Committee on Small Business

Wednesday, September 16, 2026, 1 p.m. (New York City time), 250 Broadway - 8th Floor - Hearing Room 3

Committee: Committee on Small Business

Video of the meeting

On the agenda

Documents

Summary

The Committee on Small Business, chaired by Shanel Thomas-Henry, held a hearing on four bills: Intro 90 (Brewer, the storefront business bill of rights requiring written leases, pre-lease disclosures, notice of non-renewal, cure periods, and SBS oversight), Intro 408 (Riley, a pilot matching small businesses with social media content creators), Intro 578 (Gutiérrez, reforming the Industrial Business Zone boundary commission), and Intro 874 (Maloney, a legacy business registry and preservation fund). A representative of the Department of Small Business Services testified, expressing support for the goals of Intro 90 and the legacy business registry while raising concerns about the lease-extension and fund provisions, noting concerns with Intro 408 as written, and saying the administration's developing citywide economic growth agenda should inform changes to the IBZ boundary commission. Council members questioned SBS on Staten Island service uptake, commercial lease assistance data, vacancy rates, legacy business safeguards, property taxes, and the Alpine Theater. Public witnesses supported the bills, with real estate and brokerage witnesses opposing Intro 90's mandatory one-year lease extension, and several advocates urging action on commercial rent stabilization (Resolution 496).

Transcript

0:14 Thank you quiet down quiet

0:14 down we're going to be

0:24 starting shortly good

0:25 afternoon and welcome to you

0:26 today is New York City Council

0:28 hearing from the committee on

0:30 small business at this point

0:31 I'd like to remind everyone t

0:33 osilence their electronic

0:33 devices and at no point is

0:34 anyone to approach the dais if

0:36 you would like to sign up t

0:38 otestify in person and have not

0:39 filled out a form yet the

0:41 forms are located outside in

0:43 the hallway with the sergeant

0:45 arms

0:45 . We're ready to begin.

0:50 Thank you this hearing is

0:52 called to order good afternoon r

0:57 chanel Thomas Henry chair of

0:58 the the committee on small

1:00 business and thank you for

1:01 joining today's hearing

1:03 . While traveling across the

1:04 City to speak with small

1:06 business owners the one thing

1:08 that kept coming up in these

1:10 conversations is how hard it

1:11 is for them to stay in this

1:12 City and grow.

1:13 With the goal of supporting

1:16 our small businesses and

1:17 keeping them in our community

1:19 this hearing will focus on

1:21 discussing four bills

1:23 . These are introduction 9

1:25 0from councilmember Brewer

1:27 introduction 4 0 8 from

1:30 Council Member introduction 5

1:33 7 8 from councilmember

1:34 Gutiérrez and introduction 874

1:38 from councilmember Maloney

1:39 . I like to thank the council

1:42 colleagues representatives

1:43 from the administration and

1:44 members of the public for

1:47 being here as well as members

1:49 of the participatory

1:50 participating remotely.

1:51 We are losing our small

1:54 businesses fast last year more

1:56 businesses closed in New York

1:59 state than opened.

2:00 Those businesses closed

2:01 because we have made it too

2:03 difficult for them to remain

2:04 open the rising cost of rent

2:07 in the City displaces not only

2:09 our residents but our

2:12 businesses this is a travesty

2:14 because small businesses are

2:14 the foundation of our City

2:16 they make it distinct and they

2:18 give it character they helped

2:20 to find the neighborhoods they

2:21 serve and can even become

2:24 important social centers where

2:26 people gather and interact in

2:29 public like barbershops and

2:30 and coffee shops staying in

2:32 business is no easy feat when

2:34 small businesses are forced t

2:37 onavigate complex and expensive

2:39 commercial lease

2:39 . Agreements while also trying

2:41 to find enough funds t

2:43 ocontinue to keep their

2:43 business in operation

2:45 . In New York City the

2:46 department of small business

2:47 services exists to hel

2:49 psupport these business owners

2:51 they help business owners

2:53 navigate and adhere t

2:54 oregulations and provide them

2:56 with funding streams when

2:57 needed the bills that we are

2:59 hearing today would further

3:01 allow to fulfill its mission

3:02 . By centralizing tools to

3:05 address the real and unique

3:06 challenges our entrepreneurs

3:08 face

3:09 . Introduction 90 from

3:10 councilmember Brewer.

3:11 Would require commercial

3:12 landlords to disclose

3:13 information regarding the

3:15 building prior to collecting

3:16 rent on the property it also

3:19 sets up procedures for

3:20 negotiating lease agreements

3:22 between business owners and

3:23 commercial landlords and

3:24 creates a private right of

3:26 action for business owners t

3:27 osue their commercial landlords

3:31 for noncompliance.

3:32 Councilmember brewer's bill

3:33 would help help ensure that

3:35 small businesses could

3:36 negotiate with their

3:38 commercial landlords freely in

3:39 a without fear of losing their

3:41 business in the process

3:43 . Introduction 4 0 8 from

3:45 Council Member Riley

3:46 . Would help promote small

3:47 businesses by establishing a

3:49 program to pare small business

3:51 owners with local social media

3:53 influences to help market

3:55 their business this bill would

3:56 help ensure that our

3:58 businesses are getting the

3:59 promotional investment that

4:00 they need to continue t

4:01 ooperate in their communities

4:04 introduction 5 7 8 from

4:07 Council Member Gutiérrez

4:08 reform our industrial business

4:10 zone boundary commission her

4:12 bill reforms the commission t

4:13 omake it less controlled by

4:16 City agencies and more

4:17 responsive to the community

4:18 the bill also makes it harder

4:20 to remove or shrink eib's

4:23 Council Member Gutiérrez bill

4:23 would help ensure that our

4:25 manufacturing businesses can

4:26 continue to thrive in this

4:29 City

4:30 . And finally introduction 8

4:33 74 from councilmember Maloney

4:35 would establish a legacy

4:37 business program this bill

4:38 would allow long standing

4:40 small businesses with

4:41 community ties in the

4:42 neighborhood to apply for

4:44 funding and other assistance

4:46 to keep them open in operation

4:49 . Councilmember maloney's bill

4:50 would help preserve vital

4:53 community landmark landmarks

4:54 and ensure that they remain

4:56 open

4:56 . The legislation that we will

4:58 hear today will help make our

5:00 City more competitive by

5:01 keeping our small businesses

5:02 right here where they are I

5:04 look forward to hearing

5:05 testimony from the department

5:06 of small business services and

5:08 hearing their positions on

5:10 these bills I similarly look

5:12 forward to hearing from small

5:13 businesses and advocates on

5:15 today's legislation I want t

5:16 othank tyler walz and rebecca

5:18 burrell from central staff for

5:20 their hard work and putting

5:22 this hearing together as well

5:23 background to help make this

5:31 hearing possible I would like

5:32 to mention that I am joined by

5:36 my colleagues councilmember

5:38 breuer council Maloney

5:40 councilmember santis whoa so.

5:42 And Council Member at this

5:45 time I will now turn it over

5:47 to councilmember Brewer t

5:50 oprovide opening

5:50 . Remarks thank you very much

5:52 chair Thomas Henry thank you

5:55 for including this bill until

5:57 90 the storefront business

5:58 bill of rights on today's

6:00 agenda

6:01 . I've been working on this

6:01 issue since 19 80 I just want

6:04 to let you know.

6:05 Building on years of

6:06 advocating for mom and pop

6:08 stores as manhattan borough

6:09 president that wasn't that

6:11 long ago but it was a 10 or so

6:13 years ago

6:14 . I convened a task force made

6:16 up a small business owners

6:18 commercial tenants and

6:19 landlords.

6:20 To identify recommendations

6:22 and proposals that would

6:23 prevent small business owners

6:25 from being priced out of the

6:26 City just because this is such

6:28 a difficult issue to come up

6:31 with solutions and get

6:31 stakeholders to be supportive.

6:35 Months of substantive policy

6:37 discussion focused on City

6:38 fines and fees unaffordable

6:40 rents scaffolding construction

6:42 long term vacancies financing

6:44 and transitioning online

6:45 businesses to brick and mortar

6:49 storefronts.

6:49 This storefront business

6:50 bill of rights intro 9

6:52 0emerged from the task force's

6:55 report small business a big

6:56 impact that we put together.

6:57 This report seeks t

7:00 oestablish important

7:00 protections for small business

7:03 owners and improve

7:03 communication between building

7:04 and business owners.

7:06 A consistent message emerged r

7:11 lease agreements without

7:12 access to essential

7:15 information then they face

7:15 sudden rent hikes ambiguous

7:19 lease terms and a lack of

7:21 predictability and renewal

7:23 negotiations

7:23 . This lack of transparency

7:26 and communication contributes

7:28 to instability in the

7:30 commercial market and business

7:31 closures in our neighborhoods

7:33 neither of which benefits

7:35 business owners or property

7:37 owners

7:37 . Until 90 responds to those

7:40 concerns by setting clear

7:41 standards for commercial these

7:43 transparency and renewal

7:45 creating a more stable

7:46 environment for small

7:47 businesses to thrive and plan

7:48 into the future these are the

7:52 key provisions one

7:53 . A written lease requirement

7:55 for any storefront tenancy

7:57 longer than one year ensuring

8:00 clear and documented terms for

8:01 all parties I will say that in

8:03 many cases it's a handshake a

8:05 handshake be fine until the

8:08 rent goes up and then you have

8:09 nothing to base it on number

8:12 two.

8:13 Lise renewal protections

8:14 including a required 100 a day

8:17 hundred 20 day notice of non

8:19 renewal I can't tell you how

8:20 many times I know this pizza

8:22 store.

8:23 I couldn't even get in the

8:25 owner never talked to the

8:26 owner the owner wouldn't talk

8:28 to him he got a he evicted

8:30 without any communication

8:31 whatsoever I couldn't get in

8:32 touch with the owner

8:36 . Three mandatory pre lease

8:37 disclosures such as the

8:39 certificate of occupants is

8:42 there one

8:43 . A breakdown of occupancy

8:43 related costs utilities taxes

8:45 fees and a 10 year history of

8:47 known violations or

8:49 construction activity for

8:51 . A reasonable cure period for

8:54 up to 60 days for tenants to

8:58 address lease violations

8:59 except in emergency situations h

9:04 landlords and tenants t

9:06 omaintain and update contact

9:08 information throughout the

9:09 lease term and six oversight

9:12 by the department of small

9:14 business services which will

9:16 also provide model commercial

9:17 lease templates translated

9:19 into multiple languages along

9:21 with user friendly tools t

9:23 ohelp businesses estimate costs

9:24 and understand least terms

9:27 . I appreciate the continued

9:28 support and dialog with the

9:31 manhattan chamber of commerce

9:31 in New York City hospitality

9:34 alliance remedy and of course

9:37 we all need t

9:38 oinstitutionalize these best

9:40 practices I thank committee

9:42 staff tyler wells rebecca

9:46 barria and amon marine as well

9:48 as chair Thomas Henry and

9:50 shula pooter from my staff and

9:52 I really appreciate this

9:52 there's no easy answer to

9:55 keeping small businesses in

9:57 business and we were just

10:00 touring astoria astoria and

10:01 jackson heights I think the

10:03 commissioner was there and I

10:06 could see unfortunately what

10:07 happened on the upper west

10:07 side happening there

10:10 . Incoming with all due

10:12 respect chain stores and they

10:13 don't stand a chance against

10:14 the mom and pop so hopefully

10:16 we can give them that chance

10:19 thank you

10:20 . Thank you Council Member I

10:21 will now turn it over to to

10:23 Maloney for opening remarks

10:25 thank you chair Thomas Henry

10:28 for holding today's hearing

10:29 and also for coming to

10:32 district four to talk about

10:34 intro 8 7 4 and visit legacy

10:37 businesses in my community

10:40 legacy businesses are part of

10:41 the fabric of this City across

10:43 all five boroughs they are the

10:44 neighborhood markets the

10:47 bookstores the other family

10:49 owned businesses that have

10:49 been here for decades and

10:51 they're a big part of what

10:52 makes New York so special it's

10:55 unique character and identity

10:58 but rising rents sky rocketing

11:00 operation costs are making it

11:02 harder for these businesses t

11:05 osurvive and when a long time

11:08 business closes we lose a

11:09 piece of what makes that

11:11 neighborhood uniquely New York e

11:14 legacy business bill that

11:15 we're introducing and talking

11:17 about today which will create

11:19 a registry of recognized that

11:21 have served served communities

11:22 for at least 20 years and also

11:24 have a preservation fund t

11:26 ohelp those at risk of

11:28 displacement stay open at its

11:30 core this bill is about giving

11:32 long standing small businesses t

11:35 ostay in the communities that

11:37 they helped to build thank you

11:39 . Thank you Council Member I'd

11:41 like to recognize that we've

11:42 been joined by Council Member

11:45 haneef

11:45 . I will now turn it over to

11:46 committee counsel t

11:47 oadminister the oath before we

11:48 hear from the Mayor all

11:52 administration we will now

11:53 hear testimony from the

11:55 administration before we begin e

11:59 affirmation panelist please

12:00 raise your right hand do you

12:02 affirm to tell the truth the

12:04 whole truth and nothing but

12:05 the truth before this

12:06 committee and to respond

12:07 honestly to Council Member

12:08 questions I do thank you you

12:10 begin when ready stop thank

12:14 you so much good afternoon I

12:16 chair Thomas Henry council

12:18 member Brewer Council Member

12:20 murano Council Member Maloney

12:22 Council Member santoso council

12:23 member and eve and members of

12:25 the small business committee

12:26 of the New York City Council

12:27 for small business services

12:35 for short.

12:36 Z's mission is to unloc

12:38 keconomic potential and create

12:38 economic security for all New

12:39 York er's by connecting New

12:41 York er's to good jobs

12:43 creating stronger businesses

12:44 and building thriving

12:45 neighborhoods across the fiv

12:46 eboroughs over the past six

12:48 months under commissioner

12:51 manny's leadership has moved

12:53 aggressively to to deliver New

12:54 era for small businesses by

12:55 advancing efforts to cut red

12:58 tape expand support and reach

13:00 more New yorkers across the

13:02 five boroughs s pius revamped

13:03 the fifth the $18 million

13:06 future fund to produce

13:08 barriers and lending

13:08 established the first ever

13:10 office of st vendor services

13:12 four months ahead of schedule

13:14 and expanded the cannabis loan

13:17 fund to all New York City

13:19 licensees also helped create

13:20 the city's newest.

13:22 Business improvement

13:22 district in coney island and

13:24 released a total of $8.

13:27 4Million in grants one of the

13:30 largest single releases of

13:32 neighborhood development

13:33 grants in our agency's history

13:35 to fund public arts street

13:37 cleaning lighting way finding

13:39 infrastructure commercial

13:40 district marketing campaigns

13:41 and other neighborhood

13:43 improvements the

13:44 administration has pared our

13:45 expanded programming with a

13:46 historic regulatory relief

13:48 agenda including executive

13:51 order 11 in January 2

13:52 inventory all fines and fees

13:53 and executive order 18 in the

13:56 open for small business

13:58 package of more than 5

14:00 0reforms none of this work

14:01 would have been possible

14:02 without the direct feedback of

14:04 small business operators

14:05 through surveys our direct

14:07 service work and roundtables

14:08 tables led by deputy Mayor

14:10 Julie sue with bodega owners

14:12 restaurant operators and

14:14 childcare providers

14:15 . Commissioner minaya also

14:15 held community partner

14:16 convening with a cross section

14:18 of local borough chambers