A law from the 1970s intended to curtail the operation of brothels has become a major headache for legitimate New York City businesses such as gyms and health clubs. As a result, the city may retire the law from compliance requirements.
At issue is a mandated rule requiring a physical culture establishment (PCE) permit, governed by the New York City Board of Standards and Appeals (BSA). The requirement applies to health clubs and other businesses where patrons go to exercise or care for their bodies. When the regulation was first introduced in 1978, the intent was to shut down brothels and seedy massage parlors. An unintended consequence is the level of bureaucracy that legitimate health and fitness centers encounter when obtaining a PCE: the process usually takes between four to six months. This law has come into conflict with the trend toward personal physical fitness of various styles and the recent boom of the billion-dollar fitness industry.
Has the PCE permit outlived its purpose?
Procuring this permit requires background checks of the applicants, can take up to six months, and can cost as much as $50,000 in legal fees, according to Mayor de Blasio’s administration.
City Planning Commissioner Carl Weisbrod, who helped create the law back in the 1970s as director of the Midtown Enforcement Project, is now considering whether the law has outlived its usefulness. This reconsideration was prompted in part by a report from the Department of Small Business Services, which described the permits as needlessly burdensome, hindering the opening of legitimate businesses that promote the health of the city population.
“Zoning has proved to be the most effective tool in closing down houses of prostitution masquerading as massage parlors,” he said in a commission report.
Milrose Senior Vice President and Managing Partner Domenick Chieco said, “We applaud Commissioner Weisbrod’s willingness to revisit the law. Retiring this arcane and outdated process would encourage fitness and wellness centers to come to market quickly, with less bureaucracy.”
For any additional questions or comments on PCE permits, please contact Milrose Consultants.
