRAM FLEXIBILITY ACT:
As part of a broad coalition that pushed for legislative modifications to the Paycheck Protection Program (PPP), American Beverage Licensees (ABL) and the Illinois Licensed Beverage Association (ILBA) applauds the Senate’s passage of the Paycheck Protection Program Flexibility Act, which will provide Main Street beverage alcohol businesses with greater flexibility and a more realistic time frame to use the program as intended.
- COVERED PERIOD: Extends the PPP loan forgiveness period to include costs incurred over 24 weeks after a loan is issued or through Dec. 31, whichever comes first; instead of within 8 weeks of receiving funds or by June 30. Businesses that received a loan before the measure is enacted can keep the current eight-week period.
- 75/25 MANDATE ON PAYROLL/NON-PAYROLL EXPENSES: Requires businesses to spend at least 60% (instead of 75%) of their PPP funds on payroll expenses to qualify for full loan forgiveness. Under the new measure, up to 40% of loan funds can be used for nonpayroll expenses such as rent, utility payments and mortgage interest.
- PAYROLL TAX DEFERMENT: Repeals a provision from the CARES Act that prohibited companies with forgiven PPP loans from deferring their payroll tax payments. PPP participants will now have full access to payroll tax deferment.
- LOAN TERMS: Establishes a minimum loan maturity period of 5 years following an application for loan forgiveness. The current period is 2-years as set by the SBA. This provision would apply to PPP loans issued after the measure is enacted. Borrowers and lenders could still agree to extend current loans.
- LOAN FORGIVENESS REDUCTION FOR FTE EMPLOYEE RETENTION: Extends to Dec. 31, from June 30, a period in which loans can be forgiven if businesses restore staffing or salary levels that were previously reduced; Maintains forgiveness amounts for companies that document their inability to rehire workers employed as of Feb. 15, and their inability to find similarly qualified workers by the end of the year. Companies would be covered separately if they demonstrate that they could not resume business levels from before Feb. 15 because they followed federal requirements for sanitization, social distancing and other public health requirements.
- PAYMENT TERMS: Allows borrowers to defer principal and interest payments on PPP loans until the SBA compensates lenders for any forgiven amounts, instead of the current six-month deferral period. Borrowers that do not apply for forgiveness would be given at least ten months after the program expires to start making payments.
ILLINOIS LIQUOR CONTROL COMMISSION UPDATES EFFECTIVE JUNE 2, 2020:
1) Frequently Ask Questions
2) Dram Shop Liability Insurance
3) Guidance on Expiring State Licenses and License Renewal Dues
4) Governor signs the bill allowing – Sales and Deliver of “To Go” Mixed Drinks/Cocktails
5) Temporary Delivery of Alcoholic Liquor
Go to ILCC website for details – https://www2.illinois.gov/ilcc/Pages/Home.aspx
EXPIRED BASSET CARDS:
The ILCC has not set a policy to extend expired BASSET cards. If a Basset Card has expired, it can be renewed on-line at www.ilba.net or reach out to your local ILBA Chapter to determine when a sit down class will be scheduled. At this time there can only be a sit-down class of 6 or less people. Classes are usually 20 or more, so it could be a while before a sit-down class is scheduled. If you have any questions regarding the on-line option, call the State Office at 217-523-3232.
Daniel D. Clausner
Executive Director, Illinois Licensed Beverage Association