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Home My WebLink About8.1 Motion to Approve the Mount Prospect COVID-19 Restaurant Assistance Grant Program�f i,Item Cover Page i ,a" wubject Motion to Approve the Mount Prospect COVID-1 Restaurant Assistance Grant Program Meeting November 17, 2020 - REGULAR MEETING OF THE MOUNT PROSPECT A BOARD Dollar Amount Up to $600,000, withindividual grants not to exceed $10f000. Budget Source $250,000 -From the reallocation of the current CED Budget + $350,000 -From General Fund Category Type Action Information While the • pandemic -!. impacted the majority of businesses Orderin the Village, it has dramatically impacted local restaurants subject to the restrictions and mitigation measures of Executive Order 2020-10 (COVID-19 Executive • and Executive Order 2020-63O • Executive Order No. 59). The suspension of indoor dining mandated by these Executive Orders has caused substantial financial harm to Village of Mount Prospect restaurants. The State has further restricted all restaurants in Mount Prospect (and other regions) by prohibiting in!!• dining in their.! - r • October - recommendingthese new restrictions, the upcoming winter season and the significant impact that restaurants have already endured during the pandemic, staff is now that the proposed ! program be '! to Staff initially reviewed our current budget to determine if funds could be reallocated to create a grant program to assist all businesses affected by the #ngoing coronaviruspandemic.. proposed .Villagereallocate$250,000 from the Village -wide Fagade Program, Economic Development Program, ?nd savings from a recent reorganization of the Community Development -r. - - Village is also proposing to use an additional$350,,000 from the General ! that - reimbursed • •ok County Cares Act Grant of 1 $502,f578.25. By doing • the totalfor program be $600,,000.- be ••' • - 61 eligible restaurants ! the proposed • • ! be sufficient to provide a $10.,000 grant f• each ! ! The Economic Development Commission reviewed the proposed grant program at their October2020 meeting and unanimously recommended approval to the Village Board. The Village Board discussed this item on ! - •- 1 2020 Committee of the Whole meeting and unanimously supported the concept. If approved, the program would be administered in the sole discretion of the Village r nothing in the program creates right to any business to receive any funds or creates an obligation of the Villar • expend • The Village would reserve the right to cease the program at any time. Grants would be reviewed in the order they are received. Application process is online . The below list provides the eligibility criteria for the restaurants to apply for the . 1. Have and maintain a current and valid Village of Mount Prospect Business License; operations2. Not have permanently ceased dispensedi i "Stay at " "Stay liftedwas i ill not be considered ceased operations); 3. Generate municipal its operations' 4. Generate food and beverage tax as part of its operations' , 5. Have indoor seatingi i ' chain6. Not be part of a i i units; franchise7. Not be part of a ' private8. Not be a public; 9. Not be a home occupation; and 10. Business idence that they have suffered a decrease in municipal tax eligible sI r Application r to the same time frame in 2019, to be verifiedr recently ill need to show loss of salesr i . 11. Be in compliancei Ili is Resurgence Mitigations. If approved by the Village Board, staff will upload a fillable application to the Village website which will be accessible starting at 9 AM on Wednesday, November • th. Restaurateurs enter their information via the site's page, and isautomatically time -stamped upon receipt. 2 Program.Alternatives 1. Approve the proposed Mount Prospect COVID-19 Restaurant Assistance Grant 2. Action i ion of the Village Board. Staff Recommendation Approve the proposed restaurant assistance grant program to help local dine -in restaurants who have lost revenues due to COVID-19. Grant Administrative Rules 11.16.2020 FINAL DRAFT. pdf Grant Announcement Final 11.16.2020. pdf V? MAYOR Arlene A. Juracek TRUSTEES William A. Grossi Eleni Hatzis Paul Wm. Hoefert Richard F. Rogers Colleen E. Saccotelli Michael A. Zadel Village of Mount Prospect 50 South Emerson Street, Mount Prospect, Illinois 60056 VILLAGE MANAGER Michael J. Cassady VILLAGE CLERK Karen Agoranos Phone: 847/392-6000 Fax: 847/392-6022 www. mo un tprospect. org MOUNT PROSPECT COVID-19 RESTAURANT ASSISTANCE GRANT PROGRAM (Grant Program Administrative Rules) The Village of Mount Prospect Mayor, Village Board of Trustees and Economic Development Commission recognize the financial burden on the Village's restaurant community, and therefore, the Village has established the Mount Prospect COVID-19 Restaurant Assistance Grant Program, which is a grant program to provide funds to Mount Prospect restaurants that have suffered economic loss during the COVID-19 Pandemic ("Grant Program"). The Grant Program will distribute a grant to eligible local businesses to provide cash for short-term financial operational needs such as payroll, payment to suppliers, payment to service providers, payment of utilities, or rent. The Grant may not be used for capital expenditures. Eligible Businesses to Receive Grant To be considered an eligible business to receive a Grant, businesses must meet the following requirements: 1. Have and maintain a current and valid Village of Mount Prospect Business License; 2. Business must not have permanently ceased operations as of the date the funds are to be dispensed (businesses that have ceased operations per the Governor's "Stay at home" Order and reopened once the Governor's "Stay at Home" Order was lifted or otherwise allowed will not be considered to have permanently ceased operations); 3. Business must generate municipal sales tax as part of its operations and sales; 4. Business must generate food and beverage tax as part of its operations and sales; 5. Business must have indoor seating for dining; 6. Business shall not be part of a chain consisting of more than 4 units; 7. Business shall not be part of a franchise system; 8. Business shall not be a private club and must be open to the general public; 9. Business shall not be a home occupation; 10. Business must show evidence that they have suffered a decrease in municipal sales tax eligible sales from March 21, 2020 to the date of the Application when compared to the same time frame in 2019, to be verified by staff. Restaurants opened more recently will need to show loss of sales from date of opening; and 11. Business must be in compliance with Restore Illinois Resurgence Mitigations. Ell Terms and Conditions The Grant Program shall be administered in the sole discretion of the Village of Mount Prospect and nothing in this program creates a right to any business to receive any funds or creates an obligation of the Village to expend any funds. The Village is offering, through an application ("Application"), the ability of eligible Mount Prospect restaurants to receive a portion of allocated monies. All Grants by the Village are expressly conditioned upon the satisfactory completion of an on- line Application and adherence to these Administrative Rules. Forms The application for the Grant Program must be filled out and submitted electronically via the Village website at „ii uiit iii t... r iir t uiir iit iir iit. The Village will begin accepting ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, applications via the online portal at 9:00 a.m. on Wednesday, November 18th. A federal tax form W-9 must also be submitted in accordance with federal and state law. Ex penditure Requirements/Timing A Grant distributed to a business shall be used solely for operational expenses for payments for payroll, for suppliers, for service providers, for utilities, for rent, or a combination thereof. Not Transferable If a Grant is approved, it will be awarded via check in the name of the business submitted on the Application. Grant awards are not transferable to another person, owner, or business. Refund of Grant If at any point these Administrative Rules are not strictly adhered to and/or if a restaurant fails to follow the Governor's COVID-19 mitigation rules, the Grant funds provided shall be returned to the Village in full amount within ten (10) calendar days of receiving notice of a breach of the Grant Program. Each owner of at least 5% of the business shall submit the Application to the Village, shall sign said Application and shall jointly and severally personally guarantee the refund of the grant proceeds should the Administrative Rules not be strictly adhered to. Taxes The Village will issue Form 1099-G at the end of the year for any grant amount of $600.00 or more. The tax responsibilities of this Grant Program will be the responsibility of the recipient business. Proprietary Information and General Release Applicants shall permit Village of Mount Prospect representatives to make all reasonable inspections and investigations of the business' financial and proprietary information during the process period of the Application. Applicants, as a necessary part of the Application process, shall provide for to the Village or otherwise allow the Village to obtain and use all financial and proprietary information, including all municipal sales tax and food and beverage tax information, of the business. Such information shall no longer be deemed proprietary and confidential for purposes of this Grant Program. All payments under the Grant Program will be made public and will contain the amount of the Grant funds awarded to the business and the business' name and information. Applicants, upon submission of an Application, release the Village from any and all liability, waive any rights in regards to the proprietary information's confidentiality, and covenant not to sue the Village for the release of said proprietary information and from any other claim arising from this Application and the Grant Program. Village, for this section shall mean their officers, directors, employees, agents, affiliates, and representatives. Submission of an Application is an express consent and agreement to the above. Co ANNOUNCEMENT The Village of Mount Prospect has created the following: Mount Prospect COVID-19 Restaurant Assistance Grant Program Which may benefit YOUR business. The Village will be dispersing grants of up to $10,000 to qualifying local restaurants, with a fund total of at least $250,000. To be eligible for a grant, your restaurant must: 1. Have and maintain a current and valid Village of Mount Prospect Business License; 2. Not have permanently ceased operations as of the date the funds are to be dispensed (businesses that have ceased operations per the Governor's "Stay at Home" Order and reopened once the Governor's "Stay at Home" Order was lifted or otherwise allowed will not be considered to have permanently ceased operations); 3. Generate municipal sales tax as part of its operations and sales; 4. Generate food and beverage tax as part of its operations and sales; 5. Have indoor seating for dining; 6. Not be part of a chain consisting of more than 4 units; 7. Not be part of a franchise system; 8. Not be a private club and must be open to the general public; 9. Not be a home occupation; 10. Business must show evidence that they have suffered a decrease in municipal sales tax eligible sales from March 21, 2020 to the date of the Application when compared to the same time frame in 2019, to be verified by staff. Restaurants opened more recently will need to show loss of sales from date of opening; and 11. Business must be in compliance with Restore Illinois Resurgence Mitigations. Applications must be submitted online. A link will be published at 9:00 a.m. Wednesday, November 18th at: 11 -�11111 .... I ...... 1 1, 1 .... 1�1111 " 0 0 ........ ...:. ..:: .::....... 7