PEKIN, Ill. — To help out small businesses in the community, the Pekin City Council agreed Monday night to extend the application process for the COVID-19 Small Business Assistance Grants.
Mayor Mark Luft said that many businesses came forward saying they were unaware of the grants.
“It’s my opinion that they have every right to apply for this. Unfortunately they were not aware, so my suggestion is to set up another week for the application process to give those businesses to apply as well,” Luft said.
The city will invest $1 million from Community Development Block Grant (CDBG) program, funded by the Department of Housing and Urban Development (HUD) to help businesses in Pekin that have been affected by the pandemic.
Criteria must be met to apply for a grant. Businesses that meet the criteria are eligible for either $5,000 for businesses with W-2 employees, or $2,000 for self-employed citizens and businesses without W-2 employees.
Luft said that there is a technicality in the grant that is not helpful to salons and barber shops, being that multiple grants could not be at one location.
“There is basically one employee who is the owner, but the other people in that salon who are not actually considered employees, rely on that salon being open to maintain an income and to perform their jobs,” Luft said.
The process will continue for businesses that have already applied.
City Manager Mark Rothert explained the change would help those other than the owner of the salon.
“If they rent space in that beauty salon, we would allow them to apply individually because they are their own business just renting a chair or a space,” Rothert said.
The second round of applications are not just for hair salons and barber shops, but other small businesses that did not apply for the first round. The application will reopen Wednesday May, 6.
The council Monday night also approved a fiscal budget. Rothert said that revenues and expenditures will be watched closely every month, and changes are to be expected.
Luft reminded council members that during this uncertain time the budget can be amended as time goes on.
“We will be more than likely amending this budget as we go along with what we are facing,” Luft said.
For more information with the COVID-19 Small Business Assistance Grants, click HERE.
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