November 19th, 2024

City’s business relief comes just ahead of province

By COLLIN GALLANT on June 6, 2020.

cgallant@medicinehatnews.com@CollinGallant

The day after the City of Medicine Hat announced local grants to help smallest businesses adjust to operating under pandemic conditions, the province added a much broader support for operators who are attempting to reopen and recover from a weeks-long shutdown.

This week the city announced it would immediately begin taking applications for up $15,000 of costs related specific to altering premises to accommodate customers and adhere to health guidelines about crowd size and distancing.

On Friday, Premier Jason Kenney and Economic Development Minister Tanya Fir announced a ban on commercial tenant evictions where landlords do not access rental subsidy programs. As well, a potential $5,000 grant could be used to cover set costs like rent, wages, or even rebuilding inventory after being “hampered” by government health regulations.

“We know that businesses know best where to spend that money, but more details will follow,” said Fir, adding the province hopes small businesses will “catapult Alberta into an economic recovery as quickly and strongly as possible.”

The province has dedicated $200 million for the fund, which Kenney said was aimed at small- to medium-sized businesses (those with fewer than 500 employees) as well as non-profits.

It will provide up to 15 per cent of sales revenue to a maximum of $5,000, though final details and eligibility are to be decided.

Sean Blewett is the executive director of Community Futures Entre Corp, which is administering the city fund. He doesn’t see any potential conflict between the local and provincial initiatives, and said, combined, “they will be very welcomed” in the business community.”

“It’s about building confidence in the clientele to come back (to reopening businesses … I have no doubt (the grants) will go quickly,” said Blewett.

Council approved the use of up to $2 million from the city’s community capital reserve to be spent bracing businesses in the city for work required to restart. The funds will be released in four blocks of $500,000, which elected officials state will be released as conditions and programs are evaluated.

Administrators spent almost a month developing the first grant program, and a founding principle of the local fund was to fill gaps, not duplicate supports from other levels of government, council members said when it was announced and approved on May 4.

Businesses qualifying for the city program must have revenue not exceeding $5 million annually, and employ at least two people. They can apply now to have additional operating costs directly related to relaunch, such protective gear, or work to rearrange the layout of stores and offices, covered after a provincial hazard assessment takes place.

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