REPORT TO THE CITY COUNCIL
August 17, 2020
FROM: Council President Arias
Councilmember Soria
Councilmember Chavez
SUBJECT:
Title
Approve CARES Act expenditure and contracts for small business relief:
1. ***RESOLUTION - Adopting the 13th Amendment to the Annual Appropriation Resolution No. 2020-159 to appropriate $2,000,000 in CARES Act Funds for small business relief (Requires 5 affirmative votes)(Subject to Mayor's Veto)
2. Approve agreement with Fresno Area Hispanic Foundation
Body
RECOMMENDATION
It is recommended Council appropriate CARES Act funding and approve the agreement the Fresno Area Hispanic Foundation to provide relief to small businesses affected by COVID-19.
EXECUTIVE SUMMARY
The COVID-19 pandemic has caused widespread business closures and disruptions. Small businesses have been particularly hard hit. One specifically authorized use of CARES Act funds is to provide relief to small businesses affected by COVID. The funds appropriated by this action will be distributed by the City's Economic Development Department through the Save our Small Business program, and the Fresno Area Hispanic Foundation (FAHF). FAHF has a strong track record of administering similar programs, and will target the business community in disadvantaged/underserved areas of the City, as well small businesses in minority communities that have not been able to access other relief funds.
BACKGROUND
The CARES Act (42 U.S.C. Section 801(d)) requires eligible reimbursement expenditures (1) are necessary due to the COVID-19 public health crisis; (2) are not accounted for in the City's budget as of March 27, 2020; and (3) be expended between March 1 and December 30, 2020. The Department of the Treasury understands the term 'necessary' broadly to mean the expenditure is reasonably necessary for its intended use in the reasonable judgment of the government officials responsible for spending Fund payments. (US Dept. of Treasury, Coronavirus Relief Fund Guidance...
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