NASHVILLE, Tenn. (WTVF) — Nashville business owners and community leaders warn that recent immigration enforcement operations could damage the local economy as Latino residents avoid public spaces out of fear.
Francisco Elias, who owns El Cubilete restaurant on Harding Pike and six other establishments, reports a 40% drop in sales since Immigration and Customs Enforcement (ICE) and Tennessee Highway Patrol operations intensified.
"At the end of the day whether they want it to or not, it's going to affect the local economy," Elias said.
The economic impact extends beyond just lost sales. Elias contributes up to $70,000 monthly in state sales tax revenue from his businesses, money that could diminish significantly if current trends continue.
Since May 3, Tennessee Highway Patrol troopers have conducted 369 traffic stops in Davidson County, with ICE detaining 94 people found to be in the country illegally.
The Nashville Hispanic Chamber of Commerce warns these enforcement actions could trigger wider economic repercussions throughout the city.
"Everybody in this town is a consumer, is a client of someone, spends money, brings revenue, it's going to be an impact," said Yuri Cunza, President and CEO of the Nashville Hispanic Chamber. "This is natural to assume that."
Historical precedent suggests cause for concern. A study by the American Immigration Council documented that a town in Iowa experienced a localized economic recession lasting months after ICE arrested 90 immigrants in 2006.
The current situation has already forced Elias to cut employee hours, potentially affecting workers' ability to spend money at other local businesses.
"The community is scared," Elias said.
What would typically be a bustling lunch service at El Cubilete has become unusually quiet. A video taken Wednesday morning showing authorities making stops nearby has further heightened community fears.
Metro Councilwoman Sandra Sepulveda, who represents the district with the largest Latino population in the county, confirmed on Instagram Live that ICE arrested two people in her district on Wednesday.
"There's a lot of people who are scared to go buy groceries, to send their kids to school, to go to work," Sepulveda said. "So, it's a very difficult time."
The economic ripple effect is spreading beyond restaurants to other businesses in predominantly Latino areas.
"I would really encourage you to go to the small businesses that are Latino owned, because they really do need our help right now," Sepulveda said.
Elias notes that bakeries, convenience stores and other retail establishments are also experiencing significant customer declines. He's considering expanding delivery services to reach customers afraid to leave their homes—an additional business expense that could further strain his operations.
Elias quotes have been translated by Patsy Montesinos from Spanish to English.
Are you a business impacted or do you know someone who is staying home due to fear? You can email immigration reporter at Patsy.Montesinos@Newschannel5.com
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