NYC council considers waiving fines for small businesses during COVID pandemic

Queens Councilmember Robert Holden sponsored legislation to waive certain fines incurred by small businesses during the pandemic. John McCarten/City Council Photography

By Rachel Vick

The city council on Monday considered legislation that would clear certain fines incurred by small businesses during the COVID-19 pandemic, while permanently updating 180 regulatory laws.

Two bills sponsored by Queens Councilmember Robert Holden, Speaker Corey Johnson and Bronx Councilmembers Vanessa Gibson and Mark Gjonaj would give restaurants and other businesses a break by waiving penalties for certain sanitation, health, transportation, consumer affairs, noise control and buildings violations.

“During this unprecedented public health crisis, small businesses across the city are struggling just to stay afloat,” said Gjonaj, chair of the Small Business Committee. “This legislation will fundamentally reshape the way New York City interacts with them. It will give them a fighting chance to survive, save jobs and rebuild for the future.”

One bill, Intro 2233, would lower existing penalties, waive others and establish a grace period for first-time violations.

A second bill, Intro 2234, would give business owners more time to pay fines and address violations. The measure would also require the city to reimburse some fines paid during states of emergency.

Holden said the bills “are the type of good government bills that our small business owners should expect from City Hall.”

“At a time when small businesses are struggling, elected officials must come up with legislation that gives them real relief,” Holden added. 

During the hearing Monday, officials from the Department of Consumer and Worker Protection said they worried the legislation could dilute consumer protection laws. 

The bills, said DCWP Commissioner Lorelei Salas, could “have tremendously negative consequences for the most vulnerable of our city’s constituents and stifle our agency’s mission during a time of extreme crisis.”

Salas said that DCWP already prioritizes the needs of small businesses by giving them information and tools to comply with existing rules. 

“The goals of these bills are broadly in-step with our own efforts to support our city’s small businesses,” she said. “However, we can achieve the goals of providing relief to small brick and mortar businesses without abandoning our most vulnerable consumers.”