CT $35 Million Small Business Coronavirus Grant Announced

CONNECTICUT — Gov. Ned Lamont announced a new $35 million grant program for Connecticut businesses on top of the new federal money anticipated through a second round of coronavirus relief.

Connecticut’s program will use federal CARES Act money to give grants between $10,000 and $30,000 for small and mid-size businesses that suffered due to the pandemic — there will be a focus on the hardest hit businesses including restaurants, food service, retail, lodging, entertainment and recreation. The program will likely benefit between 1,500 and 2,000 local businesses, Lamont said.

Checks will be sent out around Dec. 31, which will give hard-hit businesses funding before the next anticipated federal paycheck protection program kicks in, Lamont said.

“It’s not going to be an application process, we are going to get those checks out to you as grants,” he said, adding that the state will look at payroll, gross receipts and other factors to see who got hit the hardest.

The Connecticut Restaurant Association applauded the state program.

“This additional funding for small businesses will help hundreds and hundreds of those restaurants keep their doors open and keep more of their workers employed during the difficult winter months ahead,” said Scott Dolch, executive director of the association. “The result will be that more restaurants will be ready and able to be part of Connecticut’s economic recovery in 2021 as we finally begin moving beyond the pandemic.”

Around 60,000 Connecticut businesses got PPP loans in the first round, said state Economic Community Development Commissioner David Lehman.

Connecticut businesses should get between $3 billion and $3.5 billion in the new federal program when it passes, Lehman said.

The new federal aid package doesn’t mean Connecticut will go back into lockdown, Lamont said.

“I’m urging people to stay cautious that’s for sure, but we don’t anticipate any of these lockdowns,” he said.