Businesses ignoring no-dining rules should not get proposed SB 74 COVID relief money
Legislation aiming to provide a lot more COVID-19 relief money for small California businesses and nonprofits is impressive for drawing support from Republicans and Democrats alike. And, Stanislaus County people can brag because Senate Bill 74’s champions are our own Senate representatives.
But much work remains to be done before SB 74 can succeed. And that work should include finding a way to reward businesses that sacrificed much to follow public health orders designed to keep us safe from the dreaded coronavirus.
It’s shameful how many local bars and restaurants are flouting the current stay-home order by serving food and drinks inside and out, which is prohibited but not enforced. One new downtown restaurant owner, knowing that many others are ignoring the rules with no consequence, openly discussed his reasons for also doing so in a recent Modesto Bee column, enraging some readers.
Scofflaws who put profits ahead of customer safety should have no claim on SB 74’s relief money, or should suffer some kind of penalty for willfully endangering us. There is little doubt that continued service, especially inside, has contributed to Stanislaus’ dire and deadly surge, including 782 COVID deaths as of Friday.
Stanislaus County is split among three Senate Districts represented by as many state senators — in rough terms, Republican Andreas Borgeas on the east and Democrats Anna Caballero on the west and Susan Eggman on the north. Although they belong to different parties, Borgeas and Caballero put political differences aside and got together to write and push SB 74 because the hurt endured by our small businesses is blind to party.
“The beauty is that this is not just a bipartisan issue. In my opinion, it is a nonpartisan issue,” Borgeas told The Modesto Bee Editorial Board in a recent Zoom discussion.
One study doubted that one third of small businesses could survive January without financial help.
Legislators on both sides of the aisle needed little prodding to join the Keep California Working Act, as it’s called. Heath Flora, a Republican representing part of Stanislaus County in the Assembly, and Eggman are among the 48 who have signed on so far.
CA Gov. Newsom has another idea
But nothing comes easy in lawmaking. Gov. Gavin Newsom, who ultimately would have to sign SB 74 for it to become law, has proposed his own idea for helping small businesses as part of Newsom’s proposal for the new state budget.
The main difference: Newsom sees spending $650 million on small-business relief, while SB 74 would provide $2.6 billion.
“While we appreciate that the governor put forward some small-business support, it needs to be far more robust,” Borgeas said.
Borgeas and Caballero introduced SB 74 with an urgency clause, meaning it could take effect immediately upon approval in February or March. That seems the fastest way to get more relief to our small businesses and nonprofits, many of which have suffered and even failed while big-box stores with deeper pockets enjoy more profits from less competition.
But relief money should not enrich those who have selfishly increased their income while gambling with their patrons’ health.
Caballero said she has been frustrated at the flagrant lack of compliance, as well as reluctance to enforce the stay-home order. “It’s kind of shocking,” she told The Bee. “They’re not supposed to decide what the law is; they’re supposed to enforce it.”
Borgeas said SB 74 payouts would be tied to a company’s revenue, suggesting that those losing more in the pandemic — presumably because they stayed closed to obey public health directives — would receive more. He and Caballero must nail that down.
Taxpayer money should bolster businesses that care more about being a friend to the community than their bottom line.
This story was originally published January 25, 2021 at 5:00 AM.