Item Coversheet

Agenda Item - 3.b.


City of Garden Grove


INTER-DEPARTMENT MEMORANDUM

To:Scott C. Stiles

From:Lisa L. Kim
Dept.:City Manager 

Dept.: Community and Economic Development 
Subject:Approval of the Garden Grove Business Resource and Resiliency Plan and authorize the City Manager to implement the Plan. (Action Item)Date:4/14/2020

OBJECTIVE

To request approval of the Garden Grove Business Resource and Resiliency Plan to assist local businesses impacted by the COVID-19 pandemic, and authorize the City Manager to implement certain economic development efforts necessary to safeguard the business climate in the City.  
BACKGROUND

On February 26, 2020 the County of Orange declared a local emergency and a local health emergency due to the threat of COVID-19.  On March 4, 2020, the Governor declared a State of Emergency due to COVID-19. President Trump declared a national emergency on March 13, 2020.  Due to directives from federal, state, and local health officials, residents have been advised to avoid public gatherings and  stay at home to prevent the spread of the novel coronavirus causing COVID-19, which has now impacted a majority of businesses in the State and our City, resulting in a significant decline in employment, lost wages, and layoffs.

 

The City of Garden Grove is committed to the health and well-being of its robust and dynamic business community and has established ongoing efforts to monitor the COVID-19 health crisis and has developed a new Business Resource and Resiliency Plan to serve as a guide in deploying economic development resources and to promote economic security and stability for Garden Grove businesses of all sizes.

DISCUSSION

The Garden Grove Business Resource and Resiliency Plan is a comprehensive action plan that highlights available federal, state and local programs for Garden Grove businesses impacted by COVID-19 (see Plan attached).

 

The Plan summarizes four areas of focus:

 

  • Summary of immediate actions undertaken by the City;
  • Description of economic development actions currently in process; 
  • A comprehensive clearinghouse of federal, state and local resources available for employers and employees; and
  • A Business Start-up Guide.

 

Under direction of the City Manager, the Office of Economic Development (OED) will assist with implementing the Plan and establishing the level of support, relief and stimulus for all business. The OED will rely on its industry partners, such as the local Chambers of Commerce, the development community, the Small Business Administration, and the Small Business Development Center, to identify actions to support businesses, workers and residents. The City has launched immediate actions including retooling its small business assistance program to support businesses affected by the COVID-19 pandemic as summarized below.

 

  • Established on the Coronavirus webpage, a virtual Business Toolkit.
  • Continued database updates on local restaurants, grocers and pharmacies providing essential services.
  • Implemented "virtual" building inspections and online plan checks.
  • Launch Covid-19 Business Survey.
  • Modify SBA Program funded through CDBG to support job retention efforts and increase SBA loan amount to $50,000.
  • Develop an online SBA loan application process.
  • Explore expansion of Meals on Wheels for individuals and families impacted by COVID-19.
  • Explore expansion of rental assistance program for individuals and families impacted by COVID-19.
  • Consider deferral of penalties, fines, and enforcement actions against businesses that collect and pay transient occupancy tax, for a period of 90 days.

 

This Plan is a working document that will continuously be updated as additional information is trickled down from the federal, state and local levels.

FINANCIAL IMPACT

The Plan and the TOT deferral will have no impact to the General Fund.
RECOMMENDATION

It is recommended that the City Council:

 

  • Approve the Garden Grove Business Resource and Resiliency Plan;
  • Authorize the City Manager to defer penalties, fines, and enforcement actions against businesses that collect and pay Transient Occupancy Tax to the City;
  • Authorize the City Manager to implement a variety of programs, policies, and practices designed to incentivize development and business activity in the City, including but not limited to:
    • Extending time frames as necessary to facilitate commercial development;
    • Defer, reduce or waive fees;
    • Consider regulatory relief measures from processes and standards contained in the Garden Grove Municipal Code, including Title 9 (Land Use), as deemed necessary to facilitate ongoing business activities and development activities.



ATTACHMENTS:
DescriptionUpload DateTypeFile Name
Resource and Resiliency Plan4/9/2020Backup Material4-14-20_-_Garden_Grove_Resource_and_Resiliency_Plan.pdf