On Tuesday, the Mat-Su Borough Assembly made significant changes to its CARES Act small business grant program.
The meeting followed a work session, where the status of the program was discussed between assembly members and borough staff.
To date, the borough has given about $1.5 million in grants to small businesses, a little more than one-eighth of the money set aside for the program. More than 400 applications have been processed thus far, with 170 having been denied. By far, the most common reason for a request being denied is lack of a current borough or state business license as of January 1st. Just over a hundred of those businesses have since renewed their licenses.
After amendments made to a resolution on Tuesday, businesses are no longer required to have had a valid business license as of January 1st. Instead, applicants are required to obtain a current license before a grant is awarded.
Additionally, the maximum grant award has been more than doubled. Initially, the program maxed out at $10,000 per small business. After Tuesday, the maximum grant award is now $25,000, which also applies to businesses that have already submitted for a grant. One caveat is that the grant award cannot equal more than a fifth of an applicant’s total annual revenue.
With the second round of business grants concluding, a third is planned. In addition, the borough still intends to begin a grant program that would give up to $100 to individuals in the borough. That program is currently expected to begin in early October.
