Schumer pushes for financial aid for struggling New York restaurants

Schumer pushes for financial aid for struggling New York restaurants

  • By Steve Bittenbender | The Center Square contributor / February 22nd, 2021

(The Center Square) – In New York City on Sunday, Senate Majority Leader Chuck Schumer said the restaurant industry suffering from the COVID-19 crisis has his full attention.

The New York Democrat said he plans a restaurant relief fund like the RESTAURANTS Act filed last year in the House of Representatives. That bill had 218 sponsors or co-sponsors, with all but 12 Democrats. Of the dozen GOP supporters, four were from New York.

The nation’s largest city, one of the first in the country to be hit and the community hit hardest by the pandemic, suffered more economic damage than other communities across the U.S., and the restaurant industry shows the extent of that. Before the health crisis, the city was home to 25,000 dining and drinking establishments that employed 325,000 workers. Since the pandemic began almost a year ago, more than 140,000 industry jobs have been lost in the city.

“Thousands of beloved restaurants and bars have permanently shuttered and countless more are teetering on the edge of survival,” said New York City Hospitality Alliance Executive Director Andrew Rigie. “Our eating and drinking spots have shed over 140,000 jobs and many New Yorkers still working in the industry are underemployed.”

The Alliance conducted a survey that showed 92 percent of more than 400 members polled did not have the money to pay rent in December.

Statewide, the data is bleak as well. The New York State Restaurant Association reported that 54 percent of those surveyed in November said they did not believe they could survive six months without federal aid. Nationwide, that figure is 37 percent.

“New York City restaurants, their employees and the city economy need immediate federal relief to weather COVID because too many of the places we know and love could close without the help, leaving a giant hole in our local economy,” Schumer said.

family having dinner and celebrating
Photo by August de Richelieu on Pexels.com

Under the plan, restaurant groups would be eligible for up to $10 million in grant funding, with individual locations able to receive up to $5 million. Of the $25 billion in aid available, $5 billion would be set for establishments making less than $500,000 in 2019. That money would be available for the first 60 days of the program.

Businesses with more than 20 locations would not be eligible.

The grant funding can be used for expenses incurred between Feb. 15, 2020 to Dec. 31, 2021. The Small Business Administration would oversee the program and could extend it for up to two years if necessary.

Restaurants can use the money for such expenses as payroll, rent or mortgage payments, utilities, purchases of supplies.

Schumer, who spoke to reporters at Manhattan establishment Dirt Candy, said the grants would offer critical support to the industry. He hopes it will be part of the COVID-19 relief plan, which was marked up in the House Budget Committee on Monday afternoon.

Latest from the Roosevelt Island Daily News Desk

The New York State Approved RIOC Assault on Free Speech

Doesn’t every boy grow up wanting to be the target of an official assault on free speech…? Well, no, maybe not, but it happened anyway. Buffoonish exposure spilled like with a rip in your shorts in September when RIOC executives threw a Hail Mary lawsuit at their state overseers. No honor among thieves – or…

Keep reading

Dreams of a Clean Ravenswood Power Plant May Finally Come True

Twenty years ago, while serving on the Residents Association Common Council, I first heard about Roosevelt Islanders’ concerns over Ravenswood. A group led by Karen Stewart had a map that, she said, showed our community in the beam of Asthma Alley. They blamed Ravenswood, the second worst polluting facility in New York State. Finally, relief…

Keep reading

How to File a Freedom of Information Law Request and Avoid Process Pitfalls

In theory, you can get all kinds of public records and information through the law. But in practice, it takes know-how, patience and persistence. By Reuven Blau Oct 24 5:00am EDT THE CITY is a nonprofit newsroom that serves the people of New York. Sign up for our SCOOP newsletter and get exclusive stories, helpful…

Keep reading

Loading…

Something went wrong. Please refresh the page and/or try again.

One thought on “Schumer pushes for financial aid for struggling New York restaurants

Leave a Reply

%d