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Bringing the FDA into the 21st Century

Seventy-six million. That’s how many Americans each year get sick from something they eat. Of the 76 million, 350,000 end up in the hospital and 5,000 end up dead.

Seventy-six million people. Roughly one fourth of the total U.S. population, it seems a rather high figure, particularly when we’ve figured out how to swap, replace, and reconstruct human organs. One would think figuring out how to make a safe hamburger would be a cinch.

But understanding why, in an age of spectacular ingenuity, eating remains so dangerous an activity, it is helpful to look at another number: 72. This is how many years have passed since the passage of the Federal Food, Drug and Cosmetic (FD&C) Act, the piece of legislation that still governs much of the nation’s food-safety system.

To be sure, the FD&C Act has been amended many times over the years to meet needs Congress could not have foreseen in 1938. But there is now consensus that the bill is a fundamentally inadequate protection against modern safety hazards like E. coli, Salmonella, and other dangerous pathogens that can contaminate the food supply, causing widespread outbreaks and damaging the reputation of the foodservice industry, particularly restaurants. As David Plunkett, attorney with the Center for Science in the Public Interest, says,

“We can’t continue to operate as if it’s 1938.”

The FD&C Act came in response to hazardous foodservice practices like “pouring coal tar and various other ingredients into products in order to make them look more attractive … to really fool the customer,” Plunkett says. It gave the FDA a “police power” to criminally prosecute companies engaging in such practices.

“That’s not the problem we’ve got today,” Plunkett says. “The contamination and the illness and the death is inadvertent. It’s not something that’s criminal.”

Hence the need for a new legislative framework to ensure food safety in the 21st century.Read more

After crisis, bankers turn to restaurant industry

Amid the global financial crisis, with the world’s largest banks reporting losses in the billions of dollars, Duane Clark, a 24-year veteran of the commercial banking industry, did something he never expected to do: He opened a smoothie shop. 

“I always swore I would never go into the restaurant business,” Clark says. “I always called it the beast. You live it, you drink it, you eat it—that’s your life.”  

But in October of 2009, Clark opened a Tropical Smoothie Café in Panama City Beach, Florida. On June 12, he opened a second location further north along the Sunshine State panhandle in Pensacola.

At AmSouth Bank (now Regions Bank), Clark had helped Tropical Smoothie Café, which is based in Destin, Florida, get financing to open several locations. Over the years, he met the company’s corporate officers and gained a nuanced understanding of how Tropical Smoothie operated.

As a banker, Clark knew how to evaluate an investment, and he concluded that a concept offering low-priced food and smoothies was a winner in a down economy. He also liked Tropical Smoothie’s young, health-conscious customer base.     

But above all, Clark was looking for something steady after one of the most chaotic years in the history of global finance, when giant banks teetered and some, like Lehman Brothers, toppled. 

“The draw was the stability, and that quick service has shown such growth trends,” Clark says.

With a money background, Clark says he avoided a common mistake of the upstart restaurant operator: incorrectly assessing costs.

“Most people getting into it don’t understand the financing, and financing is crucial,” he says. “They don’t know how to manage their cash.”Read more

The potential risk and reward of the food-allergy market

When Matt Mitchell was four years old, his parents took him out one night to McDonald’s for a hamburger. But when he bit into it, he tasted cheese. For most people, getting the wrong order is, at worst, a nuisance. But as far as restaurant patrons go, Mitchell isn’t most people. Not long after taking that first bite, his body rebelled.

“I started vomiting, I was covered in hives, it was difficult to breathe,” Mitchell, now 20, says.

He was going through anaphylaxis, an extreme, often life-threatening reaction to an allergen. Mitchell is allergic to dairy, one of eight common ingredients that account for 90 percent of all food allergic reactions. (The others are egg, peanut, tree nuts, fish, shellfish, wheat, and soy.)

While he did not go to the hospital that night—“probably not a very wise idea in hindsight,” he says—he had to take medicine to avert dire consequences.

Mitchell is one of millions of Americans with food allergies, which are becoming more prevalent and severe nationwide, according to the Food Allergy and Anaphylaxis Network (FAAN).

While the exact number of those with food allergies was recently questioned in a University of California study by Dr. Marc Riedl (he estimates only about 8 percent of children and less than 5 percent of adults), the challenges these diners pose for restaurants is undoubtedly mounting. In a 2007 study, FAAN found that of the 63 food allergy–related fatalities between 1996 and 2006, half involved restaurants.

That statistic, advocates for the food-allergy community say, suggests a lack of awareness in the restaurant industry.

“I’ve gone into restaurants where, based on the dialogue I had with them, I could tell that they really didn’t understand enough to be able to serve us safely, and I’ve had to get up and walk out,” says Lynda Mitchell, Matt’s mother and president of the nonprofit Kids With Food Allergies.Read more

Restaurants: Don't pass the salt ... legislation

With the release of an Institute of Medicine (IOM) report recommending the government regulate the amount of sodium in the nation’s food supply, the restaurant industry says it wants to take action—on its own.

“The industry supports a voluntary, incremental approach to reducing sodium levels in menu items, and would have concerns about any potential government mandate that creates a one-size-fits-all rule to ingredient standards,” the National Restaurant Association said in an April 20 statement, released the same day as the IOM report.

Across the industry, operators have bridled at possible sodium regulation, especially since it would force them to lower the amount of salt on their menus. Salt is the primary source of sodium and, many contend, flavor in foods.

“There is no need to have a government mandate,” says Paul Mangiamele, CEO of Salsarita’s Fresh Cantina. “What’s next, the government mandates what a customer can eat?”Read more