AGR-6980.06 - EDUARDO CORREA DDS - SMALL BUSINESS ASSISTANCE GRANT; COVID-19 PANDEMICC P-lo'O,olo
CITY OF ORANGE
SMALL BUSINESS
ASSISTANCE PROGRAM GRANT AGREEMENT
This SMALL BUSINESS ASSISTANCE PROGRAM GRANT AGREEMENT
Grant Agreement") is made and entered into as of the 8 day of em er 2020 ("Effective
Date") by and between .the CITY OF ORANGE, a municipal corporation ("City"), and
EDUARDO CORREA, DDS ("Recipient"), a California corporation with reference to the
following:
RECITALS
WHEREAS, the novel coronavirus (COVID-19) has become a world-wide pandemic, in
which the federal, state, county and city governments, including the City of Orange, have all
declared a state of emergency; and
WHEREAS, the efforts to minimize the spread of COVID-19 have, among other things,
created for many Orange businesses the loss of income as a result of a significant reduction of
hours and operations,hindering the ability to keep up with payrolls, rents,mortgages,utility bills,
business operations and other related expenses; and
WHEREAS, the City has determined that encouraging and promoting stability among
commercial businesses and their employees is conducive to the public health and welfare of the
City; and
WHEREAS, the Community Development Block Grant program has made available to
the City,funds to be used for certain specific purposes related to small businesses and the retention
of their low- and moderate-income employees; and
WHEREAS, the City wishes to grant to Recipient, and Recipient wishes to receive said
grant funds.
NOW, THEREFORE, both the City and Recipient, in consideration of the mutual
promises, covenants and conditions contained herein and the substantial public benefits to be
derived therefrom, do hereby agree as follows:
AGREEMENT
1. Purpose of Grant. This Small Business Assistance Program Grant ("Grant") is
awarded by the City to Recipient for the sole purpose of retaining low- and moderate-income
employees, defined as employees earning < 80% of the HUD Area Median Income during the
economic emergency caused by the COVID-19 pandemic.
2. Total Amount of Grant. The Grant awarded to Recipient shall be in the amount
of TWENTY THOUSAND DOLLARS and 00/100 ($20,000.00), payable in one lump sum, and
subject to the terms and conditions contained herein.
3. Recipient Oblisations.
A. Recipient acknowledges the certifications and promises contained in the
Small Business Assistance Program Participant Certification, attached as Exhibit "A" and
incorporated herein, including acknowledgement of the federal prohibition on the receipt of
benefits, including insurance payments, totaling more than the documented losses for the
applicable period of time and the promise to repay any such excess assistance, and agrees to abide
by them during the term of this Grant Agreement.
B. Recipient shall retain those employees designated in the Grant Application
approval as low- and moderate-income for a period not less than ninety (90) days after receipt of
the Grant at the same or better rate of pay and with the same or better benefits as those existing as
of the date of this Grant Agreement.
C. Recipient shall maintain payroll records showing the date, designated
employee's name, rate of pay, and benefits during the term of this Grant Agreement. At the
expiration of ninety (90) days after receipt of the Grant, Recipient shall submit to the City the
Certification of Compliance letter that is attached hereto as Exhibit "B" and provide the required
payroll records and any additional documentation requested by the City. City shall review said
records for compliance with the terms and conditions of this Grant Agreement.
4. Review of Pavroll Records bv City. After review of the Certification of
Compliance letter, the payroll records and any other documentation submitted by Recipient, City
will either:
A. Approve said records, in which case Recipient will not incur any obligation
to repay the Grant and this Grant Agreement will terminate; or
B. Disapprove said records, in which case Recipient will be obligated to repay
to City those amounts determined by City to have been not used for the intended purpose of this
Grant Agreement.
5. Repayment of Grant. If Recipient is required to repay all or part of the Grant,
said repayment to City shall be made according to a schedule as determined by the City.
6. Governing Law and Venue. This Grant Agreement shall be construed in
accordance with and governed by the laws of the State of California and Recipient agrees to submit
to the jurisdiction of California courts. Venue for any dispute arising under this Grant Agreement
shall be in Orange County, California.
7. Inte ration. This Grant Agreement constitutes the entire agreement of the parties.
No other agreement, oral or written, pertaining to the duties and obligations of each party under
2
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EXHIBIT A"
CITY OF ORANGE
SMALL BUSINESS ASSISTANCE PROGRAM
PARTICIPANT CERTIFICATION
Beneath this sheet]
4
C y of
City of Orange
Small Business
Assistance Program
APPLICATIOIV PACKET
Applications accepted beginning May 26, 2020
The purpose of this g rant program is to assist small business owners in Orange that have been adversely
affected by COVID-19 to retain jobs that are held by their low and moderate-income workers. Funds will
be provided to assist with payroll costs for qualified small businesses that pledge to keep their low and
moderate-income employees employed for three months after receiving the grant.
Who can qualify?
1. The business is physically located in Orange, has been in the City for a minimum of one year and
is not a franchise or part of a chain of more than three locations.
2. The business is a for profit business with at least 2, but not more than 50 employees.
3. The business has gross annual revenues of at least $100,000, but no more than $5 million.
4. The business has experienced at least a 25% reduction in revenue due to COVID-19 and is
able to provide documentation showing the loss in revenue.
5. 50% of employees of the business meet low- and moderate-income requirement of <_80% of the
HUD Area Median Income.
6. The business continues to operate legally during the COVID-19 crisis and the designated
employees are actively working at the business.
7. The business has not received full coverage of employee payroll from an insurance provider or
any other entity.
8. The business has had no major code violations in the last twelve months.
9. Adult businesses, massage parlors, and largely cash-based businesses are not eligible.
10. Individuals that own or have interest in more than one business may be limited to one grant total
i.e., if a person has ownership interest in three businesses, only one of those businesses may
receive a grant under this program).
How much is the grant?
The grant is to be used for payroll costs for your low- and moderate-income employees for three months
up to a maximum of $20,000.
How do I apply?
Complete the Grant Application online at www.citvoforanae.ora and attach all the required information
on the Document Checklist. You will receive an email advising you that your application has been
received. An incomplete application will delay the review of your application. Listed documentation is a
minimum requirement and staff may request additional documentation to determine eligibility.
If you have any questions, please email Aaron Schulze, Senior Administrative Analyst at
aschulzeLa citvoforanqe.orq, or call (714) 744-2202. Funding is limited and will be disbursed on a first
come, first served basis.
Smal) Business Assistance Program Application
BUSINESS INFORMATIOOV ' ,
Name of Business
Eduardo Correa, DDS
Type of Business(e.g.,LLC,corporation,sole proprietorship)
Corp
Address of Business
44 E Chapman Ave
Business Employer ldentification Number(EIN) Years in Business
10
of Employees of Employees Meeting Low/Mod incane City Business License Number
O
Requirement
6 143395
OWNER
INFORMATION
OWNER CO-OWNER
Name Name
Eduardo Correa
Social Security Number Contact Phone(area code) Social Security Number Contact Phone(area code)
234454574
Present Address(sVeet,city,state,zip)Present Address(sVeet,city,state,zip)
1409 Kensington Dr
Email Address Email Address
ecorreadds@Gmail.com
INCOME
REQUIREMENTS
See Income Verification Form for details on income requirements for eligible employees.
u
BUSINESS INCOME INFORMATION
2019 INCOME 2020 INCOME(USE THE SAME MONTHS AS 2019)
Month#1 Gross Sales 211 18 Month #1 Gross Sales 65052
Month of April Month ofApril
Month#2 Gross Sales 206278 Month#2 Gross Sales 76459
Month of May Month of May
Please p'rovide a brief explanation of the adverse economic effects COVID-19 has had on your business:
Our dental office had to shut down for over 2 months, and as such we saw a dramatic loss for several months due to
a lack of patient care.
REQUIRED DOCUMENTS—SEE DOCUMENT CHECKLIST FOR DOCUMENTS ACCEPTED FOR VERIFICATION
1. Revenue statements for 2 months in 2020 verifying 25% less revenue than the same months in 2019
2. Revenue statements for the same two months in 2019
2. Annual revenue statement for 2019
3. Payroll records for each qualifying employee
4. Documentation for any other CARES Act funds that you have received (PPP, EIDL...etc.)
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Srv all BusinessAssistance Program Application
ACKNOWLEDGMENT AND CERTIFICATION
Acknowledgement: I/We understand that this grant is being provided by the City of Orange based solely upon
the information that I/we have provided in this application. I/We also cert'rfy that there are no outstanding tax
liens or legal judgements against the business.
Certification: I/We certify that the information provided in this application is true and complete to the best of
my/our knowledge as of the date set forth opposite my/our signature(s) in this application and acknowledge
my/our understanding that any intentional or negligent misrepresentation(s) of the information contained in this
application may result in civil liability and/or criminal penalties.
By signing below, I/we certify that the above statements are true and correct to the best of my/our knowledge.
I/We understand that a false statement may disqualify me/us from benefits.
Owners=,;:e sa.==m --- Date Co-0wner.Signature Date. .
G!ca,lo o t
KoY:a,3,>o,onao,=e<<de 10/21/2020
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City of Orange
Small Business Assistance Program
Owner Participant Certification
Business Name Eduardo Correa, DDS
BuSineSS AddreSS 44 E Chapman Ave Orange CA 92866
In order to participate in the City of Orange Small Business Assistance Program ("Program")
and receive a grant, the City of Orange ("City") requires that you ("Recipient") and your staff,
if applicable, certify the following:
You own a small business that employs between 2 and 50 employees.
Your business is operating durin.g the COVID-19 crisis and your qualified employees are .
working at the business.
50% of your employees who are holding the jobs retained, make less than the low- and
moderate-income requirement of s80% of the H U D Area Median Income (see Income
Verification Form for details).
Your business has been in operation in Orange for at least one year.
Your business has experienced a revenue decrease of at least 25% compared to 2019,
because of the impact of COVID-19.
Your business is not a franchise and is not a chain of four or more locations.
You commit to continue operating and keep your low and moderate-income
employees employed at your business for a minimum of three months after receipt
of the grant funds.
Notwithstanding any other rights of the City under other Sections of this Certification or applicable
law, if the Recipient violates any of the terms, covenants or provisions of the Certification, or if
any representation or warranty made by the Recipient in this Certification or in any document
or application submitted in connection with this Certification or the Program shall prove false or
misleading, or if, in the sole judgment of the City, the conduct of the Recipient is such that the
interests of the City have been or are likely to be impaired or prejudiced, the City shall thereupon
have the right to terminate any grant or withhold payments due under the Program and/or demand
and obtain the return of payments already made which are equal to the damages the City may
have already suffered due to a breach by the Recipient. Any such action by the City shall n.ot give
rise to any cause of action for damages against the City.
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CERTIFICATIONS
1) I certify that my business has been in operation for at least one year in the City of
Orange.
2) I certify that I currently employ a total of 10
employees.
3) I certify that at least 50% of my current employees make less than the low- and
moderate-income requirement of s80% of the HUD Area Median Income.
4) I certify that as a result of COVID-19, my business experienced at least a 25%
decrease in revenue for two consecutive months after January 1 st, 2020, compared
to the average revenue for the same two-month period in calendar year 2019 (or
average monthly revenue based on total 2019 sales).
5) I certify that my business did not receive full coverage of employee payroll from an
insurance provider or any other entity.
6) I certify that the total CARES Act assistance (PPP, EIDL...etc.) that my business has
received is $170,353.96
7) I certify that my business is continuing to operate during the COVID-19 crisis.
8) I certify that my business will retain and pay the listed employees their salary
for a three-month period commencing on the date of receiving their
reimbursement and the employee is working at the business.
9) I certify that my business will comply with all laws and rules applicable to the
program, including City, state and federal laws.
10) I certify that I have not misrepresented the eligibility of my businessfor the Program.
By signing below, I certify that the above statements are true and correct to the best of
my knowledge and belief. I understand that willful or fraudulent submission of a materially
false statement in connection with this certification may disqualify my business from
eligibility for the Program benefits and may subject my business or myself to criminal
charges.
This certification shall be deemed executed in the City of Orange and State of California
and shall be governed and construed in accordance with the laws of the State of
California and the laws of the United States.
e=;a oa,=oam,naeoe o em........._..
G'`u`do o ce2
10/21/2020
Business Owner Signature) Date)
Business Owner Signature) Date)
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City of Orange
Small Business Assistance Program—Document Checklist
Document Why we need this Documents accepted
Signed particlpation Verification that the business employs between 2 and
certification 50 employees,has experienced a loss of revenue,has
a commitment to retain employees by participating in
this program, employees meet income qualifications
and has not already been fully reimbursed by
insurance for wages.
Revenue statements for pocumentation of revenue folfowing COVID-19 impact One or more of the following for the entire impacted period:point-of-
two consecutive months in sales reports, sales reports(demonstrating fees collected or earned
2020 income), bank statements, quarterly sales tax filings, or CPA-
certified profit&loss statements for two consecutive months in 2020
Revenue statements for Comparison of typical operating revenue to verify One or more of the following for the same two months in 2019:
the same two consecutive loss of revenue as a result of COVID-19 point-of-sales reports,sales reports(demonstrating fees collected
months in 2019 or earned income),bank statements,quarterly sales tax filings,or
CPA-certified profit&loss statements for two consecutive months
in 2019
Annual revenue statements Comparison of typical operating revenue to verify One or more of the following for total 2019 sales:point-of-sales
for 2019 loss of revenue as a result of COVID-19 reports,sales reports (demonstrating fees collected or earned
income), bank statements,quarterly sales tax filings, 2019 tax
returns, CPA-certified profit & loss statements, 2019 Tax
Returns(all pages),or Federal 990
Income verification forms • To determine if your employees meet the income
filled out and signed by each requirements for the program Click Here for Income Verification Form
employee)
Payroll records for each To verify employment Payroll records or cancelled checks to each employee
employee
Proof of Orange location To verify that the business is located in the City City of Orange business license number on application,signed
federal tax forms;signed copy of lease agreement,or 3 months
of operational bills
If you do nof have a Clty buslnessl/cense you w!!!be requlred to obfaln
one prlor to fund dlstribut/on
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EXHIBIT "B"
CERTIFICATION OF COMPLIANCE
Beneath this sheet]
5
Date:
Lisa Tamburelli
Community Services Department
City of Orange
300 East Chapman Avenue
Orange, California 92866
Re: Certification of Compliance Pursuant to City of Orange Small Business
Assistance Program Grant Agreement
Dear Ms. Tamburelli:
This Certification is submitted to the City of Ora.nge in accordance with the Small
Business Assistance Program Grant Agreement ("Agreement");and constitutes the Final
Compliance Report. The undersigned authorized representative(s) of EDUARDO
CORREA, DDS, hereby certifies(y) each of the following statements:
1.The 90-day compliance period for this Agreement began on November 6, 2020,
and ended on January 6, 2021.
2. During the compliance period, the business continued to operate legally.
3. During the compliance period, the business continued to employ all of its Low- and
Moderate-Income (LMI) employees.
4. Both prior to and during the compliance period, the business did not receive
federal, state or local assistance or insurance payments totaling more than the
documented losses for the applicable period of time.
5. The enclosed payroll documentation is accurate and reflects the continued
employment of the LMI employees.
Dated:
Signature:
By: Eduardo Correa, DDS
Title: Owner