Several Brooklyn city lawmakers applauded Mayor Bill de Blasio’s announcement today that fines faced by small businesses have been cut in half.
De Blasio, alongside Department of Consumer Affairs Commissioner Julie Menin, said fines on small businesses and revenue they generate have been reduced by $5 million as part of the City’s Small Business First initiative.
“Small businesses need support and resources – not onerous fines for violations that don’t pose any risk to consumers,” said de Blasio. “Reducing these fines is a bedrock of our effort to make it easier to open and operate a small business in New York City, and I’m proud to see our fair reforms translate in the numbers.”
Since Consumer Affairs started the Small Business Relief Package last July, the number of violations issued has decreased by more than one-third, from 19,409 in FY 2104 to 11,923 in the last fiscal year. The original assessment placed the violations at $32.5 million in fines. After the violations were reduced, the fines amount to a little over $15.7 million.
“Government should not be in the business of hurting someone’s business, especially not our small businesses, which stand tall as the backbone of our borough’s economic future and represent the livelihoods of millions of New Yorkers,” said Brooklyn Borough President Eric Adams. “We need to be focused on a regulatory environment that values proactive education over punitive measures, while at the same time holding egregious actors that put consumers at risk accountable.
Some neighborhoods were visited by inspectors more than others, leaving others under-inspected. Using an internal mapping technology, Consumer Affairs worked towards placing their inspectors more fairly throughout the city. Prior to using the technology, approximately 40 percent of patrol inspectors returned to businesses that had recently been inspected. Since the technology has been implemented, this number has decreased to 3 percent.
“Small businesses are the backbone of our local economy. For years, excessive fines had burdened small businesses across the city, impeding economic growth and creating an environment that was not business-friendly. Right now, we are at a point where businesses are shutting their doors because of the costs of doing business in this city. I applaud DCA Commissioner Julie Menin for her leadership in the implementation of the Small Business Relief Package, and for reducing DCA’s revenue from fines by $5 million. The success of these reforms demonstrates that City government can provide much-needed relief to small businesses while ensuring consumers are protected,” said Bushwick City Council Member Rafael Espinal.
The following are what other Brooklyn City Council Members said about the issue:
Bedford-Stuyvesant City Council Member Robert E. Cornegy, Jr., Chair of the Committee on Small Business: “By emphasizing education, using warnings and levying financial penalties only as a last resort to protect public safety, New York City is remaking itself into a small business partner, rather than a punisher. By continuing down this road, we will ensure that our city continues to be a place where entrepreneurship thrives.”
City Council Member Chaim Deutsch, who represents Brighton Beach, Manhattan Beach, Midwood, and Sheepshead Bay: “Following Hurricane Sandy, businesses in my district were severely impacted, and many had to close down. Commissioner Menin has taken a proactive approach to ensuring the revitalization of our waterfront community. I am grateful to Mayor de Blasio and Commissioner Menin for their continued commitment to ensuring that small businesses flourish and for reducing arbitrary fines against them.”
Flatbush Council Member Mathieu Eugene: “By reducing frivolous fines that only hurt these businesses, we are ensuring that the businesses that provide so much culture, character, and economic opportunities to our neighborhoods can thrive.”
Council Member Vincent Gentile, who represents Bay Ridge, Bensonhurst, Bath Beach, Dyker Heights: “Since the enactment of the Small Business Relief Package last summer, fines are down by $5 million across the board. This is a victory for small business owners and a victory for equity and fairness. Our business owners essentially keep our city running, it’s about time city government worked for them.”
