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Rebuilding the Region’s Economy

REBUILDING THE REGION’S

ECONOMY: Experts in Frederick’s economic development offices share pandemic perspectives

BY GINA GALLUCCI-WHITE

When the COVID-19 pandemic shut down pretty much everything in mid-March, one of the few activities people were still able to enjoy was meandering trails and parklands, such as those at Thurmont’s Catoctin Mountain Park and Cunningham Falls State Park.

Thurmont quickly became a popular destination for area residents and day trippers seeking relief from their home confinement.

Thurmont’s Economic Development Manager Vickie Grinder says she hopes people will continue visiting the area, not only to hike at the parks, stay at the campgrounds and swim in William Houck Lake, but also to eat at now-open restaurants and shop at retail stores.

“We are in a unique situation. ...We have been social distancing in northern Frederick County for decades and decades,” she said. “People come here to get away from it all.”

Since the shutdowns occurred, economic development offices and commissions across Frederick County have been working nonstop to help rebuild the region’s economy.

Richard Griffin, the City of Frederick’s Department of Economic Development director, said his office sent out a survey to city businesses early on to understand the impact of the governor’s stay-at-home order and how it affected their revenue streams.

“We were able to determine very quickly that the impact on revenue was profound, particularly for nonessential businesses,” Griffin said. “Hospitality, restaurants and retail were the hardest hit.”

The city’s department of economic development office was able to redeploy money set aside for marketing and events that had been cancelled into micro grants for businesses. The city also partnered with the Community Foundation of Frederick County to create a fund to collect donations from individuals and community groups to aid businesses. As a result, about 50 micro-grants ($2,500 each) were awarded to small businesses (with a staff of less than 15) who suffered at least a 50 percent impact on their revenue due to the pandemic.

PHOTO BY MOLLY FELLIN SPENCE

A few weeks into the shutdown, the city sent out another survey to find out how businesses were holding up. They asked if they had applied for money from various sources, where their struggles were occurring and what the businesses were doing to pivot under restrictions. Many noted they were moving to online or e-commerce sales. Griffin noted his office assisted businesses and alerted them to programs at the state level and from the Small Business Administration (SBA) that could help them.

PHOTO COURTESY OF YMCA

The city also converted many downtown parking spaces into 10-minute curbside carry out zones and encouraged residents to place to-go orders.

“The restaurants have all said that was really, really helpful to be able to do that,” Griffin said.

As restrictions began to lift, the city worked with restaurants to open outdoor “pop-up” dining options. Parking lots, sidewalks, parklets and portions of streets were closed on weekends to offer more outdoor dining spaces.

“We have helped, at this point, dozens of restaurants get their permitting to be able to do that including many downtown and on the Golden Mile,” Griffin said.

Many Frederick restaurants, Griffin noted, could not have survived another month or two with no customers. “They had to start earning some revenue,” he said. “We focused on being quick in our response to providing options for restaurants.”

The Frederick County Liquor Board also allowed restaurants to sell cocktails to go, which was previously prohibited. “(Some) restaurants had built up storerooms of product that they were able to sell to be able to generate income during the period of time where they needed it most,” Griffin said. “... The goal (of the department’s efforts) was

PHOTO BY DAVID SPENCE, SPENCE PHOTOGRAPHICS to get the restaurants as close to a ‘back to normal’ revenue stream as possible while the emergency is still ongoing and to do that safely and make sure that people feel comfortable that they can go out to eat and sit outside and enjoy a meal without risking infection.”

Extended outdoor dining has been approved until Oct. 31 or until the end of the emergency declaration. Griffin notes the city is also considering another round of micro-grants in the future.

PHOTO COURTESY OF FIREHOUSE POTTERY

“Our business people here in the city are our friends,” Griffin said. “They are our neighbors. These are small mom-and-pop organizations in most instances that were simply devastated by this and not being able to generate income. My sense is had the city and the state and the county not intervened to help get them back open and to provide (options), we would probably be looking at a larger number of organizations that would not have made it this far.”

Through efforts like the microgrants, outdoor dining and curbside to-go orders, businesses were aided during this unprecedented time.

“All of these things have not alone been the panacea but together are allowing the restaurants and the retailers to generate enough income to stay in business and that is our goal,” Griffin said. “We think, over time, as dealing with this virus becomes the new normal … and as people pivot and understand how to operate safely for their employees, their patrons and for our residents, I think Frederick’s opportunity looking forward is really, really strong.”

Mount Airy’s Economic Development Commission, in an effort to help businesses in town with 15 or fewer employees, offered Small Business Operating Assistance Microgrants. In early June, they expected to give out funds by the end of the month. The funds come from the town as well as a private fundraiser.

PHOTO BY MOLLY FELLIN SPENCE

“I, for one, don’t want to live in a town where businesses will go out of business and you have boarded-up buildings,” said Donnamarie Needle, commission chair. “That starts to impact not only your businesses but it also impacts residences and your

citizens as well. We just wanted to be proactive. We feel the town does a wonderful job in terms of financial status that we could look to all of our budgets and see where we could come up with funds to help support our businesses.”

The town continually updates its website with current business resource information, and has ensured that no businesses will have their water service shut off due to an inability to pay.

“We just keep brainstorming trying to figure out how we can … make sure they are sustained so that they are with us after this pandemic passes,” Needle said.

Government, from the federal to the municipal level, is obligated to help businesses in these unprecedented times, Needle says.

“That is what government is for, when you have emergency situation,” she says.

In Thurmont, town government also helped businesses trying to navigate the SBA’s Paycheck Protection Program as well as other loan and grant programs.

“I spent a two-week period looking for every conference call, every webinar that I could find to understand” how to help businesses with

PHOTO BY MOLLY FELLIN SPENCE

the different programs, Grinder said. “... It is uncharted waters for us all. We were just doing what we could to help.”

The town provided 21 mini-grants of $1,000 each to businesses with less than 15 employees. “We knew that wasn’t going to save any businesses, but it could most certainly pay a bill or two,” Grinder said. “...That was a big plus in a small town for small businesses.”

The Town of Thurmont also provided social media promotions about specials, take-out options and other offers that town businesses offered to help get the word out.

Grinder believes economic development isn’t just about bringing new businesses in, but also retaining existing businesses.

The pandemic has been “a critical time for us to actually be there for the businesses,” she says. “...The mayor and town council will tell you, small business is the lifeline to (a) community. Many of our small businesses are the lifeline to a lot of our nonprofit organizations. So it was time to give back because they give so much every day,” she said. “It was time for us to show the value of what they mean to the community and (that) we don’t want to lose (them). We appreciate (them).”

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