Res. No. 1383
Resolution calling on the U.S. Congress to pass, and the President to sign, the Small Business Relief From Communicable Disease Induced Economic Hardship Act of 2020, H.R. 6040, to help provide disaster relief to small businesses.
By Council Members Rivera and Chin
Whereas, In March 2020, New York became the epicenter of the novel coronavirus (COVID-19) pandemic with more reported cases than anywhere in the world, according to the New York Times; and
Whereas, The U.S. Department of State issued advisory warnings and travel restrictions as preventative measures to combat the COVID-19 outbreak, prompting multiple travel limitations to take effect in March, including the discontinuation of services to outbreak hotspots and barring the entry of foreign nationals who had visited China, Iran, and various European countries; and
Whereas, In March 2020, Governor Andrew Cuomo signed Executive Order 202.6, mandating the closure of all non-essential businesses to curb the spread of the COVID-19, as well as the “New York State on PAUSE” executive order to implement additional emergency measures, such as social distancing and abstaining from unnecessary travel, which, although necessary to combat the evolving emergency, had a major negative impact on small businesses in local communities; and
Whereas, According to Barbara Denham, senior economist at Moody’s Analytics Real Estate Information Services, the sharp decline in visitors arriving in New York since February has severely disrupted the tourism industry and drastically reduced future revenues that would have been realized by hotels, restaurants, and the entertainment industry; and
Whereas, Since February, the COVID-19 outbreak has caused fears for customers in all communities, resulting in massive decline in consumership that has led many businesses to close indefinitely, according to Gregg Bishop, Commissioner of Small Business Services; and
Whereas, In the first week of March 2020, the U.S. stock market plunged over 2,000 points according to the Dow Jones Industrial Average, representing the largest negative impact on the global economy since the 1987 financial crisis known as Black Monday; and
Whereas, Although Mayor de Blasio announced that qualifying small businesses may apply for interest-free loans and cash grants to help stem the monetary losses caused by COVID-19, far more relief is still needed by small businesses; and
Whereas, The Small Business Relief From Communicable Disease Induced Economic Hardship Act of 2020, H.R. 6040, which was introduced to the U.S. House of Representatives by New York’s Congressional Representative Nydia Velazquez, would amend the Small Business Act to ensure small businesses affected by communicable diseases are eligible for economic injury disaster loans of up to $2 million to help meet their financial operating expenses, which otherwise would have been met if not for the spread of COVID-19; now, therefore, be it
Resolved, That the Council of the City of New York calls on the U.S. Congress to pass, and the President to sign, the Small Business Relief From Communicable Disease Induced Economic Hardship Act of 2020, H.R. 6040, to help provide disaster relief to small businesses.
LS #14283
4/8/2020
AH