If you work in the field of economic development, and more specifically if you have an economic interest in the real estate industry, then you know the value of stability in the marketplace. Significant events with adverse economic impacts, such as COVID-19 and a derecho, can have a cascading effect on jobs, families, and the economy generally. That is why it has been important for government, non-profit organizations, and businesses to support activities that collectively create a safety net – to provide some measure of economic stability. It’s one of the reasons the State of Iowa, local governments and community organizations created their own economic recovery grant programs. Other nationwide support systems, such as unemployment benefits, the Paycheck Protection Program and various forms of natural disaster assistance, have also been important.
To be sure, these are imperfect systems, and one can debate the effectiveness of various policy alternatives or the extent to which we can borrow from the future to pay for them. But there is no question that they have provided an important lifeline to many during these challenging times. While some programs have ended or are winding down, there are some that will continue for a few months longer. Two of them are designed to help people stay in their homes and businesses by assisting with rent and utility expenses.
Iowa COVID-19 Eviction and Foreclosure Prevention (EFP) Program
The Iowa Finance Authority (IFA) reported last week that rental assistance has been provided to just over 2000 applicants equaling approximately $4.8 million. On the foreclosure side, the EFP Program has awarded nearly $135,000 to 61 applicants. Approximately $15 million in funds remain in the program, which will remain open until funds are exhausted or until December, 2020, whichever comes first.
IFA reports that the program has seen a significant increase in the number of applications being submitted since August 1. On Tuesday, August 4, it was announced that Iowans who have been receiving $600 a week in federal unemployment stimulus benefits may now apply for the rent and mortgage assistance. For more information, visit https://www.iowafinance.com/covid-19-iowa-eviction-and-foreclosure-prevention-program/.
Iowa Small Business Utility Disruption Prevention Program
The Iowa Economic Development Authority (IEDA) recently announced that more Iowa small business owners and nonprofits are now eligible to receive financial assistance with electric and natural gas utility bills. Eligibility criteria for the Iowa Small Business Utility Disruption Prevention Program has been expanded to include utility assistance for eligible small businesses and nonprofits for electric or natural gas service provided between March 17, 2020 and October 15, 2020.
To be eligible, small businesses and nonprofits must have experienced a COVID-19 loss of income. Financial assistance of up to $7,500 is available. Payment’s would be made directly to an applicant’s utility service provider. The program will accept applications through October 31, 2020 or until all funds have been exhausted. The state allocated approximately $14.5 million of federal CARES Act funds for the program when launched in early July.
For more information, visit https://www.iowaeconomicdevelopment.com/Business/energy-recovery or call 515.348.8914 (toll free: 855.300.2342).
The Enterprise Iowa team encourages our clients and affiliated organizations to share this information with everyone in their various networks. Let’s do what we can to ensure that the individuals and businesses in need of this assistance get connected with these resources. It is the type of help that can increase economic stability for the benefit of all.
Think about the position of a not-for-profit organization in a community considering a ballot issue to raise taxes (school bond issue, public facility levy, local option tax). The organization probably has members on both sides of the issue. Some may just be against tax increases of any kind. Others may benefit directly or indirectly in some way – they may be a construction contractor or perhaps a financial institution providing resources for a project. There are any number of possibilities. What should they do if asked to express an opinion on the subject?
Choosing Sides or Choosing Silence
Choosing sides, and overtly favoring or opposing a ballot is probably not the right direction to go. Someone is sure to be unhappy – and that’s just not a good place to be for an organization dependent on member dues, investments or charitable contributions. Not to mention, certain not-for-profit organizations can’t take sides without jeopardizing status with the Internal Revenue Service.
Remaining silent doesn’t seem constructive either. A community organization such as a local development group should care about tax policy, public budgets and generally the business climate in their respective communities. “No comment” just doesn’t work.
Staying Neutral While Getting Involved
In most cases the right answer is help inform their members and contributors, the community and voters of the factors to consider when making their decision in the voting place. For example, a reasonable stance for any economic develop organization is to support a tax policy that is stable, predictable and comparable to neighboring communities. The conventional wisdom would be that a tax policy that is in the range of “normal” isn’t going to affect business location decisions, and the community will likely have enough resources to provide reasonable levels of service.
Non-profit organizations can also bring their knowledge about an issue to the table and share information about factors that might affect policy choices. Again, using the economic development organization as an example, this might include things like the ratio of commercial to residential property in a community, the comparative density of development, the cultural and social characteristics of the community, or the comparative level of average household incomes. Helping people understand facts and context can simply contribute to more informed decision making. And broadly speaking, shouldn’t everyone work to foster civil community engagement?
Walking the Line
Walking the line between advocacy and opposition can be a tricky path to follow, and keeping information balanced and factual is not easy. Silence is the easy option, but not necessarily the right one. If you find yourself at this trailhead, our team has the background and experience to help you navigate safely.
Enterprise Iowa, Inc. is a project management and organizational management firm. Since 2000 we have been privileged to work on many successful projects. Most have been within the confines of the State of Iowa, but some have involved issues at a regional or national scale. Our background and experience in managing projects is diverse ranging from business operations to public policy initiatives. The bottom line is that we have the project and program management skills to work with subject matter experts in almost any area to accomplish an organizational objective. We have evolved into a project management firm with the capability to manage a project to completion and then carry it forward into program operations.
Many of our early experiences originated in the public sector where we worked to apply entrepreneurial and private sector approaches to public programs and services. We also take some pride in applying a Midwestern work ethic and Iowa values to our work. This is the source of the name Enterprise Iowa.
Our home base is in the Greater Des Moines region – specifically Johnston, Iowa. If you have a project or program which demands successful implementation please contact us to arrange an initial consultation.