§ 16-FF — COVID-19 pandemic small business recovery grant program

§ 16-ff. COVID-19 pandemic small business recovery grant program. 1.\nDefinitions. As used in this section, the following terms shall have the\nfollowing meanings:\n (a) "Small business" shall mean a business which is resident in this\nstate, independently owned and operated, not dominant in its field, and\nemploys one hundred or less persons.\n (b) "Micro-business" shall mean a business which is a resident in this\nstate, independently owned and operated, not dominant in its field, and\nemploys ten or less persons.\n (c) "The program" shall mean the COVID-19 pandemic small business\nrecovery grant program established pursuant to subdivision two of this\nsection.\n (d) "Applicant" shall mean a small business or for-profit independent\narts and cultural organization submitting an application for a grant\naward to the program.\n (e) "COVID-19 health and safety protocols" means any restrictions\nimposed on the operation of businesses by executive order 202 of 2020\nissued by the governor, or any extension or subsequent executive order\nissued in response to the novel coronavirus (COVID-19) pandemic, or any\nother statute, rule, or regulation imposing restrictions on the\noperation of businesses in response to the novel coronavirus (COVID-19)\npandemic.\n (f) "For-profit independent arts and cultural organization" shall mean\na small or medium sized private for-profit, independently operated\nlive-performance venue, promoter, production company, or performance\nrelated business located in New York state negatively impacted by\nCOVID-19 health and safety protocols, and having one hundred or less\nfull-time employees, excluding seasonal employees. The qualifying\norganizations under this definition may include businesses engaged in a\nfield including, but not limited to, architecture, dance, design, film,\nmusic, theater, opera, media, literature, museum activities, visual\narts, folk arts and casting.\n 2. COVID-19 pandemic small business recovery grant program\nestablished. The COVID-19 pandemic small business recovery grant\nprogram is hereby created to provide assistance to small businesses and\nfor-profit independent arts and cultural organizations who have\nexperienced economic hardship during the COVID-19 pandemic.\n 3. Authorization. The corporation is hereby authorized, using\navailable funds, to issue grants and provide technical assistance and\noutreach to small businesses, for-profit independent arts and cultural\norganizations, and technical assistance partners for the purpose of\naiding the recovery of the New York state economy, and may promulgate\nguidelines or regulations to effectuate the purposes herein.\n 4. Selection criteria and application process. (a) In order to be\neligible for a grant or additional form of support under the program, an\neligible small business or for-profit independent arts and cultural\norganization shall:\n (i) Be incorporated in New York state or licensed or registered to do\nbusiness in New York state;\n (ii) Be a currently viable small business or for-profit independent\narts and cultural organization that has been in operation since before\nMarch 1, 2019;\n (iii) Be able to demonstrate lost revenue or other economic hardship\ndue to the COVID-19 pandemic or compliance with COVID-19 health and\nsafety protocols which resulted in business modifications,\ninterruptions, or closures. To demonstrate lost revenue or other\neconomic hardship, the applicant shall show a loss in year-to-date\nrevenue as of December 31, 2020, compared with the same period in 2019;\n (iv) Be in substantial compliance with applicable federal, state and\nlocal laws, regulations, codes and requirements; and\n (v) Not owe any federal, state or local taxes prior to July 15, 2020,\nor have an approved repayment, deferral plan, or agreement with\nappropriate federal, state and local taxing authorities.\n (b) Grants awarded from this program shall be available to eligible\nmicro-businesses, small businesses, and for-profit independent arts and\ncultural organizations that do not qualify for business assistance grant\nprograms under the federal American Rescue Plan Act of 2021 or any other\navailable federal COVID-19 economic recovery or business assistance\ngrant programs, including loans forgiven under the federal Paycheck\nProtection Program, or are unable to obtain sufficient business\nassistance from such federal programs, with priority given to socially\nand economically disadvantaged business owners including, but not\nlimited to, minority and women-owned business enterprises,\nservice-disabled veteran-owned businesses, and veteran-owned businesses,\nor businesses located in communities that were economically distressed\nprior to March 1, 2020, as determined by the most recent census data.\n 5. Eligible costs. (a) Eligible costs shall be considered for\nmicro-businesses, small businesses, and for-profit independent arts and\ncultural organizations negatively impacted by the COVID-19 pandemic or\nby their compliance with COVID-19 health and safety protocols which\nresulted in lost revenue, business modifications, interruptions, or\nclosures. Such eligible costs shall have been incurred between March 1,\n2020 and April 1, 2021.\n (b) The following costs incurred by a micro-business, small business,\nor for-profit independent arts and cultural organization shall be\nconsidered eligible under the program at a minimum: payroll costs; costs\nof rent or mortgage as provided for in subparagraph (i) of this\nparagraph; costs of repayment of local property or school taxes\nassociated with such small business's location as provided for in\nsubparagraph (ii) of this paragraph; insurance costs; utility costs;\ncosts of personal protection equipment (PPE) necessary to protect worker\nand consumer health and safety; heating, ventilation, and air\nconditioning (HVAC) costs, or other machinery or equipment costs, or\nsupplies and materials necessary for compliance with COVID-19 health and\nsafety protocols, and other documented COVID-19 costs as approved by the\ncorporation.\n (i) Mortgage payments or commercial rent shall be considered eligible\ncosts.\n (ii) Payment of local property taxes and school taxes shall be\nconsidered eligible costs.\n (c) Grants awarded under the program shall not be used to re-pay or\npay down any portion of a loan obtained through a federal coronavirus\nrelief package for business assistance or any New York state business\nassistance programs.\n 6. Application and approval process. (a) An eligible micro-business,\nsmall business, or for-profit independent arts and cultural organization\nshall submit a complete application in a form and manner prescribed by\nthe corporation.\n (b) The corporation shall establish the procedures and time period for\nmicro-businesses, small businesses, or for-profit independent arts and\ncultural organizations to submit applications to the program. As part of\nthe application each micro-business, small business, or for-profit\nindependent arts and cultural organization shall provide sufficient\ndocumentation in a manner prescribed by the corporation to demonstrate\nhardship, and prevent fraud, waste, and abuse.\n 7. Reporting. The corporation, on a quarterly basis beginning\nSeptember 30, 2021, and ending when all program funds are expended,\nshall submit a separate and distinct report to the governor, the\ntemporary president of the senate, and the speaker of the assembly\nsetting forth the activities undertaken by the program. Such quarterly\nreport shall include, but need not be limited to: the number of\napplicants and their county locations; the number of applicants approved\nby the program and their county location; the total amount of grants\nawarded, and the average amount of such grants awarded; and such other\ninformation as the corporation determines necessary and appropriate.\nSuch report shall be included on the corporation's website and any other\npublicly accessible state database that list economic development\nprograms, as determined by the commissioner.\n 8. Technical assistance and outreach. The corporation may offer or\nmake available to all applicants, regardless of approval status, direct\nor indirect access to financial and business planning, legal\nconsultation, language assistance services, mentoring services for\npost-pandemic planning, reopening planning assistance and other\nassistance and support as determined by the corporation. Assistance,\nsupport, outreach and other services may be provided by or through\npartner organizations, including but not limited to chambers of\ncommerce, local business development corporations, trade associations\nand other community organizations that have expertise and background in\nproviding technical assistance, at the discretion of the corporation.\n