S3336

An Act concerning assistance to certain small hospitality businesses, supplementing P.L.1974, c.80 (C.34:1B-1 et seq.), and making an appropriation.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. As used in P.L. , c. (C. ) (pending before the Legislature as this bill):

“Authority” means the New Jersey Economic Development Authority established pursuant to section 4 of P.L.1974, c.80 (C.34:1B-4).

“Major public health emergency” means a health emergency that has resulted in the Governor declaring a public health emergency, pursuant to section 3 of P.L.2005, c.222 (C.26:13-3), and a state of emergency, pursuant to P.L.1942, c.251 (C.App.A:9-33 et seq.), within this State.

“Qualified small hospitality business” means a business owning a restaurant or dining establishment, or any bar, brewery, brewpub, winery, or other establishment serving alcoholic beverages on its premises at which 100 or fewer workers are employed at a location in this State and where the business has applied for and has been approved by the authority for participation in the program established pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).

2. a. The New Jersey Economic Development Authority shall establish a program that provides grant funding to a qualified small hospitality business for the purchase or reimbursement of its costs of barriers, blankets, heaters, and tents used for the preparation and outdoor operation of an establishment of the qualified small hospitality business during periods of cold and other inclement weather.

b. The authority shall establish the terms and conditions by which a small hospitality business may apply and receive approval for participation in the program. The authority shall enter into an agreement with a qualified small hospitality business concerning the authority's provision of grant funding to a qualified small hospitality business for this purpose. The authority shall provide no more than $10,000 in grant funding to each qualified small hospitality business approved by the authority for participation in the program.

3. The authority shall establish and maintain within the program a fund to provide grant funding to a qualified small hospitality business that participates in the program and to administer the program. The fund shall be credited with $50,000,000 from an appropriation made to the authority pursuant to section 6 of P.L. , c. (C. ) (pending before the Legislature as this bill). The fund may be credited with moneys made available by the authority for the purpose of the fund and moneys received by the authority from any other public or private donations. The authority is authorized to seek and accept gifts, grants, or donations from private or public sources for deposit in the fund, except that the authority may not accept a gift, grant, or donation that is subject to conditions that are inconsistent with any other law of this State.

4. a. In administering the program and the fund established pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill), the authority shall establish:

(1) procedures and timelines for applications for the program;

(2) criteria for determining grant funding to be disbursed from the fund to a qualified small hospitality business;

(3) reporting requirements for a qualified small hospitality business accepted into the program and its receiving grant funding from the fund; and

(4) any other policies deemed necessary by the authority for the administration of the program and the fund. The authority, in its sole discretion, may amend these policies at any time if the policies are established or amended in a manner consistent with the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill).

b. The reporting requirements established pursuant to paragraph (3) of subsection a. of this section shall require a qualified small hospitality business receiving grant funding under the program to report to the authority, in a form and manner determined by the authority, while the qualified small hospitality business participates in the program. The report shall include:

(1) proof that the qualified small hospitality business used grant funding to purchase barriers, blankets, heaters, and tents at an establishment of the qualified small hospitality business; and

(2) any other information the authority requires in a form and manner determined by the authority.

5. There is appropriated from the General Fund to the New Jersey Economic Development Authority the sum of $50,000,000 from a portion of those federal block grant funds allocated to the State from the federal “Coronavirus Relief Fund,” established pursuant to the federal Coronavirus Aid, Relief, and Economic Security Act,” Pub.L.116-136, or from any other source of funds available to the State pursuant to federal law, for use by the authority to provide grant funding to qualified small hospitality businesses that participate in the program established under P.L. , c. (C. ) (pending before the Legislature as this bill) and to administer that program.

6. This act shall take effect immediately.

STATEMENT

This bill requires the New Jersey Economic Development Authority (EDA) to establish a program that provides grant funding to a qualified small hospitality business for the purchase or reimbursement of its costs of barriers, blankets, heaters, and tents used for the preparation and outdoor operation of at an establishment of the hospitality business during periods of cold and other inclement weather. The bill defines a “qualified small hospitality business” (hospitality business) as a business owning a restaurant or dining establishment, or any bar, brewery, brewpub, winery, or other establishment serving alcoholic beverages on its premises at which 100 or fewer workers are employed at a location in this State and where the business has applied for and has been approved by the EDA for participation in the program. The EDA is to establish the terms and conditions by which a hospitality business may apply and receive approval for participation in the program.

The EDA is to enter into an agreement with a hospitality business concerning the EDA's provision of grant funding to a hospitality business for this purpose. The bill prohibits the EDA from providing more than $10,000 in grant funding to each hospitality business approved by the EDA for participation in the program.

The bill requires the EDA to establish and maintain a fund to provide grant funding to a hospitality business that participates in the program and to administer the program. The fund is to be credited with $50,000,000 from an appropriation made to the EDA. The fund may be credited with moneys made available by the EDA for the purpose of the fund and moneys received by the EDA from any other public or private donations.

In administering the program and the fund, the EDA is to establish: 1) procedures and timelines for applications for the program; 2) criteria for determining grant funding to be disbursed from the fund to a hospitality business; 3) reporting requirements for a hospitality business accepted into the program and its receiving grant funding from the fund; and 4) any other policies deemed necessary by the EDA for the administration of the program and the fund. The EDA, in its sole discretion, may amend these policies at any time if the policies are established or amended in a manner consistent with the provisions of the bill. The reporting requirements require a hospitality business receiving grant funding under the program to report to the EDA, in a form and manner determined by the EDA, while the hospitality business participates in the program. The report is to include: 1) proof that the hospitality business used grant funding to purchase barriers, blankets, heaters, and tents at the hospitality business; and 2) any other information the EDA requires in a form and manner determined by the EDA.

The bill appropriates from the General Fund to the EDA $50,000,000 from a portion of those federal block grant funds allocated to the State from the federal “Coronavirus Relief Fund,” established pursuant to the federal Coronavirus Aid, Relief, and Economic Security Act,” Pub.L.116-136, or from any other source of funds available to the State pursuant to federal law, for use by the EDA to provide grant funding to hospitality businesses that participate in the program and to administer the program.