Title
Resolution to Amend the Fiscal Year 2021 and Fiscal Year 2022 Council Approved Budgets to Accept and Appropriate the Shuttered Venue Operators Grant awarded by the U. S. Small Business Administration
Purpose
PURPOSE/BACKGROUND:
The Shuttered Venue Operators (SVO) Grant was established by the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act signed into law on December 27, 2020 and subsequently amended by the American Rescue Plan (ARP) Act. The SVO Grant provides 16.2 billion in Federal grant Funds to eligible live venue operators or promoters, theatrical producers, live performing arts organization operators, museum operators, motion picture theatre operators, or talent representatives who demonstrate a 25 percent reduction in revenues. Eligible applicants may qualify for grants equal to 45% of their gross earned revenue, with the maximum amount available for a single grant award of $10 million dollars. The Small Business Administration may make an initial grant of up to $10 million dollars to an eligible person or entity and a supplemental grant that is equal to 50 percent of the initial grant. Such grants shall be used for specified expenses to include payroll costs, rent, utilities, worker protection expenses, maintenance contracts, insurance, equipment, event production expenses, etc.
Discussion:
Federal assistance to address the financial impact of the unprecedented global health crisis, otherwise known as COVID-19, has been made available to localities in the form of grants. The SVO Grant is one such grant that has been awarded to specifically help offset operating expenses of qualifying venues. The unique attribute of the SVO grant is that it allows for expenses that were incurred from the beginning of the declared pandemic (March 1, 2020) to the end of the current calendar year (December 31, 2021) to be eligible. In essence, this grant offsets eligible operating expenses for fiscal years 2020, 2021 and 2022. The Hampton ...
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