Notice is on December paper/PDF statement:
It's inconsiderate to make this change effective during the busy holiday travel period. I suppose Priority Pass can remotely update the restaurant terminals to reject Capital One sponsored memberships, but the restaurants need time to train their staff. I daresay that many cardholders do not read their PDF statements, and will know nothing about this change until they try to use a restaurant on their post-holiday return flight. "But it worked last week!"
It won't be rejected. You'll be charged $28/visit. It's stated as a warning when you look at restaurants in the PP app.