Gov. Phil Murphy took two positive steps to help restaurants and small businesses this week. But will they be enough for business owners after nearly a year of capacity restrictions?
Michele Siekerka, Esq., NJBIA President and CEO,
NJBIA President and CEO Michele Siekerka said it all depends on each business’ individual situation and needs.
“What we saw this week from the governor were certainly good signs and hopefully an indication of better things to come, especially as we head toward warmer months,” Siekerka said. “However, the overall impact of what it means to a business’ bottom line is going to be situational.
“For those who are barely surviving, or need greater capacity, or don’t have the option to provide outdoor dining, these steps may not be enough. For those who have hung on a little stronger or are not constrained to curfews established by municipalities, these steps should help them along nicely.”
On Wednesday, Gov. Murphy signed an executive order that allows restaurants to increase indoor dining capacity from 25% to 35%. The capacity order also applies to indoor entertainment and recreation venues, including casinos and gyms and personal care businesses, such as barbershops and salons.
Additionally, the 10 p.m. statewide curfew that restaurants were operating under was lifted. However, municipalities or county governments will still be able to regulate service hours after 8 p.m. as had been permitted since mid-November.
On Friday, Gov. Murphy signed legislation that will expand opportunities for outdoor dining in New Jersey, by way of a framework to allow restaurants, bars, distilleries, and breweries to use outdoor space or public sidewalks as extensions of their business premises.
The bill also extends the effective period of permits issued under an ABC special ruling made last summer that allowed licensees to expand the premises where they can serve alcoholic beverages to include outdoor spaces.
Restaurants will now be able to maintain the permit through November 30, 2022, or the date at which indoor dining returns to full capacity at restaurants – whichever is later.
What remains to be seen is how, or if, these steps will impact the progress of bill S-3093, which directs the governor to implement county-based plans for safely reopening businesses, rather than the statewide, one-size-fits-all executive orders used since the pandemic hit last March.
That bill passed through the Senate unanimously on Jan. 28 and is expected to be considered soon by the Assembly.
“We’ve seen this scalpel approach for safe reopenings work effectively in our neighboring states,” Siekerka said. “It will enable counties that have fewer COVID-19 cases to avoid the restrictions imposed in places throughout the state–where those numbers are higher.
“This bill is important because New Jersey has 31.4% fewer small businesses than it had a year ago. If it can somehow go the distance, the livelihoods of more business owners will be saved, and more people can get back to work.”
35% revenue, 100% expenses. How is that so much different from 25% revenue, 100% expenses?
Restaurants need at least now 60% capacity in order to effectively move towards increased of
Income generation with respect to the ratio of income and expenses
This is still panic, control and fear!! Restaurants will still be in trouble with 30% capacity. Many venues breakeven point is somewhere between 60 to 65% so these venues will still be losing money that unable to make up. As far as the 10:00 pm curfew being listed that was a joke from day one – the virus can tell time. If you in a venue before 10:00pm you won’t get the virus but after 10:00 pm you will? Now Gov. Murphy will probably say that about 11:00 pm. It is mind boggling that an organization like NJBIA who claims to be an organization for all the businesses in NJ to abide by this. I guess NJBIA does not care if all the small business go bankrupt and close their doors. But who will be left to pay the business taxes as large corporations have deserted Jersey already. When will we wake to this HOAX???
NJBIA has, and continues to, advocate for greater capacity for all businesses that are able to meet required safety protocols. We 100% agree they need more.
One of hundreds of examples stating so: https://njbia.org/njbia-warns-restaurants-cant-survive-much-longer-under-25-dining-capacity-restrictions/#:~:text=NJBIA%20President%20Michele%20Siekerka%20told,the%20arrival%20of%20colder%20weather.
NJBIA also has not been in favor of curfews for the same reasons you state.
NJBIA also fought against the CBT increase and continues the fight to bring it back down.
https://www.app.com/story/opinion/columnists/2020/12/05/new-jersey-businesses-need-break/3807503001/
Went to dinner last week to a very good restaurant we have been to numerous times, met a waiter we knew from another restaurant that went out of business early in the pandemic do to restrictions. He told me this was his fourth location since April of this year do to shut downs or layoff from the restrictions on restaurants. As we talked he let me know the restaurant we were at was closing today for good, and also had closed their operation in Staten Island NY. The destruction of the restaurant industry is enormous, my business is closely aliened to this industry and we see this going on every day. Our sales to restaurants is down over 60 % in 2020 fortunately for us we are doing a lot of business with Google, Facebook and Amazon as they are buying up buildings all over NYC as well as other locations. Somewhat of a sad commentary on where we are at with big business doing well and small business being driven out of existence. The end result of Politicians making decisions they know nothing about, very sad situation.