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Bars and restaurants were given financial relief in the form of state and federal grants to help stave off lost business due to the closures. But because women take their clothes off here, government officials denied Goulden's requests for financial assistance.

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But he thinks strip clubs should have at least received funds through last year's grant program, which went to small businesses in general. Reach him at tjett registermedia. Cream-colored cushion bubbles through a strip leather chair in the corner of Rick Goulden's strip club, like a wound seeping through claw marks. I run a tight ship, as far as I can speak for myself.

Lawyers for the Small Business Administration made similar points in federal lawsuits last year. They can't discriminate against a business that meets all criteria for a funding program. He best he's iowa scraping to survive since. Attorneys wrote that the federal agency could block Paycheck Protection Program loans from strip clubs because they needed to "consider the public interest" for the agency's "limited clubs.

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Facebook Twitter. We do the same thing that every restaurant and bar in Iowa has to.

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He knew the fix wouldn't last long, though. They pay taxes and hire employees, just like other bars.

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He rebuilt the dressing room and installed new carpet. But strip club owners like Goulden say the rules don't make sense. Goulden could use the help. Goulden, who opened the business 37 years ago, hoped the darker color would better hide alcohol stains. If everything else is equal, a state or federal government can't exclude a sales tax exemption for one dairy farmer and not another.

State says it 'has to make tough choices' with limited funds

Tyler Jett Des Moines Register. He said he applied for a Paycheck Protection Program forgivable loan, which would have covered his small payroll for a couple of months last spring. There's none of that. In Ames, Dangerous Curves owner Neil Slater applied for a grant last fall after Reynolds ordered the city's bars to shut down.

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University of California at Davis law professor Brian Soucek said these lawsuits could forever change the Small Business Administration. District Court judges in Michigan and Wisconsin sided with the strip clubs — at least for the moment. Federal and state officials said they issued the rules because hundreds of thousands of businesses asked for money at the beginning of the pandemic, and the government couldn't help everybody.

Rita Grimm, the authority's chief legal counsel, said that the state disqualified Dangerous Curves because the bar provides "adult entertainment," according to s Slater shared with the Register.

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There's no rhyme or reason. The ruling meant the businesses have a good chance to win the case, said Brad Shafer, an attorney for the strip clubs in the Michigan lawsuit. In Waterloo, Mirzet Dizdarevic said he also got rejected when he applied for federal and state relief for his two strip clubs, Flirts Gentlemen's Club and Risque Gentlemen's Club. Tyler Jett covers jobs and the economy for the Des Moines Register. Asked about Iowa's programs, Soucek said the state could exclude many strip clubs from a bar and restaurant relief grant it issued earlier this year — unless the strip club happens to operate a bar or serve food with waitresses.

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Then she shut them again in August. The map included Dangerous Curves. They said no lawyer has challenged the rules until last year. The business picked up this year, he said. This is why states often "exempt milk but not Milk Duds from sales taxes," Soucek wrote.

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As part of the lawsuits, lawyers are challenging decades-old rules that prevent any assistance from going to businesses like Outer Limits. There's no drugs in here. When the Iowa Economic Development Authority denied his application, he asked for an explanation.

Dozens of them succeeded, with judges forcing the agency to issue Paycheck Protection Program loans to the suing strip clubs. She said Congress never gave the agency the authority to make the rule. Food service. At the beginning of the pandemic, some of his employees waited months to receive unemployment insurance. For the most part, federal and state lawmakers can pick which industries deserve subsidies.

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But governments are not completely free to fund who they want, he explained. Customers in their 20s have shown little hesitancy during the pandemic. But he said the cases won't go back to judges until at least August, and lawyers don't know what the cases will mean for any future government funding. There's no prostitution. And their heels poke holes in the material.

Iowa strip clubs had a rough time in pandemic

When one of Slater's co-owners asked Grimm for a definition of "adult entertainment," she sent links to a Google search of the business, an online review of the business and an "Iowa Adult Entertainment" map that someone had made and ed online. In the Wisconsin case, Judge Lynn Adelman wrote that the Small Business Administration has operated with unfair rules against strip clubs for 25 years. And the government forced them to shut down, just like other bars. If people are upset about the rules, they can always vote out the lawmakers.

Still, few of the regulars over 60 years old are coming by these days. We try to run our club as well as we can.

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The lawyers pointed out that the Small Business Administration has denied all of its low-interest loans to strip clubs sincewhen the agency issued a blanket rule that blocked them. Share your feedback to help improve our site! He said he floated them some personal funds to get by. Then she mandated a 10 p. In the bathroom, he bought two toilets, a urinal and a sink and added a fresh coat of paint. Out went the tiger print velour; in came the brown Naugahyde fabric.

They climb up on the furniture and stuff.

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While the First Amendment allows women to remove their clothes for money, the law doesn't guarantee taxpayer funds. The crisis could change the way the government treats strip clubs going forward. Both granted preliminary injunctions last spring, meaning the suing strip clubs could get Paycheck Protection Program funds while the Small Business Administration still had money in the coffers.

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He believes the lack of government funding is simply the result of discomfort among lawmakers. Dangerous Curves is a "bikini bar," meaning performers keep on at least slivers of clothing. Slater's co-owner wrote back, telling Grimm she still had not provided a definition for "adult entertainment.

Last year was rough on Outer Limits.

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While the dancers are independent contractors, Dizdarevic said his businesses employ about 15 total full-time bartenders, bouncers and waitresses. Some challenged the Small Business Administration's rules in court.

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Kim Reynolds shut bars in March, April and May due to the coronavirus pandemic. But lawyers for a collection of strip clubs, including Spearmint Rhino Gentlemen's Club in Carter Lake, Iowa, argued in federal court that the Small Business Administration's rules never made sense. But, he added in a California Law Review article that rules about government funding are tricky.

His banker told him the U. Small Business Administration exempted strip clubs from the grant.

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