4 minute read

Residents of Ellettsville, Indiana, have long voiced their desire for more local restaurants and food establishments. Social media platforms, especially Facebook, are filled with comments lamenting the lack of dining options in our town. As someone with experience in the hospitality industry and a candidate for state representative in District 46, which spans from Ellettsville to Terre Haute, I want to shed light on why our town lacks these establishments and what can be done to address this issue.

Staffing Challenges

The hospitality industry is currently facing a severe staffing shortage. Walk into any restaurant, and you'll notice that both the front and back of the house are often understaffed. One major reason is Indiana's tipped minimum wage, which mandates that employers pay tipped staff only $2.13 per hour. If tips do not make up the difference, the employer must bring the employee's wage up to $7.25 per hour. This low wage fails to attract and retain workers in an industry already known for its demanding hours and low pay.

Additionally, the COVID-19 pandemic led many hospitality workers to leave the industry for good. Some found remote work or shifted to careers that allow for a better work-life balance, realizing they no longer need to work nights and weekends to make a living. This shift has made it even harder for restaurants to find and keep staff.

Commercial Space Constraints

Ellettsville also faces a significant issue with the availability and cost of commercial space. While new constructions are popping up, such as the strip behind Starbucks, these spaces are primarily targeted at large corporations rather than independent, mom-and-pop businesses. With rents ranging from $25 to $35 per square foot per year, small businesses simply cannot afford these rates. As a result, we see more national chains moving in, provided their market research indicates our local economy can support their business model.

Population and Income Considerations

Our town's population is growing, and we are experiencing a housing crisis, with more affordable homes attracting young families. However, until both our population and average income levels increase significantly, market analytics will not favor the establishment of independent restaurants. The existing small businesses in Ellettsville manage to survive because they are not located in these new, expensive commercial spaces. Their rents are lower, but the owners often work unsustainable hours, and many accrue significant debt with little saved for retirement. The hope for these owners is that someone will eventually buy their business, but this is unlikely if the business is burdened with debt.

Local Government and State Regulations

Ellettsville does many things right. Our town government minimizes bureaucratic red tape, making it easier for businesses to set up here. Permitting is relatively quick, and the town is open to considering tax incentives for new businesses. This approach creates jobs and makes Ellettsville a more attractive place to live, work, and play.

However, Indiana's liquor laws pose a significant hurdle. These laws restrict the number of alcohol permits available based on population, and Ellettsville currently has no available permits. Alcohol sales are critical for many restaurants, as they offer high margins. Without the ability to serve alcohol, attracting chain restaurants becomes nearly impossible. Imagine a Chili's without margaritas or a Texas Roadhouse without beer. One potential solution is for the town to create a riverfront district, which would allow for an unlimited number of alcohol permits within a designated area. Even an underground river, like the Jordan River in Nashville, Indiana, could qualify for such a district.

A Broader Issue in Rural Indiana

This problem is not unique to Ellettsville; it affects rural areas across Indiana. Both political parties, mine included, have often overlooked small towns, focusing instead on larger metropolitan areas. The Democratic Party is particularly guilty of this, failing to sit down with rural Hoosiers to discuss the issues they face and the concerns they have in their communities. This is why I am running for state representative—not because I am a politician, but because I am a servant. My goal is to focus on economic growth in small towns to allow family-owned businesses to flourish.

Looking Ahead

This article is not intended to be doom and gloom. More restaurants and small independent businesses will eventually open in Ellettsville. However, my concern is that new construction will make it financially prohibitive for family-owned businesses to start and thrive here. As someone with a background in small business ownership and a keen interest in our town's development, I hope this article provides a clearer picture of the political, economic, and logistical challenges we face. By addressing these issues, we can work towards creating a more vibrant and diverse dining scene in Ellettsville.