At a worksession on July 15 Greenbelt Economic Development Coordinator Charise Liggins updated the Greenbelt City Council on the status of the city’s economic challenges and strategies as it contends with the COVID-19 pandemic. She focused on business recovery, offering recommendations, along with a proposed fund to provide capital grants to struggling businesses.
When asked by Councilmember Emmett Jordan about the current state of business, Liggins replied that an exact summary was difficult to provide as the situation changes so frequently. Her goal is seeking how to move forward with businesses devastated by the unexpected crisis.
Response to the pandemic has been a mixed bag, with some businesses able to pivot to new approaches and being proactive in their search for assistance and response to outreach, while others are not. Currently, Greenbelt has 2,570 businesses, making contacting all a daunting task.
In their outreach efforts, staff have used a mixture of phone, video and online assistance, such as a COVID-19 Resource for Businesses on the city’s Economic Development web-site, which is updated as new resources become available.
Since last checking, Liggins said that unemployment was at 4.1 percent. Greenway Center and Beltway Plaza are open once again, yet both suffer from store closures and reduced traffic.
Councilmember Silke Pope suggested revisiting the idea of forming an economic development advisory committee that could aid in business outreach and support. Councilmember Judith Davis furthered the idea by suggesting two separate groups: a chamber of commerce (or round table, said Jordan) that would allow communication among businesses, and a citizen advisory group that would largely assist council. Liggins was amenable to the ideas, having been thinking along the same lines.
Inspired by the International Economic Development Council’s toolkit, Liggins laid out a list of both short-term (6 to 12 months) and long-term (12 to 18 months) recommendations for economic recovery. The short-term recommendations include continuity planning; technical assistance; connecting to city, county, state, federal and private resources; a Greenbelt Improvement and Recovery Fund; creation of a business advisory board (as mentioned above); promoting of local businesses; and support for emerging businesses and entrepreneurs. Long-term recommendations include strategic planning for disaster recovery; an economic impact study; and development and implementation of a marketing strategy. Council was grateful for this comprehensive and useful game plan.
Liggins presented a memorandum outlining a proposed Greenbelt Business Improvement and Recovery Fund, in response to council’s request. With funds from a county CARES Act grant, $300,000 would be earmarked and distributed in $5,000 grants, to help local nonprofit and small businesses that have been impacted by the pandemic, including sole proprietorships, self-employed individuals, independent contractors and cooperative businesses. Applications would be reviewed by an independent committee consisting of one representative each from city staff, a local financial institution, a local business person (not eligible for the grant program) and the Prince George’s County Economic Development Corporation. Applications will require the following information: W-9, proof of business address, 2019 income statement or business tax return, 2020 year-to-date income statement and a completed business recovery and reopening plan that will outline use of funds for reopening and future continuity, as well as information on things such as number of employees, business industry and previous requests for assistance.
Davis had a misgiving concerning the $5,000 amount, feeling that it was insufficient for any substantial long-term aid and suggested perhaps a range of awards be allowed. Councilmember Rodney Roberts countered that a truly small business, say with fewer than 100 employees, would find the amount effective. Liggins stated that keeping the amount to $5,000 was important in terms of administrative concerns.
Jordan posited the idea of perhaps making the money a loan if a business was in the position to pay it back before a 6- or 12-month period, thus making more funds available for distribution. Liggins was unsure if this option is possible under funding guidelines.
Yet, council was enthusiastic about the proposal, and eager to vote on it at their August meeting and to have it up and running by September, as long as the application process was streamlined and the selection equitable and just.