City Council reallocates funding from Brownsfield Grant to COVID-19 business relief fund
After failing to be awarded a $300,000 grant for the Brownsfield grant – a budgeted item in 2020 – Craig City Council reallocated $150,000 from the $300,000 budgeted into a second round of COVID-19 business relief for local businesses following a request from the Economic Development Committee.
According to a presentation from City Manager Peter Brixius at the August 11 City Council meeting, a workshop was held with the Economic Development Committee, in which all parties involved decided to increase funding up to $10,000 for businesses awarded funding in the second round of COVID-19 relief. Businesses that received funding via the first round of this program are eligible to reapply but total funds granted will not exceed $10,000.
“The mayor would like to see $150,000 approved for the second round of funding,” Brixius said to councilors.
The city recently submitted a reimbursement request to the state from the first grant cycle, which totaled $54,000, according to Brixius. That includes the COVID-19 Relief Grant and PPE and other preparations for various facilities that falls under reimbursement, Brixius added.
The City opened up the official application for the second round of the COVID-19 Relief Grant Funding on Tuesday, Aug. 18.
The City of Craig COVID‐19 Business Relief Grant Program was created to provide some support for entrepreneurial small businesses within the City of Craig. The program was also designed to provide funding to help keep small businesses in a position to remain open and adapt during business interruption caused by the COVID-19 public health emergency. Grant funds can be applied towards eligible expenses incurred between March 1, 2020 and December 30, 2020.
Businesses are eligible for program consideration if they meet all the following program criteria, according to the grant program:
- Storefront must be physically located within the city limits of the City of Craig (no mobile, home-based, or e‐commerce vendors)
- Business must be in good standing with the City of Craig, including being up to date on sales tax remittance (paid through Jan 2020 with no outstanding balance)
- Classified in one of the following most severely affected industrial sectors:
- Accommodations (excluding short‐term rentals and vacation rentals by owner)
- Miscellaneous Retail
- Food Services and Drinking Places
- Sporting Goods, Hobby, Musical Instrument,and Book Stores
- Liquor Stores
- Personal Service Providers (salons, gyms, etc.)
Eligible Applicants may not include:
- Government retailers
- Retailers located within a residential zone district
Councilman Steve Mazzuca expressed some concerns about the reimbursement of money from the state, citing a concern of being out $150,000 if they weren’t reimbursed for the program.
“…Right now, the state is saying these are the funds available and this is what it’s to be used for, so our program should fit those guidelines,” Craig Finance Director Bruce Nelson said.
Nelson added that the funds, once reimbursed, will go back into the general funds.
For more information regarding the COVID-19 Business Relief Grant Program, contact Melanie Kilpatrick with the City of Craig Administration Department at 970-826-2016, or email her at firstname.lastname@example.org.
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