Assembly amends CARES grant to allow more businesses to qualify

PALMER — The Mat-Su Borough Assembly met on Tuesday to discuss changes to the borough’s CARES small business grant application program and provided an update on the funds that have already been distributed. Businesses applying for small business grants may now be awarded up to $25,000 and changes made to the Assembly ordinance are retroactive, meaning businesses can reapply.

“I think it’s important that we get as much of this money out as we possibly can,” said Assemblyman Tim Hale.

The Assembly met in a special meeting prior to the regular meeting in a work session to discuss changes they could make to the small business grant program in an effort to more quickly distribute Federal CARES funds to Mat-Su Borough residents. As of the update provided on Tuesday by Borough Finance Director Cheyenne Heindel, 188 applications were approved for small business grants in the amount of $1,499,446. Of the 457 total applicants, 173 were denied due to inactive business licenses.

“We would have to have a pretty big push to get up to $13 million. I do think that we should give leniency on business licenses because none of the people who work hard should be disenfranchised if we do allow leniency for people,” said Assemblywoman Stephanie Nowers.

Heindel said that $2,275,650 remains unallocated, but a plan is in place to expend all $38 million. However, the state will not distribute the last 20 percent of funds until the first 80 percent of funds has been distributed. Nowers asked Heindel when she expects to go over the 80 percent mark. Heindel believes that after the currently open second phase of small business grant funding and upcoming third phase, sometime in November 80 percent of funds could be disbursed. Assemblywoman Tam Boeve asked about projects within districts becoming funded if more small businesses are not awarded funding.

“I would strongly object to us allocating this money on the basis of what businesses and nonprofits are able to to lobby their assembly member,” said Assemblyman Jesse Sumner. “I think that any program that we do should be of a general nature and people should apply through the regular channels as much as possible.”

During the regular meeting, Ordinance 20-090 passed as amended to include the changes to business license requirements. Due to the 173 businesses that were denied grant awards due to the lack of business license at the previous deadline of January 1, the Assembly amended the ordinance to change the deadline to March 31. Businesses with 20 percent revenue loss since March 1 are able to apply.