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HomeMy WebLinkAbout050223-09.1 ADMINISTRATIVE STAFF REPORT 9.1 TO: Mayor and Town Council May 2, 2023 SUBJECT: Resolution No. 35-2023, designating $200,000 to fund the Business Boost Grant Program BACKGROUND The business community in Danville is a vital part of the Town, generating tax revenues to fund municipal services, providing employment to residents, and offering goods and services to all members of the community. Moving beyond the pandemic, businesses are adapting to remain competitive. In this environment, continued support for business growth and retention is vital. An effective way to do this is through offering a grant program allowing individual small business owners to apply for and receive funding which may be used in a variety of ways that work best for their business. Following on the heels of the Forward Focus Business Grant Program which rolled out in 2020, a new program is envisioned to “boost” business marketing and outreach, enhance business façades, support growth opportunities, and enhance economic vitality for small businesses. At the April 11, 2023, Town Council Study Session, the new “Business Boost Grant Program” was presented for consideration. A total of $200,000 will be committed for program development and implementation. The Town Council provided the following direction, which has been incorporated into the new grant program. 1. The grant program would target small brick-and-mortar businesses with fewer than 10 full-time equivalent (FTE) employees. Home-based businesses are not eligible. 2. A total of $180,000 would be dedicated to individual business grants, with $20,000 allocated to the Danville Area Chamber of Commerce. The Chamber funds would be used to make grants to 20 businesses under their established Business Branding Program. 3. Town staff will present a program status update to the Town Council six months after program implementation. DISCUSSION The Business Boost Grant Program is intended to provide an immediate and flexible “boost” for eligible small businesses. The goal of the program is to get funds into the hands of our DocuSign Envelope ID: 7FC0602A-8764-408C-8ACF-35AB04BF6E62 Business Boost Grant Program 2 May 2, 2023 small businesses through a simplified process that happens quickly. Businesses can choose how they spend the funds within the established grant categories. Eligible business categories include Retail, Restaurants, Blended Use, Personal Service (i.e., spas, hair salons, nail, non-medical massage, etc.), and Service Commercial (i.e., fitness, dance, entertainment, etc.). Funds for individual business grants will be available on a first- come, first-served basis until depleted. Grants would be administered directly through the Town. Guidelines  The total funding available for this grant program is $200,000.  The maximum grant amount per business will be $3,000.  Grant funds may be used across a broad range of grant categories.  Applications will be administered by the Town of Danville and reviewed on a first- come, first-served basis until funds are exhausted. Eligibility and Criteria  Eligible Businesses include Retail, Restaurants, Blended Use, Personal Service (i.e., spas, hair salons, nail, non-medical massage, etc.), and Service Commercial (i.e., fitness, dance, entertainment, etc.) with fewer than 10 FTE employees.  Completed grant applications will be reviewed for eligibility within two business days of receipt by the Town.  A W-9 is required to be completed and submitted with the application.  Applicants shall possess an active Town business license, be located within the Town limits, adhere to all Town ordinances, and not have any outstanding violations, citations, etc. with the Town.  Grant funds will be administered within 30 days after grant approval.  Grant recipients are asked to retain all receipts for expenditures.  Grant recipients will be asked to provide a brief response on how funds were used and provide photos that can be used to demonstrate grant success.  Limitations: a. Funding is intended to support the main business owner and is not intended for independent contractors. b. Home-based businesses are not eligible for this grant program. c. Grant funds may not be used towards staff salaries or benefit costs. d. Labor for construction services performed may not exceed $1,000. e. Funds are intended to be used within one year of the grant award. Grant funding categories and options have been updated to broaden the types of expenditures that are eligible for funding. Below is a list of categories and options in which grant funds may be used. DocuSign Envelope ID: 7FC0602A-8764-408C-8ACF-35AB04BF6E62 Business Boost Grant Program 3 May 2, 2023 Grant Categories and Options – Individual Grants $3,000 Max 1. Marketing: Business Promotion a. Business Marketing Campaigns (printed collateral, social media, radio, newsletter, consultant support, etc.) b. Website Design or Improvements (design, modules, platform, etc.) c. Online Sales Platform Development/Upgrade (online sales, delivery, etc.) d. Co-op Shopping Center Marketing (print, social media, etc.) e. Business Signs (storefront, banners, window, temporary, etc.) 2. Capital: Business Enrichment (Note: Labor cost limit of $1,000) a. Painting b. Alterations/Maintenance to façades c. Doors/Windows to improve visibility and access d. Awnings (retractable or covering existing patio shade covers) e. Outdoor Heaters – gas or electric f. Lighting – Upgrade building fixtures to improve visibility or decorative 3. Operational: Enhance Customer Experience a. Furniture/Displays (table, chairs, merchandise fixtures, shelves, etc.) b. Point of Sale Equipment (POS) c. Subscriptions to online services (e.g. Square, POS, Constant Contact, Delivery, etc.) d. Professional training and development 4. Event Promotion a. Non-ticketed, drop-in events that are intended to increase foot traffic and business visibility (i.e. open house, anniversary sale, collaborative relocation, etc.) Danville Area Chamber of Commerce $20,000 Branding Package: Video and Photography Program Funds to administer an established program for businesses to improve their marketing presence through photography and video. Recipients use deliverables to market their business, and the Chamber promotes the business on its Business Profile webpage. This funding would be used to offset the reduced rate for this program and support approximately 20 businesses. DocuSign Envelope ID: 7FC0602A-8764-408C-8ACF-35AB04BF6E62 Business Boost Grant Program 4 May 2, 2023 As recommended, up to 60 businesses could receive grants assuming the maximum of $3,000 per grant, with 10 percent of the total funding allocated for the Chamber’s branding package. Immediately following program adoption, the Town will launch the program and oversee the outreach efforts to inform the local business community of the Business Boost Grant Program. PUBLIC CONTACT Posting of the meeting agenda serves as notice to the general public. FISCAL IMPACT No new fiscal impact. This program will utilize $200,000 in funds previously appropriated for the Forward Focus Business Grant Program. RECOMMENDATION Adopt Resolution No. 35-2023, designating $200,000 to fund the Business Boost Grant Program. Prepared and Reviewed by: Jill Bergman Business and Economic Development Director Attachment: Resolution No. 35-2023 DocuSign Envelope ID: 7FC0602A-8764-408C-8ACF-35AB04BF6E62 RESOLUTION NO. 35-2023 DESIGNATING $200,000 TO FUND THE BUSINESS BOOST GRANT PROGRAM WHEREAS, the business community in Danville is a vital part of the Town, generating tax revenues to fund municipal services, providing employment to residents, and offering goods and services to all members of the community; and WHEREAS, on November 4, 2020 and December 18, 2020, the Town Council approved the Forward Focus Business Grant Program and appropriated a total of $525,000 from the General-Purpose Capital Improvement Fund to fund the Program; and WHEREAS, of the initial funding appropriation, a total of $200,000 remains available for expenditure; and WHEREAS, moving beyond the Coronavirus pandemic, continued support for business growth and retention is vital as businesses within the Town continue to adapt to compete post-pandemic; and WHEREAS, at the April 11, 2023 Town Council Study Session, the Town Council supported the development of the Business Boost Grant Program to provide immediate relief to local small businesses still recovering from the pandemic; and WHEREAS, this program is intended to administer grants to local businesses to “boost” economic recovery; now, therefore, be it RESOLVED, that the Danville Town Council hereby designates $200,000 previously appropriated for the Forward Focus Business Grant Program to fund the Business Boost Grant Program. APPROVED by the Danville Town Council at a regular meeting on May 2, 2023 by the following vote: AYES: NOES: ABSTAINED: ABSENT: ______________________________ MAYOR APPROVED AS TO FORM: ATTEST: _______________________________ ______________________________ CITY ATTORNEY CITY CLERK DocuSign Envelope ID: 7FC0602A-8764-408C-8ACF-35AB04BF6E62