A new program to support local tourism and hospitality businesses impacted by COVID-19 has launched.
The Bucks County Commissioners and Redevelopment Authority of Buck County are putting $600,000 in Municipal Grant Program funds to establish the COVID-19 Emergency Economic Rapid Response Loan Program.
Advertisements
The new loan program is targeting businesses in the tourism and hospitality industry that are dealing with the impacts of the COVID-19 outbreak and resulting temporary closing of Parx Casino in Bensalem.
Parx is a major economic driver in Lower Bucks County. Across the entire county, the hospitality and tourism industry provides 28,000 jobs.
“We know the economic impact of the COVID-19 pandemic will be very serious, and that it has the potential to ruin the hard work and dreams of business owners and their employees in Bucks County. As the county Commissioners continue to develop other economic assistance initiatives, we hope this loan program we are launching with the Redevelopment Authority can provide some immediate relief to small businesses in our community,” Commissioner Bob Harvie said.
Advertisements
The Municipal Grant Program is designed to provide funds to communities impacted by Parx Casino and derives revenue through gross terminal revenue generated at the casino. In the past, the program has not been used to fund loans for businesses, but the impact of COVID-19 mitigation efforts have put a massive strain on the local economy.
“This program is a great example of how the Redevelopment Authority can quickly and efficiently partner with county government for the betterment of the residents of Bucks County,” said Sean Schafer, chairperson of the Redevelopment Authority of Bucks County.
Advertisements
State Sen. Tommy Tomlinson, a Republican from Bensalem who crafted the legislation creating the funding stream, said the Municipal Grant Program was created to benefit local taxpayers.
“I‘m grateful our government organizations came together to help address this crisis. These critical funds will help businesses survive and sustain while we work to defeat the coronavirus,” Tomlinson said.
Jeff Darwak, the executive director of the Redevelopment Authority of Bucks County, said the COVID-19 closures have impacted every sector of the local economy.
Advertisements
The first round of the zero-interest loans are only open for tourism and hospitality businesses that have been in operating for at least two years, are currently open for business, and can demonstrate profitability. Businesses with locations in Bensalem Township, Bristol Borough, Bristol Township, Hulmeville Borough, Langhorne Borough, Langhorne Manor Borough, Lower Southampton Township, Middletown Township, and Penndel Borough qualify for the program.
The first round of the loan program runs until Friday, April 3. If there is additional funding available after the first round, the location requirement may be lifted, according to the Redevelopment Authority of Bucks County.
Advertisements
Businesses that are eligible are able to apply for a maximum loan amount of $8,000. The term of the loan will be three years with no payments due for the first 120 days.
The loan processing and fund disbursement is expected to be handled in about five days.
Advertisements
Eligible businesses can apply for the loans online.
Report a correction via email | Editorial standards and policies
Advertisements
