Current through Register Vol. 48, No. 38, September 20, 2024
The Department will administer an Economic Support Payments
Grants Program available to eligible local governments (see Section
700.40(b))
through Local CURE Program funding allocated for this purpose (see Section
700.80(e)(1)).
The purpose of the grant program is to provide financial support to businesses
that have experienced interruption of business attributable to the COVID-19
public health emergency. The funds issued to local governments for the Economic
Support Payments Grants shall be provided on a reimbursement basis only and
shall follow all processes required by GATA and 2 CFR 200. Local governments
that receive grants may be reimbursed for costs incurred by the qualifying
businesses during the allowed time period set forth in the Local CURE Program
and posted on the Department's website.
a) Form of Financial Assistance
Financial assistance provided by local governments to
qualifying businesses may be in the form of a grant, subsidy or expense
reimbursement only. Regardless of the form of assistance, a business
participant shall be obligated to comply with the requirements set forth in
this Part and in any agreement or certification executed as part of applying
for or receiving financial assistance.
b) Source of Advance Payments
Funds provided to business participants by local governments
for the costs of business interruption shall be advanced by the local
governments from a source other than direct federal funds or federal
pass-through funds, including, but not limited to, any portion of the
allotments received through Section
700.80(a).
The Department will then reimburse the local governments for expenditures
incurred through an Economic Support Payments Grant.
c) Application Process
1) The Department will post one or more
Notices of Funding Opportunity (NOFO) on the GATA Grantee Portal seeking
applications from eligible local governments (see Section
700.40(b)).
The Department may accept several rounds of applications through a single NOFO.
A local government may apply for multiple funding rounds. However, a local
government may only submit one application per funding round. Applicants shall
submit their application materials by the deadlines set by the
Department.
2) As part of the
application, local governments will be required to provide a narrative about
the program, which shall include, but is not limited to, a description of the
following:
A) The types of businesses or
industries that will be served by the program;
B) The method of selecting business
participants;
C) A summary of how
the proposed grant program adheres to the U.S. Department of the Treasury's CRF
guidance;
D) How the program meets
the following criteria for reimbursable expenses:
i) The expense is connected to the COVID-19
public health emergency;
ii) The
expense is "necessary" as defined by the U.S. Department of the Treasury
guidance;
iii) The expense is not
filling a shortfall in government revenues;
iv) The expenses were not accounted for in
the budget most recently approved as of March 27, 2020;
v) The expense is not being reimbursed
through a different emergency response program;
vi) The expense would not exist without the
COVID-19 public health emergency or would be for a substantially different use;
and
vii) The expense was incurred
during the allowed time period set forth in the Local CURE Program and posted
on the Department's website and the NOFO;
E) The form of financial assistance being
provided to businesses (e.g., grants, subsidies, expense reimbursement);
and
F) The due diligence procedures
and controls the local government will implement to ensure funds are expended
within the parameters of this Part, the CARES Act, and the U.S. Department of
the Treasury guidance.
3) Local governments are permitted to receive
reimbursements for administrative expenses for administering these grants by
requesting reimbursement from their allotments received pursuant to Section
700.80(a)
only. Local governments are not permitted to receive reimbursements for
administrative expenses directly from the Economic Support Payments
Grants.
4) Local governments are
not permitted to receive reimbursements for indirect costs related to the
Economic Support Payments Grants.
5) Grant applications will be reviewed using
the GATA merit-based review process to ensure applicants meet the eligibility
requirements of this Part.
d) Grant Award Issuance
1) Grants will be awarded to local
governments following a merit review of the local government's economic support
payments program, including their due diligence procedures and adherence to
subsection (c). If a local government applicant meets the eligibility criteria
in subsection (c), the local government shall receive a grant of up to the
maximum amount of eligible grant funds if grant funds are still available at
the time of application.
2) The
maximum amount of eligible grant funds for each local government shall be based
on a pro rata share of funds available at the time of application as set forth
in the NOFO, based on the populations of the eligible geographic regions set
forth in the State's Restore Illinois Plan (see Restore Illinois regions,
available at
https://coronavirus.illinois.gov/s/restore-illinois-regional-dashboard).
3) If a local government grantee has expended
or will expend all funds awarded under its Economic Support Payments Grant and
grant funds are available, the local government may request from the Department
that additional funds be added to its grant award. The local government must
also submit supporting information or documentation demonstrating that it will
expend its full initial award and that there is a need for the additional
funds. The Department has no obligation to agree to an increase of funds
requested by a local government.
4)
If a geographic region's allotted share of funds has not been awarded in full
by December 1, 2020, the Department may reallocate funds to other regions for
which there remains a need.
5)
Grants will be issued through the GATA Uniform Intergovernmental Grant
Agreement, which must be executed by both the Department and the local
government.
6) The local government
grantees will be responsible for the repayment to the Department of any costs
for funding issued to businesses that are found, by the federal government, the
Department, or any other State agency:
A) to
be ineligible under the Economic Support Payments Grants Program; or
B) to have misspent funds.
e) Grant Award
Administration
1) Grantees and business
participants shall comply with all GATA and Department requirements for grant
administration and reporting, including the monitoring and records retention
requirements in Section
700.110.
2) Grantees shall:
A) require that all business participants
that receive financial support through the grant award shall sign a
certification that attests to eligibility for this program; and
B) condition funding on compliance with
programmatic requirements, including, but not limited to, the Local CURE
Program, the CARES Act, and the U.S. Department of the Treasury
guidance.
