Title
a. Consider adoption of a resolution to provide economic relief and stimulus to restaurants, personal care service businesses, and public swimming pools and spas affected by the COVID-19 pandemic through the award of small grants during Fiscal Year 2021-22 in amounts equivalent to the amounts set forth in Article I.E of the Monterey County Master Fee Resolution in effect July 1, 2021, for oversight and services provided by the Health Department's Environmental Health Bureau; and
b. Authorize supplemental funding from the County’s designated American Rescue Plan Act funds for Fiscal Year 2021-22
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Consider adoption of a resolution to provide economic relief and stimulus to restaurants, personal care service businesses, and public swimming pools and spas affected by the COVID-19 pandemic through the award of small grants during Fiscal Year 2021-22 in amounts equivalent to the amounts set forth in Article I.E of the Monterey County Master Fee Resolution in effect July 1, 2021, for oversight and services provided by the Health Department's Environmental Health Bureau; and
b. Authorize supplemental funding from the County’s designated American Rescue Plan Act funds for Fiscal Year 2021-22
SUMMARY:
Per Board direction from the April 27, 2021 Board of Supervisor’s meeting, the Health Department’s Environmental Health Bureau (EHB) is requesting approval from the Board to provide economic relief and stimulus for specific businesses impacted by the pandemic in the form of a small grant award for Fiscal Year 2021-2022. The awards will be in an amount equivalent to fees that the businesses will pay for EHB services. This grant funding is available through the American Rescue Plan Act to support small businesses and help them to address financial challenges caused by the pandemic.
DISCUSSION:
On April 27, 2021, the Board of Supervisors received a proposal from the EHB for a fee waiver of certain permit fees for businesses that have been impacted the most by the COVID-19 pandemic. A request to supplement these fees with funds from the American Rescue Plan Act was also presented. The Board directed staff to return with a specific list of categories of businesses receiving annual permits from EHB that were most likely to have been impacted. EHB data show that the majority of businesses that closed since March 2020 who had received permits from EHB were the following:
• Restaurants (including temporary food outlets)
• Personal Care Services (Body Art)
• Public Swimming Pools and Spas
Grocery Retailers (Retail Markets) and school cafeterias continued to operate and, for the most part, did not close.
Staff requests approval to offer grants equal to the amount due for health permit fees for Fiscal Year 2021-22 with funding source to be the American Recovery Plan Act (ARPA) funds expected to be received by the County. Staff recommends ARPA as the source of funding this action, as it is an allowable use as per page 4 of the guidelines (fact sheet) <https://home.treasury.gov/system/files/136/SLFRP-Fact-Sheet-FINAL1-508A.pdf> which state that ARPA funds are for “supporting small businesses, helping them to address financial challenges caused by the pandemic and to make investments in COVID-19 prevention and mitigation tactics, as well as to provide technical assistance. To achieve these goals, recipients may employ this funding to execute a broad array of loan, grant, in-kind assistance, and counseling programs to enable small businesses to rebound from the downturn.”
If approved, the EHB would request supplemental funding in the amount of $2,061,625.74 for grant offerings equivalent to 100% of the annual permit cost, $1,546,219.31 for equivalent to 75% or $1,030,812.87for equivalent to 50%.
The EHB is not requesting a fee waiver because a request to offer grants to businesses is more in line with the ARPA guidelines released on May 10, 2021. Offering a grant would provide some monetary relief to these categories of businesses to address impacts they may continue to experience due to the pandemic in FY 2021-22 and to assist businesses in these categories to reopen.
The fees upon which the proposed grant award amounts will be based are shown in Attachment 1 - Proposed Grant Amounts.
This work supports the Monterey County Health Department 2018-2022 Strategic Plan Initiatives to enhance community health and safety through prevention and to engage MCHD workforce and improve operational functions to meet current and developing population health needs. It also supports three of the ten essential public health services, specifically; 2. Diagnose and investigate health problems and health hazards in the community; 3. Inform, educate, and empower people about health issues; and 6. Enforce laws and regulations that protect health and ensure safety.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed, and approved as to legal form, the proposed Grant Resolution. Due to late submission of this Board Report, the CAO Budget and Analysis Division was not provided adequate time to fully review for potential fiscal, organizational, policy, or other implications to the County of Monterey.
FINANCING:
The estimated cost of staff’s recommendation for a 100% grant funding is estimated at $2,061,625.74 for FY 2021-22. The actual fiscal impact will depend upon the Board’s approval of the grant offering request and the percentage of relief approved.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
Check the related Board of Supervisors Strategic Initiatives:
☐Economic Development:
• Through collaboration, strengthen economic development to ensure a diversified and healthy economy.
☐Administration:
• Promote an organization that practices efficient and effective resource management and is recognized for responsiveness, strong customer orientation, accountability and transparency.
☐Health & Human Services:
• Improve health and quality of life through County supported policies, programs, and services; promoting access to equitable opportunities for healthy choices and healthy environments in collaboration with communities.
☒Infrastructure:
• Plan and develop a sustainable, physical infrastructure that improves the quality of life for County residents and supports economic development results.
☐Public Safety:
• Create a safe environment for people to achieve their potential, leading businesses and communities to thrive and grow by reducing violent crimes as well as crimes in general.
Prepared by: Robin Kimball, Management Analyst II, 796-1297
Approved by:
_____________________________Date: _________
Elsa Mendoza Jimenez, Director of Health, 755-4526
Attachments:
Resolution
Attachment 1 - Article I.E. Proposed Grant Fees is on file with the Clerk of the Board