4 DECEMBER 31, 2020 RIDGEWOOD TIMES WWW.QNS.COM
Small biz owners say stimulus package is ‘too little’
BY ANGÉLICA ACEVEDO
AACEVEDO@SCHNEPSMEDIA.COM
@QNS
President Donald Trump fi nally
signed the much awaited and
disputed COVID-19 stimulus
package before the Monday, Dec. 28,
deadline, but small business owners
in Queens aren’t as enthusiastic this
time around.
The $900 billion stimulus package,
a 5,000-page legislation that has been
in negotiations for months, has many
measures including relief checks,
unemployment benefi ts, an evictions
moratorium extension and $284
billion for the Paycheck Protection
Program (PPP)’s “Second Draw.”
“The small business owners I’m
in touch with have this sense that
it’s too little, way, way, way too late,”
said Jaime-Faye Bean, executive director
of Sunnyside Shines Business
Improvement District. “I have places
that are closing as of Dec. 31. If they
had access to several rounds of PPP
or other aid, the outcome may have
been diff erent.”
For months, small businesses in
Queens have called for help in the
form of grants, tax breaks and rent
relief in order to survive the pandemic.
With a second wave already
underway in New York City and restrictions
imposed by Gov. Andrew
Cuomo, such as an indefi nite stop to
indoor dining, some businesses feel
they’re running out of time.
“I’m thankful it passed, I think
all businesses are happy about it,”
said Roseann McSorley, co-owner
of Katch Astoria and leader of Sen.
Michael Gianaris’ western Queens
business committee. “But there’s a
small business crisis right now. Even
though it passed, it’s going to take a
while to get it.”
It may take the administration a
few weeks to begin distributing the
aid, but some are hopeful that the
trial and errors of the PPP program
from months past will make for a
smoother rollout.
However, McSorley was disappointed
that the Restaurants Act, a
bipartisan bill that would provide
$120 billion in grants to small bars
and restaurants to make up for lost
revenue due to the pandemic, wasn’t
in the stimulus package.
Thomas Grech, the president of
the Queens Chamber of Commerce
said about 1,000 out of nearly 6,000
restaurants in the borough have
permanently closed since March. He
anticipates even more restaurants
will close aft er the holidays, a time
when eateries would normally make
most of their profi t.
“It’s completely unacceptable, and
unbelievably does not include the
Restaurants Act. While I understand
provisions of legislation include
funds for PPP loans, the Restaurants
Act, a bipartisan piece of legislation
off ered direct grants — not loans —
to restaurants. We expect further
closings and displacement of many of
Queens beloved food institutions.”
In terms of retail, Grech believes
it’ll continue to see challenges with
lockdowns, but may receive help
from the PPP.
Bean, who noted the retail industry
was already experiencing hard times
before the pandemic, has seen some
of the few local retailers in western
Queens have a relatively good year
due to the recent months’ push to
shop small and local.
“It’s been a mixed bag,” said Bean.
“The problem is not all retail is
trendy. We need the government to
help those that don’t fi t that way but
the neighborhood still needs.”
The administration made some
updates to the PPP program, aft er
months of advocacy from small business
owners, such as a maximum loan
amount of $2 million (down from $10
million) for companies that employ
less than 300 people (down from 500
people), according to Forbes.
Eligible businesses still must
spend 60 percent of their loan on
payroll, and 40 percent on other expenses.
While the original PPP was
mainly intended for payroll and in
some cases rent, the new version allows
for the other portion to be used
on other expenses, such as personal
protective equipment.
The loans are tax exempt and
businesses may also apply for
loan forgiveness if compliant with
guidelines.
But Shawn Dixon, owner of Otis
and Finn Barbershop with locations
in Long Island City and Greenpoint,
said business owners’ “hands are
tied” due to the 60 percent restriction
on payroll.
“New York City is diff erent from
other places in that rent is our
biggest cost. I understand the fi rst
time around was to keep unemployment
rates low, but it made it more
diffi cult to keep our workers,” said
Dixon. “As business owners, our fi rst
priority is the people who work for
us, but if you’re going to give people
this money they can’t use on other
expenses, it doesn’t make sense. We
want to help them but we need to
make money and pay our bills.”
He added that it’s diffi cult to follow
guidelines that are, essentially, still
being written and revised. Dixon,
who noted several of his competitors
have already shut down for good,
believes that what businesses really
need is rent relief.
“The only real way out for everybody,
small businesses and tenants,
is rent relief,” said Dixon. “It’s the last
thing politicians want to do but it’s
what we need.”
The stimulus package also includes
$15 billion for live venues, independent
movie theaters and cultural
institutions, through the Save Our
Stages Act.
Kambri Crews, founder of Q.E.D.
in Astoria, said that while she’s grateful
the stimulus includes Save Our
Stages, she’s jaded about the process
and unsure whether it’ll make a signifi
cant enough diff erence for her
performance venue.
“If we don’t get it, I don’t think we
could stay open. I’m out of money,”
said Crews, who opened Q.E.D. six
years ago. “Q.E.D. had a fl ush bank
account, zero debt, and now that’s
all wiped out. I used my life savings
to open Q.E.D.; I don’t want to go into
more debt.”
Cultural institutions in NYC have
been closed and making zero revenue
for nine months, with no opening
date in sight. Some have gotten
creative with virtual entertainment
or relied on donations, but, unlike
restaurants, aren’t allowed to host
ticketed events outdoors yet.
As a result, beloved places like The
Creek and The Cave in Long Island
City have permanently shuttered.
“The reason why this act is so important
for theaters and communities
is because they fuel the economic
ecosystem for entire neighborhoods,”
said Crews. “For every dollar spent at
one of these venues, an additional $12
is spent somewhere nearby. When
you fuel the arts, that fuels all restaurants,
bodegas, Uber, MTA. Not just
in New York City; it’s true of every
community.”
Sheila Lewandowski, co-founder
and executive director of the Chocolate
Factory Theater in Long Island
City, said she might not qualify for
the Save Our Stages Act as a nonprofi
t, but is hopeful of another PPP
loan.
“We got ours in April. It was so
critically important to us surviving.
We paid all our artists because
of the precarious situation they’re
in, all our staff , health insurance …
It really made the diff erence,” said
Lewandowski, noting that more of
the loans should be forgivable.
Lewandowski also couldn’t help
but think about the $600 relief
checks and how it isn’t enough for
their artists and other workers to
sustain themselves until they can
go back to work.
Dorothy Stepnowska, owner of
Flower Power Coffee House and
president of the Glendale Chamber
of Commerce, said that more of these
resources need to be accessible to
immigrants and those whose fi rst
language isn’t English.
“I think cities should have reps contacting
small businesses and educating
them about this money. You have
a lot of immigrants that have no clue
what’s going on,” said Stepnowska,
adding that Chambers of Commerce
do help but more outreach is needed.
“Lots of immigrants don’t have access
to this or know how to fi nd it. It’s
nice to see, but I think there should
be more people going out there and
talking to them.”
Stepnowska said immigrant businesses
already struggled to keep up
with state and city guidelines, and
this unprecedented time adds to
those challenges.
“People want to work, though; they
don’t want aid,” Stepnowska added.
“But we can’t work if everything is
closed.”
Tamykah Anthony, an Astoria
small business owner, isn’t sure she
qualifi es for this round of PPP or the
Economic Injury Disaster Loan (EIDL).
She received an EIDL months ago
that somewhat helped, she said, but
has found it diffi cult to use toward
her diff erent business endeavors due
to the uncertain times.
“It’s a scary time for business owners,”
she said.
Photo via Getty Images
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