By Al Cross
University of Kentucky School of Journalism and Media
Midway merchants are upset over the City Council's decision last week to send residents two more rounds of $50 vouchers to spend at local businesses rather than Mayor Grayson Vandegrift's original idea of direct grants of up to $2,000 to any business, to spread pandemic relief to more of them.
Nineteen business people signed a letter warning that "without significant assistance or the lifting of pandemic restrictions . . . by the end of 2020, there will be more closed stores in downtown Midway than would be open."
The merchants said they are "disheartened and confused" by the council's 3-2 vote last week. It noted the possibility that the federal government might not reimburse the city for the vouchers, as it clearly would for direct grants, and Council Member Bruce Southworth's comment that the city could afford it because of its large surplus.
"If such is the case, why couldn't both programs be implemented?" the letter asked.
Vandegrift told the Midway Messenger in an email that he will suggest the council do just that after the second round of vouchers, which he plans to issue in mid-July, and not do a third round.
University of Kentucky School of Journalism and Media
Midway merchants are upset over the City Council's decision last week to send residents two more rounds of $50 vouchers to spend at local businesses rather than Mayor Grayson Vandegrift's original idea of direct grants of up to $2,000 to any business, to spread pandemic relief to more of them.
Nineteen business people signed a letter warning that "without significant assistance or the lifting of pandemic restrictions . . . by the end of 2020, there will be more closed stores in downtown Midway than would be open."
The merchants said they are "disheartened and confused" by the council's 3-2 vote last week. It noted the possibility that the federal government might not reimburse the city for the vouchers, as it clearly would for direct grants, and Council Member Bruce Southworth's comment that the city could afford it because of its large surplus.
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| Each water customer has received $50 to spend by June 30. |
Vandegrift told the Midway Messenger in an email that he will suggest the council do just that after the second round of vouchers, which he plans to issue in mid-July, and not do a third round.
"I appreciate their concerns and them bringing these concerns forward," the mayor wrote. "After the second round of vouchers, I am going to suggest to the council that we use the remaining $40,000 of aid money to go to grants for the businesses who do not meet a certain threshold, based on the data we are tracking. That is to say, the businesses who do not receive the lion’s share of the vouchers can then be eligible for direct assistance. This to me is the best compromise, as it shares these funds with both our citizens and our businesses who need it most."
Vandegrift had suggested direct grants, saying restaurants and the Corner Grocery were getting most of the "Midway Bucks" vouchers, which come in $10 denominations without the ability to have change returned from them. But Southworth and Council Member Kaye Nita Gallagher said the vouchers were popular, and Council Member Logan Nance he didn't think $2,000 would make a difference to a business at risk of closing.
The letter said, "This statement could not be any further from the actual truth of businesses in Midway. . . . This assistance would bridge the expense gap created by the government-forced closure" of retail stores that ran from late March to mid-May.
Nance replied, "Leading up to the City Council meeting, the only feedback I had received was how much citizens and business owners loved the Midway Bucks. I had heard nothing to the contrary or any opinion regarding a different type of stimulus. As a believer in the free market, I think any stimulus that allows taxpayers to have a say and direct where their money goes is more preferable than having a special committee to potentially pick and choose who qualifies for the grant."
He added, "Business owners are struggling and I am empathetic to that. I would fully support a follow up to the second round of Midway Bucks that supports businesses that haven't benefited from them as much as others, and am open to ideas of how we could do that. People are also struggling. The Midway Bucks are a great way to help people and business owners during this time."
The letter, written by Rob Mills of Damselfly Gallery, spoke to the struggle of businesses: "Two businesses have permanently closed, as well as one restaurant modifying its business plan drastically," he said. "I can speak with complete confidence that at least five additional businesses, including myself, are on the precipice of making permanent decisions regarding the future." Then he made the prediction of more businesses closed than open by the end of 2020.
He added, "Business owners are struggling and I am empathetic to that. I would fully support a follow up to the second round of Midway Bucks that supports businesses that haven't benefited from them as much as others, and am open to ideas of how we could do that. People are also struggling. The Midway Bucks are a great way to help people and business owners during this time."
The letter, written by Rob Mills of Damselfly Gallery, spoke to the struggle of businesses: "Two businesses have permanently closed, as well as one restaurant modifying its business plan drastically," he said. "I can speak with complete confidence that at least five additional businesses, including myself, are on the precipice of making permanent decisions regarding the future." Then he made the prediction of more businesses closed than open by the end of 2020.
Cortney Neikirk, president of the Midway Business Association, said Kennydid Gallery and Calamity Jane's have closed, though she was not sure the latter was related to covid-19.
Council Member Stacy Thurman, who said she had to leave the meeting before the vote due to a work obligation, wrote in an email, "I was torn during our discussion, but was ready to vote to at least explore the idea of small grants. The voucher program has been great, but I do worry about those shops that aren't seeing any Midway Bucks. If businesses start to close, it changes the character of our town. I want to give them a fighting chance if possible. I appreciate them coming forward with concerns and hope we can come up with a compromise."
Council Member Stacy Thurman, who said she had to leave the meeting before the vote due to a work obligation, wrote in an email, "I was torn during our discussion, but was ready to vote to at least explore the idea of small grants. The voucher program has been great, but I do worry about those shops that aren't seeing any Midway Bucks. If businesses start to close, it changes the character of our town. I want to give them a fighting chance if possible. I appreciate them coming forward with concerns and hope we can come up with a compromise."
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