The city’s $9 million relief program for businesses, sole proprietors and 1099 contract workers financially impacted by COVID-19 was out of money less than five hours after it launched.
City Director of Public Affairs Nikki Kimbleton said in an email June 8 that the city received 4,500 applications, the program’s capacity, by 1:20 p.m.
The Jacksonville City Council unanimously approved the program May 26 to provide $2,000 prepaid debit cards to 4,500 qualifying businesses.
Despite hitting the cap, Kimbleton said the city still is accepting applications at myjax.custhelp.com. As of 2:37 p.m. June 8, the city received 4,825 requests.
The city will create a waiting list for business owners who applied after the registration slots were filled, similar to the system used for people who missed the first application period for the city’s $1,000 individual COVID-19 relief aid debit cards in May.
“We will examine applications this week and start emailing applicants to let them know if they have qualified,” Kimbleton said.
The city’s online portal for the relief program crashed almost immediately after going live at 9 a.m. June 8. The city contracted with third-party enterprise software management company Oracle Corp. to build and manage the system to cut project costs, Kimbleton said in a phone interview soon after the glitch was reported by users.
“Our software support company is continuing to work on the issue blocking access to the Small Business Assistance Program registration. Please standby, we will provide an update when the site is able to accept applications. Thank you again for your patience,” the city said in a tweet.
The system was fixed and running by 11:30 am., according to the city.
To qualify, a business must be located in Duval County, have fewer than 100 employees and show they’ve suffered a 25% or more reduction in revenue because of the COVID-19 pandemic.
Applicants have to provide the tax ID number assigned to their small business and prove the business began operating for at least one year before Feb. 29.
“Over the past few months our small businesses have taken a big hit. These relief dollars will help those businesses as they start re-opening,” District 5 Council member LeAnna Cumber said in a news release June 5.
“Our small, local businesses are what make this city great. I’m happy to be able to do my part to help them back on their feet,” she said.
Cumber introduced the legislation that created the program.
Cumber’s bill originally targeted small business owners with brick-and-mortar storefronts. She said that in addition to helping business owners, the bill would prevent more vacant commercial property in Jacksonville. The Council added sole proprietors and contract workers who operate out of their homes to the final legislation.
Cumber said the program’s qualifications and the payment distribution are modeled after the city’s $40 million COVID-19 program that offered debit cards to individuals.
Like the city’s $1,000 individual stimulus program, the $2,000 payment cards will be provided by Fidelity National Information Services Inc. and mailed directly to the businesses, according to officials with Mayor Lenny Curry administration.