KabirCares.org

City to Give $1.45 million Additional COVID-19 Economic Assistance to Residents, Small Businesses

At last night’s Council meeting, the Council approved additional economic assistance programs, totaling up to $1,450,000, to assist families, senior citizens, and other individuals, and small businesses and non-profits impacted by the COVID-19 pandemic.

Funding for all, but the Modified Business Assistance and Façade Improvement Program, is reimbursable through the CARES Act, that the Congress approved recently.

The proposals include:

(1) Small Business Assistance Grants Program – $1,000,000
This fund will assist small businesses (and non-profits if allowed by CARES Act funding requirements) with 25 or fewer full-time equivalents (FTEs), with direct economic support for costs of business interruption caused by required closures, voluntary closures to promote social distancing, or affected by decreased customer demand due to COVID-19. Program sunsets December 1, 2020.

Up to a maximum grant of $15,000 (each business/owner) is available. Upon approval, the grant will be paid in 3 installments, 30 days apart, with the first paid upon approval at 50%, the second at 25%, and the third at $25%. 2nd and 3rd installment payments contingent upon submission of required documentation of continuing operations of the business. The program ends on December 1, 2020.

Commercial business (and non-profits if allowed by CARES Act funding requirements) with no more than 10 outlets are eligible.  The businesses may not be part of a national franchise, and with a physical presence in the City of College Park. They must have 25 or fewer FTEs with operating business as of January 1, 2020. Vape, liquor, and tobacco businesses, or age-restricted businesses ineligible, if applicable per law. City elected officials are also not eligible.

(2) Emergency Financial Aid to Families, Senior Citizens, and Other Individuals – $200,000
This fund will provide financial assistance to families, senior citizens, and other individuals who have been impacted by the COVID-19 pandemic. Financial assistance may be provided for eligible expenses, such as rent/mortgage payments to avoid eviction/foreclosure; unforeseen funeral costs; utility payments; and other emergency needs as deemed necessary.

(3) Additional Funding for Non-Profits – $100,000
This fund will provide additional funding of $20,000 each to Meals on Wheels and the College Park Food Bank.

(4) Modified Business Assistance and Façade Improvement Program – $150,000

Eligible business/owner can receive up to a maximum grant of $15,000. Funding for all, but the Modified Business Assistance and Façade Improvement Program, is reimbursable through the CARES Act.

Additionally, City is considering to roll out an additional fund of $200,000 on Business Promotional Assistance – with economic support or costs of business interruption caused by required closures, voluntary closures to promote social distancing, or affected by decreased customer demand due to COVID-19 by attracting/incentivizing customers to patronize local businesses. Program sunsets December 1, 2020. Staff recommended delaying implementing this program until additional details are developed.

Programs will sunset on December 1, 2020.

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