Agenda Item No. 8
CITY COUNCIL STAFF REPORT
TO: Honorable Mayor and City Council DATE: April 14, 2025 FROM: Matthew Bronson, City Manager
PREPARED BY: Matthew Bronson, City Manager
SUBJECT: West Grand Avenue Business Grant Award Recipients
RECOMMENDATION
Adopt a Resolution approving the list of recipients recommended for the West Grand Avenue business grant program and direct staff to disburse funds to recipients by April 30, 2025.
BACKGROUND
On January 27, 2025, the Council established a one-time grant program for businesses in the West Grand Avenue streetscape construction project work zone. Though the project construction is specifically on West Grand Avenue between 4th Street and 8th Street, the project work zone and traffic control measures cover a broader area on West Grand Avenue from Highway 1 to 10th Street. This grant program was established as a result of the Council’s desire to help businesses within this project area who have been experiencing loss of sales during the project construction time through providing direct City financial assistance. Public funding for business support must be strictly limited to circumstances with a clearly defined and specific public purpose to avoid setting broader precedents. The extraordinary nature of this construction project and its prolonged effects on specific businesses created the narrowly defined situation that justified the Council’s approval to provide such assistance.
Program Overview
Pursuant to Council action, the grant program was set up similar to the City’s previous grants implemented during the COVID-19 pandemic and funded through a mix of City and federal funding where the City worked with the South County Chambers of Commerce (Chamber) in coordinating, promoting, and administering this program. The Chamber created an online application form that businesses could complete and submit similar to the online applications used for the previous grants. Any business in the project area including one block proximity from West Grand Avenue was eligible to apply with a recommended priority given to businesses that are public-facing such as restaurants, cafes, and personal care services. The City is reimbursing the Chamber’s administrative costs for this program for up to $5,000.
The maximum grant amount was set at $2,000 and is intended to cover employee costs, rent, utilities, or other operating expenses. The Council originally allocated $40,000 in funding for this grant program though subsequently approved an additional $20,000 at the March 10th meeting for a total of $60,000 to fund more businesses through this program.
Application Process and Recommended Recipients
The grant application period opened on February 14 and remained open through March 7 with an online application available on the Chamber’s website. The application process was promoted Staff Report: West Grand Avenue Business Grant Award Recipients Page 2 April 14, 2025
through both the Chamber’s and City’s social media platforms and websites along with distribution of flyers to businesses in the project area. Applicants were asked to include documented examples of financial hardships which would be the primary criteria for determining grant awards and to provide proof of a valid Business Tax Certificate. A total of 56 applications were received for this program which were reviewed by the City-Chamber review committee. The committee consisted of the following individuals:
• Council Member Jules Tuggle
• Chamber CEO Jeff Chambers
• Chamber Board Member and Business Owner Peggy Hoobery • Grover Beach Resident Heidi Boatman
• Grover Beach Resident Stacy Salame
The two Grover Beach residents were identified and contacted by Mayor Dee in consultation with Council Member Tuggle. City Manager Bronson and Assistant City Manager Eriksson also assisted the committee as City staff to provide information about the scope and construction activity related to the streetscape project:
The committee met on March 17 to review the applications and determine the grant awards. As a result of the deliberation, the committee recommended that 18 applicants each receive $2,000 in grant funding with another 16 applicants recommended to each receive $1,500 in grant funding.
The list of the recommended 34 grant recipients is shown in Attachment 2. The committee prioritized public-facing businesses, particularly with walk-up customers most affected by construction impacts, along with businesses with demonstrated financial hardships related to the City’s construction project in determining its funding recommendations. The committee further differentiated among the 34 recommended recipients by granting $2,000 to businesses perceived by the committee to be most directly affected by actual construction activity (e.g. driveway access, parking limitations, etc.) and $1,500 to businesses perceived to be primarily impacted by reduction in customer traffic to this section of West Grand Avenue.
Pending Council’s approval of the recommended grant recipients, the City will disburse the funding by check to the recipients. The recipients will be required to submit a grant reporting form to the City by June 30 that indicates how the funding was spent.
FISCAL IMPACT
The fiscal impact of this program is estimated to be $65,000 including up to $5,000 in reimbursable administrative costs to the Chamber. The funding for this program was allocated by the Council as a FY 2024-25 mid-year General Fund budget modification.
ALTERNATIVES
The Council has the following alternatives to consider:
1. Adopt a resolution approving the list of recipients recommended for the West Grand Avenue business grant program and direct staff to disburse funds to recipients by April 30, 2025; or
2. Do not approve the list of recipients recommended for the grant program; or
3. Provide alternative direction to staff.
Staff Report: West Grand Avenue Business Grant Award Recipients Page 3 April 14, 2025
PUBLIC NOTIFICATION
The agenda was posted in accordance with the Brown Act. All applicants have been notified about the committee’s recommendation.
Attachments
1. Resolution; Exhibit A - Recommended Grant Recipients RESOLUTION NO. 25-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GROVER BEACH,
CALIFORNIA, APPROVING RECIPIENTS FOR A ONE-TIME BUSINESS
ASSISTANCE GRANT PROGRAM FOR BUSINESSES IMPACTED BY THE
WEST GRAND AVENUE STREETSCAPE PROJECT
WHEREAS, the City of Grover Beach (“City”) is undertaking the West Grand Avenue Streetscape Project from 9th Street to Highway 1, representing the most extensive single-street improvement project in the City’s history; and
WHEREAS, this extraordinary infrastructure project has involved complex utility work, including both planned storm drain installation and emergency responses to multiple water main breaks, along with substantial paving requirements to accommodate daily traffic volumes of 15,000-20,000 vehicles; and
WHEREAS, the unprecedented scope and duration of this project has resulted in unique and substantial impacts to businesses located within and adjacent to the project area through restricted access, disrupted operations, and decreased customer traffic; and WHEREAS, in recognition of the extraordinary circumstances of this specific project along with the distinctive hardships for affected businesses, the City Council on January 27, 2025 established a one-time West Grand Avenue Business Assistance Grant Program; and WHEREAS, any public funding to support private businesses must be strictly limited to circumstances with a clearly defined and specific public purpose to avoid setting broader precedents; and
WHEREAS, the City Council found in establishing the grant program that maintaining the economic vitality of the West Grand Avenue corridor during and immediately following this unprecedented public infrastructure project serves a specific and narrow public purpose; and WHEREAS, the grant program parameters included individual grants not exceeding $2,000, grant eligibility limited to businesses with valid Business Tax Certificates with priority consideration for public facing businesses, documentation of financial hardship related to the construction project, final approval of grant recipients by the City Council, and program funding coming from the General Fund; and
WHEREAS, grant awards of $2,000 were recommended for businesses most directly affected by actual construction activity and grant awards of $1,500 were recommended for businesses primarily impacted by reduced customer traffic to this section of West Grand Avenue.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Grover Beach, California as follows:
1. The City Council hereby approves the list of corresponding recipients and amounts, attached hereto as Exhibit A and incorporated by reference, as recommended by the City-Chamber review committee.
Attachment 1
Resolution No. 25- Page 2
2. The City Manager or designee is hereby authorized and directed to:
a. Disburse grant funding to the recipients identified within Exhibit A. b. Notify the recipients about the requirement to submit a grant reporting form to the City by June 30, 2025, documenting how the funding was spent. c. Provide reimbursement to the South County Chambers of Commerce for costs incurred during program administration in an amount not to exceed five thousand dollars ($5,000.00).
d. Take all other actions reasonably necessary, and consistent with Council’s intent, to fulfill implementation of the program.
3. This Resolution shall take effect immediately upon its adoption.
On motion by Council Member _____, seconded by Council Member ____, and on the following roll-call vote, to wit:
AYES: Council Members –
NOES: Council Members –
ABSENT: Council Members –
ABSTAIN: Council Members –
RECUSED: Council Members –
the foregoing Resolution was PASSED, APPROVED, and ADOPTED at a regular meeting of the City Council of the City of Grover Beach, California this 14th day of April 2025.
KASSI DEE, MAYOR
Attest:
WENDI B. SIMS, CITY CLERK
West Grand Avenue Business Grant Program
Recommended Grant Recipients
Column1 BUSINESS NAME TYPE OF BUSINESS ADDRESS GRANT AMOUNT 1 Beach Pizza Restaurant pizza 960 West Grand Avenue $ 2,000.00 2 Bunn Thai Bistro Restaurant 968 West Grand Avenue $ 2,000.00 3Coastal Tires Tireshop 792 West Grand Avenue $ 2,000.00 4 Cole Linen and Laundry Laundromat 360 West Grand Avenue $ 2,000.00 5 El Taco Del Mar RESTAURANT 750 West Grand Avenue $ 2,000.00 6 Empower Yoga Health and Fitness 755 West Grand Avenue $ 2,000.00 7 First Class Seconds Retail 141 North 6th Street $ 2,000.00 8 Grover Beach Trading Company Retail 151 North 7th Street, Suite 5 $ 2,000.00 9 Izakaya Raku Japanese restaurant 953 West Grand Avenue $ 2,000.00 10 Julia's Juice Bar Juice Bar/ Cafe 960 West Grand Avenue, Suite F $ 2,000.00 11 Divine Thai RESTAURANT 501 West Grand Avenue $ 2,000.00 12 Lil' Bits Café Restaurant 151 North 7th Street $ 2,000.00 13 PathPoint Disability Services Provider 775 West Grand Avenue, #C $ 2,000.00 14 Pura Minerva Esthetician 160 North 7th Street, Unit A $ 2,000.00 15 Red Chair Barbershop Barbershop 583 West Grand Avenue $ 2,000.00 16 Salt and Sand Retail swim resort wear 178 South 4th Street, Suite 102 $ 2,000.00 17 The Planted Parlour, LLC Retail Plant Nursery 592 West Grand Avenue $ 2,000.00 18 The Pottery LLC Pottery Business 957 West Grand Avenue $ 2,000.00 19 CCBeautymark Beauty & Wellness 866 West Grand Avenue $ 1,500.00 20 Clover Honeysuckle Miscellaneous 480 West Grand Avenue, Suite C $ 1,500.00 21 Coastal Vibes E-Bike Rental & Retail 170 West Grand Avenue, Suite 102 $ 1,500.00 22 Fade-0-5 Barber Barbershop 480 West Grand Avenue, Suite A $ 1,500.00 23 Grover Station Grill Food/Beverge 170 West Grand Avenue, Suite 101 $ 1,500.00 24 Heidi’s Suite Beauty 160 North 7th Street, Unit A $ 1,500.00 25 LZ Hair Designz Hair Salon 636 West Grand Avenue, Suite A $ 1,500.00 26 Masterpiece Hair Studio/Masterpiece Hair Solutions Hair Salon 855 West Grand Avenue $ 1,500.00 27 Nail Nook Nail Salon 480 West Grand Avenue $ 1,500.00 28 Pono Pacific Kitchen Full Service Restaurant 228 West Grand Avenue $ 1,500.00 29 Red Bee Coffee coffee shop 278 West Grand Avenue $ 1,500.00 30 Shell Beach Floral Design Retail Flower Shop 260 West Grand Avenue $ 1,500.00 31 Sink Or Swim Tattoo Shop 951 West Grand Avenue $ 1,500.00 32 Surfs Up Cuts Barber shop/salon 235 West Grand Avenue $ 1,500.00 33 The Grooming Nook Pet Grooming 775 West Grand Avenue, Suite B $ 1,500.00 34 The Spoon Trade Restaurant 295 West Grand Avenue $ 1,500.00 TOTAL $ 60,000.00
Exhibit A