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<br /> <br /> STAFF REPORT <br /> <br /> <br /> <br />TO: Mayor Keis and Members of City Council <br /> <br />FROM: Chris Heineman, City Administrator <br /> Brenda Malinowski, Finance Director <br /> <br />DATE: November 4, 2020 <br /> <br />RE: COVID-19 Business Relief Grant Program <br /> <br />ACTION TO BE CONSIDERED <br />The Council is asked to consider approval of grants to local businesses impacted by COVID-19 <br /> <br />BACKGROUND <br />Congress approved federal funds through the Coronavirus Aid, Relief, and Economic Security <br />(CARES) Act on March 27, 2020 and distributed a portion of these funds to the State of Minnesota. <br />Following the Minnesota Legislative Session, Governor Walz distributed these funds on a per-capita <br />basis to local governments throughout Minnesota to deal with the financial impacts of COVID-19. <br />The City of Little Canada received a total of $782,484 in CARES Act funds of in July of 2020. <br /> <br />CARES Act funds are to be used to provide economic relief to the protect the American people from <br />the public health and economic impacts of COVID-19. The United States Treasury has issued guidance <br />related to the use of these funds and is periodically revising this guidance. The CARES Act provides <br />that payments from the Fund may only be used to cover costs that are: <br />1. Necessary expenditures incurred due to the public health emergency with respect to the <br />Coronavirus Disease 2019 (COVID-19); <br />2. Not accounted for in the budget most recently approved as of March 27, 2020 for the State or <br />government; and <br />3. Incurred during the period that begins on March 1, 2020, and ends on November 15, 2020. <br /> <br />Eligible uses for CARES Act funds are as follows: <br />• Medical Expenses <br />• Public Health Expenses <br />• Payroll Expenses <br />• Public Health Measures <br />• Local Business Assistance <br /> <br />The City Council directed staff to develop a COVID-19 Business Relief Grant Program to assist local <br />businesses impacted by COVID-19. The grant program utilizes funds that were received from the <br />Coronavirus Aid, Relief, and Economic Security (CARES) Act. Grants will be provided to reimburse <br />businesses for eligible expenses incurred after March 1, 2020, as a result of the pandemic. <br /> <br />A total of $100,000 in grant funds were made available, and applicants must be a local business with a <br />physical location in Little Canada and be able to demonstrate financial hardship as a result of the