Assembly approves individual CARES Act grants, extends business grant deadline
July 30, 2020
At a meeting Tuesday night, the Haines Borough Assembly took additional steps to approve a spending plan for $2.1 million in CARES Act funding received earlier this year, including approval of a household assistance program, and extension of the business and nonprofit grant application deadline until Aug. 14.
The assembly instructed staff to get the household grant program up and running as soon as possible. As of Wednesday morning, staff were still working to finalize the online application and establish a deadline.
To qualify for the program, applicants must spend at least half the year in Haines, have suffered economic hardship as a result of COVID-19 and be in need of economic assistance. Through the program, a household can request up to $900 in utility, rent and moorage assistance. An additional $100 credit for Community Waste Solutions will be provided to all successful applicants.
The funds will not be given directly to individuals. Instead, the borough will pay the money directly to the utility company or landlord, using account information provided by the applicant.
Funding for the program comes from $300,000 in federal CARES Act funding set aside for the program earlier this year. At a meeting July 28, assembly members said they may adjust program funding based on the number of applications received.
Applications require completing an online form, a measure designed to save staff time. Borough clerk and interim manager Alekka Fullerton said assistance will be available at the Haines Borough Public Library for anyone who needs help completing the form.
Also at the Tuesday meeting, the assembly approved a deadline extension for CARES Act-funded business and nonprofit grant applications. The application period had been set to close July 31 and was extended until Aug. 14.
In its original form, the borough’s business and nonprofit grant program awarded eligible applicants between $500 and $10,000, depending on income in 2019. The program was funded with $850,000 in CARES Act dollars, $50,000 of which will likely be dedicated at the Aug. 11 assembly meeting to sanitation and personal protective equipment purchases for businesses.
To date, the program has received 163 applications totaling $433,069 in funding requests. Of this, $148,419 has already been distributed, with additional checks going out later this week.
Assembly members decided to extend the application period while they wait on clarification from the state about how the municipal grants will impact eligibility for larger CARES Act-funded state grants. Assembly members said they believe some business owners may not have applied for the borough’s program because they fear it will disqualify them for state grants.
The state has indicated that it intends to clarify program eligibility so businesses that receive municipal grants are still eligible for state grants. However, the borough has yet to receive explicit confirmation. The assembly has instructed staff to issue a press release when the state officially clarifies program eligibility.
Once the grant application period closes, the assembly has indicated it intends to divide remaining funds between applicants in an amount proportional to the original award they received. For some businesses and nonprofits, receiving additional funds will require submitting proof of additional economic damages from COVID-19.
At the meeting the assembly also authorized $32,000 in CARES Act funding for the Salvation Army from the $100,000 initially earmarked for food security.
Other recommendations proposed by the assembly’s CARES Act ad hoc committee will go before the assembly for final approval in the form of a resolution at a meeting on Aug. 11. These include a $10,000 grant for Airlift Northwest to help maintain regional medevac services, a $2,500 grant for the Alaska Municipal League and an unspecified amount of up to $50,000 to fund a borough-run quarantine program for those without the means to quarantine on their own.
Between now and the end of the year, Haines is expected to receive a total of $4 million in CARES Act funding in three installments. The borough must spend 80% of the first $2.1 million installment before it receives the second and third payments, each worth roughly $900,000.
To date, the assembly’s CARES Act planning has dealt with the $2.1 million received in the first installment. Future CARES Act discussions will focus on a spending plan for the second and third rounds of funding.