December 18, 2020 - On December 16, 2020, Governor Walz signed a COVID-19 economic assistance package into law that provides business assistance grants for certain businesses operating in Minnesota that were closed to the public due to Executive Order 20-99. The intent is to get the money out to qualified businesses as soon as possible, but no later than March 15, 2021.
The business assistance grants are broken into three groups: 1) eating and drinking establishments, bowling alleys, and gyms/fitness centers ($88 million); 2) movie theaters and convention centers ($14 million); and 3) county grants for other affected businesses ($114.8 million).
Types of qualifying businesses – Must be listed as a business maintained by the commissioner of employment and economic development with a North American Industry Classification System (NAICS) code of:
No employees $10,000
1-20 employees $15,000
21-100 employees $25,000
101-300 employees $35,000
Over 300 employees $45,000
The grants are based on the size of both the venue and its workforce, with a maximum grant of $500,000 per convention center. The grant money must be used for operating expenses and upkeep.
Each county will be issued a minimum of $256,250, or a per capita amount determined according to population. The county will use the funds to make grants to individual businesses and nonprofits as they decide with no minimums or maximums. Businesses that don’t qualify under group 1 or 2 may still qualify under group 3.
The grants must be awarded by March 15, 2021, and used for operating expenses.
Companies that meet the criteria for group 1 will automatically receive a check. Group 2 is less clear, but they will also likely automatically receive a check if they qualify. For group 3, the county makes the determination of who receives the grant and how much they receive, so businesses should contact their county to determine the steps needed to qualify for the grant.