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Maine governor launches grant program for small businesses and nonprofits
On August 20, the Maine governor launched a $200 million economic grant program to assist Maine small businesses and nonprofits. To qualify for a grant, a business or nonprofit must demonstrate financial relief need due to Covid-19 impacts or a related public health response. Additionally, the business or organization must meet eligibility requirements, including having “significant operations” in Maine and being current and in good standing with certain tax filings through July 31, 2020. Grants may be used to cover expenses including, payroll costs and expenses, rent or mortgage payments for business facilities, and utilities payments. The application period begins on August 21, 2020, and runs through September 2, 2020. Awards will be made in early October. Additional information about the program can be found on the Maine Department of Economic and Community Development’s website.
Alaska governor proposes expanded eligibility for small business funding
On August 20, the Alaska governor announced that he proposed modifications to the AK CARES Grant Program to expand eligibility for applicants. The program provides funding for Alaska small businesses. Under the current program, applicants are restricted from applying if they received more than $5,000 in other federal assistance or if the business is a source of secondary income. The changes would lift the $5,000 restriction and restriction on secondary income businesses. Restrictions requiring that businesses be Alaska-based or have no more than 50 employees remain in place, but may be subject to review in the future. Absent earlier action, these changes will take effect in 45 days.
Pennsylvania governor announces disbursal of small business grants, opening of second funding round
On August 10, the Pennsylvania governor announced that $96 million in state grants have been awarded to small businesses impacted by Covid-19 through the Covid-19 Relief Statewide Small Business Assistance fund. The announcement notes that the second and final round of funding has opened and will run through August 28. Eligible applicants that did not receive funding in the first round do not need to reapply and will be considered in the second round. The grants may be used to cover operating expenses during the shutdown and transition to re-opening, including for technical assistance and training related to the stabilization and reopening of businesses.
New York announces New York Forward Loan Fund for small businesses, nonprofits, and small landlords
New York has announced the creation of the New York Forward Loan Fund (NYFLF), a new state-based loan program to support small businesses, nonprofits, and small landlords (buildings with 50 units or less) in New York as they reopen from Covid-19-related shutdowns. The NYFLF is intended to provide working capital for upfront expenses related to complying with operational guidelines, such as inventory, marketing, and refitting for new social distancing guidelines. The loans will be available to individuals who did not receive a loan from either the U.S. Small Business Administration Paycheck Protection Program or the SBA Economic Injury Disaster Loans for Covid-19 in 2020. The NYFLF loans are interest bearing, are not forgivable, and must be repaid over a five-year term. Pre-applications for the program are being accepted.
New York regulator updates Covid-19 resource page for consumers and small businesses
The New York Department of Financial Services has updated its resource page providing information for consumers and small businesses relating to Covid-19. The resource page provides information on, among other things, deferrals of insurance premium payments, the federal CARES Act legislation, and essential businesses guidance and FAQs.
Idaho establishes Idaho Rebound cash grants for small businesses
On May 5, the Idaho governor issued an executive order establishing Idaho Rebound cash grants for Idaho-domiciled small businesses. Among other things, businesses eligible for the grants must have had between 1 and 50 employees as of February 15, 2020; have suffered a qualified business interruption; and not have received a Paycheck Protection Program loan or an Economic Injury Disaster Loan Emergency Advance, or received less than $10,000 in such funds.
SEC releases agenda for Small Business Capital Formation Committee meeting
On April 28, the SEC released the agenda for the May 8, 2020, meeting of its Small Business Capital Formation Advisory Committee, which will be hosted via video conference. The committee will discuss the capital formation proposal and how small businesses are coping with Covid-19, among other topics.
Ohio governor calls for moratorium on small business evictions
On April 1, Ohio Governor Mike DeWine signed an executive order calling for a moratorium on small business evictions and foreclosures as part of the state’s Covid-19 emergency measures. The order requests that landlords suspend rent payments and evictions for financially distressed small businesses for a period of at least 90 days. DeWine also requested forbearance for commercial real estate borrowers in the state for the same duration. The order also notes that the Supreme Court of Ohio provided guidance to local courts to temporarily continue the execution of foreclosure judgments, eviction filings, eviction proceedings, and scheduled move-outs.
SEC to host to virtual discussion on raising capital for small businesses
On March 31, the SEC announced that the Office of the Advocate for Small Business Capital Formation will begin hosting a series of virtual discussions, each on “a particular area of the market, incorporating feedback from entrepreneurs, investors, and other market participants.” The first “Online Investment Capital Raising Virtual Coffee Break” will focus on the impact Covid-19 is having on raising capital, and will be held on April 3 at 11 am EDT. Additional information about the event can be found here, and participants can join the event by clicking here.
California governor extends tax, licensing deadlines
On March 25, the governor of California issued an executive order intended to provide relief to small businesses. The order provides businesses filing a return of less than $1 million in taxes with a 90-day extension to file first quarter returns and make tax payments. The order also extends by 60 days deadlines for submitting applications, paying fees, and submitting audited financial reports for a number of business licensees, including card rooms and online payer services. The order also suspends the requirements to request and receive the consent of shareholders for shareholder meetings to be held by electronic transmission or by electronic video screen communication.