THE BUSINESS EMERGENCY GAP ASSISTANCE PROGRAM HAS CLOSED. THE DEADLINE TO APPLY WAS NOVEMBER 15th
Governor Phil Scott and the Vermont Department of Economic Development (DED) announced that the Business Emergency Gap Assistance Program (BEGAP) application portal is open as of Thursday, August 29. BEGAP is a grant program for businesses, nonprofits, landlords, and farms that suffered physical damage from flooding.
“As Vermonters continue efforts to recover from the devastating flooding of the last two years, BEGAP has been an important lifeline for our businesses who often are not eligible for federal disaster grants,” said Governor Scott. “I’m pleased we are restarting this program to help more employers receive the necessary support to rebuild, reopen, and bring people back to work.”
“We understand that the challenges faced by our businesses and nonprofits have only intensified with the recent floods,” said DED Commissioner Joan Goldstein. “Our team at DED has been working diligently to relaunch BEGAP and ensure those impacted in both 2023 and 2024 receive support to rebuild and reopen. While we know this funding won’t make them whole, we are hopeful that it will provide a crucial step towards recovery.”
Applicants are encouraged to visit the ACCD Business Emergency Gap Assistance Program page to learn how the program works and what they need to have on hand before they begin the online application process. Eligibility and grant calculations differ depending on several factors. Property that was eligible for 2023 BEGAP funding may also be eligible for 2024 BEGAP funding. Separate applications must be submitted for each physical location affected. A business or nonprofit can receive grants for up to three physical locations, per flood. The application period for 2023 BEGAP applications has closed.
2024 BEGAP Funding: The application period has closed. Grants will cover 30% of net uncovered damages, up to $100,000. Preference will be given to Vermont-based operations, and 10% of funds have been set aside for Black, Indigenous, and Persons of Color applicants.
All applicants seeking assistance in preparing to submit this grant application can receive help from the Central Vermont Economic Development Corporation. Fill out the support request form and CVEDC will follow up with resources to help.
If agricultural businesses have questions, they can email the Vermont Agency of Agriculture, Food and Markets (VAAFM) at agr.floodresponse@vermont.gov or call 802-828-2430. 40% of 2024 funds are reserved for applications from agricultural and silvicultural businesses until November 15, 2024.
If you are a non-English speaker and need translation assistance, please email ACCD.BizFloodGrant@Vermont.gov. You will be connected with state-contracted translation and interpretation services.
The Vermont Department of Economic Development will share a pre-recorded webinar following the opening of the BEGAP application that will walk applicants through the process step-by-step and answer FAQs. For additional questions about the Business Emergency Gap Assistance Program please email ACCD.BizFloodGrant@Vermont.gov
ACCD Webinar
This webinar covers the relaunch of BEGAP in 2024 and important updates to the program.
Overview
The BEGAP program has money available through the Vermont Agency of Agriculture, Food and Markets (VAAFM) in partnership with the Vermont Agency of Commerce and Community Development to support agricultural operations losses or physical damage related to this flooding event.
Awards may be available for food and farm businesses, organizations, or individuals who raise animals and/or grow food or crops for sale, or who operate on-farm processing operations that have experienced physical damage due to the flooding event. These applicants will apply as “Agriculture” sector applicants via the BEGAP application .
Agricultural or food businesses engaged in off-farm processing or food manufacturing should apply directly to ACCD BEGAP as a “manufacturing” or “retail” applicant via the BEGAP application.
Questions
If you represent a farm or agricultural operation and have questions, please email agr.floodresponse@vermont.gov or contact VAAFM staff through our Agency phone at 802-828-2430.
Agricultural Business Eligibility Criteria
- Established agricultural business prior to July 2023 flooding
- Physical property damages must be located in Vermont, which includes damage to real estate (infrastructure and land damage); inventory (crop damage or loss, livestock loss); machinery; and equipment associated with the agricultural business
- All losses or damage under the same agricultural business are considered one damaged property.
- If a farm is operated separately from an additional processing facility, the farm would apply with the Agency of Agriculture under “Agriculture,” and the processing facility would most likely apply under “Manufacturing” with ACCD. These would be two separate applications.
- Agricultural business must intend to reopen or to remain open and will use grant funds for the agricultural business.
Applicant Information Required
- Contact information
- Damaged property location and ownership documentation such as property tax bill or lease arrangement
- Federal Employer Tax Identification Number (FEIN)
- Insurance policy information: type of coverage, policy number, agent contact
- Dollar amount of damages anticipated to be recouped through insurance
- Other grants or donations received and used to defray the costs of repairing or replacing damaged assets
- Description of the impact of the flooding on the applicant
- Damage type and estimated costs for repair/replacement
- An economic injury estimate and description (anticipated or actual revenue loss). (This estimate will not be used to calculate the award but is for informational purposes only.)
Documentation Required, When Applicable
- Most recently filed Federal Tax Return (or 990) – full tax return required
- Profit and Loss Statement if business started in 2023
- An updated IRS Form W-9 – wet signature required
- Declaration or Certificate of Insurance for all policies held
- Supporting documentation for claimed damages (insurance adjusters report, vendor estimates)
- Repair estimates for physical structures, equipment, inventory, supply purchases or invoices of actual paid expenses
- Photographs of damaged property (maximum of 5)
- Proof of property ownership (e.g. property tax bill, deed, lease agreement)
Awards
Agricultural businesses may be eligible for multiple awards for flood damages incurred in 2023 and 2024. Visit the Business Emergency Gap Assistance Program page at ACCD for detailed eligibility. Awards help applicants recoup a portion of their total net uncovered damages. This is the damage amount remaining after subtracting any insurance proceeds (estimated or received) and other grants issued to defray the costs of repairing or replacing those damaged assets. Loans received should also be deducted from the amount of damages you report. Any funds received through BEGAP may impact future federal relief assistance program payments, including FEMA, SBA, or USDA. BEGAP awards are also considered taxable income.
Award Calculation
Agriculture sector applicants are eligible for the category of funding to businesses that have less than $1 million in net uncovered damages. Therefore, Agriculture sector applicants may be eligible for awards of up to 30% of net uncovered damage.