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HomeMy WebLinkAbout02B Guidelines Final2City of Palm Desert/Economic Development Department Unite Palm Desert Emergency Business Relief (EBR) Voluntary Loan Guidelines 73-510 Fred Waring Drive • Palm Desert • California • 92260 • (760) 776-6362 Overview • $500,000 available for businesses adversely impacted were required to close underby the State and County Regional Stay at Home Order issued on December 7, 2020 • Application available at www.cityofpalmdesert.org/Emergency-Business-Relief • Electronic submissions to bizsupport@cityofpalmdesert.org • Questions can be directed to the Business Support Hotline at (760) 776-6362 • Application window opens on December 24, 2020 at 8:00 a.m. and closes at 12:00 p.m. Monday, January 11, 2021 • The first 100 completed, eligible applications will be funded • Funding within approximately 30 days of finalized loan documents Loan Summary • Zero-interest loans of $5,000 per business • No repayment unless violation of loan agreement • Funds shall be used to assist businesses adversely impacted closed by the State and CountyRegional Stay at Home Order issued on December 7, 2020 • Loan is forgivable if the business remains complies with the State Regional Stay at Home Order issued on closed from December 27, 2020 and through the Reopening Date to be established by State and County health order • Funds may be used for COVID-19 impacts/expenses such as rent/utilities/payroll, equipment/ supplies and other operational impacts caused the COVID-19 pandemic • Execute a loan document and promissory note • Comply with the City’s non-discrimination policy • Meet State, County and City requirements for re-opening Eligibility & Criteria • Existing for-profit, privately held businesses • Be in good standing with the Secretary of State • Good standing with the City of Palm Desert as of December 27, 2020 • Only businesses impacted by subject to closure under the December 7, 2020 State issued Regional Stay at Home Order are eligible to apply • Physical establishment within the City of Palm Desert • Current City of Palm Desert Business License current as of December 27, 2020 Unite Palm Desert Program Guidelines 2 | Page C:\Users\gsanchez\Desktop\02 EBR Guidelines Final2.docx • One-time loan per business (regardless of number of owners, locations, or business names within a location) • No businesses with more than four locations outside of Palm Desert may qualify • No employees, elected officials, agents, nor businesses that have an interest held by any of the aforementioned, nor those businesses currently under contract with the City of Palm Desert, may qualify Approval & Submittal Process • Application must be submitted between December 24, 2020 at 8:00 a.m. and not later than 12:00 p.m. Monday, January 11, 2021 • No early applications will be accepted • All supporting documentation must be provided at time of application; applications that do not provide all of the information requested will be rejected • Only businesses impacted by the December 7, 2020 State Regional Stay at Home Order that are subject to closure, and that remain closed during the specified dates, are permitted to apply • Applications and supporting material must be sent to bizsupport@cityofpalmdesert.org • Approval of funding is at the sole discretion of the City of Palm Desert Funding • Total of $500,000 • Funding will occur on a first-come-first-served basis of eligible recipients • Funding will occur until funds are depleted • Funding will occur within approximately 30 days of execution of a Loan Agreement Notice & Disclaimer • The City makes no representations as to the tax implications of the loan program • The businesses under the Program will receive an IRS Form 1099, if applicable, reporting the amount of payments as taxable income for federal and state income tax • The business must provide a completed IRS Form W -9 showing the business social security number or federal taxpayer identification number before the loan payments can be made • The City is unable to provide legal or tax advice to businesses and encourages you to seek appropriate professional advice on the federal and state tax implications of any funds received from the City under this program • Applications are subject to Public Records Act request • Incomplete applications will be rejected and will not qualify for funding