CITY COUNCIL STAFF REPORT
Meeting Date: December 05, 2022
TO: THE HONORABLE MAYOR AND CITY COUNCILMEMBERS
SUBJECT: UPDATE ON THE CITY'S $500,000 SMALL BUSINESS ECONOMIC
STIMULUS INITIATIVE FUNDED BY THE AMERICAN RESCUE PLAN
ACT
SYNOPSIS
This report is an update on the $500,000 Small Business Economic Stimulus Initiative approved by the City Council with funds from the federal American Rescue Plan Act (ARPA).
DISCUSSION
The City of Pleasant Hill has received a total allocation of $8.3 million from ARPA. Roughly half of the funds were received in July 2021, and the second half was received in July 2022.
Eligible costs must be incurred between March 3, 2021 and December 31, 2026 as long as they are obligated by December 31, 2024.
On September 22, 2021, the Budget Committee recommended that Council allocate $500,000 in ARPA funding to assist the City’s businesses. On November 1, 2021, the City Council approved the allocation (Resolution No. 68-21), appropriating $500,000 in ARPA funds for business grants and other programs (“Small Business Economic Stimulus Initiative”).
Between November 2021 and November 2022, the Economic Development Committee held ten meetings to review several potential business support programs to comprise the Small Business Economic Stimulus Initiative. The table below summarizes the expenses already incurred for the Perk’s e-gift card program as well as expenditures contemplated for future programs.
ARPA SMALL BUSINESS ECONOMIC STIMULUS INITIATIVE
Pleasant Hill Perks
Program presented to City Council on
January 10, 2022. Funds spent February -
October 2022 $86,708
Social Media & Website Technical
Assistance Grant Program Presented to the ED Committee 9/13/2022 $75,000 Opportunity Sites Map Presented to the ED Committee 10/19/2022 $5,000 East Bay Jewish Film Festival Pending ED Committee Review $2,000 $168,708
Pleasant Hill Perks
The Pleasant Hill Perks e-gift card program successfully concluded on October 17, 2022 with a total of 2,698 Perks e-gift cards ranging from $5 to $100 purchased, totaling $189,770. To date, 2,310 of the e-gift cards have been redeemed, totaling $151,476 that has been spent at the 51 participating businesses.
Early next year, the Economic Development Committee will review and consider a Phase 2 relaunch of the Perks program sometime in 2023.
Economic Development Opportunity Sites Map
The Economic Development Element of the draft General Plan Update includes a recommendation to create an “Opportunity Site Map to illustrate key development opportunities” in the City. In order to fund the creation of this map, the Economic Development Committee supports an allocation of up to $5,000 from the ARPA Small Business Economic Stimulus Program. Prospective developers, brokers, and business owners wishing to invest in the City could utilize the Opportunity Site Map, which would include key undeveloped parcels as well as available spaces for lease.
Social Media and Website Technical Assistance Grant Program Staff has worked with the Economic Development Committee to developed a Social Media and Website Technical Assistance grant program that would provide grants of up to $5,000 to assist retail stores, restaurants, and personal care services to enhance their technical capacity across several categories, including:
Online purchasing and pick-up/delivery functionality. Social Media set-up and strategy (Facebook, Instagram, Yelp, Google Maps). Email listserv and survey set-up and strategy.
Business profile videos and/or professional photos that can be uploaded onto business websites and used for marketing on social media.
In order to be eligible, businesses will be required to be open to the public and have a business storefront. “Big-box” stores are not eligible. The City will publish an RFQ to identify and screen companies who could provide the eligible technical services so that merchants have a list of vendors that they can select from. Businesses will also have the option of hiring a company not on the City’s list. In order to be eligible for the grant reimbursement, businesses will be required to submit an application to the City and be pre-approved. If their application is approved, then the business would submit a request for reimbursement from the City once all eligible technical assistance has been completed.
Grants will be available on a first-come-first-serve basis and if the program is oversubscribed, staff will work with the Economic Development Committee to determine whether additional funds should be allocated to the program.
East Bay Jewish Film Festival
The organization that has organized the East Bay International Jewish Film Festival in Pleasant Hill for the past 27 years (25 years in-person and the past two years virtually) is bringing the festival back to the Pleasant Hill Century 16 movie theater from February 25th until March 2nd, 2023. The City has sponsored the event in the past and the festival organizers are asking for continued sponsorship in the amount of $2,000 in 2023.
FISCAL IMPACT
There is no fiscal impact to the City’s General Fund; the $500,000 has been appropriated by the City Council from federal ARPA funds passed through the State to the City.
PUBLIC CONTACT
Public contact was made through posting of the City Council agenda on the City’s official notice bulletin board, at the Pleasant Hill Senior Center, and at the Pleasant Hill Police Department. The agenda and staff report are posted on the City’s web page.
RECOMMENDED CITY COUNCIL ACTION
Receive update on the City’s ARPA Small Business Economic Stimulus Program.
ALTERNATIVES TO RECOMMENDED ACTION
The Council could choose not to receive the Small Business Economic Stimulus Program update on the ARPA Small Business Economic Stimulus Program. Staff does not recommend this option.
Prepared by: Zach Seal, Economic Development Manager
Approved by: June Catalano, City Manager