Sonoma Supervisors Divert Funds to Small Business, Rent Assistance

Share with Friends

Acknowledging the devastating impacts of the coronavirus crisis, Sonoma County supervisors voted this week to earmark $8 million in federal stimulus funds toward shoring up small businesses and assisting those struggling to make rent.

The federal money will be spread widely on programs that help those most impacted by the health crisis across the county. That includes $2.5 million in grants to help small businesses stay afloat, $2.5 million toward rental assistance, and $3 million split between local food relief and assistance to the heavily impacted Latino community.

Grant applications will go out next week for up to $6 thousand in assistance to individual renters and to landlords who need help paying their mortages. In addition, small businesses can apply for grants of between $2500 and $10,000. That funding will be available only to businesses with less thabn 30 employees, and less than $1 million in gross receipts.

Underscoring the urgency of the crisis, $2 million dollars once set aside toward purchasing two county hotels to house the homeless was also diverted, to be split between small business assistance and rental relief.

In diverting dollars to renters and small businesses, supervisors acknowledged that the funds represented only a fraction of the total assistance needed.

On Monday Governor Gavin Newsom signed a bill that will help to protect renters from eviction through January 31st, requiring them to pay just a quarter of their total rent to avoid eviction proceedings.

However, none of the state legislation or local efforts will forgive missed payments, which total in the millions across the county each month, and eventually must be repaid according to current rules.

Local leaders as well as state and federal housing officials fear this increasing burden of missed payments could eventually cause thousands of current renters to become homeless.