BILL NUMBER: S6910

SPONSOR: SERINO
 
TITLE OF BILL:

An act to amend the New York state urban development corporation act, in
relation to establishing a New York business COVID-19 modification grant
program; and providing for the repeal of such provisions upon the expi-
ration thereof

 
PURPOSE:

To provide grants for businesses and not-for-profits to make the modifi-
cations necessary to reopen during the COVID-19 pandemic while preserv-
ing public health.

 
SUMMARY OF PROVISIONS:

Section 1: Creates the New York Business COVID-19 Modification Grant
Program, which shall utilize funds from the federal Coronavirus Aid,
Relief, and Economic Security (CARES) Act of 2020 to provide grants to
New York businesses and non-profit-making organizations through the
              

Empire State Development Corporation. Such grants will be allowed for
expenses such as modifying the layout of a building, technology
upgrades, purchasing equipment and supplies, including personal protec-
tive equipment, and training employees on new business practices to
comply with social distancing guidelines. These grants will also be
allowed for the reimbursement of such expenses that were made prior to
applying for or receiving such grant.

Requires the grants to be equitably distributed among all regions of the
state, reflective of the economic impact of pandemic-related closures on
each region. Furthermore, priority shall be given to small businesses.

Directs the Empire State Development Corporation to create an applica-
tion process for grants and promulgate rules and regulations for award-
ing and distributing grants.

Section 2: Provides the effective date.

 
JUSTIFICATION:

Following the implementation of the New York State on PAUSE Order by the
Governor, New Yorkers stepped up in a big way to change their way of
living, and in many cases, forewent their livelihood for the sake of
reducing the spread of COVID-19. While a change in business-as-usual was
necessary to reduce the curve, it is paramount as a State that relief if
provided to New York's individuals and businesses who selflessly took a
hit to ensure the health of their neighbors.

As businesses and services are phased-in for reopening, it is still
unclear when they can return to business-as-usual, and various
restrictions have been put in place by the State that they must adhere
to in order to reopen. In light of this, it is essential-that the State
ensures businesses and not-for-profits have the resources necessary to
adhere to these guidelines and restrictions so that they may reopen. The
economic toll this pandemic has taken across the State, and across the
country, is enormous, and many businesses and not-for-profits are
currently uncertain if they could even reopen their doors under normal
circumstances, much less after making significant modifications to
comply with State mandates for reopening. However, it is critical that
these businesses and organizations are able to reopen to mitigate any
further devastating economic impacts.

This legislation would establish the New York Business COVID-19 Modifi-
cation Grant Program, through the Empire State Development Corporation,
and would create grants to help New York State businesses and not-for-
profits to cover the costs of complying with State mandates for reopen-
ing. These grants would be allowed to cover expenses, past or present,
that are or were made to comply with any state-mandated guidelines for
reopening, such as expenses related to modifying the layout of a build-
ing, purchasing equipment or supplies, including personal protective
equipment, and training employees on new business practices.

After everything countless New Yorkers have done to safekeep the health
of their neighbors and community, it is essential that the State does
its part to make sure these businesses and organizations can reopen and
resume serving their communities.

 
LEGISLATIVE HISTORY:

2020: S8592 Referred to Rules

 
FISCAL IMPLICATIONS:

From remaining and future federal funds provided for COVID-19 relief,
including, but not limited to, monies that have been allocated to the
State of New York by the federal Coronavirus Aid, Relief, and Economic
Security (CARES) Act of 2020 (P.L. 116-136) and HR133 that have not been
otherwise obligated..

 
EFFECTIVE DATE:
This act shall take effect immediately and shall expire and be deemed
repealed October 1, 2022.