Proposed grant for small businesses affected by water outage moves ahead

A proposal to set aside millions of dollars for small businesses that had to shut down due to the water outage earlier this month is closer to being approved by Atlanta leaders.

Why it matters: Affected small businesses lost on average $1,000 to $2,000 per day on sales, according to Invest Atlanta executive director Eloisa Klementich.

Driving the news: Two City Council committees approved a resolution setting aside $5 million to establish the recovery fund, which Invest Atlanta would run. It now goes to the full City Council.

What they're saying: Klementich said on Tuesday at the Council's Community Development/Human Services Committee meeting that they would prioritize juice bars and coffee shops, restaurants, daycares and other businesses.

• The amount grant-eligible businesses receive would depend on how long they were closed.
• "We thought that this $2,000 to $6,000 is going to cover maybe not every loss within the small business, but really…help support them as they are impacted by the situation," she said, referring to an example of how much businesses could receive.

Zoom in: Derrick Hayes, owner of Big Dave's Cheesesteak , told Axios that his Forsyth Street storefront in downtown had to initially close because of the boil water advisory.

• That closure is still in place due to pipes bursting in the building that houses the restaurant, and as a result Hayes said he's temporarily relocated about 40 employees.
• "It's a blessing for me that I have multiple locations [around Metro Atlanta], but it still affected me in a tremendous way," he said. "I'm worried about the businesses that may have one or two locations…and they can't make payroll next week or be able to keep the doors open."

Reality check: Businesses that are home-based or are adult in nature, including liquor stores and nightclubs, will not be eligible for the grant, Klementich said.

• Businesses that apply for relief through their insurance can also apply, though Klementich said on Wednesday they won't be able to use the money for items already reimbursed.

What's next: If the Invest Atlanta board approves the grant at its June 20 meeting, applications will open on June 24 and that process will close at 5pm on July 8.

• Klementich said the goal would be to notify businesses if they are approved starting the week of July 29.