HomeMy WebLinkAboutRES 20-23RESOLUTION NO. 20-23
A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY
O F APACHE JUNCTION,ARIZONA,APPROVING A SMALL
BUSINESS AND NON-PROFIT ORGANIZATION ASSISTANCE GRANT
PROGRAM IN THE CITY OF APACHE JUNCTION; ALLOCATING THE
UNUSED BALANCE FOR PUBLIC SAFETY;AND DECLARING AN
EMERGENCY.
WHEREAS,local businesses and non-profit organizations are
an essential component of a vibrant community and will play an
integral role in the recovery from Coronavirus Disease 2019
("COVID-19"); and
WHEREAS,disruptions to the business community are serious,
as businesses are the backbone of the city's economy and provide
the foundation of employment,services for the community and
revenue for the city to provide essential public services; and
WHEREAS,assistance is necessary to help businesses and
non-profit organizations recover and restart; and
WHEREAS,on January 31,2020,the United States Department
of Health and Human Services declared a Public Health Emergency
related to the COVID-19 outbreak; and
WHEREAS,on March 11,2020,Arizona Governor Doug Ducey
declared a state of emergency to make additional resources
available,formalize emergency actions already underway across
multiple state agencies and departments,and help the State of
Arizona prepare for broader spread of COVID-19; and
WHEREAS,on March 20,2020,the Mayor ratified a
Proclamation of Emergency relative to the Covid-19 pandemic
issued pursuant to A.R.S. § 26-307, A.R.S. § 26-311, and § 2-2-
4(D) of the Apache Junction City Code Vol. I; and
WHEREAS,on March 27,2020,President Trump signed the
Coronavirus Aid,Relief and Economic Security ("CARES")Act,
Pub. L. 116-136 (2020); and
WHEREAS,on May 29,2020,Governor Ducey informed the city
that the state would be offering the city a grant from the AZ
Cares Fund which reimburses city public safety costs in the
RESOLUTION NO. 20-23
PAGE 1 OF 3
amount of $4,887,430.00 made available through the federal
government from the U.S.Department of Treasury's Coronavirus
Relief Fund ("CRF")Catalog of Federal Domestic Assistance
("CFDA"), Number 21.019, as part of the CARES Act; and
WHEREAS,on June 30,2020,the city submitted the grant
application for accepting the available funds (grant number
ERMT-20-012) which was approved on July 6,2020; and
WHEREAS,these funds were placed in the city's general fund
as a contingency line item in the FY 2020-2021 budget; and
WHEREAS,on June 2,2020,June 15,2020 and July 6,2020,
the mayor and city council discussed the potential uses of the
funds; and
WHEREAS,on July 14,2020,the mayor and city council
discussed a grant assistance program that would benefit local
businesses and non-profit organizations and stipulated up to a
total of 25%or $1,221,857.50 of the $4,887,430.00 would fund
the program; and
WHEREAS,the mayor and city council have unanimously
determined that it is in the best interest of the city to assist
the city's business and non-profit organization community with
economic relief during the COVID-19 health emergency and enhance
the general economic welfare of the community and of the
residents and others who frequent businesses in the city.
NOW,THEREFORE,BE IT RESOLVED BY THE MAYOR AND CITY
COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, AS FOLLOWS:
Section 1:City staff shall establish and implement a small
business and non-profit organization assistance grant program
for economic relief during the COVID-19 health emergency and to
enhance the health,safety and welfare of the residents and
others who frequent businesses in the city a s more fully set
forth in Exhibit A, and incorporated herein by this reference.
Section 2:City staff is hereby authorized to negotiate and
execute any and all documents and approve all actions necessary
to establish and implement the direction and intent of this
resolution,and for city staff to effectively administer the
grant program set forth in Exhibit A.
RESOLUTION NO. 20-23
PAGE 2 OF 3
Section 3:The mayor and city council have determined the
implementation of the city's grant program enhances the public
welfare and its terms and conditions for its recipients are
compatible with the restrictions under the AZ Constitution
Article 9, § 7.
Section 4:The remaining balance of unused funds from the
program will be allocated to public safety expenses as later
determined to be appropriate by the council.
Section 5:It is necessary for the preservation of the
peace,health and safety of the City of Apache Junction,
Arizona,and consistent with the declarations and proclamation
of emergency set forth above,an emergency is declared to exist,
and this resolution shall become immediately operative and in
force from and after the date of posting hereof.
PASSED AND ADOPTED BY THE MAYOR AND CITY CalaiNCIL OF THE CITY OF
APACHE JUNCTION, ARIZONA, THIS /5"DAY OF ,20z0.
SIGNED AND ATTESTED TO THIS 4 6 -DAY OF .14,4/,2020 .
ATTEST:
APPROVED AS TO FORM:
(4 1c>7•15-20
RICHARD J. STERN
City Attorney
RESOLUTION NO. 20-23
PAGE 3 OF 3
JEFF
Mayor
EXHIBIT A
APACHE JUNCTION SMALL BUSINESS AND NON-PROFIT ORGANIZATION
ASSISTANCE GRANT PROGRAM
BACKGROUND:
During the ongoing COVID-19 worldwide health crisis, the resulting economic impact of executive orders
issued at federal, state and local levels that were structured to reduce COVID-19 infections, has filtered
down to municipalities and created situations of economic strife.Apache Junction has felt the impacts
and recognizes that the city's small business and non-profit organization community has been working
very hard to implement mandated physical changes in order to keep their doors open.In addition,
some businesses were forced to temporarily close or limit customer occupancy in order to comply with
the mandates.
In an effort to assist the city's business and non-profit organization community with economic relief and
enhance their chance of reemerging from this time of declared emergency, staff has outlined a grant
program that will financially assist eligible small businesses and non-profit organizations within the
incorporated limits of Apache Junction. The intent is to provide needed resources to stabilize business
operations, maintain employment opportunities for residents, and ensure compliance of new health and
safety standards brought on by COVID-19.
STAFF RECOMMENDATION:
Approval of Resolution 20-23 is recommended directing staff to implement a grant program to assist
Apache Junction small businesses and non-profit organizations during the city's current declared state of
emergency with a one-time reimbursement for COVID-19 related impacts.
DISCUSSION:
The Apache Junction Small Business and Non -Profit Organization Assistance Grant Program is designed
to assist eligible Apache Junction businesses to mitigate some of the economic hardship related to the
impact of COVID-19.Eligible expense reimbursements (total maximum of $10,000 per business and
$10,000 per non-profit organization but with a total cap for all non -profits of $200,000 of the
$1,221,857.50 available with the unused balance for small businesses) one-time should be allowed for
any of the following combination:
•Up to four month's rent/mortgage (April, May, June, and/or July 2020).
•Up to four month's utilities (April, May, June, and/or July 2020) which includes water, electric,
internet, gas, and sewer.
•Expenditures for Personal Protective Equipment ("PPE") or required business modifications due
to COVID-19 mandates and expended during the months of April, May, and/or June 2020 (i.e.
installation of plexiglas,social distancing signage,disinfectants).The total amount of
reimbursement request for this category may not exceed $750 and is to be calculated as part of
the total maximum reimbursement of $10,000.
PROGRAM CRITERIA:
•For-profit businesses and non-profit organizations located at a physical, commercially zoned
address within the Apache Junction city limits.
•Held a valid City of Apache Junction business license or non-profit organization operating license
on or before March 1, 2020 and continue to be in good standing and still in business at the time
of application.
•Are not a company -owned franchise.
•Provides documentation that its business income/sales have been reduced by at least 25% due
to COVID-19 starting in January through date of application submittal.
INELIGIBLE APPLICANTS:
•Home -based businesses
•Corporate-owned/operated franchises.
•Publicly held companies.
•Real estate investment firms.
•Dealers of rare coins and stamps.
•Firms involved in lending activities such as banks,credit unions,check cashing,finance
companies, leasing companies, payday loan companies, insurance companies (not agents), pawn
shops, and any other firm whose stock in trade is money.
•Pyramid sales plans where a participant's primary incentive is based on the sales made by an
ever-increasing number of participants to include cosmetic,household goods and other soft
goods sales.
•Firms engaged in illegal activities.
•Gambling activities,including any business whose principal activity is gambling.While this
precludes grants to racetracks, casinos and similar enterprises, the rule does not restrict grants
to otherwise eligible businesses which obtain less than one-third of their annual gross income
from either the sale of official state lottery tickets under a state license, or legal gambling
activities licensed and supervised by a state authority, including businesses with an off-track
betting license.
•Principal or owner of the business is currently incarcerated or on parole.
•Any business owned, in whole or in part, by an Apache Junction official or employee who, in
their official capacity, participates in or votes on the oversight, development, or implementation
of the Apache Junction Small Business Assistance Grant Program contrary to A.R.S. § 38-503.
This exclusion also includes any business owned by a relative of such public officer or employee
contrary to A.R.S. § 38-502(9).
•Companies with legal actions involving the City of Apache Junction, including but not limited to
code enforcement liens and other criminal and civil lawsuits.
•This list of ineligible businesses may be updated by the city as the program continues.
PROGRAM TIMEFRAME:
Applications will be accepted from July 21, 2020 through August 25, 2020.Grants will be awarded on a
rolling basis until funding is exhausted or the grant period closes, whichever comes first.
PROCESS REQUIREMENTS:
•Complete application and all required supporting documents.
•Provide copies of paid receipts or proof of payment for eligible expense reimbursement.
•Attach copy of a W-9 form from the IRS.
•Attach copy of City of Apache Junction business license that was issued before March 1, 2020
and that is still in effect.
•Acknowledge with signature that all submittals and statements are true and accurate.
•Staff will review applications with a review committee appointed by the city manager.
•Staff will make a decision within ten (10) calendar days from receipt of a complete submittal.
•Requesting party can appeal decision to the city manager, whose decision will be final, subject
only to a Superior Court judicial officer.
•No appeal is available before the city council or any board or commission.
APPLICATION INFORMATION/DOCUMENTATION TO BE REQUESTED
Business Name:
Primary Business Owner:
Applicant Name and Title (if not owner):
Physical Business Address:Zip Code:
Owner Home Address:Zip Code:
Email:
Business Phone Number:
Business Website Address:
Date first opened in Apache Junction:
Employer Identification Number (EIN) or Tax ID:
Current Number of Full Time Employees:
Current Number of Part Time Employees:
Amount of RENT/MORTGAGE Reimbursement Requested (total) $
Rent receipts/proof of Payment Attachments: Y N
Amount of UTILITY Reimbursement Requested (total) $
Utility receipts/proof of Payment Attachments: Y N
Amount of PPE or modification requirement due to mandates Reimbursement Requested ($750
maximum for this category):
PPE/modification receipts/proof of Payment Attachments: Y N
Was your business negatively impacted by at least 25% or more in sales due to COVID-19 since January
31, 2020 when the United States Department of Health and Human Services declared a Public Health
Emergency?Please provide supporting documentation (i.e. income statements, historic sales reports,
etc.). Y N
What type of Federal CARES Act funding or COVID-19 assistance has your business received and what
amount, if any, and from which governmental entities?
Business Owner/Contact Signature
By signing below, I certify that:
The information provided on this application is complete and accurate to the best of my knowledge.
I have read and understand the Apache Junction Small Business Grant Program Criteria and
Requirements.
I understand that submission of an application does not entitle my business to grant funding.
I understand that only expenses, which have been approved in writing by the city, will be reimbursed.
I understand that my business must make and pay for expenses and submit proof to the city for
reimbursement.
I will provide requested performance data related to the use of funds for expenses as outlined in the
grant guidelines.
Printed Name
Signature Date