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HomeMy WebLinkAboutItem 3 Request for CARES Funding from Nonprofits and ISD 194 • • • • • October 22, 2020 Mayor Doug Anderson City of Lakeville 20195 Holyoke Avenue Lakeville, MN 55044 Dear Mayor Anderson & Lakeville City Council: The Lakeville Area Chamber of Commerce and Lakeville Convention & Visitors Bureau (CVB) request the Council’s consideration for inclusion to receive a CARES Act funding grant. As leading economic impact generators, the Lakeville Area Chamber and CVB have continued to support the businesses and hospitality community in Lakeville throughout the pandemic. As a 501(c)6 organization, the Chamber and CVB are not allowed to participate in PPP funding nor any of the state grant options. Likewise, neither meets the eligibility requirements for the Employee Retention Tax Credit. The Lakeville Area Chamber of Commerce is comprised of nearly 500 local businesses. Many of these businesses are small businesses, and do not have the time, or bandwidth, to navigate the ever- changing information related to COVID-19 business requirements and support options. The Chamber was able to quickly pivot into being an efficient and trusted COVID-19 resource for our local business community. Over the course of the pandemic, Lakeville Area Chamber staff has assisted and supported our business community in several ways, including, but not limited to: • Constant communication to all members, and non-members, with current information to help them navigate funding options, grants, opening and closing requirements, preparedness plans, PPE suppliers, childcare resources, and more. • Direct contact with individual members to: (1) connect them to local banks to apply for loans/grants, (2) serve as the liaison with UI, DEED, DLI, SBA, Dakota County, City of Lakeville and others, with which we had direct contacts, to get them needed information on unemployment benefits, grant/loan details, E.O. interpretation and more (3) coordinate and assist with mask, sanitizer and other PPE distribution. • Advocating for our local business community through regular communication about how COVID-19, and the Governor’s E.O.s, are affecting our business community, with our local and elected officials, as well as entities such as DEED and the MN Chamber. • Creating innovative ways to promote our businesses, many of whom were shuttered for a long period of time. One example is the Co-Fit 19 fitness series, in which we created an opportunity to participate in virtual workout sessions with five different fitness centers and karate studios here in town. This brand new 5-week series allowed us to promote them through several channels. In addition, we moved our March home show from an indoor event, to an outdoor, socially distanced event in the fall. This show is an important revenue generator for many of our local businesses, so the importance of re-designing and finding a way to still hold the event safely this year was crucial. • Working with partners to provide our members a constant stream of information related to navigating their business through COVID-19. To date, in partnership with the Apple Valley, Burnsville, Hastings and River Heights Chambers of Commerce, we have produced 44 Real Time Solutions webinars with topics related to funding, marketing, doing business remotely, leading and supporting your employees, limiting liability, hiring and more. This series is planned to continue weekly. We have continued to be a main source, support, and aggregator of information, even as we navigate our own sustainability, with a 24%, or $63,256 loss in budgeted revenue March 1 through September 30. Our revenue loss is directly related to COVID-19 which has resulted in the cancellation or postponement of member sponsored and attended events in addition to membership dues loss. We have been able to sustain the organization through deep cost cutting measures such as mortgage payment reduction, staff pay cuts and several other budget line item spending reductions. As a service organization, staff is our main asset, and therefore our largest single expense related to COVID-19. The pandemic-related cost of Chamber staff time from March 1 through November 15 will equal approximately $92,084. We will continue to support businesses through communication, individual assistance, program continuation and development and advocacy work. The Lakeville Convention & Visitors Bureau (CVB) has had to pivot from a being a destination marketing organization to a local resource for information and local promotion. The ways in which the CVB has supported our hospitality and tourism businesses, in addition to the support they received from the Chamber, include: • Creating, and updating, a restaurant resource page that lists hours, pick-up, delivery and menu options for restaurants in Lakeville during the shutdown and re-opening process. • Aggregating and communicating information, pertinent to our hospitality businesses, as it becomes available. • Individual and small group communication with our hospitality businesses to discuss their needs, concerns and marketing options during the pandemic. • As businesses began to re-open, pivoting our marketing strategy to a more local, within driving distance, target market. Some of the campaigns include promoting virtual experiences, itineraries for weekend getaways for several categories of travelers and “Local-eyes” marketing that focuses on “where the locals go”. • Negotiating with our marketing partners to reduce rates or suspend and re-schedule marketing campaigns that would not produce results, based on current restrictions and general climate. • Continuing to support the community, for example, coordinating to provide 250 student lunches for the summer with area restaurants and The Open Door Pantry. Consistent with the Chamber, the CVB has continued to be a constant and trusted resource for our hospitality and tourism business community, even as they too have seen a 39%, or $59,459, loss in budgeted revenue from March 1 through September 30. The CVB’s loss of lodging tax revenues is directly related to COVID-19. Deep cost cutting measures have included staff wage cuts, marketing expense reduction, and other budget line item reductions in spending. The pandemic-related cost of CVB staff time from March 1 to November 15, will equal $56,816. In addition, we will have re-purposed approximately $14,200 in advertising dollars from March 1 through November 15 to promote our area, and our amenities, as a safe tourism destination to local travelers. We greatly appreciate the City of Lakeville’s desire to help where it can. To that end, the Lakeville Area Chamber of Commerce respectfully requests $82,000 in grant funds. This amount reflects 89% of the COVID-19 related staff expense from March 1 through November 15. Dakota County has given local Chambers of Commerce the opportunity to apply for a CARES Act Grant, up to $10,000. We have applied and believe we will be receiving the full $10,000 which, if combined with the City grant, will equal 100% of our COVID-19 related staff expenses from March 1 through November 15, 2020. The Lakeville Area Convention & Visitors Bureau respectfully requests $61,000 in grant funds, to cover the above-mentioned expenses, which also includes a consumer confidence campaign directly targeting our local restaurants as we move into the winter months, and the loss of outdoor seating. Dakota County has given local Convention & Visitors Bureaus the opportunity to apply for a CARES Act Grant, up to $10,000. We have applied and believe we will be receiving the full $10,000 which, if combined with the City grant, will equal 100% of our COVID-19 related staff expenses, and the marketing expenses mentioned above, from March 1 through November 15, 2020. We greatly appreciate the ongoing partnership we have with the City of Lakeville. Thank you for what you have done to support our business community throughout the pandemic and thank you for considering the Lakeville Area Chamber of Commerce and Convention & Visitors Bureau’s request for direct CARES Act grants. Sincerely, Krista Jech President Lakeville Area Chamber of Commerce and Convention & Visitors Bureau cc: Justin Miller, City Administrator To: Mayor Anderson and Lakeville City Council From: Krista Jech, President, Lakeville Area Chamber of Commerce Date: August 21, 2020 Re: Supplemental material for CARES Act Funding Request Chamber member testimonials directly related to the Chamber’s COVID-19 support and response. I wanted to quickly drop you a note saying how AMAZING your communications have been. We have never been more proud to be a member of the chamber and that is due to the phenomenal job you and your team are doing in these uncharted waters. We are confident this will all work itself out in the end but please know your leadership and communication have been exceptional and we appreciate everything you are doing for the businesses in Lakeville. -Residential cleaning company Just a quick note of thanks and gratitude for your continued excellent work and communication through the Covid-19 situation! You and the chamber staff work your tails off throughout the year to provide great programs and value to the business community. But the past couple of weeks, you continue to go above and beyond even that high bar! Since the start of this current situation I have been nothing short of impressed with your efforts to provide good, concise information to the entire Lakeville Chamber community in very timely and prompt timeframes. We would all be spending countless hours pouring through truckloads of information trying to determine what is pertinent to each business. Knowing that you are doing that and getting out to us so quickly is amazing and appreciated immensely. -Commercial property manager The information and details you have been forwarding regarding COVID business guidelines has been very useful and is greatly appreciated! Thank you for your dedicated hard work during this challenging time. -Insurance agent I just want to take a moment to say thank you. Your email and communications through this whole pandemic has just been marvelous. I receive a lot of email and info on a lot of it from different sources, but your emails have always been very timely, informative and I actually read them. Thank you for your time and commitment to your chamber and community. You really rock at what you do. -Downtown Lakeville retail business I just want to tell you thank you so much for keeping us updated in everything. You have truly been a god send and I wanted you to know how much your info means. -Lakeville restaurant owner Thank you for all of your hard work and continuing to advocate for and support our local business community. Very blessed to have you at the helm! -Commercial developer, and real estate company I can't thank you enough!!!! You are the absolute best!!!!! -Dance studio (helped individually with the DEED grant process) I want to tell you how impressed I am with your communications. You offer information on all kinds of development opportunities, PPP, and more. -Commercial property owner I just wanted you to know how impressed I have been with all the information you provide in such a timely manner. Your e-bulletin is greatly appreciated, Each time the Governor speaks, you have a new set of "rules" to interpret and inform the membership. You are doing such a nice job. -Retired school superintendent Thank you so much for helping with funding. I couldn’t have done this without you. -Hotel owner I just want to say Thank You for all the support you are providing. Your help is needed more than ever in this special time and we are all in this together. As a starting up memory care facility, we are almost vulnerable in every aspect of the business. Yet we are being positive, preventative and supportive everyday, we will go through it together, with our residents, families, staff and the whole community. -Memory care facility owner You’re doing an amazing job of keeping everyone informed. Thank you for your hard work! -Financial advisor Thank you for the outstanding job you are doing by keeping us informed. -Tutoring facility Want to thank you and your team for getting the masks distribution set up and manning the handouts. It was a huge blessing and we appreciate it. -Flooring company Thank you for all your work in keeping our community up to date with the local and federal changes due to the pandemic. As a banker, thank you so much as well for the information you provided the community about the Paycheck Protection Program. You’ve done such a great job through all this! -Local business banker Thank you for all you do at the Chamber! We appreciate all of the extra support during difficult times. -Daycare facility You are staying active and keeping people informed. Thank you for your work. Keep it up. -Local banker Thank you for sending this out! I had no idea that this curfew has been imposed. I usually work at our school until about 10:00 on Friday nights. Thanks to your heads up, I’m heading home now! I appreciate you taking the time to be certain we all received the message! -Daycare facility (during the riots and curfews) Thanks for checking in and thanks for all the hard work the chamber staff is putting in get all the information out to us members! -Auto repair shop owner Thank you so much for the masks and for helping us find resources in the community. -Memory care facility CITY OF LAKEVILLE SMALL BUSINESS GRANT RECIPIENTS - CARES ACT FUNDING ROUND 1 AS OF 10/22/2020 Business Legal Name Business Operating Name Grant Amount The LeVon Group Inc The LeVon Group $10,000 KRaberge Inc Raberge's Leadership Martial Arts $10,000 Advanced Family Eyecare Inc Advanced Family Eyecare $10,000 Four Paws Inc Fancy Paws Pet Salon $10,000 Minnesota School of Beauty, LLC Minnesota School of Beauty, LLC $9,993.39 Exuberance Chiropractic & Wellness Center PLLC Exuberance Chiropractic & Wellness Center $10,000 South Metro Dance Arts Center South Metro Dance Academy $10,000 Wear Out The Net, Inc Wear Out The Net, Inc $10,000 Dream Nails Dream Nails $10,000 Heidi Nails MLK Corporation Heidi Nails $10,000 Northland Investment Group, LLC Snap Fitness - Lakeville $10,000 Empowered Fitness Lakeville Inc Anytime Fitness Lakeville $9,703.38 Miller Comfort Dental of Lakeville, LLC Miller Comfort Dental of Lakeville, LLC $10,000 Threads & Inks, Incorporated Threads & Inks, Incorporated $10,000 WE Swim, Inc Wise Swim School $10,000 Parlour 9 Salon & Spa, LLC Parlour 9 Salon & Spa, LLC $10,000 Hand and Stone Massage LLC Hand and Aroma Massage $10,000 Platt Dentistry, P.A.Platt Dentistry, P.A.$10,000 Chea & Monorom Investments LLC Waffle Bar $10,000 Heritage Commons Assisted Living LLC BeeHive Homes of Lakeville $10,000 Pinu Hospitality LLC Quality Inn Lakeville $10,000 Sandra Lee Kaysen Sandy's Family Childcare $5,740 Prost Hospitality, LLC Erbert & Gerbert's Lakeville $10,000 Holly's Dance, LLC Holly's Dance & Mentorship $10,000 Ann Proudfoot Studio of Dance DanceWorks $10,000 Tammy Marie Downs Tammy Marie Downs $5,700 Escape Inc Escape MSP $10,000 Pete Peterson Insurance Agency Inc.Pete Peterson State Farm $8,046 Dancecorps Inc.Ballet Royale Minnesota $10,000 Buy The Flower Inc Flora Etc $10,000 Enlighten Chiropractic PC Enlighten Chiropractic $10,000 JAMES F. LESCH DDS PA JAMES F. LESCH DDS PA $10,000 Plaza Dental PA Plaza Dental PA $10,000 Livvy Nails Spa Inc Livvy Nails Spa Inc $10,000 Princess Jewelry Inc.Princess Jewelry $10,000 MOES COUNTRY COOKING INC THE BUCKBOARD $10,000 NETWORK LOGISTICS MANAGEMENT NETWORK LOGISTICS MANAGEMENT $10,000 Board & Batten LLC Board & Batten LLC $10,000 Lake Marion Chiropractic Center P.A.Lake Marion Chiropractic Center P.A.7,361.73 Puppy Play and Stay, LLC Puppy Play and Stay, LLC $10,000 Angry Inch Brewing LLC Angry Inch Brewing $10,000 Program Total 484,694.00 Grant Agreements Total 396,544.50 Remaining Grant Funds 88,149.50 CITY OF LAKEVILLE SMALL BUSINESS GRANT RECIPIENTS - CARES ACT FUNDING ROUND 2 AS OF 10/22/2020 Business Legal Name Business Operating Name Grant Amount Lakeville Grill, Inc. Babe's Sports Bar & Grill $10,000 Meadowlawn Restaurants LLC Northern Taphouse $10,000 SGE Enterprises Erickson Custom Picture Framing $10,000 The Beauty Box LLC The Beauty Box LLC $10,000 Mainstreet Coffee Cafe, Inc.Mainstreet Coffee & Wine Bar $10,000 Remedy Bar LLC Remedy Bar LLC $10,000 Pearl Light Nails**Pearl Light Nails $10,000 Spaw 4 Paws**Spaw 4 Paws $5,337.96 Program Total 400,000.00 Grant Agreements Total 75,337.96 Remaining Grant Funds 324,662.04 **Approved; will be paid during week of Oct 26