Virginia Beach authority approves 16 small-business reimbursement grants totaling $136,530, pauses further awards pending review

The Virginia Beach Development Authority approved reimbursement grants to 16 small businesses under EDIP Part F amounting to $136,530 and instructed staff to pause additional awards pending evaluation of how recipients use funds and a review of the scoring rubric.

Mr. Cobb, a staff member presenting the program, said the intent “is to get capital access for small businesses in Virginia Beach, particularly those that are women owned, minority owned, veteran, or service-disabled veteran.” The authority’s approval covers 16 applicants the selection committee recommended; the grants are performance reimbursements and recipients must submit verification of eligible spending before payment.

The program limits awards to a maximum of $10,000 per recipient and targets very small firms (25 employees or fewer). Cobb said eligibility required at least one year of operation in Virginia Beach verified by a local business license; recipients must also attend at least six Hive workshops or counseling sessions as a condition of award. The committee applied a rubric that awarded points for factors including veteran/women/minority ownership, years in business (capped at five), credit documentation (optional), strength of business and strategic plans, and proposed uses of funds.

Committee representative Bill (authority member) said the selection was “a rubric-driven process,” and urged staff and members to revisit weighting for future rounds so growth potential receives greater emphasis than years in business. The authority noted 33 additional applicants had qualified but were not selected under the current rubric and directed staff to consult on whether those applicants should automatically carry forward or reapply under revised criteria.

The motion to approve the 16 initial awards was made by Mr. Bruenke and seconded (by gesture) by another authority member; approval was by voice vote. Authority members also agreed to pause issuing further awards while staff assesses recipients’ performance, attendance at required workshops, and potential rubric adjustments.

Clarifying details provided during the meeting: the total recommended award amount is $136,530; the program is reimbursement-based (payments are issued after documented spending); the initial Part F budget allocation was $150,000; EDIP Part E balance and related COVID-era funds were discussed as additional available resources but no new funding was awarded at this meeting. Staff said the selection consultant scored business plans on a 0–5 scale and that detailed proposed uses (not general lines like “marketing”) were required before final approval.

Authority staff will return with recommendations on rubric changes, whether the 33 remaining qualified applicants should be invited to reapply, and an implementation timeline for monitoring recipients’ use of funds.