NEW BEDFORD – Small businesses that want to tap into a new grant program to improve their buildings’ look got a break on the match requirement this week.

Mayor Jon Mitchell announced Monday that the city’s Enhanced Façade Improvement Program had dropped a 25% matching requirement on the first $10,000 of a project’s cost. Additional costs above $10,000 will be subject to the match requirement. The maximum total grant will remain at $40,000.

The matching requirement for the program, which was announced March 29 as the city’s first investment of funding from the American Rescue Plan Act, had previously been 25% no matter the amount. The city will receive a direct allotment of about $64.7 million in ARPA funds. About $1.5 million is targeted for the façade program.

Mitchell said the change will open the door to more applicants and generate greater commercial revitalization across the city.

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The program is open to eligible commercial property owners, tenants, and nonprofit organizations.

Eligible improvements include replacement or restoration of original architectural details; signs and awnings mounted to the building façade; new storefront construction within an existing building; window replacement and window framing; painting and/or residing of buildings; exterior lighting, and more.

“By putting money in the hands of our small businesses, we seek to accelerate their growth and the well-being of the neighborhoods in which they operate,” Mitchell said in March. “When small businesses succeed, a city thrives.”

The program is off to a fast start, with 11 businesses applying for funding in its first month, according to a release from the mayor’s office.

“Despite this early success, small business support organizations and city councilors who had been actively promoting the program have noted that the match requirement may put the program out of the reach of small businesses. While the city has a separate, long-standing façade improvement program that issues grants of up to $2,000 without a match requirement, those grants have at times proven insufficient for making significant upgrades to business properties,” according to the release.

In response to the feedback, the city is expanding the program to make it more accessible for the smallest businesses, while preserving the accountability mechanism that a match requirement provides, according to the release.

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Mitchell said the expansion of opportunity for applicants came after collaborative discussions with city councilors.

“I want to thank Councilors Ian Abreu and Maria Giesta for reaching out to me with constructive feedback on how we might improve the façade enhancement program,” Mitchell said. “I agree with them that adjustments to the match requirement will broaden the impact of the program, while still ensuring that ARPA funds will leverage private investment.”  

Businesses, commercial property owners, nonprofit organizations and other eligible entities can download a program application on the city’s ARPA website: www.newbedford-ma.gov/arpa.

The council’s Committee on Finance had been scheduled to discuss asking the administration to suspend the 25% match requirement altogether for all program applicants Monday.

Councilor Linda Morad had made the recommendation.

Given the mayor’s announcement, she motioned to table the discussion for 45 days. “So we give the changes to the program a chance to be announced to the community and for people to consider and apply.” Her motion was approved by the council.

She said, “I found the press release very interesting today. I’m sure some of my colleagues did as well. I’m glad to know the administration might be listening from time to time but certainly didn’t listen to the suggestion from this councilor and a couple of my other colleagues.”

Morad added she still wasn’t sure the program would work.

“I’m still getting phone calls from people saying that zero match or a 5% match is the better number.”