Haines Economic Development Corporation (HEDC) will soon begin processing applications for the AK CARES Grant Program, the state’s nonprofit and small business relief program.

“It’s a reasonable target to say that, by the end of the month, HEDC should be processing local Southeast AK CARES Act grants to help bring millions of dollars of economic relief to the region,” newly hired interim director David Simmons said.

At a meeting Aug. 13, the HEDC board voted to accept an offer to assist the Juneau Economic Development Council (JEDC) in processing program applications. JEDC was recently hired as a program operator to process applications submitted through the program’s new website, https://www.akcaresonline.org/, and is in the process of hiring people to do the work. JEDC receives a processing fee worth 2.6% of each grant.

Under the agreement, JEDC will outsource 60-100 hours of grant processing work per week to HEDC at a rate of $35 per hour, board president Heather Shade said at the Aug. 13 meeting.

The plan will allow HEDC to hire two or three Haines locals to process applications at a rate of $20 per hour through the end of the year, Shade said. The remaining funds will go toward administrative costs, including an increase in hours for Simmons, who was initially brought on as a part-time employee.

“I think it’s a great opportunity for us to aid in this and take on extra work and provide more jobs in town,” Simmons said at the meeting. Although JEDC is responsible for processing applications statewide, HEDC will be responsible for processing applications specifically from Southeast Alaska.

Simmons said he expects the hiring process will begin sometime in the next week. JEDC has asked to see the resumes of all applicants before hirings are finalized.

The AK CARES Grant Program is funded through a portion of the $1.25 billion the state received through the CARES Act, a federal coronavirus relief package passed this spring. The program awards grants between $5,000 and $100,000 to small businesses and nonprofits adversely impacted by the pandemic.

On Aug. 6, program eligibility was expanded to include all commercial fishermen, even those without business licenses, and organizations and businesses that received no more than $5,000 total through federal loan programs.

As of Aug. 16, the state had received 1,065 applications through the new AK CARES website, which opened 10 days prior.

At the same HEDC board meeting, members approved a letter of intent to work toward a memorandum of understanding for assisting a team led by Carol Tuynman with the Portage Cove Trail Project feasibility study. The plan is to reach a formal agreement within 90 days.

The board also voted to revise HEDC bylaws to remove requirements imposed by the organization’s memorandum of understanding with the Haines Borough, which expires at the end of the month. Changes include elimination of open meetings requirements and a provision allowing the HEDC board to select ex officio members.