If you are a non-English speaker and need translation assistance, please contact Department of Economic Development staff (ACCD.BizFloodGrant@Vermont.Gov) to be connected with State-contracted translation and interpretation services. Be prepared to leave your name, phone number and email address so we can contact you with a translator on the line.
Program Guidelines Translation: Arabic | Burmese | Dari | French | Kirundi | Nepali | Pashto | Somali | Spanish
10/23/23 UPDATE:
The Business Emergency Gas Assistance Program (BEGAP) application portal is closed. It is expected that all program funds will be expended when the application approval queue is cleared.
Business Emergency Gap Assistance Program Guidelines
Program Overview
The Department of Economic Development has created the Business Emergency Gap Assistance Program (BEGAP). This $20 million grant program is for businesses and nonprofits that suffered physical damages from flooding dating back to July 7, 2023. Applicants must intend on restoring, reopening, and bringing their employees back to work as soon as possible and will utilize these grant funds for that purpose.
Incomplete applications will be returned to applicants for revision and will take more time to process. Please note: applicants will be asked to provide estimates for repairing property and replacing inventory and equipment. If organizations don’t yet have estimates from contractors, vendors and/or suppliers, they need to submit their own estimates using prior purchasing orders or by conducting online research.
BEGAP applications will be approved on a rolling basis until all funds are expended. Find more information from the recorded webinar and FAQs below.
Eligibility Requirements
Businesses and nonprofits that sustained physical damages during the flooding event beginning July 7, 2023.
If you are an agricultural business, please visit the Agency of Agriculture, Food and Markets (AAFM) web site for guidance before applying. If agricultural businesses have questions they can email: agr.floodresponse@vermont.gov
An eligible applicant must be a business or nonprofit that meets the following criteria:
- Established prior to the July 2023 flood.
- Physical property damages must be located in Vermont.
- The location for business operations and/or the business assets must have suffered physical damages from the July 2023 flood.
- For the purpose of the BEGAP grant, physical damages include damage to real estate, leasehold improvements, inventory, machinery, and equipment.
- Intends to reopen in the same location or elsewhere in Vermont and will utilize the grant funds for this purpose.
- Nonprofit organizations that provide community service (education, utilities, health care facilities, or emergency services) and were denied a Public Assistance Grant from FEMA.
The following are ineligible entities:
- Municipalities
- Businesses or nonprofits that sustained only economic injury (revenue loss)
- Individual homeowners (for home-based businesses, this application only pertains to business assets)
- Nonprofit organizations that provide community service (education, utilities, health care facilities, or emergency services) and received a Public Assistance Grant from FEMA.
Award Calculation
Effective September 21, 2023, there is a new BEGAP Award Calculation formula in effect to help get more funds to organizations working to reopen their doors. These changes are retroactive.
The award amount is still based on total net uncovered physical damages. This is the amount remaining after subtracting any insurance proceeds (estimated or received) and other grants or donations to be used to defray the costs of repairing or replacing those damaged assets.
For organizations that suffered less than $1,000,000 in net uncovered damages, the formula eliminates the $20,000 award cap. For organizations that suffered $1,000,000 or more in net uncovered damages, the formula no longer takes into account the number of Full-Time Equivalent (FTE) Vermont-based employees.
A breakdown of the new formula for previous awardees, current and future applicants is:
• 0-$999,999 in net uncovered damages = 30% award
• $1,000,000 or more in net uncovered damages = 20% with a maximum award of $500,000.
Awardees already paid 20% for net uncovered damages of less than $1,000,000 do not need to apply again to receive that additional 10%. They will automatically receive a second payment for the difference. If the first payment was via ACH, the second payment will be as well. If the first payment was via check, a second check will be mailed.
Applications in the queue and future applications are automatically eligible for the 30% award.
Applicants can only submit one application per damaged property with a three-property maximum. There is no net uncovered damage limit per property or in aggregate.
Applicant Information and Documentation
Information Required:
- Contact information
- Damaged property location and ownership documentation such as property tax bill, lease
- 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 those damaged assets
- Description of the impact of the flooding on the applicant
- Damage type and estimated costs for repair/replacement (see Contractor Estimate tool)
- An economic injury estimate and description (anticipated or actual revenue loss). This is not being used to calculate the award but is for informational purposes only
Documentation Required:
- Most recently filed Federal Tax Return (or 990)
- Profit and Loss Statement if business started in 2023
- An updated IRS Form W-9
- 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 actual paid expenses
- Photographs of damaged property (maximum of 5)
- Proof of property ownership (e.g. property tax bill, deed, lease agreement)
Technical Assistance
- If you are struggling to find a contractor to give you a repair estimate, use the Contractor Estimate tool. Please note: this tool is for use only when applying for a BEGAP grant.
- If you are a business owner seeking assistance in preparing to submit this grant application, the Vermont Small Business Development Center can help. Fill out their technical assistance form and VtSBDC will follow up with resources to help.
- If flood damage has led to a dispute between an organization and their landlord, reach out to the Small Business Advocate at Vermont Attorney General’s Consumer Assistance Program. You can email them directly at: ago.smallbusiness@vermont.gov.
- BIPOC businesses and nonprofits can email The Vermont Professionals of Color Network at communitysupport@vtpoc.net or weiwei@vtpoc.net for help applying. They also have a flood resource page on their web site.
- Regional Development Corporations are also available to support businesses. Find the one nearest you.
- Farmers and agricultural business should reach out to the Vermont Agency of Agriculture, Food and Markets. They have a web page and email address dedicated to BEGAP.
Additional Questions and Hours of Operation
For additional questions about the Business Emergency Gap Assistance Program please email ACCD.BizFloodGrant@Vermont.gov. The BEGAP hours of operation are Monday though Friday, 8:00 a.m. - 5:00 p.m.
Newsletter
For the latest update on this program and all flood recovery updates from ACCD and DED, sign up for the Severe Storm Recovery Newsletter.