ARPA money allotted for non-profits, small biz

Ten million dollars in American Rescue Plan Act funding has been set aside for non-profit organizations, while $20 million in ARPA money has been allocated to assist small businesses, according to Finance Secretary David DLG Atalig last week.

Speaking at a press briefing, Atalig said they will be awarding these ARPA money in the next couple of weeks.

He said that under Section 602A in ARPA funding, they have set aside about $10 million for non-profit organizations so these organizations shall submit their request for financial assistance to the governor’s office. Atalig said he asked non-profit organizations to give him copy of their request so that he is aware which groups are seeking ARPA financial assistance.

Atalig said most of those non-profit organizations have requested in some form or another for help on meeting their payroll, as well as helping their volunteers or employees continue to work so that they can continue with their programs and services. “And we support that,” he said, adding that they have already received about 10 to 12 non-profit applications.

Atalig said they’re just about to award non-profit organizations with assistance in the next couple of weeks.

For private contractors that have been loading equipment or other items related to the fight against the pandemic at the seaports or airports, Atalig said they have allocations in ARPA as well—both what is given to the territory and what is in the overall ARPA law.

Atalig said these contractors from private businesses have opportunities to apply for very low, if not almost zero, interest rates for financial assistance using ARPA funds. He said they have allocated about $20 million to help small businesses that want to apply.

“Of course, they have salary, premium pay requests that will be the avenue for them to seek,” the secretary said.

Atalig said they will be rolling out a program in the next couple of weeks as well, helping small businesses boost their businesses with some financial aid from ARPA.

He said the Commonwealth Economic Development Authority, formerly the Commonwealth Development Authority, also has funds available to assist small businesses.

The secretary said the Marianas Public Land Trust is also helping out small businesses.

“If it’s giving their people premium pay or helping them comply with any business and regulatory requirements, whether it’s having plexiglass or helping them with social distances requirements, there‘s funding to help them,” he said.

As to the question if there is funding that would go to the workers and not just to the company owners’ pocket, Atalig said companies have to submit their spending plan—their application and justify their requested amount, and what they’re going to do with it. He said companies are going to be held accountable for what they have requested. Atalig said if the companies requested for premium pay, they are requirements for them to comply. In essence this is a subrecipient grant and businesses are going to have some requirements that they’ll need to comply with, or else they’ll be required to return those funds.

“That needs to be related to COVID and what are they doing to mitigate and provide their services to help the community through these trying times,” he added.