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Aid to restaurateurs: the government accused of changing “the rules of the game”

On February 3, the Minister of the Economy Pierre Fitzgibbon announced the extension of Aid for businesses in regions on maximum alert (AERAM). However, companies that had not already claimed the costs incurred for the last three months of 2020 have had the rug pulled from under their feet.

The rules of the game change along the way and me, that’s what bothers me, says Nicolas Lavigne, owner of the restaurant Côtes-à-Côtes Resto Grill, in Quebec. For his business, that’s $ 25,000 less.

The Premier of Quebec François Legault behind the Minister of Economy and Innovation Pierre Fitzgibbon

Photo: Radio-Canada / Ivanoh Demers

Since February 10, companies can no longer request retroactive assistance for the payment of certain costs, in particular, their rent, electricity, mortgage and taxes.

Restaurant owners denounce a decision taken in sly. Some have learned the news in the media. No one knew about this, says François Meunier, vice-president of public and government affairs for the Association Restauration Québec.

<q data-attributes="{"lang":{"value":"fr","label":"Français"},"value":{"html":"On savait qu’il y avait des changements annoncés le 3February on the program, but we never thought that finally there was no more accessibility for the months of October, November and December “,” text “:” We knew that there were changes announced on February 3 to program, but we never thought that finally there was no more accessibility for the months of October, November and December “}}” lang = “fr”>We knew that there were changes announced on February 3 to the program, but we never thought that ultimately there was no more accessibility for the months of October, November and December, he adds.

It’s like coming out of nowhere. […] They change the rules and they don’t tell anyone about it.

Julien Hamel, co-owner of the restaurants Sapristi and The three boys

A complex request

According to the Canadian Federation of Independent Business, restaurants, seasonal businesses and those relying on tourists are the most affected by the pandemic.

During the pandemic, approximately 2,800 establishments did not renew their permits with the Ministry of Agriculture, Fisheries and Food, underlines the Association Restauration Québec.

Photo: Radio-Canada / Ivanoh Demers

Several companies waited for federal assistance before sending a request to the provincial. They claim that their accountant advised them to wait and make a single request rather than doing more paperwork.

All the same, these steps are quite complicated, everyone has been talking about it from the start that the measure was put in place. […] It wasn’t an emergency at all costs to do it all of a sudden, explains Nicolas Lavigne.

Julien Hamel, co-owner of four restaurants, had just completed his request on February 10, the deadline.

I am in constant discussion with my account manager at Desjardins, since October, we had agreed that we would wait as far as possible towards the end of the crisis., he said, adding that the aid was valued at around $ 75,000 for those three months.

Lack of liquidity

This week in the National Assembly, the opposition parties put questions to the Minister of the Economy Pierre Fitzgibbon.

He stressed on Wednesday that the program was in place for companies lacking liquidity.

<q data-attributes="{"lang":{"value":"fr","label":"Français"},"value":{"html":"Dans les cas exceptionnels où les gens auraient pu oublier, les gens auraient pu ne pas savoir que le programme existait, on fera des exceptions. Mais, en règle générale, le programme de l'ERA is for people who need cash, and we do the program very well “,” text “:” In the exceptional cases where people might have forgotten, people might not have known that the program existed, we will do exceptions. But, as a general rule, the AERAM program is for people who need cash, and the program “}}” lang = “fr”> is done very well.In the exceptional cases where people might have forgotten, people might not have known that the program existed, exceptions will be made. But, as a rule, the program ofERA is for people who need cash, and we do the program very well, the minister said.

It is not because restaurateurs do not know that the program exists, it is because it is too restrictive., replied the PQ member for Gaspé Méganne Perry Mélançon.

The objective ofERA is to cover the future liquidity needs of companies in the form of a loan. […] These requests represent direct assistance of over $ 50 million.

Office of the Minister of the Economy

By email, the minister’s office denies having made this change in secret. We will remain flexible for special cases, we write.

According to government data, more than 2,200 restaurants have obtained the assistance, which represents almost 65% of requests.

Even if the government seems unwilling to change its mind, restaurateurs have not said their last word. The government tells us that it will not reverse its decision, so we will still have to insist, have to mobilize the vital forces of our industry, raises François Meunier of the Association Restauration Quebec.

I am not fighting against sanitary measures, I am aware of the responsibility we have and the importance of everything that is currently in place, but leave us the help we were promised, adds owner Nicolas Lavigne.

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