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A resolution amending RS2020-516 to clarify that small businesses eligible for financial assistance through Pathway Lending can use federal or state tax returns to determine eligibility and to reallocate $200,000.00 previously designated for technical assistance to an administrative fee.
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WHEREAS, on September 1, 2020, the Metropolitan Council passed RS2020-516 allocating 3,700,000.00 in federal CARES Relief Act funds to be distributed to small businesses and administered by Nashville Area Chamber of Commerce, Conexi?n Am?ricas, the Nashville Business Incubation Center, the Nashville Entrepreneur Center, and Pathway Lending; and,
WHEREAS, one of the administrators of these funds, Pathway Lending, has sought clarification as to what small businesses may be eligible for financial assistance and to the source of administrative fees; and,
WHEREAS, the COVID-19 Financial Oversight Committee seeks to clarify that both state and federal tax returns may used to determine eligibility, not just state returns; and,
WHEREAS, the COVID-19 Financial Oversight Committee recognizes that Pathway Lending requires an administrative fee to perform its functions under RS2020-516; and,
WHEREAS, there are federal requirements for use of CARES Act funds and the COVID-19 Financial Oversight Committee requires that the funds in RS2020-515 be used or distributed on or before November 15, 2020.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1: Section 12 of RS2020-516 is removed and replaced with the following:
Section 12. The Metropolitan Council directs Pathway Lending to use these funds to:
1. Provide grants of $2,000,000.00 to small businesses, ensuring that $600,000.00 of the total grant fund is set aside for microbusinesses with annual gross receipts of $250,000.00 or less, and, in accordance with the Equity Alliance's Our Fair Share report, ensuring that a minimum of 30% of the total grant ...
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