Local government entities to apply for business funds
Applications for money from the Kansas Department of Commerce Economic Development Community Development Block Grant CV (COVID-19 related) program were approved May 27 by the Wilson City Council, Ellsworth County commissioners, and the Ellsworth City Council.
The City of Wilson applied on its own for $175,000 in funding, while Ellsworth County applied for $300,00.
The City of Ellsworth also applied for the maximum amount of $300,000.
If successful, the funds will be dispersed to local businesses meeting eligibility requirements. Because many of the businesses which have been impacted by the COVID-19 pandemic are less than five employees, the majority of the funds will be for microgrants. Business grants will be limited to $30,000 per business for microgrants and $50,000 per business for economic development grants. Administrative fees allowed through the grant will be paid to the North Central Regional Planning Commission in Beloit.
The commission’s Carol Torkelson said the state grants will be distributed on a first-come, first-serve basis.
She said Ellsworth could be ahead of the game because it has worked with CDBG grants before, unlike some towns that are feeling their way as far as the application and other parts of the process.
City officials conducted a public hearing via Zoom. It lasted only a few minutes with no members of the public speaking for or against the funding.
As part of a package of efforts to address the economic fallout of the novel coronavirus on small businesses, Kansas Gov. Laura Kelly announced May 11 that the commerce department will award a total of $9 million to cities, which will distribute grants to businesses for “working capital,” such as wages, rent and utilities and the purchase of 60 days worth of inventory needed to reopen.
Eligible businesses must have 51 percent of employees meet low-to moderate-income guidelines and have 1 to 50 workers on the payroll.
Any business-related expenses covered by the U.S. Department of Agriculture Revolving Loan Fund or Small Business Administration relief programs, will not be eligible for grant assistance through the CDBG-CV program.
More information is available from Ellsworth County Economic Development, (785) 472-9204.