Recovery Resources: Going green today edition, new grants, recession news and growth strategies

Southeast counties going green, but restrictions remain
Chester, Delaware and Montgomery Counties on Friday moved into the green phase of the state of Pennsylvania’s classification system for reopening in the wake of COVID-19 shut-down orders. Delaware County offers a list of the work and social restrictions that remain in place during the green phase. Restaurants, bars and entertainment venues, including casinos, theaters and shopping malls, can operate at 50 percent capacity. So can hair salons, and barbershops, although they can only accept patrons by appointment. Indoor recreation, health and wellness facilities, and personal care services such as gyms and spas, also can operate at 50 percent capacity, preferably by appointment. Construction activity can return to full capacity with continued implementation of safety protocols. Gatherings of more than 250 people are prohibited, and people are required to wear masks when entering businesses.

State expects to start accepting applications for COVID-19 small business assistance grants next week
The state of Pennsylvania is preparing to make application information available for its COVID-19 Relief Pennsylvania Statewide Small Business Assistance Program, which will provide $225 million in grants ranging from $5,000 to $50,000 to small businesses that have been hurt by the pandemic. The size of a business will determine the size of the grant for which it is eligible. To be eligible, businesses must be physically located in Pennsylvania and generate at least 51 percent of their revenue in the state; have had annual revenue of less than $1 million prior to the pandemic; and have employed 25 or fewer people prior to Feb. 15, 2020. Grant money can be used to cover business’ operating expenses while they were shut down and as they transition to reopening, as well as to provide training and advice for business owners as they relaunch their enterprises. The program will have multiple rounds. The state expects the application window for the first round to open June 30 and remain open for 10 business days. It will consider applications it receives after the window closes for subsequent rounds.

PNC says coronavirus recession only lasted three months
The recession caused by the coronavirus started in February, but employers were already adding jobs in May, according to the National Economic Outlook for June put out by Main Line Chamber of Commerce member PNC Bank. National Bureau of Economic Research indicates the recovery likely began in May when net jobs rose by 2.5 million according to a survey of employers. But even though the recovery has begun, it may take years to fully recover, the report said.

U.S. Chamber releases policy principles to close digital divide
The U.S. Chamber of Commerce has released nine policy principles to close the digital divide in America, which has been exacerbated by the global pandemic, according to Tom Quaadman, executive vice president in charge of the U.S. Chamber Technology Engagement Center. The principles were developed by the Technology Engagement Center’s Telecommunications & E-Commerce Policy Committee, a group of 90 leading companies and trade associations representing wireless and wireline carriers, satellite providers, broadcasters, technology companies and other stakeholders. Quaadman called on “Congress to pass long-term broadband funding and permitting relief to sustainably bridge this divide while offering temporary, targeted, and timely solutions to address COVID-19 specific disparities.” The Chamber proposed three principles for broadband funding — let all technologies and providers compete for funds to serve truly unserved areas, support co-location, and distribute funding to those that can quickly get broadband networks up and running. It offered five principles to close what it calls the homework gap. The Chamber also wants Congress to address permitting relief that it says will encourage broadband deployment.

COVID-19 vaccine coming by year’s end, Melinda and Bill Gates tell U.S. Chamber
A vaccine for COVID-19 will be developed by the end of the year, Melinda and Bill Gates told the U.S. Chamber of Commerce in a special edition of Path Forward video series focused on economic recovery. They also talked about the importance of a coordinated international response to the pandemic, the lasting changes the pandemic might produce, and how to ensure equitable access to treatments and vaccines for COVID-19. The Gates Foundation is investing in vaccine development and Melinda Gates said it has identified three promising candidates.

COVID-19 small business assistance program
The Chester County COVID-19 Business Task Force, in partnership with Chester County Economic Development Council (CCEDC) and Community First Fund, will host a webinar at 9 a.m. Friday, June 26, on how to apply for the $225 million in grants the state is making available under the COVID-19 Relief Pennsylvania Statewide Small Business Assistance Program. Such webinars are typically recorded for later viewing. The grants will be administered by the 17 community development finance institutions in the state. Dan Betancourt, CEO of Community First Fund, which is one of them, will be the main speaker during the webinar and take questions afterwards. The webinar is part of the Restore Chester County Series. Slides and resources from previous webinars in the series can be found at the Restore Chester County website.

Small businesses and nonprofits can apply for more Delco Strong funding July 7
Delaware County-based small businesses affected by the pandemic will be able to apply for grants under Round 2 of the county’s Delco Strong program online from 5 a.m. July 7 through 5 p.m. July 9. They will be able to deliver paper applications to the Delaware County Commerce Center in Media between 8:30 a.m. and 4:30 p.m. on July 7 and July 8. Businesses with annual revenue of no more than $4.5 million are eligible for grants of up to $10,000. Businesses with annual revenue of no more than $9 million are eligible for grants up to $20,000. Businesses can use the funding to cover the costs of the working capital they needed to stay in business during the disruption caused by the pandemic and the items they need (masks, barriers, signage, gloves, etc.) to meet public health requirements while operating during the pandemic. The Foundation for Delaware County is planning a second round of grants for nonprofits affected by the pandemic that also will begin accepting applications on July 7. The foundation plans to post more information on its website before then.

Philly Fed cohosting webinars on equitable pandemic recovery for small businesses, communities
The Philadelphia Federal Reserve’s Community Development and Regional Outreach Department is cohosting a webinar series called Research for Equity in Recovery that is meant to promote a strong and equitable recovery from the pandemic. The first webinar in the series is scheduled for July 1 and will focus on the job training needed during the recovery. The second, scheduled for July 16, will deal with making sure the pandemic recovery includes all the country’s communities, including ones suffering from economic distress. The third, scheduled for July 30, will focus on how the pandemic has affected small businesses and how they and their communities can advance policies and programs that promote an equitable recovery. The webinars are from 12-1 p.m. and are free but require participants to register.

SBA relaunches website to help businesses find PPP lenders
With time running out to apply for a forgivable loan under the Paycheck Protection Program, which expires June 30, the Small Business Administration has relaunched the website of its Lender Match program to make connecting with lenders easier for small businesses affected by the pandemic. Forbes reports that the relaunched website enables would-be borrowers to find nonbank lenders, such as Community Development Financial Institutions, Minority Depository Institutions, Certified Development Companies, Farm Credit System lenders, and microlenders, as well as traditional small banks that process and hand out PPP loans. Another Forbes report has questions and answers about the PPP, which still had more than $100 billion in it as of last Saturday, according to the Washington Post.

In addition to PPP, CARES Act enabled 7(a) loans with partial forgiveness
Although the Paycheck Protection Program is the most publicized action to come out of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, Gene Marks writes in the Philadelphia Inquirer that the act also enabled the SBA to provide partial forgiveness on loans made under its Section 7(a) program. These loans can be used for purchasing equipment, real estate, or other businesses, as well as for working capital. Because they are backed by the SBA, bankers can provide them for small businesses that otherwise wouldn’t be able to qualify for them. Under the CARES Act, the first six months of principal and interest payments, plus any related fees, can be forgiven on Section 7(a) loans closed before Sept. 27, meaning borrowers could save about $33,000 on a $500,000 loan. Businesses with fewer than 500 employees can obtain loans of up to $5 million under the program.