U.S. Rep: Rules Need Change for Seasonal Businesses

To access the Herald’s local coronavirus/COVID-19 coverage, click here.
COURT HOUSE – Federal monies available under COVID-19 stimulus packages are “unfair” to seasonal business owners, but U.S. Rep. Jeff Van Drew (R-2nd) promised April 9 that he is working to change that.
During a digital Town Hall meeting sponsored by the Cape May County Chamber of Commerce, about 130 participants heard VanDrew urge people to follow current health guidelines if they need to leave their home, his thoughts on the U.S. supply chain, and provided little in terms of when county businesses might re-open. Questions were submitted ahead of time by attendees.
Van Drew also announced he used $10,000 in campaign funds and $4,000 in personal funds to purchase Personal Protective Equipment (PPE), including n95 and surgical masks, that will be distributed to local healthcare workers and citizens. 
Sharing the microphone with Vernon Hill II, chairman, Republic First Bancorp., Inc., Van Drew said he and Hill were working to change some of the rules that are being used to calculate loans, grants and other funding available to small businesses as a result of the pandemic. 
The Paycheck Protection Program (PPP) provides fast relief to small businesses, self-employed individuals, independent contractors, non-profit and veteran organizations and tribal business concerns. 
Funds can be used to meet payroll, cover rent and utilities, as well as business mortgage debt. Some or all of the loan may be eligible for forgiveness.
“There need to be changes to some of the rules,” Van Drew said, “because they are unfair to seasonal businesses. Without seasonal businesses, this state would be in trouble because our county is the top two or three for tourism. The good thing is this is not a New Jersey problem, it’s affecting seasonal businesses all over the country. We are trying to work things out and fix it.”
Some of the aid is based on the number of full-time residents (which grows by 10 times in Cape May County during the summer), or the number of employees during the spring when many seasonal businesses are closed or have minimal staff working. 
“If we are not in a position to fix it (rules) soon, I’m afraid there may be no help available this year,” Hill said. “The businesses at the shore need to know what’s happening and what they can expect.”
Hill urged businesses to apply for Small Business Relief programs through his bank’s website (https://www.myrepublicbank.com/home-page). He said businesses don’t need to be a current customer of the bank. 
Several questions asked about a date or “signs” when the country and county would re-open for business. VanDrew said the president would set the model and trend to re-open for business, noting the president has said he “wants to get back to work as quickly as possible.
“I don’t think we will be opening up all at once,” the representative said. “New York won’t necessarily open at the same time as businesses in North Dakota, for example, because the virus is affecting everyone differently. Some states are seeing less numbers of people infected, but you don’t want to open and have another cycle get started.
“I think we will get our cues from the federal and state governments,” he pointed out. “In New Jersey, we already changed the date of our primary (election) from June to July. I hope we open in May, maybe in the next six weeks, or it could be in the next couple of months.”
Van Drew said the pandemic has shown that “we need to do better with our supply chain” in the future. 
“It’s shameful what has happened to our supply chain in the U.S.,” Van Drew said. “We need to take care of the U.S.A. first. It’s unfathomable to me that we are not making penicillin in the U.S. anymore. We need manufacturing, the ability to make prescription drugs, health equipment here in the U.S. We all have to work harder on this in the future.”
A recent article by a Johns Hopkins University professor (https://hub.jhu.edu/2020/04/06/goker-aydin-global-supply-chain/) noted China is a key supplier of the raw materials for prescription drugs and India has become a major producer of generic drugs. 
Van Drew also urged people to wear a mask if they must leave their home and to wash and scrub their hands with hot water and soap for 20 seconds, “which means two rounds of singing ‘Happy Birthday.’
“As the weather gets nicer, people still need to stay inside,” he cautioned. “The problem is that we don’t know where south South Jersey is on the curve. Our freeholders and mayors have done their best to limit visitors to the area, but the best thing is to avoid coming to the shore. We don’t have the infrastructure if the numbers get too high. This is not the time to be close together.”