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Yahoo
7 days ago
- Business
- Yahoo
Changes coming to city grant program for rail-affected businesses
The City and County of Honolulu's financial relief effort for small businesses negatively affected by ongoing construction of the over-$10 billion Skyline project is on track for proposed changes. That's because the city's so-called transit construction mitigation fund, or TCMF, grant program—which Mayor Rick Blangiardi signed into law under Bill 40 in February 2024—was supposed to individually award any struggling, eligible business located along the rail corridor into Kakaako with a $10, 000 grant. But the city says only a few grants—out of the dozens of applications its received thus far—were actually awarded. 'Five awards of $10, 000 have been paid, ' Ryan Wilson, a city spokesperson, told the Honolulu Star-Advertiser this week. Wilson noted the city has received 34 applications submitted by local businesses. Of those, 15 applications were deemed ineligible. And 19 applications were returned for revision. To date, six applications were awarded—one on first submission, five on second submission, he said. 'The sixth business owner has not returned multiple calls and emails from the city, ' Wilson asserted. 'A letter will also be sent to the business owner providing a deadline to comply with the Hawaii Compliance Express (HCE ) certificate requirement, or the award will be terminated.' Legislation to expand eligibility to floundering businesses along the rail line who could receive TCMF funds recently materialized. The Honolulu City Council's Budget Committee on Tuesday voted to pass Bill 31, which seeks to increase the maximum allowed annual revenue for small businesses to $1 million, up from $750, 000. The measure's other proposed amendments would remove the number of employees limit, previously locked at 15 or fewer workers ; and require the applicant business to have opened at least 12 months prior to the start of any rail project construction within the transit construction mitigation zone in which the business is physically located, as determined by the city Department of Budget and Fiscal Services director. Previously, a grant applicant's business had to be open for business at their current physical location before Jan. 1, 2022. The full Council may review Bill 31 for possible approval at its meeting on Wednesday. Before the vote at Tuesday's committee meeting, Council member Radiant Cordero—who co-sponsored the measure in March with Tyler Dos Santos-Tam—asked BFS Director Andy Kawano 'if there's a need for rule-making again since there's going to be new criteria with this program ?' Kawano replied, 'Yes, we're going to have to amend the rules we currently have in place.' 'One requirement, for instance, is the limitation on employees ; I think it's 15 or fewer right now, ' he added. 'So that's going to have to be amended.' Kawano confirmed that a 'public notice ' will have to be issued over the program's potential changes. After the meeting, Dos Santos-Tam noted Bill 31 updates will expand the grant program's requirements. 'The expansion of eligibility for the (TCMF ) shows our commitment to making assistance more accessible and inclusive, allowing more small and medium-sized businesses to receive the support they need, ' he said in a statement. 'Rail project construction can create significant disruptions that impact day-to-day operations, and this bill helps ease those burdens so businesses can continue to serve their customers and maintain their employees.' Cordero agreed. 'These businesses provide more than just jobs and services ; they bring life and identity to our neighborhoods, ' she said in a statement. 'Supporting Bill 31 ensures our small businesses, which play a vital role in our communities, can keep thriving as our city grows and changes.' Cordero and Dos Santos-Tam—who respectively represent portions of the Kalihi and Iwilei communities—co-sponsored Bill 40 as well. Meanwhile, Anthony Han, owner of Soul Chicken and Bliss Lounge on the 1000 block of Dillingham Boulevard, said he's hanging on to his business in the face of Skyline's construction that's slated through year 2030. 'I've made a little more money than last year or a few years ago, but I'm still struggling, ' Han told the Star-Advertiser. 'That's why I'm thinking about whether to close this place or not.' Han said he currently owes $60, 000 in unpaid rent. 'I have another debt around $45, 000, ' he asserted. 'That is a true story.' Still, he confirmed the city approved his $10, 000 grant application earlier this year : he received a check in the mail in April. 'It's not enough though, ' Han claimed, 'the cost of everything went up.' In January, the city started offering $10, 000 grants to applicant businesses located near the rail line. At the time, TCMF grants were to be awarded on a first-come, first-served basis, based on authorized and available funding for the program. But by early February, the city had to extend the time to submit applications. That month, the Mayor's Office said the extension—to Feb. 21—was due to TCMF grant applicants not properly filing business documentation with the city. 'Many of the applications that were submitted to the portal needed to be returned to applicants for revisions, especially because they lacked the required documentation, ' Ian Scheuring, the mayor's deputy communications director, told the Star-Advertiser previously. He noted errors led to applicants being denied grant funding. 'The city has received numerous applications for the (TCMF ) program that did not qualify, or were not in compliance with the rules of the program and were rejected, ' Scheuring said previously. According to the city, the total dollar amount spent on this program so far includes $50, 000 for the five $10, 000 awards ; $13, 585 for the program's one-year payment toward its information management system ; and $967.94 to publish legal notices regarding administrative rules hearings on this city-run program.

Yahoo
05-02-2025
- Business
- Yahoo
Honolulu extends deadline for rail-affected businesses to apply for compensation
JAMM AQUINO / 2023 Soul Chicken restaurant employee Cheryl Morris looks out at HART construction along Dillingham Boulevard. The eatery is one of the many businesses affected by rail construction. JAMM AQUINO / 2023 Soul Chicken restaurant employee Cheryl Morris looks out at HART construction along Dillingham Boulevard. The eatery is one of the many businesses affected by rail construction. Honolulu businesses affected by the ongoing construction of the nearly $10 billion Skyline rail project will now have more time to apply for financial relief, city officials announced Tuesday. The city Department of Budget and Fiscal Services says it will extend the application deadline for the so-called transit construction mitigation fund, or TCMF, grant online portal submissions for an additional two weeks. The city has said $10, 000 grants may be awarded to applicant businesses of 15 or fewer employees located near the rail line. Interested business owners will have until 10 a.m. Feb. 21 to submit their applications. The portal—which originally opened for applications Jan. 27—was scheduled to close Friday. TCMF grants will be awarded on a first-come, first-served basis, based on authorized and available funding for the program, the city said. Grants will be available to eligible businesses that : Don 't miss out on what 's happening ! Stay in touch with breaking news, as it happens, conveniently in your email inbox. It 's FREE ! Email 28141 Sign Up By clicking to sign up, you agree to Star-Advertiser 's and Google 's and. This form is protected by reCAPTCHA.—Have fewer than 15 employees.—Generate less than $750, 000 in annual revenue.—Are located within one block of active rail construction on Dil lingham Boulevard.—Are currently open for business.—Are majority-owned by city residents.—Were open for business at their current physical location before Jan. 1, 2022.—Meet the business 10 % revenue decline requirement. The Mayor's Office said the extension was due to TCMF grant applicants not properly filing business documentation with the city. 'The city is extending the application deadline to give qualified businesses more time to compile the necessary paperwork and documentation that is required with every application, ' Ian Scheuring, the mayor's deputy communications director, told the Honolulu Star-Advertiser. 'Many of the applications that were submitted to the portal needed to be returned to applicants for revisions, especially because they lacked the required documentation.' He said those errors led to applicants being denied grant funding. 'The city has received numerous applications for the (TCMF ) program that did not qualify, or were not in compliance with the rules of the program and were rejected, ' he said. 'For example, the city has received applications from businesses that employ more than 15 people, that are located outside of the eligible geographic area, did not meet the 10 % revenue decrease requirement, and did not meet the documentation requirements—all of which disqualified the applications.' As of close of business Tuesday, the city received 28 applications for the TCMF grant program, according to Scheuring. The city's planned financial assistance comes after many businesses along the rail corridor's route toward Kakaako continue to struggle from month to month or have gone out of business altogether. Anthony Han, owner of Soul Chicken and Bliss Lounge on the 1000 block of Dillingham Boulevard, said he's among those who continue to struggle. 'We are kind of lucky because we have a good reputation for our chicken, that's why we are surviving, ' Han told the Star-Advertiser in late January. Han said he'd be interested in applying for the city's $10, 000 grant program, as business remains slow. He added ongoing that rail construction often hampers the ability of customers to show up to his combination Korean fried chicken eatery and karaoke bar, which employs four—a number that two years ago was closer to 10. 'After Thanksgiving it's gotten worse. … It's crazy slow, ' Han said. Grant money is being made available via the Hono lulu City Council's passage of Bill 40 in early 2024. At the time, the measure was meant to jump-start the city's existing yet dormant transit construction mitigation fund. Established through city legislation in 2018 under then-Mayor Kirk Caldwell, the fund was slated to 'receive and expend money to mitigate negative economic impacts from the construction of the Honolulu High Capacity Transit project, ' now known as Skyline. That year, the Council appropriated $2 million to provide real property tax relief to eligible businesses. And the following year, the Council added $750, 000 to the mitigation fund. In 2019, Caldwell issued a message stating that from then on, the Honolulu Authority for Rapid Transportation 'should be responsible for the transit construction mitigation measures ' and pay for any associated costs. But in early 2023, HART's board of directors voted unanimously to remove the rail agency from mention of having any responsibility for administering that fund. And a program was never established for distribution of money in the mitigation fund—leaving affected businesses empty-handed. Under the 2018 legislation, expenditures from that fund were to include grants to businesses forced to relocate due to rail construction ; grants for business interruption to compensate those along the corridor for the loss of income due to construction impacts ; and working capital advances—loans to cover operating expenses of businesses required to stay open during rail's construction phase. To bring about a measure of change, Council members Radiant Cordero and Tyler Dos Santos-Tam—who represent portions of the Kalihi community—co-sponsored Bill 40. 'The transit construction mitigation fund is here to help these businesses stay strong, ' Cordero said in a statement, 'and I encourage anyone eligible to take a look at the program and apply while the window is open.' Mayor Rick Blangiardi signed Bill 40 into law in February 2024. But rail construction's disruptions to local businesses remain, according to Han. He said that includes underground utility work—done either by HART contractor Nan Inc. or by Hawaiian Electric—which he claimed often blocks the entry of car-driving customers to a parking lot near his business. Han said if he were to receive a $10, 000 grant, he would use it to pay past-due rent for his business. But he noted $10, 000 is not a lot of money to help support an individual business in Honolulu—particularly one like his that's constantly affected by rail construction. 'It's better than nothing, though, ' he said previously. For more information about grant availability and the application process, visit. For further information, call 808-768-2622 or email hnlgrants @
Yahoo
04-02-2025
- Business
- Yahoo
Deadline to apply for rail-related mitigation extended
HONOLULU (KHON2) — The deadline to apply for the rail-related Transit Construction Mitigation Fund (TCMF) has been extended by two City and County of Honolulu's Department of Budget and Fiscal Services announced that it was extending the application deadline for rail-related TCMF Grant Online Portal submissions on Tuesday. The portal, which originally opened for applications at 10 a.m. on Monday, January 27, had previously been scheduled to close on Friday, February 7. The passing of Bill 40 in January of 2024 established the TCMF to provide relief to eligible local businesses that have been financially impacted by the construction of the Honolulu Rail Transit Project. Hawaii transit fares, routes could change ahead of Rail's next segment For the current fiscal year, grants of $10,000 per applicant will be awarded on a first come, first served basis, based on authorized funding for the program. Grants are available to eligible businesses that: – Have 15 or fewer employees – Generate less than $750,000 in annual revenue – Are located within one block of active rail construction on Dillingham Boulevard – Are currently open for business – Are majority-owned by City residents – Were open for business at their current physical location before January 1, 2022 – Meet the business 10% revenue decline requirement For more information about the grant availability and the application process, visit Download the free KHON2 app for iOS or Android to stay informed on the latest news Grant applications must be submitted by 10 a.m. Hawaii Standard Time on Friday, February 21, 2025. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.