Scottsdale Progress - 03-29-2020

Restaurants �illing grocery gap / P. 22

State jobless rate soars in week / P. 6

FREE ($1 OUTSIDE OF SCOTTSDALE) | scottsdale.org

An edition of the East Valley Tribune

INSIDE

This Week

NEIGHBORS ...........15 Local business finds hope in fairy tales.

BUSINESS ................ 18 Virus starts reshaping housing market.

ARTS .............................20 Galleries turn to home showings.

NEIGHBORS .......................................... 15 BUSINESS ...............................................18 ARTS ........................................................20 FOOD & DRINK ...................................22 CLASSIFIEDS ....................................... 23

Sunday, March 29, 2020

Scottsdale group seeks social-distancing crackdown

BY WAYNE SCHUTSKY Progress Managing Editor

A

group of concerned Scottsdale residents and medical professionals is urging local leaders to do more to prevent gatherings at parks and other public spaces, citing concerns about overwhelming

the already limited capacity of Valley hospitals as Covid-19 cases continue to rise.

The group wants local officials to do more to prevent groups from congregating in public places and fall in line with social distancing recommendations from the CDC. “People aren’t practicing (social distancing) or taking it seriously in my own personal ex-

perience,” Jamie Wong, who holds a doctor of pharmacy degree, told Mayor Jim Lane.

She asked Lane to be more vocal in encouraging residents to stay home and to work with Gov. Doug Ducey to implement a stay-athome order.

Crisis especially Hand sanitizer maker hard on high school seniors

see CITY page 8

BY WAYNE SCHUTSKY Progress Managing Editor

W

hile social distancing has impacted students throughout Scottsdale, high school seniors are uniquely affected as they face the prospect of missing out on rights of passage like prom and graduation ceremonies.

“A lot of these things that I was very much looking forward to are now kind of in jeopardy or completely gone,” Saguaro High School senior Tyler Velarde said.

Scottsdale Unified School District has not officially ruled out these activities, stating they “will depend on the status of

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CITY NEWS

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

An edition of the East Valley Tribune Scottsdale Progress is published every Sunday and distributed free of charge to homes and in single-copy locations throughout Scottsdale. To find out where you can pick up a free copy of Scottsdale Progress, please visit www.Scottsdale.org.

CONTACT INFORMATION Main number 480-898-6500 | Advertising 480-898-5624 Circulation service 480-898-5641 Scottsdale Progress 4301 N 75th St., Suite 201, Scottsdale, AZ 85251 Publisher Steve T. Strickbine Vice President Michael Hiatt ADVERTISING DEPARTMENT Display Advertising 480-898-6309 Classifieds/Inside Sales Elaine Cota | 480-898-7926 | ecota@scottsdale.org TJ Higgins | 480-898-5902 | tjhiggins@scottsdale.org Advertising Office Manager Lori Dionisio | 480-898-6309 | ldionisio@scottsdale.org Director of National Advertising Zac Reynolds | 480-898-5603 | zac@scottsdale.org NEWS DEPARTMENT Executive Editor Paul Maryniak | 480-898-5647 | pmaryniak@scottsdale.org Managing Editor Wayne Schutsky | 480-898-6533 | wschutsky@scottsdale.org Staff Writers Kristine Cannon | 480-898-9657 | kcannon@scottsdale.org Jim Walsh | 480-898-5639 | jwalsh@scottsdale.org Photographers Pablo Robles | Probles@scottsdale.org Design Veronica Thurman | vthurman@scottsdale.org Production Coordinator Courtney Oldham | 480-898-5617 | production@scottsdale.org Circulation Director Aaron Kolodny | 480-898-5641 | customercare@scottsdale.org Marketing Director Lynette Carrington | 480-898-5621 Scottsdale Progress is distributed by AZ Integrated Media, a circulation service company owned by Times Media Group. The public is permitted one copy per reader. For further information regarding the circulation of this publication or others in the Times Media Group family of publications, and for subscription information, please contact AZ Integrated Media at circ@azintegratedmedia.com or 480-898-5641. For circulation services please contact Aaron Kolodny at aaron@azintegatedmedia.com.

The content of any advertisements are the sole responsibility of the advertiser. Scottsdale Progress assumes no responsibility for the claims of any advertisement. © 2020 Strickbine Publishing, Inc.

Downtown Scottsdale, typically booming during the spring tourism season, has turned into a ghost town as residents and visitors practice social distancing during the coronavirus crisis. (Photo by Wayne Schutsky)

Scottsdale businesses struggle to survive

BY WAYNE SCHUTSKY Progress Managing Editor

O

n normal days, Melissa Fink finds herself preoccupied with glitter and glam as dozens of children celebrate birthdays, have tea parties and attend camps at her Scottsdale business that is dedicated to all things girly.

But things have changed as the coronavirus has impacted businesses across all sectors, causing layoffs, revenue drops and Scottsdale hotel occupancy to dip by nearly 90 percent.

Now Fink – owner of the Girly Girlz event venue and boutique near Scottsdale Quarter – is trying to figure out how to keep the business afloat under social distancing limits.

“We have birthday parties that are already scheduled way out, so we had to cancel. We’re kind of just taking a week by week,” said Fink, who also had to cancel a spring break camp.

She has cut hours for her 12-person staff, which includes local teens who work parttime and a full-time manager.

In an attempt to keep the 17-year-old business open, Fink is offering $10 craft bags through online ordering for curbside pickup.

Girly Girlz has five different themed bags with a craft, a dessert to decorate and a coloring page.

The bags have allowed her to continue providing some work to her full-time manager, but she is not sure how long that will last.

“As a small business, I can afford a month of closure if I know it’s going to be a month,” Fink said. “I can plan and I can figure out how to make money in another way.”

Despite the hardship she is already experiencing, Fink is encouraging government leaders to take a firmer stance on stay-athome orders to get the crisis under control.

“I think to get over this faster we just need to shut everything down for whatever they say is the period to be secure,” Fink said. “Let’s all just shut down, so we can get to the end of this faster.”

Businesses throughout Scottsdale – and the country – scramble to cope with a virus outbreak that has slowed the economy to a crawl.

The Economic Policy Institute used data from the Department of Labor Statistics and Goldman Sachs to predict Arizona could lose 4.2 percent of the state’s private sector jobs, nearly 105,000 jobs, due to the coronavirus.

In Scottsdale, the impact is particularly

acute for the tourism industry – one of the city’s main economic drivers.

The Economic Policy Institute forecasted that jobs in leisure, hospitality and retail could drop by 26.1 percent.

Scottsdale was in the midst of its tourism high season when those procedures went into the effect, cancelling a slew of major events, most notably Spring Training baseball.

The overall economic impact of Spring Training alone in Arizona is $644 million, according to a study by Arizona State University based on the 2018 season.

The impact of those cancellations on Scottsdale’s hotels was immediate.

Over the first three weeks of March, occupancy at Scottsdale-area hotels and resorts declined 42 percent year over year, according to Experience Scottsdale.

The occupancy rate slumped to 10.5 percent on March 21, down 89 percent from last year. Total revenue for the month to date through March 21 has also declined 46 percent.

Two area tourism businesses have already notified the state of impending layoffs.

According to a notice filed with the state

see BUSINESS page 6

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CITY NEWS

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

Jobless rates start to soar in Arizona in virus' wake he number of Arizonans applying for jobless benefits jumped by a factor of seven this past week, providing the first clear indicators of the effect COVID-19 is having on the state economy.

New figures from the state Department of Economic Security shows there were 29,333 initial claims for unemployment insurance for the week ending this past Friday. That compares with 3,844 the week before and 3,357 the week before that.

And all this occurred before the Legislature adopted an expanded definition of who is eligible for benefits to include not just those laid off but also to waive requirements for people to go out and look for work to get the weekly checks.

That provides relief for those who expect to go back to their original jobs once their employer reopens.

More significant, it protects those who are either infected or live in a home where someone has COVID-19.

Glenn Hamer, president of the Arizona Chamber of Commerce and Industry, said those are precisely the people who should not be out going from job site to job site.

Gov. Doug Ducey has waived the existing one-week waiting period after being out of work before someone can collect benefits.

All that portends even higher numbers of people out of work – and looking for benefits – in the weeks ahead.

In a new report, the Economic Policy Institute estimated that the state will lose

nearly 280,000 jobs in the private sector due to COVID-19.

Not surprisingly, many of these will come in the leisure and hospitality industry with the shuttering of bars and a prohibition against in-restaurant dining in the counties with confirmed cases.

Losses also are projected in retail trade.

What makes that important is that one job out of every five in private industry is in those two sectors.

And there’s a hit to the larger economy.

The most recent figures from the state Office of Economic Opportunity – from January, before the outbreak – show 2.54 million people employed in the state’s private sector. The losses projected by the Economic Policy Institute amount to about 11.1 percent of the total.

If the organization is correct, the change will boost the state’s jobless rate from 4.6 percent to close to more than 12 percent by this summer.

That’s higher than not only what it hit during the Great Recession but even higher than records going back nearly a half century, with a peak of 11.5 percent in December 1982.

Less clear is the financial implication on all of that to employers.

By law, jobless benefits are paid for from a trust fund financed by a tax that all companies pay on the first $7,000 of each worker’s salary.

Rates can range from less than 1 percent for employers who have the best job history – meaning the fewest number of workers let go – to 5.4 percent for those with the

highest number of layoffs.

The average this year, according to DES, is 1.6 percent, down from 2.4 percent following the recession.

That trust fund is supposed to be selfleveling.

Both the measure approved by lawmakers and the governor’s executive order contain provisions saying that an individual company’s experience in having to let go workers due to COVID-19 will not affect their premiums. But as the fund drains down, it will have to be replenished.

That’s precisely what happened after the 2008 Great Recession where the fund, which had been at over $1 billion, went into the red by $600 million.

And that forced the state to actually borrow money from the federal government. All that meant not only higher premiums but an actual $42-per-employee surcharge approved by the Legislature to pay off the note.

What happens this time depends on several factors.

It starts with the trust. The most recent figures show a balance of more than $1.1 billion.

But then there’s the question of how long the downturn lasts.

Hamer said there’s a big difference between the recession of the last decade and what’s happening now. He said that one was the result of structural weakness in the economy, something that took years to overcome.

By contrast, Hamer said, the state and nation was on sound structural footing un-

on March 20, Four Seasons Resort plans to lay off 422 workers and International Cruise & Excursion Gallery plans to furlough 203.

Stephanie Pressler with Experience Scottsdale said the organization has suspended its promotional activities for the time being but is encouraging people to support businesses through to-go ordering, shopping at local retailers and booking future staycations.

The organization is also providing resources for people affected by the downturn, including information on federal loan programs, unemployment resources and

seasonal employment opportunities.

Area restaurants, bars and other tourism-dependent businesses are also closed or restricted to to-go and delivery service by an executive order from Gov. Doug Ducey.

Robert Carlson, owner of Carlson Creek Winery, said that “this is when our tasting room is full every day and all the businesses around us.”

Carlson runs three tasting rooms in Arizona, including one in downtown Scottsdale, and a winery south of Wilcox. It has a staff of 20 employees that can go up to 40 during high season.

Carlson said he had decided to close the tasting rooms before the governor’s order

and has had to lay off employees.

“Obviously, they all have jobs when we’re reopened, but at the same time, you want them to be able to apply for unemployment insurance,” Carlson said.

Mike Baum, owner of Dilla Libre in southern Scottsdale, saw peak sales drop to nothing in just four days.

Now, Baum, who co-owns two Dilla Libre locations and a food truck, said the restaurant’s landlord in Scottsdale is threatening to kick them out if they cannot make rent

by April 1.

Carlson said his vineyard is still producing wine but the uncertainty of when he will be able to sell that wine is difficult to cope with.

BY HOWARD FISCHER Capitol Media Services

T

BUSINESS ���� page 4

til the outbreak. And he said the worst of the virus could be over by the summer and employers could start rehiring then.

One thing Hamer does not want to do, at least not now, is entertain calls by Democrats to raise benefits.

By law, those who are fired through no fault of their own are entitled to collect half of their salary, generally for up to 26 weeks. But each state is entitled to decide its own maximum.

For Arizona that is $240 a week, a figure that is higher than only Mississippi at $235. It has not been updated since 2004, when the minimum wage here was $5.75 an hour and not $12 as it is now.

Lawmakers urging an increase argued that people cannot live on that.

Hamer, for his part, is not necessarily disagreeing. But he said this isn’t the time given that more money being paid out would lead to higher premiums for companies.

“We have to look at it, as we look at that benefit, the effect it’s going to have on employers that are hemorrhaging cash, particularly for smaller businesses that are facing liquidity issues as we speak,’’ Hamer said. But he acknowledged that his organization has never argued for boosting the benefits.

Help for newly unemployed

Zippia, an online career development website, has posted a lengthy blog with tips for people who suddenly find themselves needing work. Go to zippia.com/ job-search/remote-jobs.

“It’s just when we’ll be able to start selling that wine again is the big question,” Carlson said. “Because that’s what it pays for – all that other stuff.”

Thus far, the business has relied on online sales and sales to members of its wine club.

The state and federal governments have taken steps recently to help out businesses.

The U.S. Small Business Administration is offering low-interest economic injury disaster loans to Arizona small businesses after Governor Doug Ducey requested the aid earlier this month. Business owners can fill out applications online at disaster-

see BUSINESS page 14

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CITY NEWS

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

CITY ���� �����

The governor holds sole authority to announce such an order after issuing an executive order that essentially takes away any authority to impose broader closures away from municipalities and counties.

Lane cited the order and said the city is in regular contact with the Governor’s Office and other Arizona mayors to maintain a “collaborative approach” and stay in line with recommendations from federal health officials.

“If we’re all trying to drive the bus in different directions, I’m afraid there’d be different elements of compliance on each level,” Lane said.

Susan Hughes, a group organizer and a retired physician, said she is concerned that a failure to curb spread of the virus will overwhelm limited hospital capacities locally.

The group reached out to local hospitals and found there is only a limited number of beds available that would not be adequate to treat patients if the virus continues spreading.

The group found that there are only 872 hospital beds, including just 100 specialty care beds, in Scottsdale at HonorHealth Scottsdale Shea, Osborn and Thompson Peak, said Jill Hecker Fernandes, a health information nurse at Phoenix Children’s Hospital.

Ducey ordered hospitals late last week to increase bed capacity by 50 percent within the next month and have half of those ready to go by April 10. Health Director Cara Christ said the state will need twice as many intensive-care unit beds as the 1,500 it has now and an 87 percent increase in its current 15,000 regular beds.

Hughes expressed concern that those limited resources could easily be overwhelmed in the coming weeks in Scottsdale.

Hughes and others in the group are pushing for a closure of popular gathering sites like playgrounds, parks and trailheads after some residents voiced concerns about large groups gathering for practices and other recreational activities in recent weeks.

But the city does not actually have the authority to shut down parks.

That lies solely with the Governor.

An executive order issued by Ducey on March 23 that outlined “essential services” preempts city’s ability to shut down businesses and facilities and included “outdoor

The parking lot at Scottsdale’s Gateway Trailhead was packed with cars on March 25. (Photo by Pablo Robles/Progress Staff Photographer)

Residents are still flocking to parks and trailheads in Scottsdale despite warnings to maintain social distancing. (Photo by Pablo Robles/Progress Staff Photographer)

recreation.”

Still, Wong has urged Lane to provide more vocal leadership to encourage residents to stay home despite the Governor’s order to keep parks open.

“We need someone to take charge and take the lead,” Wong said. “I’m not certain Mayor Lane quite understands the science of what’s happening, and he’s following guidance from the President/governor down.”

Wong said she fears direction from President Trump suggesting social distancing efforts could be ended by Easter will put lives at risk.

Lane did put out a video on social media channels on March 26 asking residents to take precautions to avoid spreading the virus and practice social distancing if they choose to go outdoors.

Lane acknowledged that going out to parks could also have health benefits for residents – echoing similar arguments by

Ducey’s office.

“Of course, anybody who wants to and feels strongly about it can convince others to stay at home if they feel that they’re out and can police themselves,” Lane said, “because the recommendation is out there.

There is no doubt about it.”

“The recommendation is if you don’t have a need then to shelter at home, but that doesn’t mean that she can’t go to the park,” Lane added.

Still, Lane emphasized residents should maintain recommended social distancing when they go outdoors.

“We have posted signs telling people they should observe the social distancing guidelines from public health authorities and are amplifying that message in other city communications,” spokesperson Kelly Corsette said.

Meanwhile, parking lots at city trailheads and parks remained packed as residents look for ways to get outdoors.

The school district, though, is taking steps to shut down playgrounds.

Hughes and the other concerned residents initially mobilized to encourage the Scottsdale Unified School District to cancel classes as Covid-19 took hold in Arizona, she said.

Ducey has extended that closure until at least April 10.

“We were able to do that as far as not attending schools, but they’re still on the playgrounds and in the fields,” Hughes said.

Parent and SUSD Governing Board candidate Zach Lindsay said he voiced concerns to the district after seeing groups of individuals using fields and playground equipment at Coronado High School and Cochise Elementary following school closures.

SUSD spokesperson Amy Bolton said the district has notified the community that all school facilities, including athletic fields and playgrounds, are closed to the public.

Still, Lindsay said he has witnessed groups of people with their pets utilizing Cochise facilities since that notice went out, saying it looked like a dog park.

Dennis Roehler, SUSD’s director of building services, said his staff is taking steps to address the issue but is facing resistance from the community.

“None of our campuses have intentionally been left open for public use,” Roehler said. “We have been working from every direction to keep our campuses secure to mitigate the concern for contaminated play equipment and unauthorized use of our facilities.”

Roehler said the district, which has agreements in place with the city at certain facilities, has told partners at the city and local sports leagues that the facilities are closed.

However, Roehler and his staff are chasing a moving target.

He told the Progress that staff found vandalized and missing locks on gates at Cochise Elementary and there is also evidence that individuals are jumping fences to avoid locked gates, pointing to photos sent by a staff member of athletes using the fields at Saguaro High School on March 26.

“We just can’t keep up with it,” Roehler said. “The public needs to understand that social distancing activities do not include using our school facilities that are closed for the specific purpose of mitigating the spread of COVID-19.”

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CITY NEWS

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

SENIORS ���� �����

required social distancing at that time,” according to a letter sent to families on March 23. However, some out-of-state universities already have announced plans for “virtual commencements.”

Maricopa Community colleges last week also canceled commencement events.

SUSD Governing Board Vice President Patty Beckman said the district has made no official decisions, because of the immense uncertainty surrounding the crisis.

“I am heartsick for our senior class,” Beckman said. “So many rights of passage have all been cancelled because of the unknown we are facing with Covid-19.”

However, with school closures already extended to at least April 10, seniors are preparing for worst.

“Obviously, having the remainder of your final year taken away sucks – all the things we looked forward to for years we won’t get to do,” Arcadia High School Senior Lauren O’Rourke said.

Velarde said the reality of the situation really has not completely sunk in yet.

“I don’t know how much of this I’m truly affected by and I’m not sure a lot of people will really understand the effects until maybe months after this is all solved,” Velarde said.

The current situation is hard on parents as well.

Linda Schlenker’s said she is sad to see so many events put on hold or cancelled but is holding out hope that she will be able to watch her daughter Grace, the youngest of three children, walk at graduation from Arcadia High School.

“I just feel really sad, and it’s just such a loss…once that ship has sailed that’s it,” Schlenker said. “You just get one shot.”

Beckman worked with the Project Prom initiative to gather donated dresses and tuxes and hopes those items could still be used next year while praying for a miracle this spring.

“If some miracle happens, I would love to see a summer senior weekend celebration at each high school with prom on Friday night and graduation on Saturday,” Beckman said. “But we just don’t know.”

Seniors are also reckoning with how

SUSD Curriculum Specialist Gidget R. Vongonten provides technology supplies to parents at Chaparral High School on March 20. (Photo by Pablo Robles/Progress Staff Photographer)

the coronavirus pandemic affects their plans after high school.

Schlenker, whose daughter plans to attend Auburn University, said she is unsure when they will be able to attend planned orientation and there were initial concerns about how the school closures would affect seniors’ ability to graduate.

The district has suggested that meeting graduation requirements would not be an issue as it transitions to online learning.

“As of today, March 23, 2020, a bill waiting to be signed by the Governor calls for schools to maintain their calendar for the end of the school year.

Schools would not be expected to extend the calendar year, and instructional minutes requirements would be flexible. Teachers would continue to teach the required standards and help students meet graduation requirements,” the district told parents.

That transition to online learning will be easier for some students than others.

Velarde said she has taken online classes in the past and that while she is comfortable, some of her friends are less so with the transition.

“They’re definitely kind of freaking out,” said Velarde, saying communication issues between schools, the districts and students have left some of her friends feeling unprepared.

The district has taken significant steps in recent weeks to aid in this

transition, including providing families in need with computers, hotspots and other technology needed to go online.

Velarde said she feels that the district needs to do more to communicate with seniors.

The district has remained in constant communication with families via daily emails and letters that provide updates, but Velarde said those are mostly directed to parents. Students can be left scrambling for important information about SUSD news, such as the district’s effort to provide meals and computers for students who need them, she said.

Velarde acknowledged that administrators and teachers are doing their best in an unprecedented situation but said some seniors still feel left out of the loop.

“It may be on the parents that aren’t communicating with their students, and it may be worthwhile to call them out on that,” Velarde said. “And maybe I just don’t understand the whole picture.”

“But what I and other students are feeling is that we are being left to figure it out on our own and that the resources we are told we are receiving aren’t getting to us,” she said.

School closures could also affect students’ social and emotional health as they are separated from their friends and peers for an extended period.

“Besides that, I really miss seeing people I won’t really have the chance to

see again. Of course, I understand why this is happening, and it’s for the best of everyone, but it’s been hard to turn this into a positive,” O’Rourke said.

The district has put out information and health tips for families from school nurses and school counselors and social workers are available for remote contact.

Velarde said she is staying in touch with friends using technology, including using social media, playing Minecraft and other online communication platforms like Discord, though it is difficult not spending time with her boyfriend who will be leaving soon to join the U.S. Navy.

News reports from across the country have shown that not all young people are social distancing, opting to instead attend Spring Break trips or otherwise continue to socialize in public.

As difficult as it is, Velarde, who has elderly grandparents and a parent with an underlying health issue that could make them more susceptible to Covid-19, said she hopes her classmates abide by social distancing guidelines.

“I don’t want them to die because some kid decided it was a good idea to go to the mall or whatever,” she said.

As difficult as the past few weeks have been, parents and district leaders have commended the Class of 2020 for handling the crisis well.

Schlenker pointed to a letter from Arcadia Student Body President Charlie Siegel to his classmates.

“The situation and things that we are going to overcome are tragic, and as a part of student government, we have been working to create every end of the year event that will likely not occur,” the letter read. “However, we will all come out of this as stronger individuals because of what we all will endure and sacrifice during these times, but we all must make these sacrifices.”

Beckman pointed to similar letters by seniors to their classmates throughout the district.

“While I know the Class of 2020 is incredibly disappointed, they are also very resilient. This is not the way SUSD wanted to launch these students into the next chapter of their lives,” Beckman said. “If somehow we can find a safe and healthy way to celebrate our seniors as this year comes to a close, we definitely will.”

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

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12

CITY NEWS

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

Scottsdale distillery �ills hand sanitizer gap

BY WAYNE SCHUTSKY Progress Managing Editor

A

once-overlooked line item on a tax form inspired Blue Clover Distillery to shift gears to keep the downtown Scottsdale small business afloat during the coronavirus pandemic and provide an increasingly rare resource to the community.

The distiller is using byproduct from the Vodka-making process to make hand sanitizer – which has been in short supply in the Valley as people stocked up on hygiene products in recent weeks.

Like virtually all restaurants and bars in Arizona, Blue Clover has been hit hard by social-distancing measures implemented by Gov. Doug Ducey to prevent the spread of COVID-19.

Ducey shut down bars and required all restaurants to shift to take-out and delivery in Maricopa County.

The shutdown slammed businesses like Blue Clover, which serves food and drinks from its location at Indian School Road and Marshall Way. “We were kind of just brainstorming what we were going to do as a small business, and this just kind of popped in my head,” Blue Clover co-founder Weston Holm said.

Holm founded the company with friends Duane and Scott Koch.

Holm said that while brainstorming, he remembered a line item for hand san-

Blue Clover is part of a larger trend that has seen dozens of distilleries across the country respond to the shortage, from smaller outfits like Greenhook Ginsmiths in Brooklyn, N.Y., to national brands like Anheuser-Busch and Tito’s Vodka.

On March 18, the U.S. Alcohol and Tobacco Tax and Trade Bureau announced that hand sanitizer produced by the distillers would not be subject to fedPeople can buy hand sanitizer at Blue Clover that's cheaper eral excise tax if it is than store brands. (Pablo Robles/Progress Staff Photographer) made with denatured itizer included on forms the company ethanol. has to fill out for alcohol production taxHolm said it is too early to tell how es and then saw another distillery trying much sanitizer the company will proout the same thing on Instagram. duce in total but that it already has some “I said ‘you know what? This is the supply on hand in Scottsdale. best way we can survive and help the Customers can buy Blue Clover’s hand community too,'” Holm said. sanitizer now for $1.50 per ounce and Even hospitals are finding hand sani- must bring their own container. tizer in short supply as customers Holm said the company plans to priorbought it in bulk in response to fears itize local needs as it distributes its supabout the coronavirus. ply and will donate some to local comAccording to the New York Times, sell- munities in need. ers on Amazon were exploiting the situ“People that are actually going to ```be ation by charging as much as $49.99 for in the front lines, that’s going to be doing two bottles of Purell. the most effective work in cutting this vi-

rus down in the community,” Holm said.

“That’s the best way we can do our part in this and then still survive as a business as well.”

As for making the product itself, Holm said it is actually easier than making the vodka and gin that the company produces on a regular basis.

Holm said the sanitizer is made using byproduct from the first step of the vodka-making process that is usually discarded down the drain, because it comes off at about 190 proof, or 95 percent alcohol by volume, well above the alcohol content of most liquors.

By comparison, Blue Clover’s bottled vodka is 80 proof.

The company then adds glycerin or aloe vera in accordance with guidelines from the Tobacco Tax and Trade Bureau and dilutes the alcohol with water to a concentration of 75 percent.

“It’s more of just blending it up in large batches like almost as if you’re making a cake, you know?” Holm said.

Holm said the company is still selling its bottled small-batch gin and vodka and cocktail packages at its Scottsdale location.

The bottled product is also available at Total Wine & More and AJ’s Fine Foods.

“By helping us and purchasing that, we can continue to produce the sanitizer and get it out there to everybody that we can get it to,” Holm said.

“Students being away from friends and trusted adults will mean that they need the crisis hotline’s services now more than ever.”

Teens can call or text if they are struggling and need someone to talk to and the hotline is also available to parents and other adults in need of mental health and suicide prevention resources for their children.

People around the clock can call 602248-8336. They can text that number noon-9 p.m. on weekdays and 3-9 p.m. on weekends.

Teen peer counselors answer the phones from 3-9 p.m. daily.

Teen Lifeline is a Phoenix-based, 501(c)(3) non-profit organization whose mission is “to provide a safe, confidential and crucial crisis intervention service for teens throughout Arizona.”

Established in 1986, Teen Lifeline is accredited through the American Association of Suicidology. Last year trained, volunteer peer counselors between the ages of 15-19 answered more than 25,600 calls and 2,400 text messages.

Information: teenlifeline.org.

The COVID-19 hotline for Arizonans – which has information on virus prevention, testing, what to do if you get sick – is available 8 a.m.-8 p.m. only.

Virus hotline launched, teen number expanded PROGRESS NEWS STAFF

T

he worsening coronavirus pandemic has given rise to a new hotline for Arizonans and prompted expansion of another for anxious teenagers.

Gov. Doug Ducey on Sunday launched a statewide COVID-19 Hotline through $2 million in funding provided by the Arizona Department of Economic Security.

The hotline is administered by 2-1-1 Arizona and the Crisis Response Network and will offer an entry point to field questions and concerns from Arizona residents about COVID-19.

“As we continue to combat COVID-19 in Arizona, we want to ensure the public has access to resources needed to stay safe and healthy,” Ducey said in a release.

“With this hotline launch, Arizonans can get important COVID-19 related information in English and Spanish by simply dialing 2-1-1.”

Meanwhile, in response to the impact of school closures, Teen Lifeline is expanding its crisis texting hours for teens through its free, confidential and anonymous hotline.

Indirectly noting the rise in teen suicides before the virus even broke out, Teen Lifeline said in an announcement,

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CITY NEWS

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

Scottsdale councilman apologizes for ethnic slur

BY WAYNE SCHUTSKY Progress Managing Editor

A

Scottsdale Councilman has apologized for sharing misleading information on social media about Covid-19.

Councilman Guy Phillips on his Facebook page last week wrote, “Hate to break this to all of the morons who call themselves Journalists. COVID literally stands for ‘Chinese Originated Viral Infectious Disease’ and the number 19 is due to this being the 19th virus to come out of China,” according to a report by azcentral.com.

According to the CDC, the “CO” stands for “corona,” “VI” for “virus,” and “D” for “disease.” The number 19 stands for last year.

Phillips apologized for the post.

“Did a stupid repost before morning coffee. I deleted it after checking but the damage was done. Sorry for anyone who was offended,” Phillips posted on Twitter on March 23.

In an opinion piece, Phillips said sharing the post was reckless and irresponsible and that he has since had discussions with members of the Asian American community about “repercussions of these types of propaganda.”

Two of Phillips’ council colleagues derided the comments prior to his apology.

“As a leader and member of the Scotts-

BUSINESS ���� page 6

loan.sba.gov/ela.

The loans are typically given out in the wake of natural disasters. Congress approved adding the coronavirus pandemic to the list as part of an $8.3-billion package earlier this month.

The program, which is available for both businesses and non-profits, offers loans of up to $2 million and carries low interest rates and a payback period of up to 30 years that is determined by an applicant’s credit history, said Tom Galvin with Scottsdale-based Rose Law Group.

The interest rate is 3.75 percent for small businesses and 2.75 percent for non-profits.

The loans are intended to be a stopgap to keep businesses afloat. For that reason,

“As a leader and member of the Scottsdale City Council, it’s important to weigh our words and think deeply before putting them out to the public. Disinformation is prevalent on social media and it is particularly dangerous during the global health crisis that we face today. Responsibility for factual information is paramount when communicating with the public. Leadership matters.” dale City Council, it’s important to weigh our words and think deeply before putting them out to the public,” Councilmember Virginia Korte said. “Disinformation is prevalent on social media and it is particularly dangerous during the global health crisis that we face today. Responsibility for factual information is paramount when communicating with the public. Leadership matters.”

“I have asked the City to issue a statement that takes a stand against racism of any kind and gives credit and thanks to the journalists working during this crisis to keep all of us informed,” Coun-

Galvin said businesses have to prove their economic hardship as part of the application process.

Galvin said it is still unclear when the program will begin disbursing funds.

“Anecdotally, what we’re hearing is the SBA understands that this is just a major crisis and that Congress approved it for coronavirus for a reason,” Galvin said. “So, the SBA really wants to get these loans out, like they really want to help small businesses.”

Galvin said that desire to move quickly could be undermined by the sheer volume of applications.

Galvin said Arizona was one of the first 10 states to apply for the program and that the SBA has offered 24/7 helpline support to navigate the sometimes-Byzantine application process.

cilwoman Solange Whitehead said. “Like the police, elected officials are always on duty and the action of one reflects on the whole organization.”

Mayor Jim Lane reiterated the need to rely on verified information.

“From the beginning, the city has encouraged people to get their information from sources such as the CDC, Arizona Department of Health Services, and Maricopa County Public Health,” Lane said.

“We are encouraged by all the ways we see our community coming together and supporting each other, and let’s make sure to continue down that path.”

Some politicians nationwide, including President Trump, continue to refer to Covid-19 as the “China Virus” and similar names because it originated in Wuhan, China. It has since become a global pandemic, affecting 172 countries.

Using an ethnicity or nationality to identify a virus has real-world consequences that can lead to discrimination and harassment for singled-out communities and people, according to civil rights and health advocates.

“Words matter and labeling the coronavirus in such a way singles out and stigmatizes a specific population,” said Marita Etcubanez with Asian Americans Advancing Justice | AAJC. Etcubanez said this rhetoric can perpetuate negative stereotypes about Asian Americans and serve as justifica-

Fink said she applied for a disaster loan and is still waiting to hear back.

“I kind of just did the best I can,” Fink said. “And then when I submitted, it said it would be two to three weeks or three to four weeks before I would hear anything.”

Even more help could be on the way if Congress approves a new $2-trillion relief bill.

NBC News reported that the bill included $350 billion for loans to small businesses, including forgivable loans of up to $10 million for businesses with fewer than 500 employees to help them continue to pay workers.

There may be some help from the private sector as well.

WaFd Bank Arizona, regionally headquartered in Scottsdale, is offering lines of credit up to $200,000 to small businesses

tion for people who are looking to place blame for the problems stemming from the virus.

The World Health Organization issued guidance in 2015 that discouraged naming practices that reference nationality or ethnicity, stating “the use of names such as ‘swine flu’ and ‘Middle East Respiratory Syndrome’ has had unintended negative impacts by stigmatizing certain communities or economic sectors.”

There has been a spike in harassment and hate crimes against Asian Americans and Asian residents worldwide as the virus has spread, Etcubanez said.

“We know that words have consequences, and I would just urge people to pause and think about the very real harm that their words can do… especially at a time when we need to come together and act in the common social good for everyone to get through this, divisive language like this is just not helpful in any way,” Etcubanez said.

According to a New York Times, Asian Americans are facing violence nationwide.

The Asian Pacific Policy and Planning Council set up a website where individuals can report incidents of discrimination or harassment tied to the coronavirus.

Asian Americans Advancing Justice/ AAJC has resources for individuals to help respond to racist attacks at advancingjustice-aajc.org/covid19.

interest-free for up to 90 days.

The bank will expedite processing for lines of credit up to $30,000 to existing and new clients with good credit that can show a 10 percent loss in revenue due to the coronavirus and have been in business for at least two years. The bank said it could process smaller lines of credit up to $30,000 in just two to four days.

Even with those resources in place, business owners affected by the downturn are facing an uphill battle.

“My concern is for who is not going to make it through this, because the character of Scottsdale is the restaurants and the art and, to a certain extent, the wine tasting rooms,” Carlson said. “I really hope a lot of what makes Scottsdale special comes through this.”

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

Neighbors

NEIGHBORS

Scottsdale.org l

@ScottsdaleProgress

15

/ScottsdaleProgress

Virus has Scottsdale musicians singing the blues

BY KRISTINE CANNON Progress Staff Writer

“

Hey, Austin friends! I’m comin’ for ya!” southern Scottsdale resident and fulltime musician Chad Rubin wrote on Facebook on Feb. 25.

Rubin was gearing up to perform as a sponsored artist for Atari and the Antstream Arcade, calling it one of his biggest live performing opportunities – “if not the biggest.”

Ten days later, though, Austin canceled this year’s South by Southwest festival, marking only the beginning of a slew of canceled gigs for Rubin.

“This has been a tough time for everyone,” the singer-songwriter said. “I have lost thousands of dollars in work as well as major opportunities to potentially further my career.”

Rubin is a multi-genre songwriter who

Scottsdale resident and full-time musician Chad Rubin was supposed to perform at SXSW this year. Since it was canceled, most of his upcoming live gigs were canceled.

(Daniel Ruben)

performs frequently in Scottsdale, including W Scottsdale, Boondocks, and Kazimierz Wine & Whiskey Bar, where he’s had a residency since it reopened last year.

But in the wake of the coronavirus, he’s had 80 percent of his upcoming gigs through the summer cancel on him. And for the remaining gigs on his calendar, he has conflicting feelings about performing.

“My No. 1 thing right now is I have parents who are in their late 60s and I wouldn’t

put myself in any kind of situation where I put them in any kind of harm’s way.

There’s not an opportunity or a number on a paycheck at this point,” Rubin said.

As listeners increasingly turn to streaming services to listen to music, musicians tour and play gigs to support themselves.

A 2018 survey by the Music Industry Research Association and the Princeton University Survey Research Center in partnership with the Recording Academy’s MusiCares found that live performances were the “most common income source for musicians.”

But as businesses close their doors and postpone or cancel events, it leaves many musicians, including Rubin, without work.

“My main source of income is playing live,” Rubin said. “I do it to get better, and

see MUSICIANS page 16

Local actress entertains kids with remote events

BY KRISTINE CANNON Progress Staff Writer

A

local actress dressed up as Cinderella sits on southern Scottsdale resident Sara Bernstein’s back patio, a laptop propped in front of her.

Cinderella is reading a story into the laptop camera to more than 200 children watching remotely across the country.

This live virtual event is a new, free offering from Scottsdale-based Storybook Entertainment, a company owned

by Bernstein that’s hosted nearly 3,000 character-themed parties for infants, kids and teens since 2014.

With Bernstein’s clients canceling parties in the wake of the coronavirus – nearly 30 over the span of two weeks alone – she launched the virtual events to not only continue paying her cast of nearly 30 contracted actors but also continue to do

what her company does best: put smiles on children’s faces.

“As I’m monitoring the chat, I’m seeing the 10 pages of smiling faces of all the little kids in their houses, smiling and dancing and playing. For me, that’s just heartwarming because everyone’s nervous right now and everyone feels the stress but seeing smiling faces for a half hour of little 3-, 4-, and 5-year olds who are just having joy for a little while. It makes my heart happy,” Bernstein said.

Bernstein makes no money from the virtual events but still pays her cast – and will continue to do so, at least through March.

“I’m trying to find a few ways to keep their income streams a little bit, and then hopefully it will translate to other possible work,” she explained.

The 20-to-30-minute events take place via Zoom nearly every day with a differ-

Local actress Karissa Anderson-Self, dressed up as Cinderella, reads a story to the kids who tuned into Storybook Entertainment’s first live virtual event.

(Storybook Entertainment)

ent activity planned for each event. So far, each has attracted more than 200 kids.

In addition to story time, participating kids can also color with Beauty, play games with Tianna, do yoga with SpiderHero, dance with the Little Mermaid, paint with Rapunzel and sing with the “Frozen” sisters.

Characters and activities vary but every event encourages attendees to give back to a specific charity.

The first two charities Bernstein chose are Alice’s Dream Foundation and Arizona Helping Hands. She had spoken with her friend Sherie Siegel, Arizona Helping Hands corporate engagement officer “about how we could do a charitable aspect of it as well.”

Alice’s Dream Foundation is a Maryland nonprofit that provides durable medical

see STORYBOOK page 16

16

NEIGHBORS

MUSICIANS ���� page 15

I do it because, at this point in my career and playing around Phoenix and Scottsdale so much, I’ve been fortunate enough to put myself in a position where people trust me to come in and perform.”

Rubin is part of a network of musicians who rely on one another to fill in for gigs, so he’ll also typically pick up one extra gig each week.

Julian Weinstein, who goes by JuJu Stone, is part of that network.

Weinstein recently transitioned from full-time teacher at Imagine Desert West to full-time musician and the multiinstrumentalist singer-songwriter frequently performs alongside Rubin.

On average, Weinstein performed three to four shows per week, including some at Scottsdale venues such as Wasted Grain and W Scottsdale, where he had a residency with Rubin.

Weinstein also has all his upcoming gigs canceled.

“It sucks. There’s no way going around that,” he said. “It’s definitely been hard financially because that’s what I was relying on.”

To make up for the loss of income, Weinstein teaches guitar and bass via private virtual lessons at Scottsdale-based Kirk’s Studio for the Performing Arts.

“A little bit of money has been coming in that way,” he said.

Full-time musician and DJ Taylor Ouellette said he’s been dipping into his savings.

“I have lost thousands in income,” said Ouellette, who goes by Coach Taylor.

Ouellette usually performs several times per week throughout the Valley,

STORYBOOK ���� page 15

equipment to families in need.

“They’re a very small nonprofit, [and] this is a make-or-break for them at this point. They want to keep their doors open,” Bernstein said. “I know the executive director personally ... so, even if I can help her out a little bit, then that’s great.”

Bernstein has been flooded with positive feedback from parents since she launched the virtual events.

A mother in Chicago, for example, told Bernstein, “You guys have made my [3-year-old] daughter’s week by doing this, and it’s something so exciting for her to look forward to. These times are so sad

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

making a lot of money,” Weinstein said.

Some artists, including Valley-based bands Jimmy Eat World Jared & The Mill, have even helped raise money for the Recording Academy’s affiliated charitable foundation MusiCares and its COVID-19 Relief Fund, which helps those in the music community affected by the coronavirus pandemic.

“Right now, the live music industry is just completely shut down, and there are scores of people who depend on it for their living,” said Scottsdale native and lead singer of Jared & The Mill, Jared Kolesar. “MuJulian Weinstein usually performs a couple times siCares is a group that helps per week Scottsdale venues, including W Scotts- bring financial stability to our dale, Wasted Grain, and more. But since they were all musical brothers and sisters in canceled, he’s had to rely on his private lessons for these troubling times, which is income. (David Majure) very important to us.

“Music is something that has including Mondays at Copper Blues, certainly saved me a couple of times, and Wednesdays at Bevvy Uptown, and Frito be able to help save the people that days and Saturdays at Taco Guild and make that music go now just feels like the Kelly’s on Southbridge. right thing to do,” he added.

He also performs weddings – which he Jared & The Mill – with more than sevsaid also were postponed. en million streams on Spotify, more than To help struggling artists, Ouellette 17,000 Facebook followers, and nearly suggests buying artists’ merchandise, 14,000 followers on Instagram – pertaking lessons from local musicians and formed a live virtual show on Twitch on sharing music.

March 22 benefiting MusiCares, raising “I would prefer more emotional help $1,000. than financial help right now — meaning, “It was a super cool project to work on. the music that I’m about to release and Exploring the broadcasting world is gothe music I’m working right now, if that’s ing to play a big part in the next couple of spread around and a lot of people really months for us,” Kolesar said, adding that enjoy it, that’s going to help me much they plan to live-stream again soon. more in the long-run by just getting my Jared & The Mill wasn’t hit as hard as music out there, more so than necessarily

and crazy, but it’s really amazing seeing everyone coming together from all parts of the world.”

Bernstein said she may reduce the frequency of the events once her own children start homeschooling.

She said she’s also considering making the event a subscription series where people can pay to have access to videos they can watch later.

“It really comes down to how long are we trapped in our houses? How long does this affect our day to day lives?” Bernstein said.

“As long we’re home, I’m going to try to do something, and keeping up smiles, and keep doing different opportunities,”

she added.

In addition to the live events, Bernstein is offering one-on-one themed activities for $100.

During those sessions, kids can fully engage with the Storybook Entertainment character of their choice. Activities can include anything from crafts and story time to playing games and nail painting.

“They’re going to have to be things that kids already have in their own homes, but there’s so much we can do,” Bernstein said.

While other companies do offer similar story time readings for kids, Bernstein said what sets her events apart is that they’re live.

fellow musicians. They had just a couple of fly-out dates for music festivals that were canceled.

“It’s actually funny; we’ve toured yearround for the past, like, six years, and this is the first year that we decided we weren’t going to tour the first half of the year. So, that was incredibly lucky for us, because the entire industry is currently blowing up,” Kolesar said.

Kolesar also suggests purchasing merchandise and sharing music, including their album “This Story Is No Longer Available,” which is available on Spotify and Apple Music.

“Spreading the presence of our songs is the best thing that you can do for us right now!” he said.

Kolesar also emphasized that supporting artists shouldn’t be reserved solely for difficult economic times.

“Etching out a life for oneself as a maker of music has never been easy, but to support them in the good times helps them stay afloat in the hard times,” he said.

And supporting artists doesn’t always mean donating money, according to Weinstein.

“Musicians are struggling now just like everybody else. Most of us musicians have been used to the struggle.

So, if you can’t give money right now, give your time, meaning give your time to listen to new artists and share their music, because that’s going to go a long way,” he said.

Follow on Facebook: @ChadRubinTunes, @taylor.ouellette, @julian.weinstein.58, @jaredandthemill Information: grammy.com/musicares “Live is what makes it fun,” she said.

“Having your kid being able to see it happening in real time is what makes it as close to a birthday party as what we’ve offered for the last six years.”

Bernstein’s advice for other business owners is to stay positive.

“I’m a cancer survivor, and I ran my business while going through a year of treatment,” said Bernstein, who beat breast cancer two years ago. “I truly believed, and I stayed positive through that, and my company continued to grow. So, if we stay positive, you can do anything.”

Information: storybookentertainmentaz.com

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BUSINESS

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Virus cooling hot housing market

BY PAUL MARYNIAK Progress Executive Editor

T

he abrupt economic downtown created by the COVID-19 pandemic is doing something to the the Valley’s housing market that hasn’t occurred for months – driving up the inventory of homes for sale.

But with unemployment rising in the wake of the coronavirus, that likely won’t not be great news from anyone’s standpoint as sellers may not be finding as strong an appetite to buy a home as there had been only a matter of weeks ago.

Fears of close physical contact with strangers shared by sellers and buyers – combined with potential buyers’ concerns for their own financial health – are throwing water, at least for a while, on what had been one of the nation’s hottest housing markets, experts say.

The abruptness of the reversal in the market’s fortunes has been as stunning as that of the overall economic downtown, one expert noted.

“The speed of change is as high as we have ever seen,” remarked the Cromford Report, which closely studies the Valley’s housing market.

When March began, the housing market posed a steadily rosier picture for sellers and a spiraling grimmer outlook for buyers.

But now, the Cromford Report sees a different picture emerging.

The early warning signs that the COVID-19 pandemic would impact the housing market came during the first week of March, when Cromford predicted that high-dollar house sales would ebb.

It said in early March that while transactions for homes at prices of $1 million or more had increased in February by 56 percent over February 2019, the trend was likely to hit a wall.

Just before the virus started cooling down the housing market, Russ Lyon Sotheby’s International Realty announced that this 6,300-square-foot mountainside home on North 98th Place in Scottsdale sold for $7.5 million. (Courtesy Russ Lyon Sotheby's International Realty)

“With the recent negative developments in the markets for stocks and commodities, we would anticipate the demand for homes over $1,000,000 to be less impressive when we look at numbers for the next few months,” it said.

Meanwhile, buyers of more modest means found greater frustration as the month began: data for February showed closings on homes up to $250,000 were down almost 19 percent from February 2019.

Sales of homes between $250,000 and $500,000 increased last month by 26.5 percent over February 2019 while closings on homes between $500,000 and $1 million were up 26.5 percent, Cromford said.

The bottom line, it added: “The supply situation is even more extreme than last month. Rapidly rising prices have done little to dampen demand.”

Conversely, it said, “sellers are still gaining negotiation power in 14 out of 17 communities – including Scottsdale.

But what a difference a pandemic makes.

Cromford last week was far more pessimistic – even as it reported that the available housing stock increased Valley-wide by 27 percent in the last four weeks over what it was a year ago. The most recent estimate showed Scottsdale's inventory up by 6 percent.

“The increase in listings is heavily skewed towards the mid-price end of the market,” it said. “Between (March) 15 and (March) 22, we see an overall increase of 11 percent in active listings without a contract.”

“Of course,” it added, “we were starting from an excruciatingly low inventory of active listings between $150,000 and $300,000, so it is not hard to see a high

percentage increase from such an abnormally low base.”

Zillow last week noted an abrupt increase in mortgage rates and said Bank of America’s downgrading of some major homebuilders is “suggesting the bank believes COVID-19 will harm consumer sentiment and slow home building.”

If that happens, it could put the brakes on a frenzy of home construction in the Valley, a Zillow executive said.

Moreover, some experts feared whether foreclosures would begin trending up.

Zillow Economist Jeff Tucker said, “The big question at the moment is to what degree measures being taken by local, state and national legislators will help limit the number of foreclosures in the months ahead.”

Among the factors driving this inventory increase is the virtual collapse of the tourism and hospitality industry – which has pretty much wrecked, at least for now, vacation rentals, Cromford said.

Homeowners who only last month were enjoying the additional money they were making through Airbnb are quickly deciding it might be a better idea to put that same house up for sale before things get any worse, Cromford indicated.

Moreover, it noted, “A huge amount of wealth has been destroyed on the stock market in the last month…. This leaves cash in short supply and some owners may need to turn fixed assets in liquid assets at short notice.”

Social distancing also is playing a role, the report said, explaining: “Few normal buyers are willing to make an offer without viewing a property, though some investors may be tempted. …Buying and selling, as well as construction are likely to drop sharply, especially if a close-down is ordered by govern-

see MARKET page 19

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

MARKET ���� page 18

ment, as it has in several states.”

Scottsdale’s increase in homes for sale was 14th among 17 Valley cities, Cromford noted.

Cromford and Zillow stressed that homeowners, for now, don’t have to worry that the rapid changes are affecting home values – which have hit almost unprecedented levels over the past year.

“During the outbreak, there is little reason to suppose that house values will be significantly affected, up or down,” Cromford theorized, stressing it was hard to predict what will happen because the virus itself is unpredictable.

“We will not know where we stand until the virus is peaked and the economy is well on the road to recovery,” it said.

For now, it added, “Real estate activity will be increasingly limited, causing volumes to drop,” Cromford observed. “How far and fast they drop in Arizona will depend on decisions made at the state and county government levels.”

“It is possible that sales will cease closing if title companies and/or county recorder offices are temporarily closed,” it

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added, warning: “The impact of COVID-19 on the housing market has been relatively mild so far, but it is likely to become more dramatic over the next few months.”

The virus hit just as inventory inched up after months of shrinking.

At the beginning of March, Cromford noted, “New listings are still arriving more slowly than normal and year-todate we have experienced a shortfall of 10 percent compared to 2019. Supply continues to fall quickly across most of the market.”

The report had noted prices “have not risen nearly enough to have any effect so far” on demand.

Now, it said, “the housing market has reacted to what is happening” as “a powerful upward trend transformed into a sharp downward trend.”

On Friday it observed, “For the last week, the market is cooling with supply increasing and demand in decline in most but not all areas, however, it is dropping from a very hot temperature and will take quite a while to reach normal room temperature” – where supply and demand are on a more even footing.

BUSINESS

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ARTS & ENTERTAINMENT

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Stunned galleries turn to online, home visits

BY KRISTINE CANNON Progress Staff Writer

F

ollowing the suspension of Scottsdale Gallery Association’s weekly Thursday night ArtWalk series through April 16, many of the Arts District galleries have followed suit and closed their doors.

The galleries are still open for business via online sales, private appointments and even home visits.

“We made the decision this week to be closed, but we are still here working,” said Deb Neal, co-owner of Territorial Indian Arts & Antiques with husband Alston Neal.

“There is no traffic at all on Main Street, which is safe, I guess,” she added.

French Thompson also made the decision to close his jewelry gallery, French Designer Jeweler, for at least two weeks starting the week of March 23.

“I was hoping that either the President, the Arizona governor or the mayor of Scottsdale would issue a request for all non-essential businesses to close for a time period, Thompson said.

“My thinking was that if everyone was to quarantine all at the same time, we all would be better off than if people do it and others did not do it. Since that is not happening, we are doing it voluntarily.”

According to Thompson, SGA president, the April Art and Chocolate Gold Palette ArtWalk also is postponed indefinitely.

With no weekly ArtWalks and no usual springtime crowds, galleries are losing money.

“The economic impact is unfathomable, as most galleries are ma-and-pa businesses with no cushion,” Alston said.

Territorial Indian Arts & Antiques owners Alston and Deborah Neal have closed their gallery to the public. They are, however, virtual tours on their website, where customers can shop their inventory as well. (Chris Mortenson/Progress Staff Photographer)

The Marshall Gallery co-owner Peter Strub added that they’ve seen a “sharp drop-off of traffic and sales.”

“It happened overnight at the height of our season,” he said.

Online sales are now more important than ever.

“We are working diligently on our website, where shopping is available 24/7,” Alston said, adding that they also offer virtual tours of their gallery online.

Besides the galleries, the artists they represent also rely on online sales.

“Artists depend on the sales of work,” Strub said. “Abrupt truncation is devastating, as they are self-employed with-

out unemployment insurance. In order to support artists, interested parties should continue to shop online.”

To help sales, the Marshall Gallery is offering 10 percent off any art purchase until May 1.

Though the Marshall Gallery canceled its robust lineup of in-gallery spring events, including their concert series, Strub said the gallery is still open for business “unless directed otherwise by authorities.”

“We have a large space. We take care and wipe down surfaces many times a day. We practice social distancing. We remain available to serve the community’s cultural needs and market our

artists’ work,” he added.

The Marshall Gallery guests can either make appointments for private showings and virtual tours or set up a time for Strub or co-owner DeeAn Gillespie to bring art to clients’ homes.

“We’re here to serve,” Strub said.

“Anyone wanting a private Skype or FaceTime virtual tour should just call us, and we’ll arrange it.”

Royse Contemporary owner Nicole Royse said she is also happy to bring art to clients.

“The coronavirus has impacted foot traffic greatly, which therefore has decreased sales as my business relies heavily on patrons viewing the artwork in person before purchasing,” Royse said.

Open by appointment only, the gallery currently features the work of Marilyn Szabo and Cam DeCaussin in an exhibition entitled “Midcentury in the Desert.”

“The best thing people can continue to do is support small local businesses during this challenging time and buy art.”

Royse said she increased gallery cleanings and postponed all receptions until April.

“It will be incredibly challenging,” she said of staying afloat. “The best thing people can continue to do is support small local businesses during this challenging time and buy art.”

French Designer Jeweler will contin-

see GALLERIES page 21

SCOTTSDALE PROGRESS | WWW.SCOTTSDALE.ORG | MARCH 29, 2020

Jeweler is also following World Health Organization and Centers for Disease Control and Prevention guidelines, including following the proper sanitizing and hand-washing protocol.

Thompson and his team are also cleaning the cases and jewelry after they are handled.

“If we had to close for a month, we can weather through as our business had had to deal with the recession and are still here and welcoming business,” Thompson said. “We will concentrate on promoting our online presence and see if we can supplement with online sales.”

Over at the Marshall Gallery, Strub said they do not allow usage of their bathroom and often sanitize all surfaces and shared objects such as pens.

“Culture and the arts are such a vital part of a thriving, healthy community.

We continue to be committed to serving our public and ensuring our community of artists and patrons have access to their cultural lifeblood,” Strub said.

Information: frenchonmain.com, themarshallgallery.com, territorialindianarts.com, roysecontemporary.com

GALLERIES ���� page 20

ue to virtually host the Ring Invitational, a month-long showcase of high-end rings designed and created by artists all over the country and internationally, as well.

“We have a wonderful online presence and have both photos and videos of the rings in our Invitational Ring show,” Thompson said.

“Our website is a beautiful representation of the jewelry we have here in the gallery, and everything in our gallery has a presence on the website,” he added. “We just had a phone call from out of state ordering an item that was on the website.”

Thompson said, for now, he and his staff will continue to take turns working in the gallery.

“We will be here in the gallery for phone calls and deliveries. My employee and I will rotate days on and days away, so we are not here at the time with the potential of spreading it between us,” he said.

Much like Royse Contemporary, Territorial Indian Arts & Antiques, and the Marshall Gallery, French Designer

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FOOD & DRINK

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Crisis turns restaurants into grocery stores

BY KRISTINE CANNON Progress Staff Writer

S

ales might be down by 90 percent at U.S. Egg, but that’s not stopping the Valley-based, family-owned and operated breakfast and lunch restaurant from putting the community �irst.

Last week, all six Valley locations, including the two in Scottsdale, began selling essential items as an add-on to carryout orders of $20 or more.

Essential items ranged from cleaning supplies and toilet paper to eggs and milk and even protein bars and granola.

“A senior citizen who lives in the area was dining with us last week, and she told me she spent an hour at the grocery store but wasn’t able to get milk and eggs. She asked if she could buy some from me, and that’s what sparked this,” said U.S. Egg coowner George Gebran.

Gebran said that they realized that with their greatly diminished business, they were sitting on a lot of inventory from Shamrock Foods that would “go unsold before it expired.”

So, they decided to make their stock available to the community at near cost.

“We realized that we have access to a part of the distribution network that other members of our community do not and that we could try to continue providing items to folk who are having a hard time keeping the pantry stocked,” Gebran said.

The most popular staple items were eggs and toilet paper.

“Often people will call speci�ically for one and jump at the chance to buy the other when they �ind out what we have available,” Gebran said, adding that they expanded their list to include as much produce as possible.

Los Sombreros Old Town has also added groceries to its menu.

It started taking orders for weekly Mercado grocery boxes, with items

U.S. Egg and Los Sombreros Old Town began selling in-demand essentials at their respective restaurants, including toilet paper, milk, eggs, and more. (U.S. Egg)

changing weekly.

They have three boxes: the Basics for $30, including rice, romaine lettuce, shredded Mexican cheese, tortillas, avocados, cucumber, strawberries, eggs and two rolls of toilet paper; the Essentials for $60, including everything in the Basics box as well as chicken breasts, milk, red wine, and four rolls of toilet paper; and the Big Guy for $100, including everything in the two other boxes as well as a fourpack of Steve-a-Rita, limes, and six total rolls of toilet paper.

“We recognize that resources are a bit more scarce than they were three weeks ago, and people are looking for creative

solutions and ways to stock up on fresh foods,” Riske said.

“We want to support our community and provide them with fresh, pantry, and fridge staples that change each week. We always include a fun offering or two, like a bottle of wine or a four-pack of Steve-a-Rita margaritas. It won’t always be booze!”

To place an order: colleen@lossombreros.com by 2 p.m. Wednesdays and pay via Venmo, Paypal, or a credit card over the phone. Groceries can be picked up Fridays from 10 a.m. to 4 p.m.

Gebran said the main reaction they’ve seen from U.S. Egg guests is gratitude.

“We’ve had people emotionally moved

by the ability to buy eggs, milk, orange juice, or bathroom tissue. It’s been amazing to see and has been both surprising and ful�illing to see these reactions. Lots of folk just are shocked by what they consider to be a great idea,” he said.

Spring is an important time of the year for U.S. Egg. So important, they save their pro�its from March to get them get through the slower summer months, July and August.

“This year will be tough,” he said.

One way the public can help support restaurants at this time, including U.S. Egg, is by continuing to order takeout.

“An unfortunate a side effect of the situation we’re in is that there are thousands of servers, cooks, bussers and other restaurant staff out there who are currently out of work. We’d love to put out the call to the community to support your local restaurants as much as possible with take-out ordering so we can stay alive long enough to bring our people back when this crisis is over,” Gebran said.

Riske agrees.

“More than anything, we are passionate about keeping our business thriving so we can continue to provide jobs for our employees who we love dearly,” said Colleen Riske, a Los Sombreros owner.

“We want to be a special place to enjoy a delicious meal for our loyal guests. We will always adapt and roll with the changes so we can provide value to our guests and keep our employees working.”

U.S. Egg’s new hours are 7 a.m. to 2 p.m., and Los Sombreros in Scottsdale is open daily from 11 a.m. to 8 p.m. Los Sombreros Uptown is temporarily closed.

U.S. Egg accepts carry-out orders and offers curbside pickup. Delivery orders are offered through DoorDash and Postmates.

Visit lossombreros.com and useggrestaurant.com for more information, including the full lists of market items.

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