ECONOMIC DEVELOPMENT COVID-19 INITIATIVES

September 15, 2020

Presentation to the Charles County Board of Commissioners

EDD Response to COVID-19Shifted resources and human capital to address COVID-19;Remained faithful to Commissioners Goals and Objectives and the five-year Strategic Plan;Maintain strong public and private sector relationships throughout the crisis such as the EDD Advisory Board, EDD Recovery Taskforce, Charles County Chamber and the Minority Chamber, CSM, SBDC, MD Department of Commerce, and others;Maintain engagement with regional partners in Southern Maryland and in the Maryland National Capital Regional Economic Development Alliance;Learned that collaboration is more important then ever, and none of us have all the answers.

Information / Communication with the Business Community

Information for businessesLinks to State of Maryland information and resourcesLinks to Charles County Government informationLinks to CDC information for businessesLinks to SBA programsLinks to specific industry assistance

Information about Charles County businessLoan information and applicationGrant information and applicationLinks to other useful sites

NEW COVID-19 WEB PAGE on www.MeetCharlesCounty.com

Information / Communication with the Business Community

Information about Charles County businessBegan with a simple text listingOutreach to as many businesses as possible via staff phone calls, emails, etc.Kept constantly updates

Back to business page created later in partnership with the Charles County Chamber of Commerce

Businesses can add their information any time

BACK TO BUSINESS PAGE

Information / Communication with the Business Community

WEBINAR SERIES

Information / Communication with the Business Community

DIGITALADVERTISING

WEEKLY E-NEWS

ONE-ON-ONE OUTREACH VIA

PHONE AND EMAIL

SOCIAL MEDIA

Financial AssistanceSMALL BUSINESS RELIEF LOANS

COVID-19 Business Relief Fund (New)Loan amount: up to $5,000Term: 5 Years AmortizationRate: 3.25% FixedDeferred Payment: No Principal & Interest for 12 months

Business Development Loan Fund (Existing)Loan amount: up to $10,000Term: 2 YearsRate: 3.25% FixedDeferred Payment: Interest only payment for 8 months; principal deferred for 8 months

Target Industry Incentive Loan Fund (Existing)Loan amount: up to $10,000Term: 2 YearsRate: 3.25% FixedDeferred Payment: Interest only payment for 8 months; principal deferred for 8 months

Financial AssistanceSMALL BUSINESS RELIEF GRANT

Businesses with 0 to 4 employees may receive up to $5,000. Businesses with 5 to 75 employees may receive up to $10,000. Businesses with more than 75 employees are not eligible.

Charles County based business, with principle business facilities physically located in Charles CountyMeet the US Small Business Administration (SBA) definition of a small businessFor profitIn business as of May 2019Be able to demonstrate financial stress or business disruption due to the COVID crisis

Financial AssistanceSMALL BUSINESS RELIEF GRANT

USES: Expenditures that occur between March 1, 2020 and December 30, 2020 and fall under one or more of the following categories:

Cash operating expensesPayroll, Inventory Acquisition (inventory needed to reopen or maintain open status), Business lease or rent, Fixed cost payments Personal Protective Equipment (PPE) purchaseFacility Readiness (social distancing preparedness, business modifications, other recovery projects, etc.)Other business critical cash operating costsEquipment purchases for COVID related preventive measures

Financial AssistanceSMALL BUSINESS RELIEF GRANT

APPLICATIONS RECEIVED: 237

GRANTS APPROVED: 185 (3 agriculture businesses)

TOTAL APPROVED DOLLAR AMOUNT: $1,239,887 ($20,000 for agriculture businesses)

TOTAL DISBURSED: (as of 9/11/2020)

$772,000 ($15,000 to agriculture businesses)

GRANT MONEY AVAILABLE: AGRICULTURE $480,000

GRANT MONEY AVAILABLE: NON-AG 780,113

TOTAL GRANT MONEY AVAILABLE: $1,260,113

GRANT DECLINED: 10

GRANT WITHDRAWN: 1

PENDING APPLICATIONS: 41

Financial AssistanceSMALL BUSINESS RELIEF GRANT

MINORITY OWNED BUSINESS: 77 $492,000

WOMEN OWNED BUSINESS: 26 $154,500

TOTAL APPLICATIONS: (Minority & Women Owned)

103 $646,500

Of the 185 approved applications, 103 were Minority & Women Owned Business totaling $646,500 or 53% of the $1,239,887.

Financial AssistanceTECHNICAL CHALLENGES IN THE GRANT APPROVAL PROCESS

Incomplete applicationBlank documentsMissing required documentsNo contact informationRefusal to submit required documentsReturned documents not in acceptable format

Regional Cooperation

Maryland National Capital Regional Economic Development Alliance (MNCREDA)

Weekly online meetings with economic development directors from Anne Arundel, Charles, Frederick, Howard, Montgomery, and Prince George’s CountiesExchange of informationBest practices / IdeasImplementation of CARES Act funds & grant programsRegional longitudinal survey

Southern Maryland Economic Development Organizations

Weekly calls with economic development directors and deputy directors from Calvert, Charles, and St. Mary’s CountiesExchange of informationBest practices / IdeasImplementation of CARES Act funds & grant programs

Planning for the FutureREGIONAL SURVEY with MNCREDA PARTNERS

A multi-year survey of local businesses to assess the impact of COVID-19 and identify resources needed for recovery.

Track and analyze the ongoing impact of the COVID-19 pandemic on businesses through the Spring of 2023;Businesses representing different industries, sizes, and ownership demographics Six monthly surveys to start, with quarterly surveys thereafterAnalysis will be conducted after each survey period of both the survey period itself and changes observed cumulativelyData to be reported at the regional and individual county levelsIn 2023, when the survey is completed, a comprehensive analysis will be conducted

Planning for the Future

STEP 1: MEASURE IMPACT

Review available data to understand the impact so far

Predictive models of economic effects of the COVID-19 and control measures

Unemployment, estimates, layoff notices

Modeling those industries most affected as percentage of total employment

Employer size distribution to analyze how many small or new firms may be vulnerable

CHARLES COUNTY 2020 PIVOT PLANBy Garner Economics

Planning for the FutureCHARLES COUNTY 2020 PIVOT PLANBy Garner Economics

STEP 2: PIVOT, STRENGTHEN, AND ATTRACT

1. Pivot – How does Charles County measure up? What opportunities exist where industries will grow due to stressed supply chains and changes in work patterns?

2. Strengthen - How can Charles County strengthen existing businesses?

3. Attraction - Examine previously recommended clusters with the COVID-19 resiliency lens

Planning for the FutureRecovery Task Force

Created at the request of Commissioner Collins to focus on preparing for the post-COVID economySubcommittee of the Economic Development Advisory BoardIncludes

Charles County business owners/operators Public sector / business support partners from PGM, Health Department, Liquor Board, Nonprofit Institute, CSM, Tourism, Chamber of Commerce

Co-chaired by Senior Judge Helen Harrington, Commissioner Coates, and Attorney Steve ScottAdministrative support form EDD staffWeekly online meetings

Planning for the FutureRecovery Task Force

Immediate needs of the business community have become a priority and have resulted in tangible outcomes

Temporary sign regulations relaxedSigns for businesses to post on their doorsPPE access for businesses through the Health DepartmentWho to call listPromotion of the Charles County Back to Business website

Draft recommendations in SeptemberFinal report in October

Fall Meeting

Charles County: Building a New and Better NormalTuesday, November 10, 2020 9:00 a.m. – 12:00 p.m.VIRTUAL

KEYNOTE: Anirban Basu• State of the Economy