Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Small Business Grants topic
No spam. Unsubscribe anytime.
Durham staff sets March 24 deadline to distribute delayed Momentum academy grants
Summary
City officials told the council they will attempt to deliver $20,000 awards to Momentum Financial Academy participants within 30'45 days and, after discussion, set March 24 as a promised "drop date" for checks while staff pursues alternate funding sources and compliance fixes.
Small-business owners who participated in the city-run Momentum Financial Academy pressed the council on Feb. 6 after participants said promised $20,000 grants tied to the program had not been paid.
Ed Nixon, acting director of the Office of Economic and Workforce Development, told council that the awards are federal funds passed through the city and that the department has identified compliance issues that must be resolved before HUD or related federal money can be drawn. Nixon said the department is exploring an alternate funding source so awards can be made sooner.
"These are federal funds that are being passed. And of late, we have some concerns have surfaced, related to some compliance issues. And so before we can continue, the money's coming out, those compliance issues have to be addressed," Nixon said.
Entrepreneur Shay Ramos, who described paying for recommended insurance and other costs while waiting for the award, told the council the group's cohort has waited nearly five months without payment and has received inconsistent communication.
Nixon said the city is exploring using available ARPA (American Rescue Plan Act) funds to make the awards now and will seek reimbursement or reconciliation later with HUD or other federal sources.
When Council Member Baker asked for a clear deadline, Nixon offered a 30'45-day window and then agreed on a clear date with council: "March 24 will be a drop date that we, would anticipate," he said. Deputy City Manager confirmed the administration would prioritize an internal review to meet that target and said staff hope to complete distribution earlier if possible.
Mayor Williams and other council members urged staff to improve communication with participants while the department resolves compliance questions and to provide a specific timeline to council members and participants. City staff pledged to follow up and to provide regular updates.
