City OKs Aid for Small Businesses, Renters Hurt by Pandemic

The Burbank City Council approved more than $850,000 in relief money for small businesses and low-income renters impacted by the coronavirus, acknowledging that the funds alone would not be enough to help everyone in need.
The council unanimously authorized the spending during its virtual meeting Tuesday, allocating nearly $440,000 for rental assistance and more than $414,104 to provide forgivable loans for small businesses. The programs are largely funded by Burbank’s portion of the Coronavirus Aid, Relief, and Economic Security Act, with unused federal Community Development Block Grant and county Measure H funds also contributing to the initiatives.
The small business assistance program launched with the money will help “microenterprise” entities, such as gig workers, contractors and those who are self-employed, by providing a forgivable loan of up to $5,000. Businesses with between two and 50 employees can receive up to $10,000 in forgivable loans, though they must have at least one low-income employee to be eligible.
The program aims to assist between 30 and 60 businesses, according to Marcos Gonzalez, the city’s housing development manager. When originally proposed, the aid would also have been available to businesses that applied for federal Small Business Administration loans.
However, the council decided to amend the program so that it would cover what was not provided by those loans up to $5,000 or $10,000, as some business owners have reported receiving only a fraction of what they applied for.
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