NCDOR Opens 2nd Application Period for Disaster Recovery Grants

The North Carolina Department of Revenue (NCDOR) has opened a second application period for the Business Resumption Grant (BRG) program. The BRG will issue a one-time payment to eligible North Carolina businesses that have suffered an economic loss of at least 20% during the pandemic. The application deadline for Phase 2 is March 18.

“These grants are a great opportunity to help small businesses across the state as we emerge from the pandemic,” Governor Roy Cooper said. “Strong businesses provide better-paying jobs for the people of North Carolina, and these grants will help that effort.”

The NCDOR has reopened the application because the total amount of grants requested by eligible companies during the initial application period will not exhaust the $500 million in funds authorized for the program. 6,533 applications were submitted during the first application period, which ended on January 31. Companies that have submitted applications before the original deadline and are approved by the NCDOR will be fully funded in accordance with the law.

“Business Recovery Grants legislation directs us to reopen the application period if there is any grant money remaining after the first application period,” NCDOR Secretary Ronald Penny said. “If you haven’t already, we encourage any eligible North Carolina business that has suffered financial loss due to the pandemic to apply immediately.”

Companies that applied for a grant during the first application period can expect to receive communication from NCDOR on the status of their application and payment within the following week.

Federal law requires individuals receiving grants greater than $50,000 to provide additional information to the Department under various reporting requirements, including the Federal Funding Accountability and Transparency Act (FFATA). The FFATA makes this information available online through a searchable website so that the public can access information about recipients of federal funds. The NCDOR will contact applicants who will be impacted by these federal requirements regarding next steps via email and the U.S. Postal Service.

Two types of grants are available to eligible businesses:

~A hospitality grant is available for a qualifying arts, entertainment or recreation business, as well as a qualifying accommodation or catering business such as a hotel, restaurant or bar (NAICS codes 71 and 72);

~ Reimbursement grant is available for an eligible business not classified under NAICS codes 71 and 72 that has not received funding from other relief programs including Paycheck Protection Program, Retention Grant in COVID-19 employment and EIDL advance.

The amount of the subsidy is a percentage of the economic loss demonstrated by the eligible business or $500,000, whichever is less. Applications approved during the second application period may be funded at reduced amounts if the total grants requested exceed the maximum amount of funds allowed for the BRG program.

Eligible business owners are encouraged to apply online at www.ncdor.gov. More detailed information and answers to frequently asked questions are also available on the agency’s website.

Feature photo: Village of Pinehurst by Melissa Schaub, Sandhills Sentinel photographer.

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