REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
November 16, 2021
FROM
MICHAEL JIMENEZ, Interim Economic Development Director, Economic Development Department
SUBJECT
Title
Grant Application to the California Office of the Small Business Advocate for the Micro-Business COVID-19 Relief Grant Round 1
End
RECOMMENDATION(S)
Recommendation
1. Designate the San Bernardino County Economic Development Department as San Bernardino County’s Authorized Representative for the California Office of the Small Business Advocate’s California Micro-Business COVID-19 Relief Grant Program.
2. Authorize the Chairman of Board of Supervisors to execute a letter of designation for the California Office of the Small Business Advocate’s California Micro-Business COVID-19 Relief Grant Program.
(Presenter: Michael Jimenez, Interim Economic Development Director, 387-4444)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Promote the Countywide Vision.
Create, Maintain and Grow Jobs and Economic Value in the County.
Operate in a Fiscally-Responsible and Business-Like Manner.
Focus on Recovery and Resiliency Following Major Emergency Responses such as the December 2, 2015 Terrorist Attack (SB Strong) and the Global COVID-19 Pandemic.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). The County will submit a non-binding grant application to the California Office of the Small Business Advocate (CalOSBA), part of the Governor’s Office of Business and Economic Development, in an effort to receive funding allocated to San Bernardino County (County) in the amount of $2,742,845.17 for the California Micro-Business COVID-19 Relief Grant Program (Grant) funds. If awarded, the Grant funds will be used for individual disbursements of $2,500 to eligible micro-businesses that have been impacted by COVID-19. A maximum not to exceed amount of $300,000, included in the total grant award of $2,742,845.17, will be used for administrative services (i.e., fiscal agent, marketing, and outreach). Pursuant to State guidelines, the County is not required to provide a local match. Should funds be awarded, the Economic Development Department (ED) will return to the Board of Supervisors (Board) for acceptance and any necessary budget adjustments. Following acceptance and execution of the agreement, the County will receive the total grant award of $2,742,845.17 to disburse through grants to eligible micro-businesses, which includes administrative costs as outlined in the final agreement.
BACKGROUND INFORMATION
On November 1, 2021, CalOSBA released the program announcement requesting proposals from county governments interested in administering the Micro-business COVID-19 Relief Grant Round 1 program. This grant provides eligible micro-businesses that face systemic barriers with access to capital. For the purposes of this grant, a micro-business is a business that has fewer than five full-time employees and had fewer than five full-time employees in 2019 and 2020 taxable years. To qualify, the business must self-certify under penalty of perjury that they meet all of the following criteria: was in operation prior to December 31, 2019, is currently active or has a clear plan to reopen, was significantly impacted by COVID-19 due to closure, and had less than $50,000 in revenues in 2019 tax year. Such eligible businesses include, but are not limited to, businesses owned by women, minorities, veterans, individuals without documentation, individuals with limited English proficiency, and business owners located in low-wealth and rural communities throughout the County. ED will use the Grant funding to distribute to approximately 1,000 eligible micro-businesses within the county.
Board approval is required to designate ED as the Authorized Representative for the Grant. This item also requests authorization for the Chairman of the Board to execute a letter acknowledging this designation, which will allow for ED to complete the Grant application process. The non-binding Grant application is currently being prepared by County staff and a consultant, in coordination with the County Administrative Office, and is due to CalOSBA by November 30, 2021. Pursuant to County Policy No. 05-13, submission of a non-binding Grant application requires approval of the Chief Executive Officer. The Grant application will be submitted electronically per grant guidelines set by CalOSBA.
If awarded, the total award amount must be fully disbursed to eligible small businesses by November 30, 2022, or returned to CalOSBA by December 31, 2022. During the period of performance, which is anticipated to be February 7, 2022 through November 30, 2022, the disbursement of grant funds to micro-businesses is expected to be completed, all funds exhausted, and all applicable reporting requirements satisfied.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Sophie A. Akins, Deputy County Counsel, 387-5455) on November 9, 2021; Finance (Kathleen Gonzalez, Administrative Analyst, 387-5412) on November 10, 2021; County Finance and Admistration (Robert Saldana, Deputy Executive Officer, 387-5423) on November 10, 2021.