Section 16-ff - COVID-19 pandemic small business recovery grant program1. Definitions. As used in this section, the following terms shall have the following meanings: (a) "Small business" shall mean a business which is resident in this state, independently owned and operated, not dominant in its field, and employs one hundred or less persons.(b) "Micro-business" shall mean a business which is a resident in this state, independently owned and operated, not dominant in its field, and employs ten or less persons.(c) "The program" shall mean the COVID-19 pandemic small business recovery grant program established pursuant to subdivision two of this section.(d) "Applicant" shall mean a small business or for-profit independent arts and cultural organization submitting an application for a grant award to the program.(e) "COVID-19 health and safety protocols" means any restrictions imposed on the operation of businesses by executive order 202 of 2020 issued by the governor, or any extension or subsequent executive order issued in response to the novel coronavirus (COVID-19) pandemic, or any other statute, rule, or regulation imposing restrictions on the operation of businesses in response to the novel coronavirus (COVID-19) pandemic.(f) "For-profit independent arts and cultural organization" shall mean a small or medium sized private for-profit, independently operated liveperformance venue, promoter, production company, or performance related business located in New York state negatively impacted by COVID-19 health and safety protocols, and having one hundred or less full-time employees, excluding seasonal employees. The qualifying organizations under this definition may include businesses engaged in a field including, but not limited to, architecture, dance, design, film, music, theater, opera, media, literature, museum activities, visual arts, folk arts and casting.2. COVID-19 pandemic small business recovery grant program established. The COVID-19 pandemic small business recovery grant program is hereby created to provide assistance to small businesses and for-profit independent arts and cultural organizations who have experienced economic hardship during the COVID-19 pandemic.3. Authorization. The corporation is hereby authorized, using available funds, to issue grants and provide technical assistance and outreach to small businesses, for-profit independent arts and cultural organizations, and technical assistance partners for the purpose of aiding the recovery of the New York state economy, and may promulgate guidelines or regulations to effectuate the purposes herein.4. Selection criteria and application process. (a) In order to be eligible for a grant or additional form of support under the program, an eligible small business or for-profit independent arts and cultural organization shall: (i) Be incorporated in New York state or licensed or registered to do business in New York state;(ii) Be a currently viable small business or for-profit independent arts and cultural organization that has been in operation since before March 1, 2019;(iii) Be able to demonstrate lost revenue or other economic hardship due to the COVID-19 pandemic or compliance with COVID-19 health and safety protocols which resulted in business modifications, interruptions, or closures. To demonstrate lost revenue or other economic hardship, the applicant shall show a loss in year-to-date revenue as of December 31, 2020, compared with the same period in 2019;(iv) Be in substantial compliance with applicable federal, state and local laws, regulations, codes and requirements; and(v) Not owe any federal, state or local taxes prior to July 15, 2020, or have an approved repayment, deferral plan, or agreement with appropriate federal, state and local taxing authorities.(b) Grants awarded from this program shall be available to eligible micro-businesses, small businesses, and for-profit independent arts and cultural organizations that do not qualify for business assistance grant programs under the federal American Rescue Plan Act of 2021 or any other available federal COVID-19 economic recovery or business assistance grant programs, including loans forgiven under the federal Paycheck Protection Program, or are unable to obtain sufficient business assistance from such federal programs, with priority given to socially and economically disadvantaged business owners including, but not limited to, minority and women-owned business enterprises, service-disabled veteran-owned businesses, and veteran-owned businesses, or businesses located in communities that were economically distressed prior to March 1, 2020, as determined by the most recent census data.5. Eligible costs. (a) Eligible costs shall be considered for microbusinesses, small businesses, and for-profit independent arts and cultural organizations negatively impacted by the COVID-19 pandemic or by their compliance with COVID-19 health and safety protocols which resulted in lost revenue, business modifications, interruptions, or closures. Such eligible costs shall have been incurred between March 1, 2020 and April 1, 2021.(b) The following costs incurred by a micro-business, small business, or for-profit independent arts and cultural organization shall be considered eligible under the program at a minimum: payroll costs; costs of rent or mortgage as provided for in subparagraph (i) of this paragraph; costs of repayment of local property or school taxes associated with such small business's location as provided for in subparagraph (ii) of this paragraph; insurance costs; utility costs; costs of personal protection equipment (PPE) necessary to protect worker and consumer health and safety; heating, ventilation, and air conditioning (HVAC) costs, or other machinery or equipment costs, or supplies and materials necessary for compliance with COVID-19 health and safety protocols, and other documented COVID-19 costs as approved by the corporation.(i) Mortgage payments or commercial rent shall be considered eligible costs.(ii) Payment of local property taxes and school taxes shall be considered eligible costs.(c) Grants awarded under the program shall not be used to re-pay or pay down any portion of a loan obtained through a federal coronavirus relief package for business assistance or any New York state business assistance programs.6. Application and approval process. (a) An eligible micro-business, small business, or for-profit independent arts and cultural organization shall submit a complete application in a form and manner prescribed by the corporation.(b) The corporation shall establish the procedures and time period for micro-businesses, small businesses, or for-profit independent arts and cultural organizations to submit applications to the program. As part of the application each micro-business, small business, or for-profit independent arts and cultural organization shall provide sufficient documentation in a manner prescribed by the corporation to demonstrate hardship, and prevent fraud, waste, and abuse.7. Reporting. The corporation, on a quarterly basis beginning September 30, 2021, and ending when all program funds are expended, shall submit a separate and distinct report to the governor, the temporary president of the senate, and the speaker of the assembly setting forth the activities undertaken by the program. Such quarterly report shall include, but need not be limited to: the number of applicants and their county locations; the number of applicants approved by the program and their county location; the total amount of grants awarded, and the average amount of such grants awarded; and such other information as the corporation determines necessary and appropriate. Such report shall be included on the corporation's website and any other publicly accessible state database that list economic development programs, as determined by the commissioner.8. Technical assistance and outreach. The corporation may offer or make available to all applicants, regardless of approval status, direct or indirect access to financial and business planning, legal consultation, language assistance services, mentoring services for post-pandemic planning, reopening planning assistance and other assistance and support as determined by the corporation. Assistance, support, outreach and other services may be provided by or through partner organizations, including but not limited to chambers of commerce, local business development corporations, trade associations and other community organizations that have expertise and background in providing technical assistance, at the discretion of the corporation.N.Y. Urban Development Corporation Act Law § 16-ff
Added by New York Laws 2021, ch. 59,Sec. VV-2, eff. 4/19/2021.