The Minnesota Senate today overwhelmingly approved a $216.8 million emergency relief bill to help small businesses affected by Gov. Tim Walz’s most recent executive order. The relief package’s goal is speed: businesses are struggling under the weight of the Governor’s restrictions and need assistance as fast as possible. Under the agreement, the first relief checks could be mailed by the end of the month. The bill is the culmination of more than a month of bipartisan negotiations between the House, Senate, and Governor’s office.

 “The safety, health, and wellbeing of all Minnesotans continue to be our highest priority,” said Senator Carrie Ruud (R-Breezy Point). “In this unprecedented time, I appreciate the cooperation that it took to pass this bill. Minnesota families are struggling immensely. This pandemic has shut down the state and created economic uncertainty that could have never been anticipated. As a result, businesses across the state face terrible prospects, either closing their doors for good or letting off employees. Today’s legislation alleviates some of that chaos by providing financial relief as we continue to work to get Minnesota’s economy back on track. ”

  The bill provides emergency assistance in three tiers:

• Direct payments: $88 million is allocated for businesses in industries directly impacted by the executive order, including bars, restaurants, and gyms. These businesses will receive a check mailed directly to them, with no need to apply. Assistance will be broken down as follows:
  • Businesses that are down 30% in revenue and have 0-20 employees will receive a $15k check
  • Businesses with 21-100 employees will receive $25k
  • Businesses with 101-300 employees will receive $35k
  • Business with more than 300 employees will receive $45k 

• $14 million is approved for small business relief grants available through DEED. These grants are aimed at businesses like convention centers and movie theaters.

• $114.8 million in relief grants will be distributed to counties based on a per capita formula. Counties will then allocate that money to small businesses directly or indirectly impacted by the executive order. Counties will have wide latitude, but funding must be distributed by March 15.

All relief funds must be used to support payroll expenses, rent, mortgage payments, utility bills, and other similar expenses in the regular course of business.

Additionally, the legislation provides a 13-week extension of unemployment benefit payments to applicants that exhaust the balance of regular state benefits or federal benefits between December 19, 2020 and April 3, 2021.