Directs DCA to establish grant program for suburban and rural small businesses to respond to COVID-19 pandemic; appropriates $6 million.
One of the key aspects of A2593 is its focus on assisting small businesses that were previously ineligible under the existing 'Small Business Lease - Emergency Assistance Grant Program.' This earlier program was limited to businesses located in specific urban municipalities, leaving a notable gap in support for suburban and rural areas. By allowing businesses in a broader range of municipalities to apply for assistance, A2593 is set to bridge this gap and promote economic stability across the state during the ongoing effects of the pandemic.
Assembly Bill A2593 establishes the 'Suburban and Rural Small Business Lease - Emergency Assistance Grant Program' within the New Jersey Department of Community Affairs (DCA). This program is designed to provide critical support for small businesses located in suburban and rural municipalities that have faced financial hardships due to the COVID-19 pandemic. It aims to assist these businesses with their rent payments and offers grants up to $10,000 per applicant. The program is funded by an appropriation of $6 million from the state's share of the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act funding.
While the bill is primarily aimed at supporting small businesses, it does raise some points of contention regarding eligibility. The requirement that businesses must have occupied a leased space of less than 5,000 square feet and have been operational prior to March 1, 2020, may exclude some smaller or newly established businesses that are in need of assistance. Critics may argue that such restrictions could limit the program's reach and effectiveness in addressing the full scope of challenges faced by small business owners during this crisis.