Los Angeles (CBSLA) – The Los Angeles County Board of Oversight will review a proposal for a public-private fund to help small businesses affected by the coronavirus outbreak on Tuesday.
Victor Torres wears a face mask for the shop where he works, which is now being used during the 10th December coronavirus pandemic. April 2020 in Los Angeles is protected by plastic. (Getty Images)
The proposal, proposed by Regulator Mark Ridley-Thomas, would combine district and private non-profit foundations and financial institutions to provide loans to small businesses.
The support fund should be set up as a public-private partnership and district funds should be available to attract additional private support for the economic well-being of our communities, according to the petition.
The $2 trillion Coronavirus Relief, Relief and Economic Security Act (CARES), passed by Congress last month, includes the wage protection program or $349 billion in loans to small businesses, defined as those with fewer than 500 employees. The loan is fully forgiven if the money is used to pay for work, mortgage interest, rent and utilities.
However, Ridley-Thomas says that the local small business has not yet received the money and needs credit to keep the bride afloat.
The emergency fund includes bridging finance for small businesses that may be eligible for federal disaster relief, as well as low-cost working capital loans to retain small businesses that are not eligible for federal disaster relief.
It will also provide loans to non-profit organisations and to small businesses providing basic services or moving from the current model to the provision of basic services.
No assessment has been made of the budget of the assistance fund, nor of the volume of commercial loans.
The proposal requires that the County Director and the Los Angeles County Development Office continue to administer the Foundation until the 21st day after the grant is awarded. April and presented to the Board of Directors before 24 April. April.
On Monday, the City of Lang Strand announced that it had already raised more than $1 million through a similar support fund that included donations from residents, companies and foundations. The money will be used to provide microcredit to small businesses, to help the poor and homeless pay for food and supplies, and to provide emergency funds for those who have lost their jobs.
Last week, the Los Angeles Department of Human Resources Development, Aging and Public Works established a $500,000 fund to provide grants of up to $10,000 to companies with fewer than 50 employees.
The Los Angeles County Development Office offers small businesses up to $20,000 in recovery loans at 2.44 percent for five years.