Photo Courtesy of Sen. Addabbo’s Office
“I encourage all those who meet the programs’ requirements to apply and get the financial relief they deserve,” Sen. Addabbo said.
By Forum Staff
Help is here for renters, landlords and small businesses that have been affected by the COVID-19 pandemic, as last week Gov. Andrew Cuomo announced at total of $3.5 billion in assistance programs to help those groups recover from financial hardship, State Sen. Joe Addabbo, Jr. (D-Howard Beach) noted Tuesday.
The New York State Emergency Rental Assistance Program will provide $2.7 billion in funding for eligible households experiencing financial hardship due to the COVID-19 pandemic. The Small Business Recovery Grant Program will provide $800 million in funding to small and micro businesses, as well as small for-profit independent arts and cultural organizations to help them recover from the economic impact of the pandemic.
“I encourage all those who meet the programs’ requirements to apply and get the financial relief they deserve,” Addabbo said.
Administered by the state Office of Temporary and Disability Assistance, the ERAP will provide assistance for households behind on their rent and that have experienced financial hardship, that are at risk of homelessness or housing instability and that earn at or below 80 percent of area median income. Eligible renters will receive 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. This program is expected to serve between 170,000 and 200,000 households.
During 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. After the first 30 days, applications will be processed on a first-come, first-served basis, as long as funds remain available. The Senator noted that since funds for the program are limited to $3.5 billion statewide, individuals are encouraged to file an application at their earliest convenience.
Once approved, eligible households will receive up to 12 months of past due rent. Those eligible could also receive up to 3 months of additional rental assistance, if the household spends 30 percent or more of its gross monthly income on rent. The program also will provide up to 12 months of utility arrears for eligible applicants.
In addition to fiscal relief, ERAP will provide significant tenant protections. 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.
The Small Business Recovery Grant Program will provide funding to small and micro businesses and small for-profit independent arts and cultural organizations with priority given to socially and economically disadvantaged business owners, including minority- and women-owned business enterprises, service-disabled veteran-owned businesses and veteran-owned businesses, and businesses located in economically distressed communities.
Grants will be for a minimum award of $5,000 and a maximum award of $50,000 and will be calculated based on a 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
- Heating, ventilation, and air conditioning costs;
