GOVERNOR'S RECOMMENDATION

1. Line 130, enrolled, after Virginia.

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The Virginia Small Business Financing Authority (the Authority) may utilize such cash balance to implement a grant program for small businesses affected by the novel coronavirus (COVID-19) pandemic public health crisis during the period for which the Governor has declared a state of emergency (the emergency). A small business must demonstrate financial stress from the emergency; be established before March 12, 2020; be in good standing; have annual gross revenues of no more than $1.5 million in its most recent fiscal year; have no more than 25 employees, all of whom are employed within the Commonwealth; and otherwise meet the requirements of a “small business” as that term is defined in subsection A of § 2.2-1616 of the Code of Virginia. A small business shall apply with the Authority to receive a grant of up to $5,000 pursuant to this enactment for the following eligible expenses: (i) payroll support, including paid sick, medical, or family leave, and costs related to the continuation of group health care benefits during those periods of leave; (ii) employee salaries; (iii) mortgage payments; (iv) rent (including rent under a lease agreement); (v) utilities; and (vi) principal and interest payments for any business loans from national or state-chartered banking, savings and loan institutions, or credit unions, that were incurred before or during the emergency. A small business shall provide to the Authority such information as the Authority deems necessary to demonstrate that it meets the qualifications set forth in this enactment and in subsection A of § 2.2-1616 of the Code of Virginia.

4. That an emergency exists and this act is in force from its passage.