Current through Register Vol. 49, No. 9, September, 2024
1.
Grant
Program.
A. Any applicant
("Applicant") requesting grant funds ("Grant Funds") from the Arkansas Economic
Development Commission ("AEDC") agrees to use such funds only as set forth in
these terms and conditions. Applicant acknowledges and agrees that any grant
made by AEDC is discretionary and that Applicant may not be awarded any Grant
Funds or a lesser amount of Grant Funds than requested.
B. Applicant acknowledges that it is
responsible for correctly completing its application for Grant Funds and that
AEDC will not consider incomplete applications.
C. The provisions of the Arkansas Ready for
Business Grant Program Summary are incorporated into these terms and conditions
by reference.
D. Fifteen percent
(15%) of approved eligible applicants must be minority, women, or disabled
veteran owned businesses as defined in Ark. Code §
15-4-303.
E. Only one grant will be approved per
applicant. If multiple applicants are affiliated under common shareholder or
management control, only one grant will be approved per controlled group of
affiliates.
2.
Purpose. The purpose of the Grant Funds
is to provide economic support pursuant to section 5001 of the Coronavirus Aid,
Relief, and Economic Security Act ("CARES Act") to businesses impacted by
COVID-19. The Grant Funds may only be utilized for Qualifying Costs (as defined
below). In consideration for receiving Grant Funds, Applicant agrees to use
commercially reasonable best efforts to continue to employ the number of
full-time and part-time employees set forth in its application for Grant Funds
for the twelve-month period following receipt of Grant Funds.
3.
Use of Grant
Funds.
A.
Political
Activity. No portion of the Grant Funds will be used for any partisan
political activity or to further the election or defeat of any candidate for
public office or influence the approval or defeat of any ballot
issue.
B.
Prohibition Against
Payment of Bonus. No portion of the Grant Funds will be used by
Applicant to pay any bonus or commission in return for obtaining the Grant
Funds.
C.
Qualifying
Costs. Grant Funds will be used only towards the following Qualifying
Costs:
i. Personal Protective Equipment (PPE)
and no contact thermometers for Applicant's employees and customers;
ii. Expenses related to reconfiguring
Applicant's business premises to meet recommended health and safety
guidelines;
iii. No-contact Point
of Sale (POS) payment equipment;
iv. Supplies and disinfectants to initially
deep clean premises and for use on an ongoing basis; also included are expenses
associated with hiring a third party to perform periodic deep cleaning
services;
v. Hand sanitizer and
other personal sanitary supplies for employees and customers;
vi. Signage;
vii. Marketing and advertising related to
reopening the business or resuming normal operations;
viii. Supplies necessary for
restocking;
ix. Other one-time
expenses necessary to reopen a business or to resume normal
operations.
x. Payroll and benefits
costs are not eligible expenses.
xi. Applicant must expend Grant Funds between
March 1, 2020 and September 30, 2021.
xii. Businesses with no employees must have
a) customers physically coming to their business premises, or b) must conduct
their business on customer premises.
xiii. Applicant may not use the Grant Funds
for any expense for which Applicant has previously received reimbursement or
payment from another program administered or funded by the federal government.
4.
Disbursement of Grant Funds.
A.
Application for Grant Funds.
The Grant Funds shall be disbursed to Applicant upon it demonstrating to AEDC's
reasonable satisfaction that it is a bona fide business eligible for the
program. AEDC's approval of the completed electronic application is conditioned
upon its receipt of each of the following:
i.
Applicant's electronic acknowledgment agreeing to be bound by these terms and
conditions;
ii. A Certificate of
Good Standing of Applicant from the Arkansas Secretary of State (or, in the
case of a sole proprietor, a copy of Applicant's business license, state sales
tax permit or such other evidence reasonably satisfactory to AEDC demonstrating
that Applicant is a legitimate business enterprise or nonprofit); AEDC may
waive this requirement in the event information provided by the Department of
Finance and Administration independently confirms that applicant is a bona fide
business in Arkansas.
iii. A
completed IRS Form W-9;
iv. A copy
of the majority shareholder's current driver's license; and
v. Applicant's voided check with bank routing
number and bank account number.
B.
Disbursement of Grant Funds.
Within ten (10) business days following AEDC's approval of Applicant's
application for Grant Funds, AEDC shall disburse Grant Funds via direct deposit
to the bank account provided by Applicant in its application. AEDC will
disburse Grant Funds only to the extent funds have been released to AEDC, as
required by the General Accounting and Budgetary Procedures Law, the Revenue
Stabilization Law and any other applicable fiscal control laws and regulations
promulgated by the Arkansas Department of Finance and Administration.
5.
Close-out. By no later than October 31,
2021, Applicant shall provide AEDC with a certification that it has fully
expended the Grant Funds and provide an accounting for the expenditures for
each category of Qualifying Costs listed in Section 3(C). Applicant must also
submit with its certification to AEDC receipts evidencing the expenditures.
It is the responsibility of Applicant to maintain copies of receipts for
all Qualifying Costs. Prior to January 1, 2021, AEDC will provide
Applicant with an electronic portal for submitting its certification and
receipts. Applicant agrees to promptly return to AEDC any unexpended or
improperly expended Grant Funds. All expenditures will be subject to audit by
the State of Arkansas.
6.
Representations and Warranties of the
Applicant. Applicant represents and warrants that:
i. It is authorized to do business in the
State of Arkansas;
ii. Each and
every undertaking by Applicant in accordance with the terms and conditions
hereunder are within the Applicant's powers, have been duly authorized by all
necessary corporate action, have received all necessary approvals, and do not
contravene any law, regulation or decree or any contractual
restriction;
iii. To the best of
the Applicant's knowledge, it owes no tax to any governmental body within the
State of Arkansas, excepting any tax attributable to a period in which a tax is
not presently due; and
iv. All
information provide by Applicant to AEDC is true and complete in all material
respects.
WARNING: MAKING ANY INTENTIONAL MISREPRESENTATION ON YOUR
APPLICATION FOR GRANT FUNDS CONSTITUTES FRAUD AND IS SUBJECT TO CRIMINAL
PROSECUTION UNDER STATE AND FEDERAL LAWS!
7.
Other Terms and
Conditions
A.
Governing Law. These terms and conditions shall be governed under
the laws of the State of Arkansas. AEDC, as an agency of the State of Arkansas
is protected from suit by sovereign immunity. Nothing in these terms and
conditions is intended to nor shall waive the sovereign immunity of
AEDC.
B.
Severability.
If any provision of these terms and conditions or its application to any person
or circumstance is held invalid by a court of competent jurisdiction, the
invalid part shall not affect the enforceability of any other
provision.
C.
Waivers.
No conditions or provisions of these terms and conditions may be waived unless
approved by AEDC in writing.
D.
Freedom of Information Act. Applicant acknowledges that AEDC is a
public entity of the State of Arkansas and is subject to the requirements of
the Arkansas Freedom of Information Act, A.C.A. §
25-19-101 et.
seq. ("FOIA"). AEDC must disclose to an FOIA requestor information concerning
Applicant when, in the opinion of AEDC's legal counsel, AEDC is legally
required to disclose the requested information. Information concerning
Applicant that may be disclosed under FOIA includes the identity of Applicant
and the amount of Grant Funds it may have
received.
