City of Pittsfield
COVID-19 SMALL BUSINESS RECOVERY
The City of Pittsfield is pleased to announce it has received a second round of Covid-19 Small Business Recovery Grant Funds from the Department of Housing and Urban Development, Community Development Block Grant (CDBG) program.
The purpose of the grant is to provide funding to low or moderate income (LMI) business owners who have had significant business disruption due to the impact of Covid-19. This funding is intended to help businesses remain open, (if able to be open under state guidelines) as well as helping them pivot their business during the pandemic. The grant funds will assist small businesses in the City of Pittsfield cover wages, rent, loss of inventory and other fixed costs. Grants of up to $10,000 will be awarded to eligible businesses.
There are two categories of businesses that qualify for this assistance.
Your business can either be a:
- Micro-enterprise, under the CDBG program, is defined as a commercial enterprise that has five or fewer employees, one of whom owns the business, is a Pittsfield resident and the owner is LMI; or
- You as the business owner (not low income), will commit to either retain employees who are LMI or you will create a job available to LMI residents of Pittsfield.
- Retention of an existing job is defined as a job, currently held by a LMI employee who is a resident of Pittsfield, would be lost without the assistance or:
- Creation of new jobs (or rehiring former jobs) is defined as a job, that is known to be held by a LMI person and steps will be taken to ensure that the job will be filled or made available to a LMI person who is a resident of Pittsfield.
In an effort to ensure the funding reaches the most vulnerable businesses in our city, special consideration will be given to micro-enterprises and Black, Indigenous People of Color (BIPOC), women, veterans and LGBTQIA owned businesses.
If you are a business who qualifies:
- and your business has not received previous funding from the city,
you could qualify for up to $10,000
- if you are a micro-enterprise and received prior funding from the city,
you could qualify for up to $10,000
- if you are a business that received prior funding from the city in the amount of $10,000, you can qualify up to $5,000
- if you are a business that received prior funding from the city in the amount of $15,000, you would qualify, but will be placed on a list for consideration
This grant has specific eligibly requirements:
- The business must be located in Pittsfield
- The business must be a micro-enterprise and meets the guidelines or
- The business owner (not low income) must be committed to retaining or creating a job for a LMI person who lives in Pittsfield
- The business must be for-profit and in operation since January, 2019 (non-profits are not eligible)
- The business must be able to document a loss of gross income due to the Covid-19 pandemic since February 29, 2020, (priority will be given to businesses who show a loss of 50% or more)
- The business must be in good standing with state and the city:
- Be current on all local taxes
- Have valid state licenses and local permitting
- Have no legal judgements or ligation involving the state or city
- Have no unresolved non-compliance status for previous CDBG assistance
Business owners can check income eligibility using the HUD Income Guideline chart below. This is based on total gross family income for the last 12 months. Is it less than or equal to the amount indicated for the size of your household? (Please be sure to include all sources of family income).
1 Person 2 Person 3 Person 4 Person 5 Person 6 Person 7 Person 8 Person
$50,900 $58,200 $65,450 $78,550 $72,700 $84,350 $90,150 $96,000
ELIGIBLE USES OF GRANT FUNDING:
The purpose of this grant is to help businesses remain open during this time of Covid-19. The following uses are eligible:
- Rent, mortgage
- Inventory, Materials or supplies (for restaurants, funding can be used for equipment needed for outdoor dining)
- Business costs pertaining to Covid-19 supplies
- Technical assistance services addressing business reorganization, accounting, bookkeeping, and/or marketing related activities including website improvements
- Complete and submit the application by email to: email@example.com
- Micro-enterprise business owners must submit personal and business tax returns for 2019 and 2020
- Provide Proof of Loss: Business Taxes for 2019 and 2020, P&L for 2019 and 2020 and YTD Monthly for 2021
- Provide a list of eligible business expenses included in your application
The Department of Community Development will administer the program by accepting applications, determining eligibility, preparing the grant agreement and disbursing the funds. At the request of the Department, the Pittsfield Economic Revitalization Corporation (PERC) will review applications and make funding recommendations to the Department.
Please note that funds are available on a first come, first eligible, completed application basis, subject to the availability of funding; although in awarding funds, priority will be given to:
- Businesses who have not received Covid-19 funding from the City of Pittsfield - Micro-enterprises
- BIPOC, women, veteran, LBGTQIA owned businesses
The application should clearly define the intended use of the grant and the how these funds will help the business survive and recover from the COVID-19 pandemic.
Completed applications should be accompanied by documentation supporting the request, which should include, as applicable:
- A description of the business, current status, and intended use of grant funds, including number of employees as of February 29, 2020 and current number of employees
- A proposed budget for the use of the funds, including Price Quote(s) if appropriate
- A timetable for use of the grant
- Copies of the business’ balance sheet and profit and loss statements for calendar years 2019-2020 and YTD monthly for 2021
- Latest tax return for business and/or for the business owner (for income verification) if business owner is LMI
- Documentation of the efforts taken to date to adapt to the impacts of COVID-19, including but not limited to applying for funding from regional, state and/or federal relief programs.
- And other supporting documentation, as appropriate
This funding cannot be used for:
- General promotion of the community
- Real Estate Sales and Rentals
- Cannabis related business
- Weapons and Firearms dealers
- Assistance to professional sports teams
- Assistance to privately owned recreational facilities
- Acquisition of land or building
Details of Grant Funding:
- The Grant is administered on a reimbursement basis or two party checks can be issued
- Invoices submitted for payment must be dated after the grant agreement date
- Businesses who are qualifying as a business that is hiring or retaining jobs, (if approved), must complete job creation forms verifying the employment of LMI income person in Pittsfield
- Job creation forms must be completed by December 31, 2021
- Grant must be used by December 31, 2021
- Provide or obtain a DUNS Number
- The source of funding for this program is the U.S. Department of Housing and Urban Development, (HUD) Community Development Block Grant (CDBG). HUD acknowledges that the Commonwealth of Massachusetts’s Order closing or limiting business operations is sufficient documentation of the need for CDBG assistance to small businesses. At the same time, CDBG funding is intended to assist LMI residents. As a result, the funding being provided is tied to job retention or creation of jobs held by LMI persons.