Governor Lamont Allocates $5 Million in State Funding To Provide Grants To Small Businesses Impacted by Record Flooding in Western Connecticut

Application Period for State Micro-Grant Program Begins September 3, 2024

SEYMOUR, CT - Governor Ned Lamont, joined by Connecticut Department of Economic and Community Development (DECD) Commissioner Daniel O’Keefe, today announced that he is allocating $5 million in state funding to launch a micro-grant program that will help small businesses in the western portion of Connecticut rebuild and recover from the record rainfall and flooding the state received last week.

Under this program, state grants of up to $25,000 will be available for small businesses and nonprofit organizations in Fairfield County, Litchfield County, and New Haven County that have fewer than 100 employees and experienced damage from the floods. Grants can be used to cover various expenses to help in the recovery, including those associated with cleanup efforts, replenishing lost inventory, and replacing equipment.

Governor Lamont and Commissioner O’Keefe announced the establishment of this program while visiting small businesses in Seymour that were forced to close due to flood damage.

“We are working to quickly launch this state grant program in an effort to help small, locally-owned businesses rebuild, repair, and re-open as soon as possible,” Governor Lamont said. “Small businesses are the engine of our economy and the heart and soul of our communities, and they employ thousands of workers. In addition to this state-funded program, we are working with our federal partners to determine eligibility that could provide further support for our business community, and this program is one component of the recovery effort. I am committed to supporting Connecticut throughout the recovery process.”

“This kind of unforeseen natural disaster can cripple small businesses that may not have the financial resources to quickly recover, rebuild and reopen,” Commissioner O’Keefe said. “This micro-grant program is an important first step on the road to recovery, providing critical gap funding to help our small businesses stabilize operations as best they can while they pursue more long-term support from the federal government or other sources.”

The program will be administered on behalf of DECD by the WBDC, a nonprofit organization based in Fairfield County that works to support business growth and job creation statewide. On September 3, 2024, the WBDC will launch an application process for businesses to seek grants. Applicants will be required to provide detailed descriptions of how their businesses were impacted and include photos, receipts, invoices, and estimates where applicable.

This state-funded grant program is separate from any potential federal funding that businesses or homeowners may be eligible to receive if the state is awarded a major disaster declaration from the Federal Emergency Management Agency (FEMA) or the U.S. Small Business Administration. The Lamont administration is working with towns, businesses, and homeowners to conduct detailed damage assessments and calculate whether the cost thresholds have been met that would enable the state to receive such a declaration, which could result in the release of federal funding to support the rebuilding and repairing of damage to eligible public and uninsured private property. The process of conducting these assessments and then applying for this type of declaration typically takes several weeks to complete and is already underway. Any homeowners and business owners who experienced damage to their property are strongly urged to participate in this documentation effort by either filling out an online survey hosted by the Connecticut Division of Emergency Management and Homeland Security (click here for survey) or by contacting their town’s local emergency management office to have their damages recorded.

Last week, President Joe Biden authorized a federal emergency declaration for Fairfield County, Litchfield County, and New Haven County due to the storm. That declaration enables the state to coordinate with FEMA on the deployment of certain federal resources, such as personnel and equipment, that augment emergency actions the state and its municipal partners are taking to protect lives and property. The state has been coordinating with several federal entities since the approval of this declaration to help in the recovery effort, including with the U.S. Army Corps of Engineers and the Federal Highway Administration on the rebuilding and reopening of roads, and with the U.S. Environmental Protection Agency and the U.S. Coast Guard on the clean-up and protection of waterways.