A tipping point for restaurant regulations

At a CB8 meeting, UES small-business owners voice their frustrations over new rules

by Charmaine P. Rice

Too many new laws mixed with too little transparency is a recipe for frustration.

Upper East Side restaurateurs voiced their mounting concerns over an ever-growing list of new rules and regulations at a recent Manhattan Community Board 8 meeting held on June 13. Representatives from the Department of Consumer Affairs, Department of Sanitation, and the Manhattan Chamber of Commerce were on hand to field questions from the panel and attendees regarding the growing number of regulations imposed each year by multiple city agencies on local dining establishments, as well as provide an overview of resources for small business owners.

On the panel were Michael Mellamphy, co-owner of Ryan’s Daughter on 85th Street between First and Second Avenues; Joe Pecora, owner of Delizia 92 Ristorante and Pizza on 92nd Street and Second Avenue; and Albert Wu, former owner of China Fun on 64th Street and Second Avenue. Though China Fun closed its doors in January 2017, the three establishments have served Upper East Side denizens for more than 25 years.

“I started to attend community board meetings several years ago because we had to get our liquor license renewed, but it dawned on me very quickly that restaurateurs and bar owners usually show up to these community board meetings when problems arise. One way to alleviate these conditions is to get involved and to show that we are a part of these neighborhoods,” explained Mellamphy. “We live in these neighborhoods, we work in these neighborhoods, and to some extent, contribute to the success of these neighborhoods and why people want to live on the Upper East Side.”

The panel echoed this sentiment to counter the notion that small-business owners, particularly restaurant owners, are not invested in the neighborhoods where they run their businesses. The struggling economy coupled with the decade-long Second Avenue subway construction impacted small businesses across the Upper East Side, resulting in closures and a high turnover rate. Restaurant owners insist they are in it for the long haul, and those in the audience chimed in to share their frustrations with running a restaurant on increasingly thin profit margins and ever-growing regulations.

“I’ve been lucky. I’m not smarter than anyone that’s on the panel tonight. I’m just really lucky,” said Mary Silva, the owner of Maz Mezcal, a restaurant on East 86th Street between First and Second Avenues that’s been in business since 1972. Silva spoke to the laundry list of new laws passed each year, her experiences dealing with them, and the lack of transparency on the city’s part. Other owners empathized.

“You need lawyers to even understand the new laws. We’re small-business owners and we don’t have the infrastructure set up like larger corporations to keep up with these constant regulations and pay for attorneys and accountants,” said Wu. “And, these rules are separate from the Department of Health’s rules and regulations.”

The lack of transparency was cited as a chronic issue. Panelists and audience members agreed that city officials do not understand what it takes to run a business day-to-day. City agencies, however, are trying to open the lines of communication and provide better access to support.

Jessica Walker, President and CEO of the Manhattan Chamber of Commerce, provided an overview of Help Desk, a program that provides real-time support for small business owners. Launched in March, Help Desk aims to connect business owners with experts in finance, legal, government regulations, health care, technology, and more. “If you’re working with us and aligning with us, you don’t have to be a ‘small fish’ in a big pond,” noted Walker.

To access Help Desk, businesses can submit their questions to helpdesk@manhattancc.org or call (212) 473-7875.

The NYC Department of Small Business Services launched the “NYC Love Your Local” initiative whereby locals can nominate their favorite small businesses for a $90,000 grant. Deshaun Mars, Director of Business Outreach, outlined the free services and resources available to small business owners to better assist them in navigating the multiple city agencies. “Think of us as a one-stop center for assistance,” he remarked.

Key takeaways from the meeting include a further discussion on how to improve transparency so restaurateurs are not jumping through numerous hoops to comply and an opportunity for owners to meet with lawmakers and have a say when it comes to the creation of new laws.