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Grant program slated to bring financial relief to midstate hospitality businesses

  • Julia Agos/WITF
Mike Grafenstine works in the kitchen of his restaurant in Abington, Pa.

 Emma Lee / WHYY

Mike Grafenstine works in the kitchen of his restaurant in Abington, Pa.

(Lancaster) – A new grant program coming to Lancaster County could bring some relief for businesses like bars, restaurants and hotels hit hard by the coronavirus pandemic.

The program, run by Recovery Lancaster, will make $6,181,089 available to businesses affected by pandemic-related shutdowns, dining restrictions and limits on travel.

Heather Valudes with Recovery Lancaster said the businesses ​still have bills to pay despite shutdowns and restrictions.

“Rent, supplies, their workforce — some of those hard costs to operate don’t go away while they’re still operating under these … restrictions that were quite extensive throughout 2020,” she said.

In a partnership with county government and the Economic Development Company of Lancaster County, the organization will distribute awards of between $30,000 and $50,000 depending on the size of the company.

Businesses must have fewer than 300 employees and must show a 25 percent revenue loss due to the pandemic to qualify for the aid.

Valudes said revenue loss will be the biggest factor they look at when determining eligibility.

“For Lancaster, hospitality is such a critical part of our employment base here… this is targeted at those businesses in order to ensure that they can sustain themselves and help make up for lost revenue,” she said. “They were a part of those most critically impacted businesses from shutdown orders in 2020 and some of the ongoing impacts of COVID.”

The money comes from a $145 million workers compensation fund that the state reallocated for business relief.

Applications will be accepted from March 8-19th at recoverylancaster.com.

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