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House Engrossed
small business assistance grants |
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State of Arizona House of Representatives Fifty-fifth Legislature First Regular Session 2021
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HOUSE BILL 2282 |
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AN ACT
amending Title 41, chapter 10, article 1, Arizona Revised Statutes, by adding section 41-1506.02; appropriating monies; relating to the arizona commerce authority.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 41, chapter 10, article 1, Arizona Revised Statutes, is amended by adding section 41-1506.02, to read:
41-1506.02. Small business assistance relief fund; application; exemption; definition
A. The small business assistance relief fund is established consisting of legislative appropriations from monies allocated to this state from the coronavirus aid, relief, and economic security act (P.L. 116-136) and deposited in the state general fund to provide grants to small businesses negatively affected by the COVID-19 pandemic. The authority shall administer the fund. Monies in the fund are continuously appropriated.
B. An eligible small business, including any of the following, may apply to the authority for a small business assistance grant:
1. AN individual who operates as a sole proprietor.
2. An individual who operates as an independent contractor.
3. An individual who is self-employed and who regularly carries on any trade or business.
4. A Tribal small business.
5. A Cooperative and employee owned business.
C. Small businesses with twenty-five or fewer employees that operated in this state before January 1, 2020 and that provide evidence of business closure as a result of the COVID-19 pandemic may apply to the authority for a small business assistance grant. Closed small businesses applying for a grant shall provide to the authority plans to reopen.
D. The authority shall award grants in the amount of not more than $5,000. The authority shall allocate at least thirty percent of the monies in the small business assistance relief fund to small businesses that are located in counties with a population of less than nine hundred thousand persons.
E. An eligible small business or a small business as prescribed in subsection C of this section shall apply to the authority, on a form prescribed by the authority, on or before December 31, 2021 To receive monies from the small business assistance relief fund. The application must include:
1. The name of the business.
2. The number of employees of the business at the time of application.
3. THe date the business was organized.
4. OTher information required by the authority to determine the financial impact on the business resulting from the COVID-19 pandemic.
F. THe authority shall review the applications submitted on or before December 31, 2021 and, when awarding grants, shall give priority to eligible small Businesses that have not received financial assistance from any federal program. If there are monies remaining in the small business assistance relief fund after the authority awards grants to small businesses that applied on or before December 31, 2021, the authority shall extend the application deadline to allow additional businesses to apply.
G. Grants awarded pursuant to this section are exempt from the requirements of chapter 24 of this title.
H. For the purposes of this section, "eligible small business" means a business that meets all of the following:
1. Currently operates in this state.
2. Employs twenty-five or fewer employees.
3. Has been in operation since January 1, 2020.
4. Demonstrates the intent to continue operating in this state for at least six additional months.
5. Provides evidence of at least twenty percent revenue loss since March 11, 2020.
Sec. 2. Exemption from rulemaking
For the purposes of this act, the Arizona commerce authority is exempt from the rulemaking requirements of title 41, chapter 6, Arizona Revised Statutes, for one year after the effective date of this act.
Sec. 3. Legislative intent
The Legislature intends that the small business assistance relief fund established by section 41-1506.02, Arizona Revised Statutes, as added by this act, provide financial assistance to small businesses negatively affected by the COVID-19 pandemic.
Sec. 4. Appropriation; small business assistance relief fund; exemption
A. The sum of $5,000,000 is appropriated from monies allocated to this state from the coronavirus aid, relief, and economic security act (P.L. 116-136) and deposited in the state general fund, in fiscal year 2021-2022 to the small business assistance relief fund established by section 41-1506.02, Arizona Revised Statutes, as added by this act, to provide financial relief to small businesses negatively affected by the COVID-19 pandemic.
B. The appropriation made in subsection A of this section is exempt from the provisions of section 35-190, Arizona Revised Statutes, relating to lapsing of appropriations.