Shut us down: Hamilton restaurateur lobbies for lockdown to qualify for subsidies
Hamilton restaurateur Mark Farrugia feels that operating his business under pandemic red zone restrictions is so counterproductive he has asked the city to shut him down - and says at least two other restaurant owners feel likewise.
The bottom line is, it's either safe to dine-in or it's not, and if it's not, they should lock us down and provide us with proper subsidies to make sure we're fiscally viable going forward," said Farrugia, owner of La Piazza Allegra on James Street South and Sasso Market and Bar on Upper James Street.
As it is, he told The Spectator, with Hamilton declared in the red zone by the Ontario government - one step removed from grey, which is lockdown - he is permitted 10 customers indoors. That means he cannot receive a 25 per cent Canada Emergency Rent Subsidy from the federal government or Canada Emergency Wage Subsidy that a forced shutdown could trigger.
We can't create a festive vibe with 10 people ... And meanwhile, I take the chance to come to work, and so does my staff - it makes no sense."
He believes it's also unfair that red zone rules limit the number of indoor customers to 10 with no regard for the size of a restaurant.
Ten is such a random number, I'm curious why the province made this draconian rule across the board without looking at square footage."
After meeting with a group of fellow restaurateurs, Farrugia asked Coun. Jason Farr to consider his request. Farr raised the question at a council meeting Wednesday.
In an email to the downtown councillor, Farrugia included the names of four additional restaurant owners supporting his call for locking them down.
But Farrugia told The Spec that, as of Thursday, two of those owners have decided against lobbying for such a measure, because they feel they can make 10 (customers) work."
Farr said the request struck him as unusual, but he asked city staff to explore whether Hamilton could unilaterally lockdown restaurants, even if it's out of step with provincial COVID-19 restrictions - and, in turn, if these businesses would still be eligible for shutdown subsidies.
It could be a moot point, if the city cannot create an industry-centric shutdown," he said, adding that the city is approaching the end of its 28-day red zone period, at which point the provincial government will need to reassess what level of restrictions the city must follow.
Matt Kershaw, who is co-owner of a restaurant group that operates Odds, the Mule, and Rapscallion, said he believes he would be better off financially with a forced shutdown, but does not want to push the city in that direction if his view represents a minority of owners.
And he said he's heard opinions from colleagues who argue they could perhaps tap top-up funds without a shutdown.
(Restaurateurs) are a mixture of angry, and confused, and scared," said Kershaw. The forecast for the next few months is dreadful."
At Wednesday's council meeting, Paul Johnson, director of the city's Emergency Operations Centre, opined that subsidy programs would likely not be activated with a municipally ordered closure.
He added that the city's medical officer of health can impose restrictions beyond those already ordered by the province, but a rationale would need to be provided.
The public health department was unable to meet The Spectator's deadline Thursday in offering an opinion on the issue.
-With files from Teviah Moro
Jon Wells is a Hamilton-based reporter and feature writer for The Spectator. Reach him via email: jwells@thespec.com