$9M goes to relief for restaurant industry
NORRISTOWN >> As the COVID-19 pandemic continues to take its toll on area businesses, more than $9 million was allocated as part of a new program aimed at helping Montgomery County’s hospitality industry.
County economic officials received $9,411,247 from a Pennsylvania Community and Development Block Grant, which will fund the MontcoStrong 2021 Pennsylvania Hospitality Industry Recovery Program, according to a resolution presented during last Thursday’s Montgomery County Board of Commissioners meeting.
“I’m so happy to highlight this work,” said Montgomery County Commissioners’ Chairwoman Valerie Arkoosh. “I don’t think until
you’ve been through a process like this that you realize the level of paperwork and other boxes that have to be checked in order to get these grants fully processed.”
Montgomery County officials emphasized the importance of assisting small businesses and other enterprises financially impacted by the ongoing public health crisis. Through the county’s commerce department and redevelopment authority, a series of economic campaigns was established to provide relief.
According to Dave Zellers, director of the Montgomery County Commerce Department, there’s been $22 million distributed to area small businesses and another $4 million administered to local nonprofits.
Zellers said 7,200 small businesses applied for the MontcoStrong program, and 2,040 grants were awarded since April 2020. He added that 165 grants were given to selected nonprofit organizations.
“I’m just so proud that we’ve been able to help as many businesses as we have in our community,” Arkoosh said. “It has been just an unrelenting challenge for small business owners who are the lifeblood of our business community here in Montgomery County.”
Arkoosh also noted this most recent $9 million infusion comes directly from the state as compared to previous monies distributed at the federal level via the Coronavirus Aid, Relief, and Economic Security Act.
Additionally, that $6 million of the county’s portion of CARES Act funding went to assist restaurants as well as food service providers, according to Montgomery County Commissioners’ Vice Chairman Ken Lawrence Jr., who offered a final update on the completed MontcoStrong 2021 Restaurant Grant Program.
“Small businesses, especially restaurants, help define our communities, and when they suffer, our communities suffer,” he said. “The limitations on indoor dining and the loss of outdoor dining in winter months have been brutal for our restaurants.”
Lawrence said that 600 restaurants and food service businesses from 56 different Montgomery County municipalities received $10,000 each in grants through the program, which was financed by county economic development funds.
Lawrence said that “33 percent of businesses identified as minority owned, 33 percent identified as women owned, 4 percent identified as veteran owned, 31 percent received a MontcoStrong grant in 2020, and 66 percent indicated they received a Paycheck Protection Program (PPP) loan from the SBA in 2020.”
According to Lawrence, eligible organizations included a “for profit restaurant, food truck, deli, bakery, brewery, distillery, vineyard, caterer, or other food services for profit entity with a physical location in Montgomery County.”
The program stipulated that funds can be used for the following purposes: rent or mortgage payments for a business location, payments for utilities for a business location, purchase of personal protective equipment, and payroll for nonowner employees and or their family members between Jan. 1 and March 5.
“Here in Montgomery County the restaurant industry is a cornerstone of our economic and workforce development as well as central to the growth of entrepreneurship, job opportunities and others in our communities,” Lawrence said.
For more information about the program and for a list of recipients, visit montcopa.org/commerce.
“Tell your team to get to work, Mr. Zellers,” Arkoosh said following the unanimous approval vote.
“Small businesses, especially restaurants, help define our communities, and when they suffer, our communities suffer. The limitations on indoor dining and the loss of outdoor dining in winter months have been brutal for our restaurants.” — Montgomery County Commissioners’ Vice Chairman Ken Lawrence Jr.