File #: Int 0799-2026    Version: * Name: Establishing a support fund for small businesses affected by roadway construction.
Type: Introduction Status: Committee
Committee: Committee on Small Business
On agenda: 3/26/2026
Enactment date: Law number:
Title: A Local Law to amend the administrative code of the city of New York, in relation to establishing a support fund for small businesses affected by roadway construction
Sponsors: Yusef Salaam, Lincoln Restler, Joann Ariola , Shaun Abreu
Council Member Sponsors: 4
Summary: This bill would require the Department of Small Business Services (SBS) to establish a program to provide loans, grants, services, materials, or some combination, to support small businesses affected by city construction projects. To qualify, businesses must demonstrate (i) a reasonable expectation of costs or losses resulting from a city construction project that is expected to disrupt traffic for 30 days or more; (ii) a plan to mitigate or offset such costs and losses; and (iii) any other application requirements stipulated by SBS. Loans under this program would be limited to $50,000 per storefront per year and would have an interest rate of no more than 3 percent. Grants or reimbursements would be limited to $15,000 per storefront per year. SBS would create an application process and timeline of 30 days or less to review and issue a final determination on applications. Awards under this program must be disbursed within 14 days of the business meeting all applicable requirements.
Indexes: Agency Rule-making Required
Attachments: 1. Summary of Int. No. 799, 2. Int. No. 799, 3. Memorandum in Support, 4. March 26, 2026 - Stated Meeting Agenda

Int. No. 799

 

By Council Members Salaam, Restler, Ariola and Abreu

 

A Local Law to amend the administrative code of the city of New York, in relation to establishing a support fund for small businesses affected by roadway construction

 

Be it enacted by the Council as follows:

 

Section 1. Chapter 10 of title 22 of the administrative code of the city of New York is amended by adding new section 22-1009 to read as follows:

§ 22-1009 Roadway construction small business support fund. a. Definitions. For the purposes of this section, the following terms have the following meanings:

Chain business. The term “chain business” means an establishment that is part of a group of four or more establishments that share a common owner or principal who owns at least 30 percent of each establishment where such establishments (i) engage in the same business or (ii) operate pursuant to franchise agreements with the same franchisor as defined in section 681 of the general business law.

Qualifying construction project. The term “qualifying construction project” means a  construction project that (i) is administered in part or in full by a city agency; (ii) has the primary purpose of maintaining or modifying public infrastructure; and (iii) is likely to cause a significant disruption to vehicular and pedestrian traffic on a road or sidewalk abutting a small business storefront for a duration of at least 30 consecutive days, as determined by the commissioner of transportation in consultation with the commissioner of design and construction.

Qualifying small business. The term “qualifying small business” means the owner or owners of a small business that demonstrates eligibility to participate in the program established by this section, in accordance with guidelines and requirements established by the commissioner pursuant to subdivision c of this section. At a minimum, a qualifying small business must demonstrate through such application process: (i) a reasonable estimate of increased costs, decreased revenue, or a combination of increased costs and decreased revenues in connection with a qualifying construction project; and (ii) a plan to implement measures that such business reasonably believes may offset or mitigate such costs and revenue losses.

Roadway or sidewalk café. The terms “roadway cafe” and “sidewalk cafe” have the same meanings as set forth in section 19-101.

Small business. The term “small business” means a for-profit or not-for-profit entity, excluding government entities, that is not a chain business and that employs no more than 100 employees. The number of employees of such small business shall consist of an average of all persons that performed work for the small business for compensation on a full-time, part-time or temporary basis for all payroll periods occurring in the 180 days prior to the date on which such property owner or tenant applies for the fund set forth in subdivision b of this section, as demonstrated by the payroll documentation of such entity, in accordance with rules promulgated by the commissioner for small business services.

Storefront. The term “storefront” means a premises owned or operated by a small business that is open to the public and is a public accommodation as defined in section 12181 of title 42 of the United States code.

b. 1. The commissioner shall, subject to appropriation, operate a program that provides loans, grants, services, or materials, or some combination thereof, to qualifying small businesses for the purpose of offsetting or mitigating certain expenses or losses incurred by such business in response to a qualifying construction project.

2. Such expenses or losses may include those associated with operational or advertising changes, or other measures to adapt business practices to disruptions caused by a qualifying construction project, including but not limited to equipment storage or modifications for roadway or sidewalk cafes, employee retraining, updated storefront or sidewalk signage, a city permit expected to help offset or mitigate additional costs or losses caused by a qualifying construction project, and a city or state permit paid for by a qualifying small business prior to receiving notice of a qualifying construction project, where such project is expected to significantly affect the value of such permit to such business.

3. Any loans provided to a small business shall not exceed 50,000 dollars in total value per storefront per year. No loans provided through such program shall include an annual interest rate higher than three percent.

4. Any grants or reimbursements provided to a small business shall not exceed 15,000 dollars in total value per storefront per year.

c. The commissioner shall establish and publish on the department’s website guidelines, requirements, and an application process for small businesses to demonstrate eligibility to receive one or more loans, grants, services, or materials pursuant to this section.

d. 1. For each project, the commissioner shall set a timeline for the review of applications submitted pursuant to subdivision c of this section, the approval or rejection of such applications, and the disbursement of the approved loan, grant, service, or materials, as applicable, in accordance with the requirements in this subdivision.

2. The commissioner shall issue a final determination of eligibility to a small business applicant no later than 14 days prior to the commencement of a qualifying construction project or, in the case of qualifying construction projects that require urgent implementation, no later than 30 days after the department receives a complete application in conformity with the guidelines published pursuant to subdivision c of this section. In any case, a final determination of eligibility shall be made no later than 30 days after the department receives a complete application in conformity with the guidelines published pursuant to subdivision c of this section. In all cases, the commissioner shall disburse or deliver a loan, grant, or materials awarded pursuant to this subdivision no later than 14 days after a final determination on an application is made, or 14 days after any applicable requirements pursuant to paragraph 3 of this subdivision are met.

3. Where a small business requests or qualifies for the receipt of a grant or materials, the commissioner may require documentation of actual costs incurred by the business prior to disbursement of funds or delivery of materials.

§ 2. This local law takes effect 180 days after it becomes law.

 

 

 

JLB

LS #20953

3/5/26, 3:40 PM