The Crookston Housing and Economic Development Authority (CHEDA) convened a special committee to review small business relief grant applications. Polk County had allocated $200,000 from the county total of $620,000 to the businesses in Crookston.
The committee consisted of CHEDA Board members Kurt Heldstab, Leon Kremeier, Craig Buness, and City Council members Tom Vedbraaten and Wayne Melbye. The committee identified the businesses they felt were most impacted by Governor Tim Walz’s executive orders as those receiving the largest grant amounts, explained CHEDA Executive Director Craig Hoiseth. “The higher grant awards were those impacted more greatly by the governor’s executive orders,” said Hoiseth. “Something like restaurants, gyms, theaters, hotels, things that were forced to shut down got larger grants. Smaller ones, such as maybe a hair salon that wasn’t forced to shut down the past few months, but their business was curtailed, got a lesser amount of grants. Overall, the group did a really nice job sorting out those that were impacted the most to get the larger amount.”
The committee voted two leave two businesses off the grant list. They were Daroos and Resource Management. The committee said that with Daroos not attempting to be open, it was hard to justify them getting a grant. City Councilman Wayne Melbye said, “I just have a funny feeling that if you put in the paper a list of everybody getting anything and they see Daroos for $3,000 or $7,000, they are going to say – my god, what the hell are they doing. They haven’t been opened. I don’t think they’ve maintained any of their help. I know they’ve got that lease, but that’s their problem before this all started to me.”
Hoiseth did share that the business model had transitioned to buffets, which the governor’s order eliminated. “The only consideration that needs to be put out was that their business model was surviving, if not thriving on the buffet,” said Hoiseth. “The governor said no buffets. I asked the questions specifically, and she said – we couldn’t even pay the direct labor on takeout.”
Resource Management is a landlord in Crookston. Hoiseth said they’d been hit by people not paying their rent and the state’s hold on evictions during the pandemic. It was noted that a pool of grant money had been issued to Tri-Valley Opportunity Council for grants relating to rentals. However, the committee felt there would be some state program such as a tax credit for unpaid rent due to the pandemic that would be a better fit.
The committee’s recommendation to approve the grants will go to the Polk County Commissioners for approval and payment, said Hoiseth. “The recommendation will go to the county administration,” said Hoiseth. “If they agree with it, it will go to the Commissioners for a vote. If all goes well, I think the Commissioners will vote to proceed and disperse the funds the last part of February or the first part of March.”
Additionally, the committee reviewed and verified the acceptance of applications from entities outside the city limits. Hoiseth explained a separate meeting would be held consisting of County and City leaders to award rural grants across the county on February 11. “We have 18 applications on the Crookston side of Polk County,” said Hoiseth. “That’s kind of Fertile, Climax, Gentilly. City Administrator Amy Finch and myself will have a meeting with East Grand Forks, Fosston, and the county to split up that last $100,000 that the state gave the county.”
GRANTS AMOUNTS
$9,000 – AmericInn, Drafts Sports Bar & Grill, Functionally Fit, El Gordito, China Moon, L & C Stahlecker & Sons DBA Crookston Inn, Irishman’s Shanty, Hong’s, Grand Theatre, Anytime Fitness, Mugoos/I.C. Muggs, Crookston VFW, Crookston Eagles, RBJ’s, Happy Joe’s Pizza and Ice Cream, Cobblestone Hotel
$5,000 – Wonderful Life Foods
$3,000 – Gold Star Steam Cleaning, Erickson Embroidery, Holiday Stores
$2,500 – Heroes Rise, Healing Hands Massage, Touch of Hands, Synergy, Moon Child Massage, Joyful Heart Photography, TLC Hair Care, Studio (Stacey Nichols), Studio 108 (Martha Newquist), Shear Sister (Kari Trudeau), Cutting Edge Salon, Shear Sisters (T Durbin)
$2,000 – Crookston Blue Line Club, United Way, Masonic Lodge, Polk County Historical Society, Crookston Firefighter’s Association, You-Neek & Cutting Edge (Maggie Rudnik)