NEW COVID-19 EXECUTIVE ORDERS MANDATING CLOSURE OF CERTAIN ACTIVITIES

Puerto Rico Governor Wanda Vázquez Garced issues new Executive Order No. 2020-54, amended by Executive Order No. 2020-57, extending the COVID-19 lockdown and citizen curfew while  ordering closure of several business activities due to a recent increase of positive COVID-19 results in the Island.

 

Executive Order No. 2020-054 issued on July 16, 2020 (“EO 2020-54”), extended the COVID-19 lockdown and citizen curfew and ordered the closure of several business sectors due to a recent increase of positive COVID-19 results in the Island.  On July 22, 2020, the Governor issued Executive Order No. 2020-057 (“EO 2020-057”, and collectively with EO 2020-54, the “Order”) to amend the provisions of EO 2020-054 with the purpose of requiring the mandatory closing of most businesses on Sunday, July 26th and imposing more stringent restrictions, particularly, on the sale of alcoholic beverages.  The Order will be in effect from Friday, July 17, 2020, until Friday, July 31, 2020. Therefore, unless otherwise extended, the provisions regarding business closings and total citizen lockdown for Sundays will only be applicable on July 26th.

A summary of the Order, highlighting in bold the changes made by EO 2020-054 and EO 2020-057 to previous executive orders, as it relates to commercial and business operations restrictions, follows.

Citizens Curfew Modification

Curfew remains in effect from 10:00 pm to 5:00 am until July 31, 2020. Family and social activities must be limited, both in private and public locations, while maintaining social distancing measures and wearing a face mask at all times. Only during Sunday, July 26, 2020, every person on the Island must remain in their residence or place of accommodation. On said date, a person may leave their residence or place of accommodation, while maintaining social distancing measures and wearing a face mask at all times only for any of the following exceptions:

  • Attend medical appointment, hospital or pharmacy;
  • To purchase food, medicine or items of necessity;
  • To attend any of the authorized businesses for urgent manners;
  • To receive any of the authorized services;
  • To provide any of the authorized services; or
  • To provide assistance, care, food, transportation or any other authorized service to children, the elderly or people who require special assistance.

Prohibition on the Sale of Alcoholic Beverages

Starting at 7:00 pm from Monday to Saturday, no business or commerce is authorized to sell or allow the consumption of alcoholic beverages in their establishments. On Sunday, July 26th, no business or commerce is authorized to sell, issue or allow a customer to consume alcohol in their grounds for the whole day.

Safeguards for Citizens Visiting Authorized Businesses

Any person visiting an authorized business establishment under the Order must:

cover their mouth and nose with a mask;
maintain 6 feet distance from other people.

 

Private commercial establishments must:

ensure that employees, before beginning their work and periodically, wash their hands with soap and water or use hand sanitizer. Additionally, employees must disinfect their workstations upon arrival and after completing their shifts.
ensure that employees and people who visit their establishments wear protective masks
provide mechanisms for disinfecting hands
ensure that people maintain 6 feet of separation
offer preferential period of time for senior citizens to visit

 

 

Citizens Exempted from Curfew

Pursuant to OE-2020-054, the following citizens are exempted from curfew restrictions:

Citizens providing assistance, care, food, or transportation to seniors, minors, dependents, people with disabilities, or vulnerable population requiring medical or professional attention
Employees of public or private security agencies or law enforcement (state or federal)
Health professionals, including mental healthcare personnel, and people who work in hospitals, pharmacies, pharmaceutical companies, bioscience facilities or health centers
Personnel working in the wholesale of goods and food manufacturing, including those necessary for agricultural activity, from the source up to consumer retail establishments where products are sold to consumers
Persons working with utilities or critical infrastructure
Exempt service providers (see Additional Services Authorized below)
Call centers personnel
Ports and airports personnel
Members of the press and the media
Any citizen who is attending any emergency or health issue

 

Lockdown for Private Entities and Businesses

A 24-hour closure of business operations shall remain in effect for all businesses not otherwise authorized, including: nightclubs, movie theaters, concert halls, theaters, casinos, gyms, bars, game rooms or any other analogous place or event that encourages the gathering of a group of citizens in the same place. Additionally, it is prohibited to visit families or friends in correctional facilities and elderly care centers.

 

Businesses Exempted from Lockdown

The following businesses are exempt from the lockdown:

 

  1. Food Sector
Restaurants, cafeterias and other establishments that sell prepared food will be allowed to operate during the term of the Order from Monday to Saturday during the permitted hours. On Sunday, July 26th, these establishments will remain closed to the public, however they may operate and provide their services by way of carry-out or delivery.
Retail sale of food. These include prepared food (carry-out and delivery remain the preferred methods) wholesale, supermarkets, fruit and vegetable kiosks and businesses related to the food distribution chain, including animal feed. Establishments or businesses primarily dedicated to the sale of alcoholic beverages, such as bars, liquor stores, any analogues establishment that sells alcohol to consume in the establishment or for carry out, are not allowed to operate during the term of the Order.
§ Restaurants. – Restaurants are authorized to open their dining rooms to customers during hours not included in the curfew, as long as their operation remains below 50% of the maximum occupancy capacity. It is recommended that restaurants operate by reservation. Under no circumstance, will the agglomeration of people consuming alcoholic beverages outside of a restaurant or establishment shall be allowed and, therefore, it is strictly prohibited.
§ Businesses primarily dedicated to the sale of alcoholic beverages. Businesses that primarily sell alcoholic beverages are not authorized to open during the term of the Order.
§ Fast Food Restaurants. In the case of fast-food restaurants, they shall make sure that clients waiting in queue keep the required distance of six (6) feet, and that clients and employees use face masks.
Supermarkets. Supermarkets may operate during all hours not included in the curfew, including Sundays. However, they are subject to the restrictions on the sale of alcoholic beverages discussed above.  In addition, they must reserve a period at the end of every workday to clean and disinfect areas.

 

  1. Health Sector

Includes businesses dedicated to the production, sale or rendering of services related to medicines, medical equipment or supplies, medical care services and related supply chain distribution operations, including:

Pharmaceutical, medical device and biotechnology operations
Manufacture of medical supplies
Manufacture and sale of cleaning products, disinfectants and personal protective equipment necessary to deal with the COVID-19 crisis
Hospitals, emergency rooms, clinical laboratories
Medical services clinics and medical centers
Medicinal cannabis facilities
Blood banks
Pharmacies (there are no longer restrictions on products that could be sold on Sundays)
Health insurance companies
Elderly-Care centers
Veterinary clinics (by appointment only)
Primary and specialist physicians. Although it is encouraged that physicians continue to use the telemedicine method, face-to-face visits will be allowed by appointment only. Ambulatory services and elective surgeries shall be permitted, as long as they are not for aesthetic purposes.
Dental and optometrist offices (by appointment only)

 

  1. Gas stations and their supply chain
Fuel processing, sale and distribution operations.
Refined fuel, gasoline, diesel, jetfuel, AV-Gas, propane gas, kerosene, etc.
Vehicle inspection centers (by appointment only). On Sunday, July 26th these will remain closed.
Electronic lottery sales

 

  1. Financial Institutions
These businesses may operate during the allowed hours under the Order from Monday to Saturday only.
Banks, credit unions and other financial institutions
Pawn shops
Mortgage banks and other lending entities (only for loan closings, by appointment only)

 

  1. Services to Vulnerable Population
Organizations that provide basic needs for economically disadvantage populations, such as homeless shelters, food banks, victim shelters, shelters, and temporary housing.

 

  1. Textile Industry
Businesses that manufacture uniforms, clothing or components for the Department of Defense may operate as long as they comply with OSHA protocols for COVID. Any textile business that manufactures personal protective equipment may operate as long as they comply with OSHA protocols.

 

  1. Laundries and laundromats
May operate during hours not included in the curfew, as long as they coordinate to attend clients in an orderly manner without opening the facility to the general public. Laundromats will be allowed to continue to operate, however, they must maintain a 50% or lower maximum occupancy capacity and the required six (6) feet distance between customers. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Ornamental agriculture
May operate during hours not included in the curfew as long as they coordinate to attend clients in an orderly manner without opening the facility to the general public. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. National Security
Manufacturing, sale and services related to Aerospace Industry and any federal agency, including the US Department of Defense

 

  1. Car wash businesses
May operate during hours not included in the curfew, while maintaining all precautionary measures to avoid potential infection. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Barbershops, beauty salons and spas
May operate during hours not included in the curfew, by appointment only. Agglomeration of customers in the waiting area is strictly prohibited. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Retail stores
Retail businesses will be authorized to open to the public during the hours that fall outside of the mandated curfew, following all precautionary measures of facemask wearing and social distancing. Additionally, they shall ensure their operation remains below 50% of the maximum occupancy capacity. These businesses, which also include hardware stores and may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Open-air shopping centers and enclosed malls
May operate during hours not included in the curfew, provided they establish precautionary measures to prevent contagion, and only from Monday through Saturday during the term of the Order.
Open-air shopping centers’ operations shall remain below 50% of their maximum occupancy capacity, whereas enclosed malls shall limit their occupancy to one person per every seventy-five square feet.

 

  1. Wholesale stores, car dealers and travel agencies
May operate during hours not included in the curfew, by appointment only (except for wholesalers), provided they ensure their operations do not exceed 50% of the maximum occupancy capacity. The customers must wear a mask at all time during the visit and must disinfect their hands when entering the establishment. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Movie theaters
Drive-in movie theaters may operate during hours not included in the curfew, provided tickets are sold online. These businesses may operate during the allowed hours under the Order from Monday to Saturday only. However, movie theaters are to remain closed during the term of the Order.

 

  1. Museums
May operate during hours not included in the curfew, by appointment only, provided they ensure their operations do not exceed 50% of the maximum occupancy capacity and that tickets are sold online. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Gyms
Gyms shall remain closed during the term of the Order.

 

  1. Daycares
May operate during hours not included in the curfew, provided they establish precautionary measures to prevent contagion. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

  1. Film Industry
May operate during hours not included in the curfew, provided they establish precautionary measures to prevent contagion, including the mandatory use of mask and the six (6) feet distancing measure. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

 

Additional Authorized Services

The following services, provided they operate in compliance with safety controls against COVID-19, are allowed to operate during hours not included in the curfew:

(a) Plumbers, electricians, exterminators, repair or replacement of household appliances, elevators, access controls, pools, and landscape. These service providers must wear facemask and gloves.
(b) Roadside assistance and locksmith services.
(c) Package delivery and shipping companies.
(d) Funeral home operations, provided they do not exceed the fifty percent (50%) of their maximum occupancy capacity.
(e) Critical telecommunications infrastructure work will be permitted only for installations, repairs, maintenance and rehabilitation of plants, including:

o   Infrastructure related to PREPA, PRASA, telecommunications, roads, waste management, ports, and airports.

o   Repair, delivery, replacement of equipment, land, cellular, internet, cable TV or antennas by appointment in strategic points. Only to existing customers.

o   Sale, installation, repair and maintenance of energy generation systems based on renewable or alternative energy systems.

o   Repair and maintenance of streets, roads and highways.

o   Sale, installation and maintenance of infrastructure and equipment necessary to prepare for the hurricane season.

(f) Waste management (public or private), recycling, cleaning and maintenance services.
(g) Services related to any federal agency.
(h) Export of non-essential goods as long as it is part of existing inventory.
(i) Moving services.
(j) Services to ports and airports.
(k) Electronic transaction processing services.
(l) Online sales, for which it will be allowed to operate warehouses but only to dispatch orders by curbside pickup or delivery.
(m) Supply and distribution for exempted businesses, as long as precautionary measures are taken to mitigate contagion.
(n) Logistics and transportation: customs brokers, consolidation services for sea or land cargo, storage and distribution services for third parties and the distribution of detergents, disinfectants and hygiene and cleaning products.
(o) Armory services for the security sector.
(p) Air conditioner repair and maintenance services.
(q) Transportation services limited to taxi and public chauffeurs who wish to deliver merchandise.
(r) Data and call centers.
(s) Notary services for all kinds of transactions required in the ordinary course of business.
(t) Legal, accounting and other similar professional services, in compliance with social distancing protocols.
(u) University educational services with the corresponding safety protocols to prevent contagion.
(v) Private and public schools are allowed to open in order to prepare their facilities for the next semester through hybrid platforms or strictly virtual manner. Each school must develop a safety protocol to prevent contagion. This provision is not to be construed in any manner, that the students will be allowed to physically attend the schools.
(w) Real estate agents, operators, and brokers, as long as they are limited to unoccupied properties.

 

Outdoor Recreational and Sports activities

Only sports and recreational activities in an individual manner will be allowed from Monday through Saturday during hours not included in the curfew, in compliance with the guidelines established by the Department of Sports and Recreation.  Competitive activities, whether professional or nonprofessional are strictly prohibited under the Order. A long as the exercise allows it, the use of mask will be required. Beaches, and other bodies of water will only be allowed for professional or recreational sport (such as runners, surfers, windsurfing, diving, among others). No person can use the beach for sunbathing or to socialize. Furthermore, the use of beach chairs and coolers is strictly prohibited. However, beaches will be closed on Sunday, July 26th.

 

Entertainment

Proposals to the Chief of Staff of the Governor, regarding concerts and theatrical events will be allowed and authorized, if they are to be produced in virtual form and without public. No venue can open during the term of the Order. All activities that promote the agglomeration of people, including “Party buses”, is prohibited during the term of the Order.

Horse Racing Industry

Horse Races will be authorized. Racetrack premises will be allowed to open to the public, as long as its operation remains below 50% of its maximum occupancy capacity, and all public must wear masks at all times. These businesses may operate during the allowed hours under the Order from Monday to Saturday only.

Tourism

Common areas such as pools and bars in hotels, paradores and small inns are not allowed to be used. In addition, casinos are to remain closed during the term of the Order. Hotel restaurants may be opened from Monday through Saturday if they do not exceed 50% of their maximum occupancy capacity. However, on Sunday, hotel restaurants shall remain open only for hotel guests, and delivery or carry-out services for other clients. Hotels, paradores and small inns that have beach access, must ensure compliance with the provisions of the Order in regards to the use of the beach by their guests.

 

Construction and Manufacturing Sectors Authorization

Construction and manufacture sectors remain authorized, as long as strict safety protocols are implemented to mitigate contact and protect the health of all workers against COVID- 19, in compliance with CDC guidelines, the Federal Department of Labor and OSHA.  It will be required that construction and manufacture workers are provided with a training on the new safety protocols to prevent contagion in work areas. In addition, construction is authorized in nonexempt businesses and locations, as long as it is to prevent contact of COVID-19 by the time they begin operations. The supply of materials for the construction sector is also authorized, including the distribution of cement and related products.

 

Maritime Traffic of Recreational Boats

Strict compliance with any order, circular letter or the like issued by the Department of Natural and Environmental Resources mandating the closure of all marines and docks, to prohibit the use of recreational boats including jet skis, in our territorial waters shall be required.  Exceptions regarding emergency situations, commercial fishing and any federal regulation shall be established. The use of maritime transportation under the Maritime Transport Authority is exclusively for residents and persons that will perform work duties in the Municipalities of Vieques or Culebra.

 

Contagion Risk Management Protocols in the Workplace

Each employer in the exempt sectors, before commencing operations, must prepare a Contagion Risk Management Protocol based on OSHA and CDC guidelines. The Protocol shall be submitted to the Department of Labor and Human Resources prior to begin operations.

Employers must limit the number of employees in common areas during work hours.  This includes managerial, administrative and support personnel.  No employer may reinitiate work without providing safety gear to their employees.  Safety protocols based on those issued by OSHA must be in place.

Employers may not fire, discipline or discriminate against an employee for availing themselves of the rights afforded by labor laws, such as using licenses, filing complaints or testifying against the employer.

 

Guidelines and Process to Authorized Additional Activities

EO 2020-054 empowers the heads of agencies of the Government of Puerto Rico to:

Issue additional guidelines to further regulate the relevant provisions under EO 2020-054, with the approval of the Governor.
Identify any additional services or activities not expressly covered under EO 2020-054 as an exception, that may be deemed essential services or that address an emergency, for approval by the Governor’s Chief of Staff, who will have discretion to authorize such activity or service under EO 2020-054.

 

Rules for Shareholder Meetings of Corporations

Corporations may notify a change of time or location of shareholder meetings via email, press release, radio, newspaper, and/or phone. In the case of public corporations, by filing a notification with the SEC and issuing a press release, including posting a notice on their website.

Interagency Oversight Group

In order to properly impose the limitations and provisions of the Order, Governor Vázquez has authorized every governmental agency to coordinate and establish the necessary procedures to impose the fines and sanctions including the closing of businesses, in accordance with the Order.

Penalties for Non-compliance

Non-compliance with the provisions of EO 2020-048 by any person and/or company will be subject to the following penalties: (a) imprisonment that will not exceed six (6) months, or (b) a fine that will not exceed five thousand ($5,000) dollars, or (c) both penalties at the discretion of the court. In addition, the Department of Consumer Affairs (“DACO”, by its Spanish acronym) has issued orders to freeze prices concerning several products of basic need. Failure to comply with such order shall be subject to additional sanctions and fines upon those entities and/or persons who violate those businesses selling those products.

For any questions or inquiries regarding this topic do not hesitate to contact us at info@oneillborges.com or your prime contact attorney at O’Neill & Borges LLC.