Subject:
Title
CARES Act Funding for Economic Support Programs
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Fiscal Impact:
During the Board’s meetings in May and June, the Board allocated $70.65 million of the $105 million provided to Brevard County under the CARES Act to various Public Health and Safety Programs and Individual Assistance Programs. There remains $34.35 million of unobligated CARES Act funds.
Dept/Office:
County Manager’s Office
Requested Action:
Recommendation
Staff is requesting Board direction concerning the allocation of CARES Act funds for Economic Support programs that the Board may wish to consider implementing with available CARES Act funding.
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Summary Explanation and Background:
During the Board’s May 5, 2020 meeting, the Board directed staff come back to the Board with small business program options that could be funded with CARES Act funding received from the United States Department of the Treasury on April 23, 2020.
A Small Business Economic Relief Task Force (Task Force) was formed to provide the County Manager’s Office with small business economic relief program options that the Board could consider providing to small businesses through the use of available CARES Act funding.
The Task Force met five times to review available data, compiled by the Chambers of Commerce, EDC of Florida’s Space Coast, CareerSource Brevard, State and Federal resources, and small business programs offered by counties similar to Brevard County’s demographics. Attached is the Task Force report including options the Task Force recommended be considered for establishing a small business relief program.
Based upon the input received from the Task Force, the following decision points and program options are provided for the Board’s consideration. Staff is seeking Board direction to establish small business economic relief program(s) under parameters established and approved herein by the Board.
Board Decision Point - Whether to Establish a Small Business Economic Relief Program
(If adopted, then)
1. Grant Amounts (Options for Board Consideration)
a. A one-time grant, not-to-exceed $10,000 for small businesses that have 50 or less full-time equivalent employees as of the end of February 2020; or
b. A one-time grant, not-to-exceed $5,000 for businesses that have 25 or less full-time equivalent as of the end of February 2020; and
A one-time grant, not-to-exceed $10,000 for businesses that have 26 to 50 full-time employees as of the end of February 2020; or
c. Any other direction provided by the Board
2. Eligibility Criteria (Options for Board Consideration)
Eligibility Criteria
• Business must be physically located in Brevard County
• Home based businesses are included
• A business must have been in operation at of the end of February 2020 and currently in business.
• Business agrees to follow current COVID-19 CDC guidelines
• Business must demonstrate that they have been negatively impacted by COVID-19. The business must show that it continued to pay for certain expenses during the period of economic downturn or shutdown (March - June 2020), unreimbursed expenses which may include but are not limited to:
• COVID-19 related expenses such as sanitation, Personal Protective Equipment (PPE), signage, outdoor seating, insurance, etc., not covered by other resources from local State or Federal programs.
• Salaries and payroll
• Inventories
• Commercial lease, mortgage, or rent payment
• Any other expense or loss of revenue that the business can demonstrate was incurred as a result of COVID-19 economic shutdown or downturn (March - June 2020)
• Expenses must not have been reimbursed or reimbursement is not expected through Paycheck Protection Program (PPP), Economic Injury Disaster Loan (EIDL), Small Business Administration (SBA) Debt Relief or other similar federal and state programs.
• The business has a current and valid County business license in Brevard County.
• The business meets all regulatory requirements of Brevard County
• The business is not operating in violation of any State, Federal or local laws
Ineligible
• Business not physically located and/or operated in Brevard County
• Nonprofit entities
• Businesses with legal actions against or from the County, including code enforcement liens.
• Businesses that are operating solely as an Internet business.
Eligibility/Ineligibility criteria (Board Decision Point)
a. Adopt or modify the eligibility/ineligibility criteria as outlined above, or
Funding Allocation (Board Decision Point)
b. Funding allocation as established by the Board (Task Force recommended a funding level of $25 to $30 million)
3. Administration (Options for Board Consideration)
a. Chamber Consortium, (Chambers would process and review applications submitted);
b. EDC of Florida’s Space Coast;
c. County staff, (oversight provided by County staff with economic development experience hiring temporary staff); or
d. Outside Contractor - (current internal auditor contract or FEMA consultant contract would be modified)
4. Funding Allocation for Small Business Economic Relief Program - (Board Decision Point) (Projected Cost $400,000)
a. Funding allocation (not to exceed amount) as established by the Board
Board Decision Point - Whether to Establish a COVID - 19 Safeguard for Nonprofits Program
(If adopted, then)
Grant Amounts (Options for Board Consideration)
a. A one-time grant, not-to-exceed $2,000 for nonprofits entities with 1 to 25 employees that have COVID-19 related expenses such as sanitation, Personal Protective Equipment (PPE), signage, outdoor seating, insurance, etc., not covered by other resources from State or Federal programs, or
b. Any other direction provided by the Board
Funding Allocation - (Board Decision Point)
a. Funding allocation as established by the Board (Task Force recommended a funding level of $1 to $2 million)
Clerk to the Board Instructions: