SUBJECT/RECOMMENDATION:
Title
Approve changes to grant disbursement criteria for Clearwater’s Back to Business Grant and Professional Services Program. (consent)
Body
SUMMARY:
On May 7, 2020, Council adopted Resolution 20-21 which established eligibility criteria for Clearwater’s Back to Business Grant & Professional Services Program (Phase 1). Funding in the amount of $3,500,000 from General Fund Reserves was also appropriated. Additional funding from the federal CARES Act (CDBG-CV) in the amount of $492,592 was also allocated to this program.
Program Results
The Back to Business Program yielded approximately 275 approvals of “Brick & Mortar” applications and 0 approvals of “Home-Based” applications. Total funds encumbered is approximately $1.5 million which includes distribution of “Quick Pay Grants” in the amount of $3,000 each as well as set-aside funds for delivery of Professional Services (up to $1,000 per approved applicant), Post-Professional Services Grants ($2,000 each) and 10% administrative fees to our Partner Agencies (AMPLIFY Clearwater, Prospera and Tampa Bay Black Business Investment Corporation).
Recommended Program Changes
With resurgence of COVID-19 cases in the community, there is additional financial stress. To mitigate these financial pressures, staff recommends the following:
1. Immediate issuance of $2000 grant to 275 +/- approved Brick & Mortar businesses. Formerly known as Post- Professional Services Grant, city would issue these immediately.
2. Professional Services (up to $1,000 per business) through our Partner Agencies would still be available to businesses seeking the additional support. Partner Agency would also receive 10% Administrative Fee.
Other Recommendation
At this time, staff recommends a pause in the Back to Business Program until such time as the city can fully evaluate funding which may be received by non-city sources.
APPROPRIATION CODE AND AMOUNT:
N/A
USE OF RESERVE FUNDS:
N/A