Title
Recommendation to Authorize the City Manager to Disburse Money Donated to the Fund-Wide Alameda Strong Community Relief Campaign as Follows: 60 Percent to Small Businesses, 20 Percent to Non-Profit Organizations, and 20 Percent to Alameda Renters. (Community Development 256)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
At its May 19, 2020 meeting, the City Council approved the creation of an Alameda Strong Community Relief Fund to provide emergency grants to small businesses, non-profit organizations and residential renters economically impacted by the pandemic. Staff requests confirmation of the percentages for allocating solicited funds among the three categories of recipients. Through the Alameda Strong website, donors have the option to contribute individually to one of the three categories or to contribute collectively to all three categories. Staff recommends that the fund-wide contributions be allocated as follows: 60 percent to small businesses, 20 percent to non-profit organizations and 20 percent to Alameda renters.
BACKGROUND
On April 21, 2020, the City Council approved a $600,000 COVID-19 Small Business Relief Grant Program. The City Council expressed concern that the demand and need would far outstrip the funds available. The Council directed staff to create a special public-private partnership, soliciting tax-exempt donations from local residents, private entities and foundations to supplement the Small Grant Relief Program.
At its May 19, 2020 meeting, the City Council approved staff’s recommendations for administering the Alameda Strong Community Relief Fund and eligibility requirements for grant recipients, including small businesses, non-profit organizations and residential renters impacted by the pandemic. The City Council also directed staff to allow contributors to donate specifically to one of the three categories of aid or to make a general contribution to all three categories. While there was discussion about the allocation of the general contributions, staff is seeking clarification about the percentage disbursement of those funds.
DISCUSSION
At its May 19, 2020 meeting, the City Council approved the creation of an Alameda Strong Community Relief Fund to provide emergency grants to small businesses, non-profit organizations and residential renters economically impacted by the pandemic. Staff requests confirmation of the percentage allocation of solicited funds among the three categories of recipients.
Through the Alameda Strong website (AlamedaStrong.org), donors will have the option to contribute individually to one of the three categories or to contribute generally to all three categories. Staff recommends that the general contributions be divided with 60 percent to small businesses, 20 percent to non-profit organizations and 20 percent to Alameda renters.
The City of Alameda (City), working closely with the West Alameda Business Association and the Chamber of Commerce launched a soft opening of the Alameda Strong website on May 24, 2020. The City and business associations have designed posters, t-shirts, and other promotional material to support the campaign. Those interested in applying for grants can provide their information via the website and will be informed when applications are being solicited. To date, the Alameda Strong has collected approximately $30,000 in contributions.
ALTERNATIVES
• Authorize the City Manager to disburse the general contributions as follows: 60 percent to small businesses, 20 percent to non-profit organizations and 20 percent to Alameda renters.
• Authorize the City Manager to disburse the general contributions using a different formula.
• Authorize the City Manager to disburse the general contributions in the same ratio in which funds are received in the individual funds (i.e., if the small business fund receives 70% of the funds and the non-profit fund receives 25%, and the renters’ fund receives 5%, the general contribution funds would be disbursed consistent with those percentages).
• Direct staff to return to the City Council to determine the allocation of funding once a threshold funding level has been achieved.
FINANCIAL IMPACT
There is no financial impact on the General Fund from creating an Alameda Strong Community Relief Fund. All funding will be raised from donations. Contributions are being sent to the East Bay Community Foundation (Foundation). The Foundation will maintain and disburse funds pursuant to instructions from the City. Marketing will be paid out of the exiting budget from funds not spent due to the COVID-19 shelter-in-place order. The local business associations will assist with the work.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The Alameda Strong Community Relief Fund is consistent with the urgency ordinance declaring the local emergency. Alameda Municipal Code Chapter 2-24.2 defines a local emergency as “the actual or threatened existence of conditions of disaster or of extreme peril to the safety of persons and property within this jurisdiction… requiring the combined forces of other political subdivisions to combat.”
ENVIRONMENTAL REVIEW
The Alameda Strong Community Relief Fund is exempt from review pursuant to California Environmental Quality Act Section 15378 (not a project); and Section 15061(b)(3) (no significant environmental impact).
CLIMATE IMPACTS
Creating and administering an Alameda Strong Community Relief Fund does not generate adverse climate impacts.
RECOMMENDATION
Authorize the City Manager to disburse money donated to the fund-wide Alameda Strong Community Relief Campaign as follows if the donor does not designate to a specific Fund: 60 percent to small businesses, 20 percent to non-profit organizations and 20 percent to Alameda renters.
CITY MANAGER RECOMMENDATION
The City Manager concurs with the Community Development Director recommendation.
Respectfully submitted,
Debbie Potter, Community Development Director
By,
Lois Butler, Economic Development Manager
Financial Impact section reviewed,
Nancy Bronstein, Human Resources Director and Interim Finance Director
cc: Eric Levitt, City Manager