CARES Act offers help to small businesses

HERMISTON, Wash. - Multiple Hermiston city agencies, are working together to directly contact all local businesses and encourage them to work with their banking partners to understand their potential benefit from the recently passed Federal Coronavirus Aid, Relief, and Economic Security (CARES) Act.  Businesses who are members of the Chamber, Downtown District, or have a utility account with the City of Hermiston will receive a phone call about the CARES Act on either April 2, or April 3.

The CARES Act includes $349 billion specifically for the Paycheck Protection Program (PPP), which allows businesses to borrow up to 2.5 times their monthly payroll.  Any funds borrowed from the federal government through the PPP, which are used to pay for certain fixed costs like payroll, rent, and utilities through June 30, will be converted from a loan to a grant.

City officials are encouraging all local businesses to contact their bankers immediately about the Paycheck Protection Program.  The U.S. Treasury Department indicates applications will be accepted beginning April 3, with funds directed through SBA lenders and eligible banks and credit unions.

The City of Hermiston wants to ensure that local area businesses and workers emerge from the COVID-19 pandemic as vibrant as possible.

“This is a huge Federal spending bill which sounds too good to be true, and is therefore sure to generate a large degree of disbelief from businesses, and unfortunately give rise to a large sub-industry of scammers,” said Mark Morgan, Assistant City Manager.  “That’s why we want to directly contact all of our local businesses and encourage them to talk to their banking partners. A huge thanks is owed to the offices of Senators Ron Wyden and Jeff Merkley, as well as Representative Greg Walden for assisting us and our rural Oregon partners to understand this opportunity.”

The City of Hermiston wants to ensure that local area businesses and workers emerge from the COVID-19 pandemic as vibrant as possible.  Due to the potential for fraudulent information to begin flooding business owners, a team of City of Hermiston Staff has been re-allocated from the Library and the Recreation Department, to assist the Greater Hermiston Area Chamber of Commerce to make these outreach calls to businesses.