The roller coaster that is COVID-19 is a confusing one, particularly for Texas residents who are left to watch other states take steps to fully reopen while the Gov. Greg Abbott takes a conservative approach.
The debate to fully reopen in the Lone Star State gained more steam following Florida Gov. Ron DeSantis’ decision to move into Phase 3 as the state’s cases had dropped significantly.
“What that means for restaurants is that there will be no limitations in the state of Florida,” DeSantis said, FOX 4 reported. “I think this is very important to the industry.”
By comparison, Abbott recently relaxed mandates to allow 75% occupancy in restaurants. With social distancing, some restaurants are still stifled to maximize potential profits. The Texas Tribune said the new order does not impact the Rio Grande, Laredo and Victoria regions.
In addition to restaurants, the Texas Tribune reported the order will not relate to bars, which Abbott referred to with the description of "nationally recognized as COVID-spreading locations."
Under Phase 3 in Florida, local governments can put some restrictions on facilities, NEWS 4 reported. Non-essential travel can also continue with unrestricted staffing of worksites and in-person attendance at town meetings. Fines will also be lifted for not wearing masks and social distancing violations. It is a path Dr. Ray Perryman, president and CEO of the Perryman Group, recommends.
“That said, additional social distancing requirements would slow the recovery,” Perryman previously told the Lone Star Standard. “We've seen notable job gains as high-contact businesses such as restaurants and retail stores have reopened, but that pace cannot be expected to be maintained. If additional distancing is implemented, the recovery would clearly slow even further.”
Texas can ill afford to move backward with substantial damage having been done to the state’s economy. Bankruptcies have doubled since February and thousands of Texans are filing initial unemployment claims each week. More than 3.5 million have filed since March, more that all of the past year combined Texas Business Daily reported. Live events, hotels and the tourism industry continue to suffer with millions in profits lost and thousands of lost jobs.
“Our latest forecast calls for a decrease in real gross product of -4.96% this year compared to 2019, which is a decrease of about $945.8 billion for the U.S. The loss in Texas is projected at about $90.2 billion,” Perryman previously told the Lone Star Standard. “We expect the economy to gain most of this loss back in 2021 and to restore 2019 output levels in early 2022. It's important to remember, however, that the growth the state should have experienced this year has also been foregone. It will take a few years to restore the long-term trend, but we should be able to do so.”
