A coalition of 60 major business organizations, including NJBIA, sent a letter to Gov. Phil Murphy and legislative leadership today requesting consideration of having a portion of New Jersey’s share of federal CARES Act funding go toward expanding now oversubscribed NJEDA COVID-19 business recovery programs.
The letter, which also went to NJEDA CEO Tim Sullivan, requests the application of some of the $3.44 billion in federal money that New Jersey is expected to receive to immediately expand the programs for an “infusion of funds (that) will keep operational businesses running and best position New Jersey and our economy for a quicker recovery.”
“We truly appreciate the work done thus far by the NJEDA to get money flowing to our NJ businesses and nonprofits through the already overly subscribed grant and loan programs,” the letter continued. “However, in what we hope will be a Round 2 of NJEDA programs, these programs need to be broadened so that more businesses can access them.
“We are seeing in real time the challenges of the federal SBA programs and fear many of our New Jersey businesses will be left without access to the Paycheck Protection Program (PPP).”
Earlier today, the Small Business Administration said it was unable to accept new applications for the federal $349 billion Paycheck Protection Program.
NJEDA’s Small Business Emergency Assistance Grant and Loan programs both launched in recent weeks and were quickly oversubscribed. Applications for both of these programs are no longer being accepted at this time.
For future funding rounds of NJEDA COVID-19 programs, the business groups also collectively recommended eliminating the usage of NAICS code requirements, increasing the size of employers able to apply for grant and loan programs and ensuring that critical businesses like nonprofits and manufacturing are included.
The full letter sent by the business coalition can be found here.