City Announces Application Window for COVID-19 Small Business Support Grant
The City of Atchison has been awarded $132,000 of funding through the Kansas Department of Commerce’s Community Development Block Grant COVID-19 Small Business Grant Program (CDBG-CV). The City of Atchison Small Business COVID-19 Grant will assist with immediate and anticipated needs of existing Atchison small businesses negatively impacted by COVID-19. Negatively impacted small businesses per this application are defined as for-profit, tax entity, non-farming businesses operating within the City of Atchison with less than 50 employees that had to alter their business operations or close due to local or state health or executive orders due to the COVID-19 pandemic.
The application process will begin Wednesday, June 24th and run through Friday, July 10th. No applications will be accepted after 5:00 pm on July 10, 2020. Fill out the application document linked below and send the completed form via email to email@example.com or mail it to City of Atchison – CDBG-CV Application, 515 Kansas Avenue, Atchison, KS 66002. Call 913-367-5506 and ask for Justin with any questions.
- To be eligible to receive a CDBG-CV Small Business Grant, the recipient business must be a for-profit business and retaining jobs for low to moderate-income people. 51% or more of the full-time equivalent (FTE) jobs retained must be for persons from low to moderate-income households as defined by HUD. The income limits for qualification are below:
- CDBG-CV grants can be used to pay for working capital, inventory, wages, utilities, rent, etc.
- Paying off existing debt is NOT an eligible use. Grant dollars cannot be used for the acquisition of new building(s), property or for expansion or personal non-business costs.
- Duplication of benefits is prohibited under the federal CARES Act, meaning any small business that received funding from PPP, EIDL, SBA, or other programs authorized through the CARES Act, would only be eligible for CDBG-CV funds if the grant award were used to cover entirely different expenses.
- To receive funding distributions, businesses must be willing to share invoices/payroll information/etc… to ensure grant compliance.
- The CDBG-CV program allows for businesses with five or fewer employees (including the owner) to receive up to $25,000 per FTE job with a maximum of $30,000 per company.
- Businesses with between six and 50 employees are eligible to receive up to $35,000 for each FTE job with a maximum of $50,000 per company.
- With only $132,000 in local funding for this program, it is highly likely that awards will be less than the allowable maximums. Awards will be distributed following an application review by the City of Atchison’s Economic Development Advisory Group (EDAG) at their July 15, 2020 meeting. Award announcements are likely to be made in late July.