Monterey and Marina approve citywide stimulus plans.

The dollar figure might not look like much compared to the federal CARES Act (Coronavirus Aid, Relief, and Economic Security), which started at $2 trillion with the Senate approving yesterday another $484 billion aid package. 

But those federal funds can be hard to come by. On a municipal scale, both Monterey and Marina are putting up cash for stimulus programs of their own. 

Monterey City Council voted 5-0 Tuesday night to approve a $1.6 million plan, reallocating funds to be available specifically for Covid-19 relief.

One $1 million fund is available for small business owners. "The objective is to rescue businesses from permanent closure and provide some monetary assistance to reduce the 'give-up factor' wherein small businesses struggle, give up hope and shutter permanently," according to city Finance Director Lauren Lai's report to city council. 

The city will partner with the Monterey Peninsula Chamber of Commerce, the Community Foundation for Monterey County and Monterey County Convention and Visitors Bureau to operate this fund, process business' applications and award money. 

(The Community Foundation's own Covid-19 relief fund has raised $2.4 million in donations, and has granted $1.4 million so far to local nonprofits.)  

Monterey City Council also approved a $600,000 rental payment assistance program for Monterey residents or Monterey workers who lost their jobs (they do not need to live in Monterey).

Marina City Council voted 5-0 Tuesday night to approve two similar funds: $100,000 each for loans to residents of Marina, and for loans to Marina business owners. 

The residential loans will be available to residents who earn 80 percent of the median income or less; businesses must have 10 employees or less.

"The city does not have unlimited resources. In fact, the city’s resources will be substantially curtailed as the whole community's economic resources diminish. However, the intent of this program is to provide a lifeline, particularly to those who may not easily or at all qualify for other programs," according to a report on the loan program from City Manager Layne Long to Marina City Council.

"It's fantastic that cities are taking on the role of assisting small businesses, especially because federal SBA loans have not come through for a lot of people, says Kimbley Craig, president/CEO of the Monterey County Business Council. "Something is better than nothing." 

Seaside and Salinas are also both exploring how to create similar stimulus funds. 

Monterey County also has created an emergency microloan fund, being operated by California Coastal Rural Development Corporation. Small businesses suffering from losses related to the Covid-19 pandemic can apply for up to $25,000 at a reduced interest rate, with payments deferred for up to nine months. The county has about $661,000 in funding available on a first-come, first-serve basis (enough for about 25 businesses).

Eligible businesses must have annual revenue of no more than $2 million and between two and 10 employees. Applications are due by May 15, and require a written plan describing how the funds will be spent. (To learn more and to apply, visit calcoastal.org or call 424-1099.) 

In the past month, the County Board of Supervisors has also approved $500,000 in assistance directly to the Food Bank for Monterey County, which has seen a dramatic increase in demand during the shutdown. Normally, the county gives $60,000 annually to the food bank.