Governor Lamont Announces Distribution of $30 Million in Grants to Support Hospitality Businesses Negatively Impacted by the COVID-19 Pandemic
Funds will be sent to Connecticut restaurants, hotels, transportation companies and others in this sector starting this week
(HARTFORD, CT) – Governor Ned Lamont today announced that starting this week, the State of Connecticut will provide $30 million in grants to more than 1,700 hospitality businesses in the state that have suffered financial losses due to the COVID-19 pandemic.
Companies in this industry can expect to receive checks from the Connecticut Department of Tax Services (DRS) for amounts ranging from $7,500 to $49,999. The hospitality industry includes restaurants, hotels, entertainment venues, breweries, wineries, travel services, transportation services, and other businesses.
The grant funding, known as the Connecticut Hospitality Industry Support Program and overseen by the Connecticut Department of Economic and Community Development (DECD), was approved as part of the State budget bill. State that Governor Lamont recently signed into law and is supported by money the state received from the US Federal Bailout Act.
“So many small local businesses in the hospitality sector continue to recover from the pandemic, and any relief that can be provided will help them and their workers,” Governor Lamont said. “These funds are sent directly to employers to accelerate their continued growth and can be used however they choose to help mitigate financial losses resulting from the pandemic. I thank the Biden administration and the Connecticut congressional delegation for providing these funds to our state through the American Rescue Plan Act.
To receive a grant, existing businesses must have met several criteria developed by the DECD, including a decline of 15% or more in gross revenue when comparing calendar years 2019 to 2021. Grant amounts depend on the amount of the loss and the overall level of gross income. revenue generated by the business.
New businesses (defined as those that filed tax returns from calendar years 2019, 2020, or 2021) receive grants of $7,500 (or $15,000 if located in a struggling municipality), provided that they meet certain eligibility criteria.
Businesses do not need to apply for the grants. The DECD analyzed DRS data to identify those who suffered losses during the pandemic. (For detailed information on program eligibility, click here.)
Senator Richard Blumenthal said“These grants, funded by the American Rescue Plan, are a lifeline for Connecticut businesses struggling to recover from the devastating effects of the COVID-19 pandemic. Connecticut has some of the best restaurants, breweries and hotels country, but our hospitality industry is still rebuilding after two years of debilitating losses. I have visited many of these businesses and heard about their struggles to keep their doors open. I am proud to fighting for the American Rescue Plan Act in Congress so that our state’s vibrant communities can rebuild themselves even stronger.
Congressman John B. Larson said, “Alongside the entire Congressional delegation, I fought for small business relief during the height of this pandemic through programs such as the Restaurant Revitalization Fund and the Grant for Operators of Closed Venues. As Connecticut’s hospitality industry continues to face the challenges of COVID-19, I’m thrilled to join Governor Lamont in announcing a new round of grants to keep small businesses afloat in our state.
DECD Deputy Commissioner Alexandra Daum said“Connecticut’s hospitality industry suffered devastating economic losses as a result of the pandemic – losses from which many are still recovering today. The Connecticut Hospitality Support Program is intended to serve as a stabilizing force as that our hotel businesses resume full operations and that guests revert to pre-pandemic behaviors.
Scott Dolch, president and CEO of the Connecticut Restaurant Association, said, “These grants will provide significant assistance to restaurants in Connecticut negatively impacted by the pandemic, most of which are family-run businesses whose owners and employees live in and around the communities in which they work. Even as restaurants worked to recover from the pandemic, they faced new headwinds in the form of inflation, labor shortages and supply chain disruptions. We are grateful that the state is taking this step to help local businesses that continue to face these difficult battles, and we encourage lawmakers to continue to find ways to help local businesses keep their doors open.
Duane Schroder, president of the Connecticut Lodging Association, said“The Connecticut Lodging Association appreciates Governor Lamont, the Connecticut Legislature, and the Department of Community and Economic Development for their continued support of the lodging industry during the most significant economic downturn the lodging industry has ever experienced. faced during the pandemic.Public-private partnerships will build a stronger economy for the state’s hospitality businesses and its Connecticut residents as we work together to rebuild the hospitality industry post-pandemic.