REBNY FAKE COMMITTEE | savenycjobs

A REBNY Committee in disguise!

As the oldest and last true small business advocates fighting to save every business owner, we were hopeful when Zohran Mamdani announced his candidacy for Mayor. We endorsed him, albeit cautiously because he represented the only hope for every business owner and their workers to restore their American Dream. For the first time in decades a Mayoral candidate that was not funded or controlled by big real estate, party bosses, or political power broker PACS, had a real chance to win. But our enthusiasm stopped when Zohran, at a Mayoral debate, singled out Maria Torres Springer for public praise for the great service she had performed.

We knew what his statement really meant from our decades of experience fighting the real estate lobby.* Therefore, we had to give a warning to voters against his election because his campaign had been sabotaged by an insider that he trusted. Mamdani had been conned into making this public praise of her. We also knew that if he won and empowered Maria Torres Springer* with oversight of his administration’s economic policy that she would betray him by keeping in place the destructive real estate oligarchy that he had pledged to voters he would end.

*Zohran keeping real estate oligarchy? | savenycjobs

https://www.savenycjobs.com/stringer-rebny-puppet

Maria Torres Springer was hand picked under two administrations by the real estate lobby with the goal to keep a real estate oligarchy economy in place. She faithfully followed the real estate lobby’s mantra, “ never regulate commercial landlords in the critical commercial lease renewal process.”

He trusted her to oversee the Committees on Economic Development and Small Business. Mamdani made a huge mistake!

Anatomy of a lobby inspired Committee!

At first glance of members of this Committee it seems fair and balanced. But from years of experience with some of these members (and organizations) we know it was primarily a real estate lobby picked Committee. There are too many members to go over each one’s lack of business credentials or biases caused by funding given by real estate/power brokers influencers. Therefore, I will expose only a few to show who was really behind the makeup of this Committee and what their goal is.

This exposure may be long to some but absolutely necessary considering what the stakes will be for Mamdani’s legacy if he gets this Commissioner wrong. If he allows a lobby to hoodwink him to pick a pro real estate oligarchy loyalist then he will likely be viewed as a fool who betrayed the voters.

The most glaring Committee member with a disgraceful record of serving the real estate lobby’s interests is Jonnel Doris. He was the former SBS Commissioner in 2020-2021. If you question the integrity of having a former Commissioner under de Blasio picking the new Commissioner under Mamdani you would be correct. Doris was hand picked by a lobby to carry out the most anti democracy act against small business owners ever done. He played a critical role in a scheme to lay the foundation in the new 2022 City Council to kill the Jobs Survival Act and instead replace it with a lobby inspired illegal bill, Commercial Rent Stabilization Act, ARC. The Jobs Survival Act was the oldest legislation in the Council going back to June 1986 and was the only real lifeline to stop the closing of good businesses when their leases expired. It was also the unanimous choice of all business owners for legislation that would give them a real fighting chance to negotiate fair lease terms that would keep them in business and make a reasonable profit. Over the decades this business advocates created bill had been amended five times and had 12 hearings and was easily reintroduced in every change of Council Members. But with the help of SBS Commissioner Doris, for the first time a legal bill supported by the majority of business owners and with 28 Council Member sponsors would not be reintroduced in the new Council and instead the illegally created lobby’s status quo bill would be.

To fully grasp the betrayal of then SBS Commissioner Doris in service of the real estate lobby and show that he has no business being on this Committee, some background is needed. The empty store blight had caused a call for a hearing on the Jobs Survival Act in Oct 2018. The real estate lobby REBNY panicked and would never allow an honest hearing where the bill would be called for a vote. Therefore, they colluded with then Speaker Johnson and a real estate owner Chairman of the Small Business Committee to form a lobby orchestrated sham hearing. A hearing with the goal to stop a call for a vote on the bill and later to amend the bill to make it useless for the owners and a status quo bill with landlords still in control of the commercial lease renewal process. Before this hearing there were 11 prior hearings and not one: BID, Chamber, NFP, or lawmaker ever opposed the bill. All that would change at this lobby’s hearing. Every partner of the city’s real estate oligarchy economy came to this hearing to oppose the bill and stop a vote on it. They all mimicked REBNY’s coached talking points, that the bill should not protect big Fortune 500 type companies and therefore must first be amended before a vote. None of REBNY’s loyalists gave a real rational reason for opposing the bill and none gave a real solution to replace it.

The full story of this collusion of City Hall leadership with a lobby to stop a vote on the Jobs Survival Act and substituted for it can be read in this link.*

*LOBBY BILL SUB JOBS ACT | https://www.savenycjobs.com/council-members-right-choice

A second sham hearing was held on September 17, 2021 on the lobby’s Commercial Rent Stabilization Act, intro 1796 introduced in Nov,14, 2019. Why no hearing in 2 years if this was the bill to save small businesses, as claimed? No hearing was ever called for because it would not save one business owner or one job because the bill gave “no right to renew the lease” to the business owners, thus making it useless. Also making it useless was it gave no rights to the merchants in the lease renewal negotiations and only the landlord made all the decisions of the terms and could evict any tenant when their leases expired. It was a cleaverly disguised status quo bill that sounded great with the focus upon stopping big rent increases. But upon reading the bill it was 25 years too late because the bill was written to never lower the rents and start rent increase rates from 25 years of insane and destructive levels. There could never be a hearing comparing the two bill, Jobs Survival Act and CRS act because no business owner, if given the choice, would want the lobby’s status quo bill, offering zero rights.

On December 31, 2021 all pending bills expire and must be reintroduced in the new Council. Therefore, right before expiration a sham hearing was secretly called and again orchestrated by the real estate lobby. Who would testify claiming to represent small business owners? The same lobby loyalist who testified at the 2018 hearing: BIDS, Chambers, government funded NFP, and insiders of the real estate oligarchy who all had opposed a vote on the Jobs Survival Act at the last hearing but offered no alternative solution. Now they had a solution cooked up by the real estate lobby that they called for a vote. Who was not invited to testify at this lobby orchestrated hearing? The supporters of the Jobs Survival Act. If fact, even though the CRS bill delt with expired commercial leases and determining the rents, there would be no mention of the Jobs Survival Act at this hearing. Correction- one person, Dr. Tom Angotti testified, “The Council should table the proposal and consider substantial improvements that incorporate some of the elements of the long-ignored Small Business Jobs Survival Act. Most important, the law should guarantee long-term leases, an essential element in the preservation of local retail that serves community needs.”

We focus upon this lobby sham hearing because the prime speakers giving testimony would not be there unless first being confirmed by the lobby to follow only their talking points supporting their bill and calling for a vote on their bill. Several of the Committee Members (or their organizations) chosen by Torres Springer to be on the Small Business Committee were at both the 2018 and 2021 lobby’s sham hearings giving testimony supporting the real estate lobby’s position. REBNY had the city’s BIDS and Chambers united and who came out in full force opposing giving business owners any rights in the critical commercial lease renewal process while offering no real solutions to save even one owner or even one job.

BIDS are property owner organizations and no friends of retail businesses. The empty storefronts on every BID district can attest to that fact. Committee member Jeffrey LeFrancois, is from the BID, Meatpacking District Management Association. He also was at one time the COS for Councilman Corey Johnson who sold out his own merchants to become Speaker.

Committee member Lisa Sorin, Five Borough Alliance, she is the president of the Bronx Chamber of Commerce. This alliance for big Chambers from all boroughs is developer/landlord/fat cats friendly and strongly opposed to any regulation of commercial landlords. Also some have political funding ties and some elements of the real estate oligarchy in policy positions.

Committee member Youssef Mubaraz, Yemeni American Merchants Association (YAMA) testified his organization represented thousands of Yemin bodega/deli owners who wanted low rents the CRS bill would bring. Did he not read the bill and realize that none of the Yemen owners had the right to renew their leases and therefore the rents meant nothing. What was troubling in his testimony was the belief that the rents could be lowered, when the bill was written to never lower the rents. Also, his call for government help (“Now more than ever, we need our partners in government to work alongside our members to assure small businesses are given the necessary tools to keep their businesses open and operating”) which is usually code for grants and no payback loans, etc. Also troubling was the imbalance of Committee members from Yemen and NFP members representing the cannabis industry. Let’s hope for the sake of the community character that there is not a round 2 of the illegal cannabis stores reopening up citywide and running up the already sky high rents.

Committee Member Mo Attia, Street Vendor Project should never have been on this Committee. The SBS does not recognize medical professionals as small business owners or the 70% professional small business owners who are above street level in NYC. Why would the SBS represent street vendors in front of the BID merchants who pay for the BID taxes, and all the other taxes charged? This group was a shill for then Boro President Brewer’s fake pro real estate proposals.

Committee Members Arman Chowdhury and Shah Rehman are both from Bangladesh. Of the city’s 210K business owners what percentage are from Bangladesh that gives them two votes for the next Commissioner? Where are the Koreans, Chinese, and Caribbean owners?

Committee Member Fernando Radhames Rodriguez originally from the Dominican Republic, is the president of the United Bodegas of America. He claims to speak for the bodega owners but he never did. One of the prime victims of the real estate oligarchy’s economy is the little bodega owners. Studies of just bodega owners showed 41% were targeted for cash demands in order to stay in business. That number is likely low with the number more like 60-70%. Many owners are on very short leases of sometimes month to month and, or one/two years. Most are forced to pay their landlords growing property taxes and a 2021 survey* showed 82% could no longer remain open by paying the high rents and their landlord’s property taxes. A strong case can be made that the Dominican business owners are the most discriminated against by our government than any other group. Yet, the bodega associations remain silent to the abuses of their own members. Rodriguez is on this committee because he endorsed Mamdani, but more importantly because of the reason he stated, “Mamdani’s promise to cut “red tape” for bodegas and cut fines and regulations for permits.” These words are right out of REBNY’s narrative. Whenever you hear someone say that the problems for business owners are “fines and over regulations” that is REBNY coached. If I were REBNY picking a member to represent Dominicans and Hispanics it would be Rodriguez.

https://www.savenycjobs.com/2021-immigrant-business-survey

The likely top choice for REBNY would be Andrew Rigie, Executive Director of New York City Hospitality Alliance. Since 2014 he has been going to every media outlet or rally to proclaim he speaks on behalf of the city’s restaurant and night life owners. Why his claims are so important to the real estate oligarchy is because the largest number of businesses are the city’s 22 plus K restaurants and they are also the most popular in every neighborhood. So when a busy popular restaurant is forced to close the customers become very angry, but not angry enough to demand something to be done to stop the closings.

Rigie eagerly claims to speak for owners, and he likely does on many smaller issues important to owners that would impact their frustrations and bottom line. But on the issue of rights in the commercial lease renewal process which happens to be the number one cause of successful restaurant owners being forced to close when their leases expire, Andrew Rigie does not speak for them. He speaks for the landlord’s interests and for the real estate oligarchy’s goal of never regulating the commercial landlords.

The Jobs Survival Act had 28 Council sponsors and no real rational reason to not give business owners the right to renew their leases, especially facing a crisis, and equal rights to negotiate fair lease terms, and a fair arbitration process to encourage bargaining in good faith and compromises. Yet, Andrew Rigie never once lobbied for a vote and passage. NEVER! During the 2018 hearing on the bill he was a no show and did not even submit written testimony on behalf of restaurant owners. Why didn’t he want the city’s restaurant owners to have the right to renew long term leases and rights to protect their successful businesses? Why, because REBNY did not want any restaurant owner to have any rights in the commercial lease renewal process.

Andrew Rigie did give testimony at the lobby’s sham hearing in 2021 because the real estate lobby wanted him to go on record NOT apposing their status quo bill. Likely, he would not give testimony unless the lobby approved of what he would say.

Before you read what he testified to let me say with certainty that concerning the restaurant’s commercial lease renewal process he never has, nor never will represent restaurant owners honestly. If owners were given the simple truth about the Jobs Survival Act and what rights it gives the owners in the negotiation process 100% would support the bill. Likewise, if they were given the full truth of the lobby’s status quo CRS bill, giving them no right to renew their leases or no rights in the negotiation process and no arbitration process and can be evicted when their leases expire, 100% would oppose this bill. Read his own words and know why he was put on this committee by Maria Torres Springer.

Before the Committee on Small Business September 17th, 2021, Testimony of the New York City Hospitality Alliance.

Andrew Rigie, “ Over the years, New York City has lost too many beloved restaurants and other small businesses due to large rent increases …. Policies must be enacted to support and help preserve these small businesses, … The New York City Hospitality Alliance have consulted with many hospitality business owners and received insights and varying opinions on the proposed regulation of commercial rent. We’ve heard from many supporters of this policy in our industry who have made compelling arguments about how huge rent increases have resulted in otherwise successful independent restaurants and nightlife establishments shuttering… and how rent regulation would mitigate this displacement. We’ve also been told how landlords often have powerful leverage over small businesses in lease negotiations and they believe there needs to be a more level playing field. We’ve also heard from members of our industry who oppose this policy who have made compelling arguments that such policy can cause landlords to invest less in the upkeep and upgrades of the properties where businesses are located, disincentivize investment and new development that has supported the growth and success of hospitality businesses, and may eliminate landlord tenant improvements that will make it more difficult for new chefs/restaurateurs and undercapitalized entrepreneurs to open new restaurants. It is for these reasons, we are not taking a position on this legislation at this time.

Does he have a better solution? NO!

Rigie, “If the City Council would like to help small businesses, there are far better ways to do so. The BID Association has a Working Group on Storefront Vacancies that put forward ideas for how to help small businesses and commercial corridors as a whole. We hope that the City will look at the following potential solutions: - Adopt regulatory reform measures that focus on punitive fines as a last resort such as the recently passed Gjonaj/Gibson bills - Encourage policies for the flexible and creative use of ground floor space such as pop up tenants - Consider the establishment of a small business czar or commission - Consider at property and further commercial rent tax reform - Enact a tax rebate program for property owners that renew leases of certain smaller legacy businesses - Establish a legacy business support program that would provide bridge financing, marketing, and other incentives to assist our “mom and pop” businesses - Require a business impact analysis for new legislation proposed by the City Council - Increase support for SBS and BIDs which serve and assist businesses First and foremost.”

That is REBNY’s playbook, support the real estate oligarchy’s shills promoting worthless programs and initiatives !

Committee Member Melba Wilson, Melba's. If you are happy to finally see a real woman business owner hold your enthusiasm. She is also president of the board of directors for The NYC Hospitality Alliance. If you ever watched Survivor you know having two votes is a big deal.

Committee Member Urgen Sherpa, Chhaya Community Development NFP.

Claiming to represent immigrant families but never calling for legislation giving rights to their immigrant business owners who are the largest employers of immigrant workers, is not honestly representing them. They are another politically funded NFP gun for hire. Look at their website and see that when the lobby’s bill was introduced they quickly supported it even knowing that a better bill, the Jobs Survival Act was waiting to be voted on for 1 year with 28 sponsors. A bill all the immigrant owners wanted and needed to survive. They are a proud member of the USBNYC coalition which is a fake group formed to cover up de Blasio’s anti small business policies. Their big talking point was the REBNY’s narrative, businesses problems are“too many fines and too much over regulation by government.”

Chhaya CDC is a member of the United for Small Business NYC (USBNYC) Coalition. Chhaya and USBNYC support NYC Intro 1796, sponsored by Councilmember Steve Levin (Brooklyn District 33), which seeks to create a system of commercial rent stabilization for NYC small businesses. On their site: Commercial rent stabilization would limit rent increases on commercial space. It protects commercial tenants from displacement due to exorbitant rent hikes and unregulated fees and provides stability for small businesses and the people who depend on them.

Total disingenuous support, if they believed what they said why have they not pushed for the bill to have a hearing and vote? It was introduced in 2019!

I will finish this review by going back to former SBS Commissioner Doris. The reason being that a sham hearing orchestrated by a lobby cannot happen without the full support of the SBS Commissioner. He opens this hearing with a statement of the position of the SBS on the bills being heard. The fact that he is so dishonest as to remain silent that another bill (Jobs Survival Act) is sitting waiting to be voted on and with 28 sponsors would easily pass if voted. The fact that he never gives his opinion on behalf of the SBS, who is suppose to represent the best interests of business owners, as to which bill would be better for the stability of our city’s small business owners. He fails to acknowledge that the bill being considered does not give the owners the right to renew their commercial leases, a very big deal for owners. The fact that a bill was illegally created by a lobby and nobody questions if the bill is even legal. The fact that this lobby bill is disguised to fool owners by keeping the focus only upon the rents and away from the real issue of the entire commercial lease renewal process that will determine the rents. Doris served the real estate oligarchy’s interest before and that is why he is on this committee today.

It is simple, Mamdani was conned into trusting the wrong person. The choice is clear, who will select the new SBS Commissioner, Mamdani or REBNY? That choice will determine if NYC will continue to have a shadow real estate oligarchy economy under Mamdani.