Small businesses across O‘ahu affected by the pair of Kona Low storms earlier this year should take note.
The O‘ahu Kona Low Business Recovery Program — a new grant program from the state Department of Business, Economic Development and Tourism that's being administered by Chamber of Commerce Hawai‘i — will offer $3.35 million in direct financial assistance.
“The program is designed to provide timely assistance to O‘ahu’s non-agricultural, for-profit small businesses that experienced disruptions such as closures, loss of utilities, inaccessible locations, property or inventory damage, supply chain disruptions, reduced services, employee impacts or lost revenue as a direct result of the storm,” an announcement from the chamber noted on Thursday. “Outreach will prioritize businesses in communities identified as having the highest concentration of documented storm damage and closures, including the North Shore, Waialua and Hale‘iwa; the Leeward Coast, including Wai‘anae, Māʻili and Nānākuli; Windward O‘ahu, including Kāneʻohe and Kailua; and Honolulu Metro."
Back-to-back Kona Low storm systems in March brought heavy rains to the Islands that triggered flooding and power outages, prompted evacuations and caused damage across the state.
AccuWeather estimated in March that the two storm systems, which brought 30 to 60 inches of rainfall to some areas and led to the worst flooding in Hawai‘i in more than two decades, caused around $2 billion in damages and economic loss. The preliminary estimate accounts for damage to homes, businesses and infrastructure, as well as tourism losses, agricultural impacts, and emergency response and recovery operation costs across O‘ahu, Maui and Hawai‘i Island, AccuWeather noted.
"Small businesses are often among the first to feel the effects of a disaster and the last to recover from it," Sherry Menor, president and CEO of the Chamber of Commerce Hawai‘i, said in the announcement. "This program is about making sure businesses have access to resources that can help them get back on their feet and continue serving their employees, customers and communities. We encourage business owners who were impacted by the Kona Low to learn more now, gather their documentation and be ready to apply when the application opens."
Applications will open on Sept. 9; eligible businesses will be able to apply for one-time grants of $5,000 or $10,000 to help recover from economic or physical impacts from the storms between March 10 and 23, the announcement says. The applications will be accepted on a first-come, first-served basis and reviewed and awarded in the order they are received until all funds are gone.
According to the chamber, eligible businesses will receive grants based on verified annual gross revenue. In tier 1, $5,000 will be available for micro enterprises with 10 or fewer employees, including the owner, and an annual gross revenue of less than $250,000. In Tier 2, $10,000 grants will be available for small businesses with 11 to 500 employees and an annual gross revenue of $250,000 to $5 million.
Eligible businesses must have one owner who's a Hawai‘i resident; be physically operating on O‘ahu and was established before the first Kona Low storm on March 13; be non-agricultural, for-profit small business that experienced material economic or physical harm caused by the storm; meet federal small business size requirements; be registered and in good standing with the state Department of Commerce and Consumer Affairs; demonstrate the economic or physical harm caused by the storms and provide documentation like photographs, repair estimates and other records that support the storms' impact.
“The state is committed to supporting O‘ahu’s small businesses as they continue recovering from the Kona Low storms,” DBEDT Director James Kunane Tokioka said in the chamber announcement. “These grants are designed to provide practical assistance to help businesses rebuild, restore operations and remain resilient in the face of future challenges.”
A free informational webinar outlining program details, as well as eligibility and application requirements, is set for 10 a.m. Tuesday, Sept. 8. You can register here.
Additional program information, eligibility requirements and application instructions will be available at oahukonalowrecovery.org. For more information, email konalow@cochawaii.org.
According to the chamber, the recovery program was initially supposed to be administered by the City and County of Honolulu's Office of Economic Revitalization before its operations ceased last month following budget cuts.
A chamber spokesperson, citing DBEDT, told Aloha State Daily that the funding for the grants came from the Major Disaster Fund.
Stephanie Salmons can be reached at stephanie@alohastatedaily.com.
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