Governor Elect Josh Stein takes question about evictions during walking tour of Asheville
Governor Elect Josh Stein takes question about evictions during walking tour of Asheville
ASHEVILLE – With Buncombe County facing high unemployment in the wake of Tropical Storm Helene, Gov.-elect Josh Stein visited small businesses in downtown Asheville, calling for more visitors to make their way to the city as some business owners say they bracing for a hard winter.
Businesses in Western North Carolina took a hit after Helene hit on Sept. 27, causing unemployment to skyrocket. Before Helene, only around 5,000 were unemployed in the county, but after the storm over 13,000 people out of work. It means that the storm caused the unemployment rate to triple to nearly 9% in the county, according to a report from the North Carolina Department of Commerce. During his visit, Stein made stops at Lexington Glassworks, Mast General Store and the Bender Gallery.
“What I think a lot of folks around North Carolina and in the country don’t understand is Western North Carolina is open for business,” Stein said. “And we need people to come here, spend their money and have a great time in doing so.”
“Because Asheville is wide open,” he continued.
At Lexington Glassworks, Owner Geoff Koslow demonstrated glassblowing to Stein alongside employee Michael Martin. Koslow said that keeping business flowing during the off-season is a high priority. The hope is to just get through the first two months of next year — traditionally the slowest for the region — and “pay our taxes,” he said. After that, business in the spring looks more hopeful.
“I’m prepared for the worst, like any good business owner,” Koslow told the Citizen Times. “I’m absolutely prepared for an incredibly slow first quarter.”
Tourism economy estimated to decline by 70%
Working at the glassblowing business for four years, Martin helped delicately craft a new piece of glass art during Stein’s visit. Martin expressed some optimism about businesses in Asheville, but still worried that some businesses wouldn’t bounce back from the storm.
“A lot of the restaurants I love — I’m not very hopeful for a lot them,” Martin said.
The worry is well-founded. The Federal Emergency Management Agency estimates that almost half — 43% — of businesses impacted by natural disasters never reopen. An additional 29% of businesses affected by the storm go out of business within two years.
As the service and tourism industries are some the most impacted by the storm, the next few months could be grim. The tourism industry supports a total of 29,000 jobs in Buncombe County, according to the Buncombe County Tourism Development Authority.
“We’re estimating 70% loss in the fourth quarter alone, which equals $584 million in lost revenue for all of these businesses,” said Vic Isley, President and CEO of Explore Asheville and the BCTDA.
“So, getting those outside dollars into our community through spending and walking through the front doors of businesses is really important,” she continued.
Lucious Wilson, general manager of Wedge Brewing and a member of the BCTDA Board, said that continued grant funding and federal support for small businesses is “really important” heading into the next few months.
Currently, the Small Business Administration’s disaster loan program is also out of funding, leaving the region’s businesses without access to government-backed low-interest loans. Businesses can apply for the program, but no loans will be distributed until Congress approves new funding and a timeline for that happening is unclear. Loans can be used to cover property repairs, payroll and employee health care benefits, among other things.
“I think if there is some way to bring some sort of PPE-like system back in the short-term, I think that would be very beneficial for not only businesses, but also for the employees and the landlords who rent to the employees,” Wilson said. “The whole ecosystem would benefit from that.”
For Wedge Brewing, a company that lost one of its locations off of Foundy Street due to the storm, the priority is getting through the winter. The company currently has open locations in the Grove Arcade and off of Paynes Way in the River Arts District.
“January and February are going to be slow. We’re prepared for that,” Wilson said.
Stein needs to ‘learn more’ about possible eviction moratorium
In the wake of Helene, eviction filings continue even as many remain unemployed due to the storm in the region. In the months since the storm, local leaders and advocacy groups have called for an eviction moratorium, which would prevent landlords from filing new evictions against tenants for non-payment.
When asked whether he would support a moratorium, Stein said he needed to “learn more” about the “dynamics of the marketplace.” He had visited Pisgah Legal Services earlier in the day, an Asheville-based nonprofit that helps provide legal aid
“We have to do everything we can to keep people in their house,” Stein said.
Stein’s visit also comes on the heels of the North Carolina House Republican veto override of Senate Bill 382. The bill moved $227 million into the state’s Helene relief fund but allocated less than 15% of it to be spent. It also removed powers from incoming Democratic officials.
Stein called the move by state house Republicans “despicable.”
“We’ve got a legislature in Raleigh that doesn’t care about the people of Western North Carolina and the struggles they are experiencing in the wake of Hurricane Helene,” he said. “They would rather play political games and actually use people’s desperation as a smoke screen for what they were doing. It’s a despicable act.”
Will Hofmann is the Growth and Development Reporter for the Asheville Citizen Times, part of the USA Today Network. Got a tip? Email him at WHofmann@citizentimes.com. Consider supporting this type of journalism with a subscription to the Citizen Times.