Today the Minnesota Senate passed legislation to appropriate $60 million for small businesses in crisis from the stay at home orders and coronavirus pandemic. The bill was passed with bipartisan support. The bill takes $57.6 million from the federal Coronavirus Relief Fund and $2.4 million from the Small Business Guarantee Loan program to provide relief grants to Minnesota small businesses.

“I get phone calls and emails every day from workers and small business owners who tell me heartbreaking stories about the situations they are in because of the coronavirus,” said Senator Jeremy Miller (R-Winona). “We have worked well with the governor to make sure that Minnesota is managing the public health side of the crisis, but we have to do more for Minnesota’s small businesses. This bill will provide important assistance to the corner stores and mom-and-pop shops that line main streets in every community in Minnesota.”

A business is eligible if it has a brick and mortar location in Minnesota, is owned by a permanent resident, employs 50 or fewer full-time staff, and can demonstrate financial hardship as a result of COVID-19. Once approved, eligible businesses may receive grants of up to $10,000 to use for working capital to support payroll expenses, rent, mortgage payments, utility bills, and other similar business expenses.

The bill designates $30 million to be distributed to businesses in Greater Minnesota and $30 million for distribution in the seven-county metropolitan area. At least $18 million of the funds would be designated for microbusinesses of 6 or fewer employees. A minimum of $15 million must be awarded to minority-owned, veteran-owned, and women-owned businesses.