Establishing a support fund for small retail businesses affected by roadway construction.
Enacted into law.
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.
IntroducedIntroduced by Council
2026-03-26 · City Council
ActionReferred to Comm by Council
2026-03-26 · City Council
HeardHearing Held by Committee
2026-06-08 · Committee on Small Business
HeldLaid Over by Committee
2026-06-08 · Committee on Small Business
HeardHearing Held by Committee
2026-10-07 · Committee on Small Business
ActionAmendment Proposed by Comm
2026-10-07 · Committee on Small Business
ActionAmended by Committee
2026-10-07 · Committee on Small Business
AdvancedApproved by Committee· Passed
2026-10-07 · Committee on Small Business
AdvancedApproved by Council· Passed
2026-10-08 · City Council
ActionSent to Mayor by Council
2026-10-08 · City Council
City Council · 2026-10-08 · 1:30 PM · Council Chambers - City Hall
Committee on Small Business · 2026-10-07 · 11:00 AM · 250 Broadway - 8th Floor - Hearing Room 3
Committee on Small Business · 2026-06-08 · 1:00 PM · 250 Broadway - 8th Floor - Hearing Room 1
City Council · 2026-03-26 · 1:30 PM · Council Chambers - City Hall
Full text
Int. No. 799-A
By Council Members Salaam, Restler, Ariola, Abreu, Louis, Maloney, Brooks-Powers, Schulman, Nurse, Thomas-Henry, Zhuang, Cabán, Avilés, Narcisse, Wilson, Wong, J. Sanchez, Hanks, Gennaro, Riley, Paladino, Vernikov and the Public Advocate (Mr. Williams)
A Local Law to amend the administrative code of the city of New York, in relation to establishing a support fund for small retail 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 retail business support program. a. Definitions. For the purposes of this section, the following terms have the following meanings:
Commercial corridor. The term “commercial corridor” means a block in a commercial district or a commercial overlay established pursuant to the zoning resolution of the city of New York.
Covered cost. The term “covered cost” means a cost incurred by a small retail business within a qualifying construction project area, such as wages for employees or rent, that such business is unable to meet from revenue generated by such business’s operations due to impacts from a qualifying construction project within such area, as demonstrated in accordance with rules promulgated by the department.
Eligible community-based organization. The term “eligible community-based organization” means a not-for-profit entity that is compliant with any applicable requirements under state or federal law to file financial or other documents with a government agency and either: (i) is a district management association for a business improvement district established pursuant to chapter 4 of title 25, provided that a qualifying construction project area is located within the boundaries of such district; or (ii) demonstrates a history of working with or representing the interests of small retail businesses impacted by construction activity.
Qualifying construction project. The term “qualifying construction project” means a construction project that, as determined by the department of transportation in accordance with rules promulgated by the department in consultation with the department of transportation: (i) is authorized by a permit issued by the department of transportation for a duration of no less than 90 consecutive days, including a permit issued for fewer than 90 days that is re-issued, renewed or extended for an aggregate period of no less than 90 consecutive days; (ii) is performed by or on behalf of a city agency; (iii) requires the full closure of a roadway or sidewalk; and (iv) is located no more than 1 block from a commercial corridor.
Qualifying construction project area. The term “qualifying construction project area” means an area 2 blocks in any direction from a qualifying construction project.
Small retail business. The term “small retail business” has the same meaning as set forth in section 22-1010.
b. Grant program for eligible community-based organizations. The commissioner shall, subject to appropriation, establish a grant program for eligible community-based organizations to promote and encourage the commercial or economic well-being of small retail businesses within a qualifying construction project area. The department shall provide that such grant program:
1. Enable an eligible community-based organization to consult the online public portal maintained by the department of transportation for permits issued by such department, or other publicly available information as described in rules promulgated by the department, regarding whether a construction project is a qualifying construction project prior to submission to the department of an application for a grant, and require such eligible community-based organization to include the permit number for such qualifying construction project in such application;
2. Consider, at a minimum, the following factors in determining the amount of a grant, provided that such grant shall not exceed $100,000:
(a) The number of small retail businesses within the qualifying construction project area; and
(b) The scope of services, as described in paragraph 4 of this subdivision, or reimbursements for covered costs, as described in paragraph 5 of this subdivision, that such organization intends to provide to small retail businesses to mitigate impacts from a qualifying construction project, as indicated on the application submitted by such organization.
3. Award no more than 1 grant for a qualifying construction project.
4. Allow an eligible community-based organization to provide to small retail businesses within the qualifying construction project area services to mitigate impacts from the qualifying construction project including, but not limited to: district marketing, public art, creative lighting, wayfinding support, open streets activities, night market activities, digital advertising, merchant organizing support, or any other service the commissioner determines would mitigate impacts from such project.
5. Allow an eligible community-based organization to provide a reimbursement to a small retail business within the qualifying construction project area for a covered cost of such business, in accordance with an application procedure that complies with rules promulgated by the department, provided that a reimbursement to a small retail business pursuant to this paragraph, or the aggregate of 1 or more reimbursements to such a business pursuant to this paragraph, shall not exceed $10,000.
6. Require an eligible community-based organization awarded a grant to report to the department: (i) a description of services provided by such organization to small retail businesses to mitigate impacts from the qualifying construction project, or a list of any reimbursements for covered costs provided by such organization to small retail businesses as described in paragraph 5 of this subdivision; (ii) any other expenses incurred by such organization in providing such services or reimbursements; and (iii) any other relevant information required by the department.
c. Rules. The department shall promulgate rules as necessary to implement the program established by this section, including rules regarding the form of application and application procedures for an eligible community-based organization to apply for such program; the means or method, including any required documentation, for an applicant to such program to demonstrate that such applicant is an eligible community-based organization; eligibility of a small retail business to receive a reimbursement for a covered cost from an eligible community-based organization, as described in paragraph 5 of subdivision b of this section; the allowable covered costs for which a small retail business may seek reimbursement from such an organization; the documentation that a small retail business shall submit to an eligible community-based organization awarded a grant to demonstrate a covered cost; and a procedure for the department to audit expenditures of grant funds by an eligible community-based organization, or expenditures of any amounts provided by such an organization to a small retail business as a reimbursement for covered costs. Such rules may require an eligible community-based organization to provide either services, as described in paragraph 4 of subdivision b of this section, or reimbursements for covered costs, as described in paragraph 5 of subdivision b of this section.
§ 2. This local law takes effect 180 days after it becomes law and expires and is deemed repealed 3 years after such effective date.
JLB/TIW
LS #20953
9/23/2026, 9:52PM