What's happening
This bill creates a grant program for small businesses in New York's COVID-19 containment area, offering up to $10,000 for lost revenue.
Why it matters
Targets the smallest and most vulnerable businesses. The grant is limited to businesses with 10 or fewer employees, focusing resources on those least able to absorb COVID-19-related losses, rather than larger firms who may have more financial options.
Directly addresses urgent operating costs. The funding can be used for rent, payroll, and other essential expenses, helping prevent permanent closures and layoffs in the hardest-hit areas.
Specifically supports businesses in the original containment zone. By tying eligibility to the area designated by the governor on March 10, 2020, the bill ensures aid reaches those who faced the earliest and most severe restrictions.
Provides a rapid, targeted infusion of funds. The $1 million appropriation is structured for immediate disbursement, aiming to deliver quick relief when cash flow interruptions are most acute, though the total pool may be limited compared to the number of eligible businesses.
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Who cares
Headline styles
Aid for Small COVID Businesses
Plain English, a few words. Used as the page title.
Sponsors
1 Co-sponsor
History
- Referred to finance
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8110
IN SENATE
March 23, 2020
Introduced by Sen. MAYER -- read twice and ordered printed, and when printed to be committed to the Committee on Finance
AN ACT to amend the economic development law, in relation to establishing the small business containment assistance program; and making an appropriation therefor
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The economic development law is amended by adding a new section 139-a to read as follows:
§ 139-a. Small business containment assistance program. Small businesses with ten employees or less that are located within the coronavirus, COVID-19 containment area of New York state as designated by the governor on March tenth, two thousand twenty shall be entitled to grants up to a maximum of ten thousand dollars per business for compensation for lost revenue to assist with payment of rent and other operating expenses including payroll.
§ 2. The sum of one million dollars ($1,000,000), or so much thereof as may be necessary, is hereby appropriated to the department of state out of any moneys in the state treasury in the general fund to the credit of the small business containment assistance program, not otherwise appropriated, and made immediately available, for the purpose of carrying out the provisions of this act. Such moneys shall be payable on the audit and warrant of the comptroller on vouchers certified or approved by the department of state in the manner prescribed by law.
§ 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD15915-02-0
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the economic development law, in relation to establish- ing the small business containment assistance program; and making an appropriation therefor
Purpose or general idea of the bill
To provide small businesses within the novel coronavirus, COVID-19 designated containment area grants up to $10,000 per business to help offset lost revenue due to the impact of being located within the zone.
Summary of specific provisions
Section one of the bill adds a new section 139-a to economic development law to provide grants to small businesses with ten employees or less to help pay for rent and other operating expenses including payroll due to the impact of the designated containment area as a response to the novel coronavirus, COVID-19.
Section two appropriates $1,000,000 to the State Department of State to award grants to impacted small businesses.
Section three of the bill sets the effective date.
Justification
Small businesses are experiencing unprecedented losses due to the impact of being located in the designated containment zone in Westchester Coun- ty due to the coronavirus, COVID-19. While the designated containment area is intended to abate the rise of the novel coronavirus, COVID-19, small businesses are inadvertently impacted by revenue losses due to the decline in activity. This legislation will provide relief to small businesses in the impacted containment zone as they grapple with the economic loss attributed to the novel coronavirus, COVID-19 containment zone.
Legislative history
New Legislation.
FISCAL IMPACT
Appropriates $1,000,000.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.