Mayor Rick Blangiardi of Honolulu has signed a bill that will provide financial assistance to eligible small businesses struggling due to the construction of the Skyline fixed-guideway rail system. The bill, known as Bill 40, was adopted by the City Council in January and aims to provide grants of up to $10,000 to qualifying businesses that opened before January 1, 2022. The measure will go into effect on July 1 and is designed to support businesses with 15 or fewer employees that generate less than $750,000 a year.
The signing of Bill 40 took place in front of a Korean fried chicken eatery near the busy Dillingham Boulevard, which is currently an active construction zone due to the rail project. The new legislation is particularly crucial as past rail construction in areas like Waipahu has caused many small businesses to go out of Business. The Mayor emphasized the importance of supporting small businesses, calling them the backbone of the community. Yudai Fukuda, owner of U-Kitchen, a Japanese fusion restaurant on Dillingham Boulevard, expressed the challenges his business has faced due to the construction, noting a significant drop in sales.
Bill 40 was introduced by Council members Tyler Dos Santos-Tam and Radiant Cordero, who represent portions of Kalihi, and effectively revives the city’s dormant transit construction mitigation fund. This fund was originally established in 2018 to provide relief to businesses affected by the Honolulu High Capacity Transit project, now known as Skyline. However, the fund had become inactive, leaving affected businesses without support.
The construction of the Skyline fixed-guideway rail system, particularly along Dillingham Boulevard, is expected to continue through 2026, with the entire rail line not anticipated to be completed until 2031. The bill aims to provide ongoing support to businesses along the rail line as construction progresses.
As Honolulu navigates the challenges of rapid transit construction, the need to support small businesses remains a top priority for local government officials. The implementation of Bill 40 signifies a commitment to preserving these businesses and their contributions to the community.
Historically, the impact of major infrastructure projects like the construction of the Skyline fixed-guideway rail system on small businesses is a common concern in urban development. Many cities across the U.S. have encountered similar challenges, leading to the implementation of programs to support affected businesses. Honolulu’s efforts to provide financial assistance to small businesses facing hardship due to transit construction reflects a broader trend in urban planning and economic development.
In conclusion, the signing of Bill 40 is a significant step in providing essential assistance to small businesses in Honolulu affected by the Skyline fixed-guideway rail system. As the construction progresses, the ongoing support for qualifying businesses will be crucial in ensuring their viability and success. The commitment to preserving these businesses underscores the city’s dedication to maintaining a vibrant and thriving local economy.
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