Fort Worth has nearly $9 million available to help businesses with COVID needs
Fort Worth has nearly $9 million to help small businesses hurting because the coronavirus, which may become available to a greater number of businesses.
Back in April the city set aside $15 million from the federal stimulus for small business assistance grants. About $6.2 million has gone out to 842 businesses. More than 90% are businesses with five or fewer employees, said Robert Sturns, the city’s economic development director.
The remaining $8.8 million will be doled out in a new round of grants for small businesses with 500 or fewer employees, bars and music venues closed as of June 26 and nonprofits that have not received help through a Tarrant County program.
United Way of Tarrant County will administer the grants. Sturns said he hopes to have the second phase of the small business program, called Preserve the Fort, open by the end of the month. United Way’s online application tool will be used again, he said. More information is available by calling 817-515-2603.
A small business will be eligible for up to 1.5 times its gross average monthly revenue, capped at $150,000. Bars and music venues can receive up to three times the lost average monthly revenue up to $100,000. The business must have been open as of Jan. 1, 2020. Owners must demonstrate a reduction in revenue or employment March 1 through June 30.
Nonprofits can receive up to $50,000 based on expenses incurred due to the coronavirus. To qualify they must demonstrate unbudgeted costs between March 1 and Oct. 31 related to making it safe for employees and clients.
The grants can be used to cover payroll, health care benefits, rent or lease payments, personal protective equipment, sanitation and other costs of doing business.
Sturns told the City Council during a work session Tuesday the first phase of assistance has met many of his goals. More than half the funding, about $2.7 million, went to women- or minority-owned businesses. About $1.4 million assisted businesses in certain neighborhoods targeted by the city for equity.
It is unclear how the city will use another pot of about $9 million left over after the council decided to cut a plan for permanent supportive housing.
City staff has pitched spending $18.6 million from the CARES Act to obtain at least two hotels that Fort Worth Housing Solutions would convert into apartments. The 200 units would be available to those facing homelessness with chronic illness or mental health issues.
Concerned about making the project work by a December deadline, and wanting to boost assistance for small business, the council last week voted to cut the program down to $9.3 million for 100 units.
How to use the remaining money is still being discussed, Sturns said.
Meanwhile, the city has not received significant interest in $7.2 million available to help residents pay rent, mortgages, utilities and other housing costs. The city expects to need about $3 million for the program, said Neighborhood Services Director Victor Turner.
The remaining $4.2 million will be moved to a program operated in conjunction with Tarrant County to assist nonprofits that have been hit with coronavirus-related expenses or are seeing an increase in demand due to the pandemic.
Area nonprofits have requested about $11 million, but payments won’t be made until mid-September.
This story was originally published August 18, 2020 at 4:41 PM.
