The Federal Way City Council voted unanimously to approve a plan to distribute federal CARES Act funds to local businesses negatively affected by the COVID-19 crisis.
There will be two rounds of grant disbursements available to Federal Way-based businesses, with $1 million available in each round. Awards of $1,000 will be available for 500 businesses and $2,000 per business up to 250. The second round of disbursement will be initiated shortly after the first round with the potential to be deployed by mid-July.
Awardees will be randomly selected based on application criteria. The criteria for businesses to be eligible for a Small Business Grant from the City include:
- Domiciled in Federal Way
- Possess a Federal Way business license
- Must have been in business one year prior to 2020
- Must be current on all taxes and government fees
- Not a recipient of other grants or other state or federal COVID-19 funding
- No more than 10 employees (full-time equivalent) per business
- Annual revenues of business cannot exceed $1.5 million
- Home occupation businesses operated from the owner’s primary residence may qualify if the residence is physically located in Federal Way city limits, although priority will be given to “brick and mortar” businesses
- Nonprofits are not eligible