$200,000 in City of Cedar Park Grants Distributed to 63 Small Businesses
$200,000 in City of Cedar Park grants distributed to 63 small businesses
City grants in response to COVID-19 crisis administered by
the Cedar Park Chamber of Commerce
The City of Cedar Park’s Office of Economic Development, with the Cedar Park Chamber of Commerce, reported to the Cedar Park City Council at its April 24 meeting that it has issued 63 grants totaling $200,000 to small businesses in Cedar Park. The grants are part of the City’s Small Business Assistance Program that City Council authorized at its April 9 City Council Meeting, in response to the COVID-19 pandemic (“Program”).
Mayor Corbin Van Arsdale said, “We are excited to have been able to help our small businesses through this crisis. Many of them are struggling, and the grants help supplement some the Federal, State and other assistance they’ve applied for. We are grateful for all that our small businesses have done and are continuing to do for our community. This is a tough time, and they are doing a tremendous job of weathering this storm. We are glad to help them through it.”
The Program, funded by Economic Development (Type 4A) sales tax funds, was designed to provide small businesses located within the City of Cedar Park City limits financial assistance in response to the COVID-19 pandemic (“Program”). Under the Program, eligible businesses could apply for grants of up to $5,000 and zero percent-interest loans of up to $10,000.
The Program was administered by the Cedar Park Chamber of Commerce. A committee comprised of Cedar Park Director of Economic Development Ben White, Economic Development Corporation (Type 4A) President Eric Boyce and Cedar Park Chamber of Commerce President and CEO Tony Moline reviewed 72 applications. The committee decided maximize funding to the businesses – issuing no loans and instead awarding grants to 63 qualifying small businesses. The grants ranged from $1,000 to $5,000 – with the majority of each grant over $3,000. The grants exhaust the Program’s authorized $200,000 Council-approved budget.
Chamber President and CEO Tony Moline said, “Awarding grants was the way for us to assist all of the qualifying businesses, so that they could focus on what’s most important: staying in business and rebounding from the economic setback caused by this pandemic.”
The applicants had to meet the following criteria:
- Must be located within the corporate limits of Cedar Park
- Must not be a home-based business or sole proprietor, and cannot be a non-profit organization
- Must have been in business for at least 12 months
- Must employ fewer than 25 full-time or full-time equivalent employees
- Has endured a 25 percent or greater reduction in sales after COVID-19 pandemic
- Has applied for a Small Business Administration (“SBA”) loan or other type of loan from a certified financial institution
City Council adopted the resolution, as passed by the Economic Development Corporation Type 4A Board, with an added prohibition of awarding Program Funds to any Councilmembers, Type A Board members, Chamber Board members, Chamber staff and Program Committee members, and any of their family members, as defined by Texas Local Government Code Chapter 176.