KANSAS DEPARTMENT OF COMMERCE CDBG-CV PROGRAM
Community Development Block Grant (CDBG) funds are an important tool in supporting small Kansas communities. Now, as communities come together in their response to COVID-19, additional CDBG resources are being made available through the CDBG-CV program. CDBG-CV Economic Development grants provide communities with funding to help local businesses retain jobs for low-to-moderate income people.
To be eligible to receive a CDBG-CV Economic Development grant, the recipient business must be a for-profit business and retaining jobs for low to moderate-income people. 51% or more of the full-time equivalent (FTE) jobs retained must be for persons from low to moderate-income households as defined by HUD.
- LMI worksheet requirement:
- All employees that are at risk of not being retained by the employer if funding is not received MUST COMPLETE THE LMI WORKSHEET.
- For the business to be eligible 51% of these employees must qualify as an LMI employee - per the worksheet.
- For example: If a business has 30 employees, but 20 of these employees are not at risk of losing their jobs regardless of grant funding. These employees qualify as BASE EMPLOYEES. However, the remaining 10 employees could potentially be at risk if funding is not received. These are categorized as RETAINED EMPLOYEES. Per Grant requirements all RETAINED EMPLOYEES must complete the LMI worksheet. This worksheet is based on the TOTAL HOUSEHOLD INCOME (Using the 2019 tax return Adjusted Gross Income number of the total household). If 51% of the RETAINED employees meet LMI qualifications, then the business would be eligible.
- Per the CARES Act, a business cannot receive duplicate funding.
- Therefore any business that RECEIVED funding from the Economic Injury Disaster Loan (EIDL), SBA Loan Deferral funding, or other CARES act funding are not eligible. PPP funding will not automatically disqualify a person from this grant. However, this grant can only be used for Inventory purchases if a business received PPP funding.
- Businesses with five or fewer employees (including the owner) are eligible to receive up to $25,000 in CDBG-CV Economic Development grant funding.
- Businesses with between six and 50 employees are eligible to receive up to $35,000 in CDBG-CV Economic Development grant funding.
CDBG-CV Economic Development grants can be used to pay for the following expenses:
- Working capital such as wages, utilities, rent, etc.
- The purchase of 60 days’ worth of inventory needed to reopen (60 days will begin on the day the business is allowed to reopen).
- Invoices and receipts must be submitted prior to funding being disbursed.
Montgomery County, Coffeyville, and Independence have all received funding for the Economic Development funding program.
APPLICATIONS OPENED ON JUNE 24, AND ARE DUE JULY 19TH.
To complete your application process, please download the REQUIRED LMI EMPLOYEE CERTIFICATION WORKSHEET (Step 1). All "retained" employees must complete this, and can CONFIDENTIALLY submit this form to Admin@actioncouncil.com. They do not have to return this form to their employer. Once we have all LMI worksheets to match the total number of employees on the application, your application will be considered complete.
If the total number of employees differs from the number of LMI worksheets we receive, we also must have a letter from the business owner certifying which employees are "base" employees and which employees are "retained" employees, to ensure that we follow the CDBG-CV guidelines and your business does meet the 51% LMI requirement.
CONFIDENTIALLY EMAIL THESE WORKSHEETS IN PDF FORMAT TO: email@example.com
APPLICATIONS RECEIVED WITHOUT CORRESPONDING LMI EMPLOYEE CERTIFICATION WORKSHEETS WILL NOT BE ELIGIBLE FOR FUNDING!