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TO: Mayor Richard C. Irvin
FROM: Martin S. Lyons, Chief Financial Officer/City Treasurer
DATE: March 5, 2021
SUBJECT:
A Resolution Authorizing the Chief Financial Officer/City Treasurer to disburse payments to eligible businesses recommended for award as part of the City's Coronavirus Emergency Relief Fund (CERF) program to address business losses as a result of the COVID 19 pandemic.
PURPOSE:
The impact of the COVID 19 Pandemic continues to be felt by Aurora small businesses. Federal relief programs have not addressed all of the financial needs of our local businesses and in some cases such programs have placed a reporting burden that has reduced the level of application or eligibility for many businesses. The most recent direct relief program created by the City of Aurora utilizes local financial and business data and practices to determine qualifications and eligibility and is not subject to Federal regulations that have impacted the outreach of prior programs.
This program is designed to prevent the closure of businesses. The cost per business to actually open or re-open a business is substantially higher on a per business basis as evidenced by many of our more recent downtown development agreements.
BACKGROUND:
Last month, City Council approved the creation of three (3) different and distinct financial relief programs for our local businesses. The three programs are:
1) Direct Cash to Business Relief (CERF)
2) No Liquor License Renewals for 2021 (Item 21-0061)
3) Food and Beverage Tax Holiday for 90 days (in 2021) (Item 21-0062)
The purpose for the Direct Cash to Business Relief (CERF) program is to allow the City to offer grants to reimburse a portion of business losses suffered as a direct result of the public health crisis, and assist as they adjust to the resulting business demands.
The major qualifying expense used to determine the grant amount is "cost of business interruption," defined as the decrease in revenue between a seven-mo...
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