Murphy: Lack of federal COVID relief makes business shutdowns much harder

Daniel J. Munoz//November 20, 2020//

Murphy: Lack of federal COVID relief makes business shutdowns much harder

Daniel J. Munoz//November 20, 2020//

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With the prospects of a federal COVID-19 relief package during President Donald Trump’s lame duck months becoming more unlikely by the day, Gov. Phil Murphy said the lack of any financial cushion for restaurants and non-essential businesses has made him very hesitant to enact restrictions as part of a rented effort to reverse the weeks of surges.

As the pandemic surges in New Jersey, Murphy has faced intense questioning on whether he would ban indoor dining, which was only just allowed again on Labor Day weekend after staying closed since March.

He signed an order last week prohibiting indoor dining past 10 p.m. and outright banned barside seating.

But with a lack of federal aid – like an extension of the Paycheck Protection Program for small businesses – combined with the lack of outdoor dining amid fall and winter weather, Murphy said he was worried a ban on indoor dining and closure for non-essential retail could be particularly devastating for Main Street businesses.

“You could see a different scenario where there was that lifeline and you could have more latitude and say ‘you know what, we could afford to take a two-week pause here because they’re getting cash’,” the governor said at a Friday afternoon press briefing.

In March and April, the governor ordered the closure of brick and mortar casinos, malls, sit-down restaurants, non-essential retail, indoor amusement, indoor theaters, many forms of construction, gyms, nail and hair salons.

That triggered record-high jobless claims, and more than 1.8 million New Jerseyans have filed for unemployment since March. And now, they lack the extra $600 that came out of the federal relief package, known as the Coronavirus Aid, Relief and Economic Security Act.

As the pandemic worsens, indoor dining and elective surgeries could be in the next round of reinstated restrictions.

Gov. Phil Murphy promotes the U.S Census count alongside Mayor Stack in Union City on Sept. 22, 2020.
Gov. Phil Murphy. – EDWIN J. TORRES/GOVERNOR’S OFFICE

“If [New Jersey Health Commissioner Judith Persichilli] determines those businesses are a place of transmission and we got a lifeline that will keep them in business, that gives her more latitude to do something,” the governor added.

“You’re basically putting a bullet in them” by shutting down those businesses – such as restaurants and Main Street retail – the governor said. “That’s blood on our hands.”

State health officials are logging all-time record-highs of new cases. Although many of the new positives are because of dramatically ramped up testing capacity, the governor warned that hospitalizations, daily fatalities, and patients on ventilators or in critical care, have all hit levels not seen since the first wave nearly six months ago.

After seeing more than 4,000 new cases each day over the past week, New Jersey logged 3,635 positive cases on Friday. There were 2,505 COVID-19 hospitalizations, 452 critical care patients, and 233 COVID-19 patients on ventilators. The state logged 23 new fatalities, a 7.98% positivity test and a 1.4 rate of transmission.