Small businesses across our Commonwealth are still hurting due to COVID-19. While the most important thing we can do right now is practice physical distancing to hopefully contain and slow the spread of COVID-19, we know that small businesses need continued relief and support.
In May, the House passed the Heroes Act to provide desperately-needed support for individuals and businesses impacted by COVID-19. The Heroes Act would strengthen the Payroll Protection Program to ensure that it reaches underserved communities and nonprofits of all sizes and types, and it would provide $10 billion for COVID-19 emergency grants through the Economic Injury Disaster Loan program.
Unfortunately, Senate Republicans have still not grasped the gravity of the crisis at hand, and are still refusing to act on the Heroes Act. But I want to make sure you are aware of other resources available for Virginian businesses and non-profits facing economic challenges during these times. Please share this information with those around you who could benefit from this assistance. Governor Northam’s office has rolled out the Rebuild VA Grant fund to help small businesses and nonprofits in the Commonwealth.
Rebuild VA Grant Fund:
Through the passage of the CARES Act from Congress, these funds from the federal government to the state have since been converted into this grant program. This program is designed to further help small businesses and nonprofits whose day-to-day operations have continued to be impacted by COVID-19.
Businesses and non-profits that are approved for a Rebuild VA grant may receive up to 3 times their average monthly eligible expenses up to a maximum of $10,000. The Rebuild VA program has been capitalized with $70 million and will aid approximately 7,000 businesses and nonprofits.
The business or non-profit must be organized as a corporation (C-Corp), pass through entity (S-Corp, Partnership, LLC), or other legal entity that is organized separately from the owner; A 501(c)(3), 501(c)(7) or 501(c)(19) organization; a sole proprietorship; or an independent contractor.
The business or non-profit must also fall within one of the following business categories:
- Restaurant and Beverage Services
- Non-essential Brick and Mortar
- Retail Fitness and Exercise Facilities
- Personal Care and Personal Grooming Services
- Entertainment and Public Amusement
- Private Campgrounds and Overnight Summer Camps
The business or non-profit must meet the following additional eligibility criteria:
- Principal Place of Business is in Virginia;
- 25 or fewer employees;
- Gross revenue of less than $1.5 million in the last fiscal year;
- Operating prior to March 12, 2020;
- Currently in good standing with the Virginia State Corporation Commission; and
- The applicant must engage in legal activity.
Eligible expenses for this grant include:
- Payroll support, including paid sick, medical, or family leave, and costs related to the continuation of group health care benefits during those periods of leave;
- Employee salaries;
- Mortgage payments, rent, and utilities;
- Principal and interest payments for any business loans from national or state-chartered banking, savings and loan institutions, or credit unions, that were incurred before or during the emergency;
- Eligible personal protective equipment, cleaning and disinfecting materials, or other working capital needed to address COVID-19 response.
For more information regarding the Rebuild VA Small Business Grant Program please visit governor.virginia.gov/rebuildva. For other COIVD related questions, visit the Coronavirus Information page on my website. Please continue to take care of yourselves and each other, and remember that my office is here to help. If you have any questions, please contact us at 703-256-3071.
Gerald E. Connolly
Member of Congress