City of Sanford

SUPPORTS SMALL BUSINESS RECOVERY

BY ANDREW THOMAS, Director, Community Relations & Neighborhood Engagement, and BOB TURK, Director, Economic Development

Understanding the tremendous negative impact that the COVID-19 pandemic has had on our local economy, particularly our small businesses, the City of Sanford launched a Small Business Relief Grant (SBRG) program to retain local jobs and assist in stabilizing the businesses that have been affected. The city commission approved the program at its May 18, 2020 meeting and amended it at the June 8, 2020 meeting. The amendment aligns the program with the Department of Urban Housing (HUD) Community Development Block Grant (CDBG) Coronavirus Aid, Relief and Economic Relief and Economic Security Act (CARES Act). The commission approved the program with a high sense of urgency to implement support as expeditiously as possible. A press release was issued to the media on June 10, 2020 announcing the program would be accepting pre-applications effective June 11, 2020. The SBRG program provides one-time grants to qualified businesses classified as nonessential and mandated to close and/or modify operations by executive order. The focus of the program is to support businesses that are reopening to rehire employees and assist with the payment of back rent, mortgage, utilities and PPE for employees and customers.

OPPOSITE PAGE: City of Sanford employees: SBRG application review committee Pictured l-r: Lindsey Bojadzijev, Dixie Mozick, Andrew Thomas, Traci Houchin, Bob Turk, Ashley Hampton ABOVE: Bob Turk and Ashley Hampton

The City of Sanford’s Community Development Block Grant Program and the Economic Development Department modified existing economic development programs to create a combined funding mechanism that is providing grants to small businesses to avoid job loss and re-employment of individuals that were laid-off due to the COVID-19. Eligibility for the program includes businesses reopening under phase I of the governor’s executive order who have not received funding from other sources, are in compliance with all city codes, have all required local, county and State licenses and permits, are current on all state and local taxes, and maintain an adjusted gross income under $500,000. Top priority was given to businesses that met the criteria and had not received funding from other sources. Eligible businesses have received up to a maximum of $15,000 in funding. Federal Housing Administration guidelines, a portion of the overall Small Business Relief Grant program is for retention and re-employment of low-to-moderate income employees. This one-time grant is providing critical support to help our distressed businesses recover from the five-month shut down caused by COVID-19.

We have experienced some challenges with the program, as have the business adjusting to the requirements and guidelines imposed under the CARES Act to qualify for funds. Program staff have worked diligently with the businesses to collect the required documents, such as applying for DUNS Numbers, verifying the business information with SUNBIZ, and including local business tax receipts (BTR) and EIN/FIN numbers. For many of our businesses, this was their first time applying for federal assistance and were not familiar with the level of documentation required. Although the program application process added additional stress on business owners, program participants worked through the frustration, and the process strengthened the city’s relationship with many of businesses and stress the importance of working together during difficult times.

To date, the City of Sanford has funded over fifty impacted business that qualified. Nearly $500,000 has been allocated to assist these businesses in navigating these uncertain times.

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