City of Sammamish Small Business and Nonprofit Support Grants

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The grant application for small businesses and not-for-profit organizations is here. The deadline for applications is Sunday, November 29, 2020. Please see the FAQ below if you have any questions.

 

 

About

The City of Sammamish is committed to helping its small business and nonprofit community recover from the COVID-19 crisis. Sammamish City Council has dedicated $400,000 in funding for a second round of support grants to help local small businesses and nonprofits respond to impacts from the pandemic, begin to reopen, and expand operations.


Grant Details

Application Period: The application will open on 9:00 a.m. Monday, November 2, 2020 and close on 11:59 p.m. Sunday, November 29, 2020.

Businesses and nonprofits that meet the minimum eligibility criteria and submit complete applications before the application period closes will be eligible to receive a grant of between $1,000 and $15,000.

Grant funding will be distributed to eligible applicants based on need and available funding. Depending on the number of applicants, the City may select recipients through a lottery.  

Applicants will be notified of funding by December 18, 2020. 

If awarded, grant recipients will be required to enter into a grant agreement with the City of Sammamish and provide documentation of eligible expenditures before the grant funds will be released. Grant recipients will also be required to submit a W-9. 

Grant funds may be considered taxable income. Please consult with your financial advisor for guidance. A 1099 will be issued to grant recipients as required by the IRS.

 

Eligibility

Eligible small businesses and nonprofits must meet the following minimum criteria:

  • A maximum of 25 Full-Time Equivalent (FTE) employees;
  • Located within Sammamish City limits;
  • An active Sammamish Business License;
  • Been in operation since June 1, 2019;
  • Sustained a 25% or greater loss in second quarter year-over-year revenues;
  • Nonprofits must be registered as a 501(c)(3) with the IRS; and
  • Cannot be owned or partially owned by a current City of Sammamish employee or Councilmember or an immediate family member of a current City of Sammamish employee or Councilmember.

 

Expenses

Allowable Expenses

Small Business and Nonprofit Support Grants may only be used for the following allowable expenses incurred between :

  • Rent or mortgage payments for the business/nonprofit location for time where the business/nonprofit was closed or partially closed
  • Wages, taxes, and benefits not already reimbursed by other grants or loans
  • Personal protective equipment, sanitizing supplies, or other expenses necessary to implement physical distancing (plexiglass barriers, etc.)
  • Typical operating costs and expenses
  • Typical draw or wages on a regular interval to owner consistent with those paid in previous intervals.
  • For nonprofits: the costs of providing COVID-19 related services to Sammamish residents.

Grant recipients will be required to provide reporting and documentation on how these funds were spent.

 

Unallowable Expenses

Small Business and Nonprofit Support Grants may not be used for unallowable expenses - some examples include:

  • Expenses incurred prior to March 1, 2020 or after November 30, 2020
  • Expenses considered ineligible business expense by IRS
  • Political contributions
  • Bonuses to owners or employees
  • Wages to any member of owner’s family (not a bona fide employee)
  • Charitable contributions
  • Gifts or parties
  • Travel
  • Draw or salary to owner that exceeded the amount that they were paid on a weekly or monthly basis for the same period last year
  • Pay down or pay off debt by more than required in underlying debt instrument
  • Any expenses related to activities prohibited under COVID-19 guidelines, state, federal, or local law

 

Application Process

Application Period: The application will be available from 9:00 am Monday, November 2, 2020 to 11:59 p.m. Sunday, November 29, 2020.

Get Ready to Apply:

  1. Confirm your business’s or nonprofit's eligibility
  2. Collect information needed for application:
    1. Legal name of your business/nonprofit
    2. UBI Number
      1. To view a copy of your business license, visit the Department of Revenue
    3. Calculate your business’s or nonprofit's Full-Time Equivalent (FTE) employees.
      1. To calculate FTEs: Add up the average number of hours paid per week for all employees. Divide that number by 40. Round to the nearest tenth. Visit this website for a calculator.
    4. A list of grants or loans provided to your business during the COVID-19 crisis and the amount awarded (examples: PPP, EIDL, Working Washington grant, etc.)
    5. Calculate your business's second quarter (April 1 - June 30) year-over-year revenue change percentage.
      1. To calculate your revenue change, subtract 2019 second quarter revenues from 2020 second quarter revenues. (You will get a negative number if you had a decrease in revenue.) Divide your loss amount by total 2019 second quarter revenues. This is your percentage decrease in revenues for the second quarter. See FAQ below for examples. 
  3. Develop a plan for how your business will use the grant money. In 250 words or less, you will be asked to explain the effect of the public health crisis on your business, how grant funds can help, and why funding is critical to the business.
  4. Collect receipts, invoices, and other documentation to support your business's or nonprofit's eligible expenses. You will be asked to list all of your business's or nonprofit's eligible expenses between March 1, 2020 and November 30, 2020. (Be sure to include eligible expenses you expect to have between the time you submit your application through November 30, 2020.)
  5. Submit your application between 8:00 am Monday, November 2, 2020 and 11:59 pm Sunday, November 29, 2020

 

Questions? We are here to help! See our Frequently Asked Questions (FAQ) below or contact grants@sammamish.us

 

Privacy Information

This application and any supporting documentation are considered public records and may be subject to public disclosure under Washington’s Public Records Act, chapter 42.56 RCW.

 

Frequently Asked Questions (FAQ)

FAQs will be answered and updated throughout the open application period. 

 

My business received other COVID-19 federal funding. Are we still eligible for a Small Business/Nonprofit Support Grant from the City of Sammamish?

Yes, but funding from these sources cannot pay for the same expenses as the City of Sammamish grant funding. Please include information about your additional federal funding in your grant application. 

How many employees can we have and be eligible for a grant?

Your total number of employees may not exceed 25 Full-Time Equivalent employees (FTEs). To calculate FTEs: Add up the average number of hours paid per week for all employees. Divide that number by 40. Round to the nearest tenth. Visit this website for a calculator.

I don't have any employees (or I work with independent contractors only). Could I still apply?

Yes, you don't need to have employees to qualify for the grant program. 

We have a location in Sammamish, but our main office is not in Sammamish. Are we eligible?

Your business must have an active Sammamish business license and no more than 25 FTEs across all of your business locations. 

My business is a nonprofit. Can we apply for this funding? 

Yes, this round of support grants includes nonprofit organizations.

How do I get a Sammamish business license?

If you received an email from the City notifying you of the second round of the grant program, you already have a Sammamish business license. A City of Sammamish business license is an endorsement on your State of Washington business license. You can look up your State of Washington business license here, and see how to apply for a Sammamish business license endorsement here

My business already received a grant from the City of Sammamish during the first round of grants. Am I eligible to apply again?

Yes. New eligible applicants will take priority for grants up to $10,000. If there is still funding available, both new and returning eligible applicants can qualify for an additional grant, up to $5,000. Eligibility for the additional grant is based on need, so you will need to demonstrate allowable expenses over $10,000 to qualify. 

Are the grants first-come first-service?

No. We will compile all the applications at the end of the application period and determine funding. The date you submitted your application during the open period in November will not factor into whether you receive a grant, or how much you receive.

Do I need to have had a loss in revenues to be eligible for a grant?

Yes, you will need to have a 25% or greater decrease in your second quarter year-over-year revenue.

To calculate your revenue decrease, use the same revenue you have/will report to the IRS for the time periods April 1 to June 30, 2019 and April 1 to June 30, 2020. (For nonprofits, your IRS revenue is the total amount reported in Part VIII Statement of Revenues on your nonprofit's Form 990.)  Please note that because you are only using second quarter revenue, your amounts will NOT match the total revenue you report on your annual IRS forms.

Subtract 2019 second quarter revenues from 2020 second quarter revenues. Divide the result by total 2019 second quarter revenues. This will be your change.

  • For example, if your 2019 second quarter revenues were $20,000 and 2020 second quarter revenues were $15,000, subtract $20,000 from $15,000 to get -$5,000. Divide -$5,000 by $20,000 to get -.25. Your percentage change is -25%.
  • Further examples: If 2019 second quarter revenues were $164,678 and 2020 second quarter revenues were $108,687, subtract $164,678 from $108,687 to get -$55,991. Divide -$55,991 by $164,678 to get -.34, or a 34% decrease. If 2019 second quarter revenues were $35,000 and 2020 second quarter revenues were $8,750, your 2020 second quarter revenues decreased 75% from last year. 

 

If we didn't answer your question(s), please email grants@sammamish.us. We will respond within two business days.