Music promoters “shocked at the inability” of US government, have “no choice” but to sue over rejected COVID relief

nme.com:

COVID-19 relief program for shuttered music venues, The US Small Business Administration is facing more than 60 lawsuits from business owners.With litigation pending and venues still dealing with show cancellations, health risks, and revenue loss due to the ongoing pandemic, NME spoke to concert promoters, the SBA, and the National Independent Venue Association (NIVA) about issues with the program’s aid rollout.The $16.25billion Shuttered Venue Operators Grant (SVOG) program was signed into law in December of 2020 and applications for the funding opened in April of 2021.

The funds were to be dispersed to independent venues, promoters, talent agencies, movie theatres and other cultural centres who could prove they lost 90 per cent of their revenue due to the pandemic.Venue owners who have taken their cases to court, however, said that although they met eligibility requirements their requests for aid were denied by the agency without explanation.

In some cases, owners said their direct competitors were awarded grants when they weren’t – putting them at an unfair disadvantage.“I continue to be shocked at the SBA’s inability to properly review a case file and make an expeditious decision,” Michael Savas, CEO of Superfan Live told NME.

He says his concert and events promotions business which manages VIP experiences for acts like Genesis, Journey, and Bon Jovi, “spent over nine months waiting for a response from the SBA, only to be wrongfully denied with every appeal.”As of now, Savas has been turned away by the agency three times.