AGENDA ITEM REPORT
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A RESOLUTION AUTHORIZING THE USE OF AMERICAN RESCUE PLAN ACT (ARPA) FUNDS IN THE AMOUNT OF $650,000 FOR THE BUTTERFLY SMALL BUSINESS RELIEF PROGRAM RELATED TO THE COVID-19 EMERGENCY TO AID THE CITY’S LOCAL BUSINESS COMMUNITY; AND ADOPTING BUTTERFLY SMALL BUSINESS RELIEF PROGRAM GUIDELINES.
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BACKGROUND:
The City Commission of the City of Coconut Creek originally established the Economic Development Program in 2012 in an effort to aid the City’s local business community by providing a range of grant opportunities. The primary purpose of the program is the stabilization of the existing business community; to facilitate the establishment of new businesses; aid in job retention, job creation, and business expansion; and improve the overall community appearance and sustainability.
Originally, the City offered a Rent Subsidy Program and a Commercial Rehabilitation Program, both of which were successful. The unprecedented pandemic drastically altered the needs of our local business community. Last year through an Emergency Economic Development Relief Grant Program, the City provided local businesses with over $172,000 in aid that was reimbursed by Coronavirus Aid, Relief, and Economic Security Act (CARES) funding.
DISCUSSION:
City staff is recommending that $650,000 in American Rescue Plan Act (ARPA) funds be used for Economic Development activities, specifically, for the establishment of the Butterfly Small Business Relief Program. The Butterfly Small Business Relief Program is intended to be complementary to other programs offered by the State and Federal Governments.
The primary purpose of this recommended program is to ensure that Coconut Creek small businesses are able to continue to function during this critical time as they emerge through the pandemic. Coconut Creek is fortunate to have a level of expertise in fostering our business community with and through the Regional Chamber of Commerce. The program will be implemented in conjunction with the Coral Springs Coconut Creek Regional Chamber of Commerce (see attached Agreement with Chamber of Commerce). From the $650,000 budgeted for the program, the Chamber will be paid $30,000 for administrative services to provide for research development, setup of the program, online technical assistance, and review of applications and supporting materials for completeness.
The relief program would provide a maximum grant of $7,775 per business. The grant would include a one-year Coral Springs Coconut Creek Regional Chamber of Commerce membership ($275 value) and up to $7,500 in assistance (see attached Butterfly Small Business Relief Grantee Agreement). These grants are to be authorized by the City Manager upon referral of completed applications by the Chamber of Commerce and verification by the Department of Sustainable Development. If approved, this program will begin accepting applications on January 3, 2022, and continue, as long as funds are available, until January 6, 2023.
RECOMMENDATION:
Staff recommends approval of this resolution.
FISCAL IMPACT:
REVENUES: $ 650,000
EXPENDITURES: $ 650,000
BUDGETED? Yes
NOTES: Account No. 6551-8211, Business Assistance Program.