Businesses eligible to apply for COVID-19 Hospitality Industry Recovery Program starting March 15

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HARRISBURG, Pa. (WHTM) — Governor Wolf held a press conference Tuesday to highlight the COVID-19 Hospitality Industry Recovery Program (CHIRP) and the efforts to distribute funds to affected business owners.

“For so many businesses in the hospitality industry, taking the necessary steps that keep employees and patrons safe directly hurts their bottom line. After all the hardships businesses have endured, and all of the work they have done to keep their communities safer, they need and deserve our help,” Gov. Wolf said. “The COVID-19 Hospitality Industry Recovery Program will provide immediate relief to these businesses and I urge them to apply as soon as the program opens in their county.”

This announcement comes a day after Wolf lifted some of the COVID-19 mitigation efforts, including lifting out-of-state travel restrictions and raising indoor and outdoor maximum capacities.

Each county will administer the funding through one or more designated Certified Economic Development Organization (CEDO) or Community Development Financial Institution (CDFI.) CEDOs or CDFIs must begin accepting applications from businesses by March 15.

Program guidelines are available on DCED’s website.

A business is eligible if:

  • It has a North American Industry Classification System (NAICS) designation within the Accommodation subsector (721) or Food Services and Drinking Places subsector (722) and where accommodations, food or drink is served to or provided for the public, with or without charge;
  • It has fewer than 300 full-time equivalent employees;
  • It has a maximum tangible net worth of not more than $15 million;
  • It was in operation on February 15, 2020 and remains in operation and does not intend to permanently cease operations within one year of the date of application;
  • COVID-19 has had an adverse economic impact on the eligible applicant which makes the grant request necessary to support the ongoing operations of the eligible applicant.

Priority will be given to applicants that:

  • Have not received a loan or grant issued under the authority of the commonwealth or the commonwealth’s political subdivisions or by the federal government;
  • Were subject to closure by the Governor’s disaster declaration; or
  • Can demonstrate one of the following:
    • A reduction in gross receipts of 50 percent or more for the period beginning after March 31, 2020, and ending before December 31, 2020, in comparison to the period beginning after March 31, 2019, and ending before December 31, 2019.
    • If the eligible applicant was not in operation during the entire comparison period but was in operation on February 15, 2020, a monthly average reduction in gross receipts of 50 percent or more for the period beginning after March 31, 2020, and ending before December 31, 2020, in comparison to the period beginning after January 1, 2020, and ending before April 1, 2020.

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