MOORHEAD — Moorhead and Clay County officials are working on providing more aid to bar and restaurant operators who have been forced to shut down again with concerns about COVID-19.
Local relief would come on top of more federal aid likely for businesses in a second, $900 billion relief bill that targets $284 billion for additional forgivable loans under the Paycheck Protection Program, renewing a program created under the CARES Act.
The bill, however, is awaiting President Donald Trump's signature.
While that federal program is expected to roll out in the coming weeks, the city of Moorhead will be refunding liquor license renewal fees, most of which have been paid already, for a six-month period.
City Manager Dan Mahli said they are working with Moorhead Public Service on also waiving utility fees for the shuttered businesses, possibly for six months.
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"It's hard, there's no other way to put it," Mahli said about bars and restaurants being shut down. In Minnesota, only takeout and outdoor dining is allowed at least until next month.
The Moorhead program would be similar to one approved by the Fargo City Commission that is costing the city about $1.2 million in the coming year.
Although restrictions on North Dakota bars and restaurants that forced them to close at 10 p.m. were lifted Tuesday, Dec. 22, there's still a 50% capacity limit in place through Jan. 8. Closing time is now 2 a.m.
The city of Moorhead already provided $1.84 million in grants to 207 businesses with 20 or fewer employees this past fall, with most receiving about $10,000 in aid through the city's CARES Act allocation.
While the city works on more assistance, Clay County Commissioner Kevin Campbell said the county provided a second round of aid to businesses while working with the city for those in the 21 to 50 employee range, as well as bigger checks to nursing homes, using federal CARES Act funding to the county.
Campbell said they are still working on how to handle a new statewide program that is providing about $216 million to businesses who are losing money in the shutdown.
He said some aid is going directly from the state to businesses.
However, based on population, he said, the county received another $1.2 million.
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"We have some homework to do," Campbell said about what the new aid can be used for as far as business relief. He said city and county officials had a first meeting this past Tuesday, with another planned for this coming Tuesday, Dec. 29.
The funds could possibly go to businesses that didn't receive direct aid from the state, which started at $15,000 for smaller businesses with under 20 employees and gradually increased, Campbell said.
Additionally, he said, they are looking at renewal fee refunds for bars and restaurants that have liquor licenses through the county
The new federal program, according to The Washington Post, has modifications to serve small businesses, independent restaurants, nonprofit organizations, churches and faith-based organizations.
There was also $15 billion targeted for the entertainment industry, including music clubs, independent movie theaters and entertainment venues in the largest public rescue of the arts and entertainment industry in U.S. history.
The legislation, The Post reported, also has PPP funding reserved for "very small" businesses, as well as lending through community-based lenders and minority institutions.
The revival of the "three-martini lunch" deduction for corporate meal expenses as a way to revive the restaurant industry is in the bill, as well as a provision that allows those who received loans in the past to have them deducted on their federal tax returns.
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