Philadelphia has received an additional $20 million grant from the federal CARES Act.
Credit: Kylie CooperThe United States Department of the Treasury will provide the City of Philadelphia with a $20 million grant of COVID-19 relief for small businesses.
City officials announced on Thursday that the federal Coronavirus Aid, Relief, and Economic Security Act authorized the additional grant, which the COVID-19 Relief Pennsylvania Statewide Small Business Assistance program will distribute. Funds will be allocated to small businesses that did not receive funding after the first round of CARES Act relief given earlier this year, and will prioritize businesses in low to moderate income neighborhoods, Philly Voice reported.
This round of funding comes in addition to the $13.3 million grant the city awarded to 2,083 businesses earlier this year through the city's COVID-19 Small Business Relief Fund, according to a City of Philadelphia press release.
The COVID-19 Relief Pennsylvania Statewide Small Business Assistance program, which will distribute the new grant, gives small businesses economically impacted by COVID-19 between $5,000 to $50,000, according to the Pennsylvania Department of Community and Economic Development.
The program, which began in June, distributed $20.4 million in August to 1,123 Philadelphian businesses, according to the press release. Despite several rounds of financial assistance, local small businesses are estimated to be in need of more than $300 million.
“The City will continue to advocate for the state and federal governments to match the level of local investment being made and to provide more flexible funding to help meet the needs of small businesses impacted by COVID-19,” the press release stated.
Small businesses in University City have suffered financially during the coronavirus pandemic. New Deck Tavern on Sansom Street received two loans, including one from the city's COVID-19 Small Business Relief Fund. While Copabanana was able to shift to serving to-go cocktails in the early summer months, co-owner Mitch Whitaker estimated that the bar and restaurant lost 90% of its customers in March due to the pandemic.
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