Despite lower penalties, fines are set to rise

 

As reported by Crain's New York Business: 

Mayor Bill de Blasio campaigned on a promise to lower fines against small businesses, criticizing what he deemed the punitive, "revenue-focused" enforcement of city laws.

But his preliminary budget indicates that his administration plans to collect even more in levies than city agencies did under Michael Bloomberg last year.

Revenue from fines soared 72% during the Bloomberg administration, to $799 million in 2013 from $467 million in 2002. The initial de Blasio budget unveiled last month indicates that fine revenue will grow to $807.5 million this year. That's just $5 million less than the Bloomberg administration had projected for 2014.

"There was a sigh of relief among small business owners when this mayor was elected," said Queens state Sen. Jose Peralta. "There hasn't been much to show so far, though, and a lot of business owners are getting nervous. You have to give the mayor time to breathe and soak it all in, but it's now time to tackle this in a positive way."

A day after Mr. de Blasio signed the legislation, the City Council issued rules putting into effect a law signed by Mr. Bloomberg to reduce fines against restaurants. Those changes are part of a wider overhaul of the city's letter-grading system for eateries and the suspected quota system that has led to an outcry from inspectors and restaurateurs. 

In the meantime, Mr. Peralta has called on the mayor to adopt an amnesty program under which proprietors can seek to have fines incurred during the Bloomberg administration dismissed by the new mayor.

For full article, click here.

Publication date: 
Monday, March 24, 2014 - 10:45