COVID - 19 Business Assistance Program Has Few Takers

What do you do when you think you have not provided enough support for businesses and in the end only a handful even apply?

That was the question Council faced on Monday evening as the Quarterly Reports were presented.

The seemingly poor response from local small business to the Moose Jaw Small Business Support Program had Council asking questions.

Initially a non-budgeted program the Moose Jaw Small Business Support Program (MJSBSP) had $150,000 earmarked to potentially provide a one time $500 grant to local small businesses. The grant program targeted smaller businesses who fell through the cracks for upper levels of government assistance.

Despite having $150,000 earmarked the program only cost the City $15,000 when 38 businesses applied. Of the 38 applicants only 30 were approved as eight were denied.

When the program was approved Councillor Dawn Luhning said the program was needed as many small Moose Jaw businesses fell through the cracks.

“I do believe there are a number of businesses that have fallen through the cracks,” Councillor Luhning said at the May 11th Council meeting , adding “it’s just a vote of confidence from us they need this one time solution.”

This past Monday evening Director of Planning Michelle Sanson said Administration was unsure more businesses never applied.

“We are not sure why we have not had more applications for that program. We are not sure why we had not as much uptake on it,” Sanson said.

When initially released the Administration report identified 315 businesses who could potentially received funding from it.

Councillor Crystal Froese asked if Administration had any plans to allocate ye remaining funding elsewhere.

“Again the people who are attending the Zoom meetings they could have a discussion with people on it,” city manager Jim Puffalt said. “I know the director of economic development (Jim Dixon) was a little bit perplexed by the number of people that applied. But we did try to make it as simple as possible (to apply for).”

Puffalt said he was also unsure why such a low number of small businesses applied.

Councillor Brian Swanson made the point the MJSBSP was not budgeted as part of the 2020 Operating Budget so it was not extra money for other programs in direct opposition to Councillor Froese’s position.

“I would hate to foster the impression there os $135,000 of City money sitting around waiting to be spent when it wasn't budgeted for,” Councillor Swanson said. “And the program only had a ten percent uptake. We should just take that for what it is and not be looking for innovative ways to spend the remainder would be my two cents on that.”