Opening of the grant program for closed theaters, museums and concert halls
Grants of up to $ 10 million will be available, starting Thursday, to independent cinemas, concert halls, museums and live performance spaces that have been closed to slow the spread of the coronavirus.
The US Small Business Administration will begin accepting online applications for its Closed Site Operator Grant program, or SVOG. The program was established by the federal stimulus package in December and expanded by last month’s package.
Over $ 16 billion in grants are available; $ 2 billion has been set aside for rooms with 50 or fewer employees. Grants do not have to be repaid.
“The help is there for site operators hit hard by the COVID-19 pandemic,” said new SBA administrator Isabella Casillas Guzman. The agency “understands how [venues] were impacted because they were among the first to close. “
The SVOG program aims to help sites with 500 or fewer employees that are not owned by a public company or that have locations in 11 or more states. Eligible sites also cannot operate in a foreign country.
On Long Island, these venues include the Argyle Theater in Babylon Village, Malverne Cinema and Art Center, Paramount Concert Hall in Huntington Village, and Mulcahy’s Pub and Concert Hall in Wantagh.
These and others will be greatly helped by SVOG and which in turn will benefit nearby “bars, restaurants, hotels, retail stores, parking lots and other businesses that depend on our sites to attract audiences,” Laura said. Mogul, executive director of the Landmark on the Main Street performing arts center in Port Washington.
You can find more information about SVOG at sba.gov/svogrant.
Q: What is the application deadline?
A: SBA will process applications until the $ 16.2 billion in SVOG funding is exhausted.
Q: Am I eligible for SVOG if I opened my room last summer?
A: No, applicants must have been in business since February 29, 2020.
Q: Is a site eligible for SVOG if it has received federal grants in the past?
A: A site is not eligible if more than 10% of its 2019 gross revenue comes from the federal government. The rule applies to sites belonging to private universities but not to public universities.
Q: Can I apply for the SVOG if I have already received a PPP loan?
A: Yes, but applicants who received a PPP loan on or after December 27, 2020 will see the SVOG reduced by the total loan amount. Sites cannot apply for a PPP loan after receiving an SVOG.
Q: What is the federal government scholarship management system that I need to register to apply for SVOG?
A: System for Award Management, or SAM, is a registry of entities seeking to do business with the federal government. To register, go to sam.gov. You will need to provide your registration information with the Dun & Bradstreet Business Information Service. If you do not have a DUNS number, you can request one from fedgov.dnb.com/webform. SAM also needs your tax identification number and your bank account information. Registration is free, but approval can take several weeks. Sam.gov will be down for maintenance on Saturday, April 10, 8 a.m. to 1 p.m.
Q: How is the SVOG amount determined?
A: For businesses operating on or before January 1, 2019, the grant amount will equal 45% of the applicant’s gross earned income in 2019 or $ 10 million, whichever is less. For businesses that opened later, the grant amount will equal the average gross monthly income for each month in operation in 2019 multiplied by six, or $ 10 million, whichever is less.
Q: How long will it take to receive the grant?
A: The SBA plans to begin providing grants “towards the end” of this month, agency spokesman Matt Coleman said on Monday.
Q: Will the grant be provided in a lump sum or in installments?
A: The funds can be distributed in installments depending on the size of the grant and the recipient providing proof of how the funds were spent, including their 2020 federal income tax return.
Q: Are there any apps that have priority?
A: For two weeks, starting on Thursday, grant applications will first be processed for sites that lost 90% or more of their revenue between April and December 2020 due to the pandemic. For the next two weeks, priority will be given to sites that have lost 70% or more of their revenue in April-December 2020. Early next month, priority will be given to applications from sites that have lost 25% or more of their revenue. their income over a quarter of the last. compared to the same quarter in 2019.
Q: What can I use SVOG Money for?
A: Staff costs, rent and mortgage payments, utility bills, taxes, insurance, reimbursements to customers holding tickets for canceled events and other operating expenses. The funds cannot be used to buy property, make payments on loans taken out after February 15, 2020, make investments, or contribute to political campaigns. Sites have between one year and 18 months to use grant funds or return them to the SBA.
Q: What recourse is available if SBA declines my SVOG application?
A: There is no appeal process.
Q: Is the grant subject to federal tax?
Q: Can a SVOG recipient also apply for the next US bailout restaurant grant program adopted earlier this year?
Q: How does SBA define the list of “current employees” that a site must provide with the SVOG application?
A: Employees on the date of the most recent grant application or list prior to site closure due to the pandemic.