Financial Boost Coming For NY's Small Businesses, Renters

NEW YORK — As New York emerges from an unprecedented pandemic year, vaccinations and lowering coronavirus positivity rates mean a focus on economic recovery both through large-scale infrastructure projects — and an infusion of state aid to help renters and small businesses struggling to survive.

This week, Gov. Andrew Cuomo announced $3.5 billion in assistance for renters and small businesses. Of that amount, $2.7 billion will be allocated to a rental assistance program that will provide funding for households staggering under the weight of financial hardship, allowing people to pay their rent and landlords to find their economic footing.

Applications for rental assistance will be accepted online beginning June 1, the governor said.

In addition, a new $800 million small business recovery grant program will kick off with online applications accepted beginning on June 10.

Both programs are first-come, first-served, Cuomo said Wednesday; he urged residents to begin their applications now so they are ready to be submitted online on June 1 and June 10, respectively.

Rental assistance, administered by the state's Office of Temporary and Disability Assistance, will provide help with up to 12 months of past-due rent, three months of prospective rental assistance, and 12 months of utility arrears payments to eligible New Yorkers, regardless of immigration status, Cuomo said. The program is expected to serve between 170,000 and 200,000 households.

For the first 30 days, the program will prioritize the unemployed, those with income at or below 50 percent of area median income, and other vulnerable populations, Cuomo said. After the first 30 days, applications will be processed on a first-come, first-served basis, as long as funds remain available.

In order to receive assistance, the landlord must agree to waive any late fees due on past-due rent; and not increase the tenant's monthly rent or evict them for one year, except in limited circumstances, Cuomo said.

For more information, click here.

Applications for the small business recovery program will be accepted starting June 10 for small and micro businesses and small for-profit independent arts and cultural organizations to help them recover from the economic impact of the pandemic, Cuomo said.

Flexible grants up to $50,000 will be made available to eligible small businesses and can be used for operating expenses, including payroll, rent or mortgage payments, taxes, utilities, personal protective equipment, or other business expenses during the pandemic.

Priority will be given to socially and economically disadvantaged business owners, including minority- and women-owned businesses, service-disabled veteran-owned businesses and veteran-owned businesses, and businesses located in economically distressed communities, Cuomo said.

Grants will be for a minimum award of $5,000 and a maximum award of $50,000 and will be calculated based on a New York State business' annual gross receipts for 2019. Reimbursable COVID-19 related expenses must have been incurred between March 1, 2020 and April 1, 2021 and can include:

• Payroll costs
• Commercial rent or mortgage payments for NYS-based property
• Payment of local property or school taxes
• Insurance costs
• Utility costs
• Costs of personal protection equipment necessary to protect worker and consumer health and safety
• Heating, ventilation, and air conditioning costs
• Other machinery or equipment costs
• Supplies and materials necessary for compliance with COVID-19 health and safety protocols

For information, click here.

"New Yorkers and small businesses in every corner of the state were devastated by the pandemic, and as we continue to recover and rebuild we need to make sure they have the resources they need get back on their feet and succeed in a new, reimagined economy," Cuomo said. "This critical funding will help ensure New Yorkers who are experiencing financial hardship through no fault of their own will not be thrown onto the streets, while also providing stability for small businesses so they can help play a role in New York's economic resurgence."