Hotel Relief Grant Program Round IV – Commencing July 1

Montgomery County, MD recently shared information about the Hotel Grant Relief Program to provide financial assistance to hotels and other lodging entities located in Montgomery County, MD.

Hotels and other lodging entities have been extremely hard hit by the COVID-19 pandemic and will have a long recovery. Montgomery County announced this relief program to continue stabilization efforts of the local hospitality industry in the County.

Grant awardees will receive $500 per sleeping room under this program.

Any hotel with ten or more sleeping rooms, or a Bed and Breakfast with five or more rooms, located in Montgomery County, are encouraged to apply.

Applications will be accepted from July 1, 2022 through July 22, 2022.

Prepare to apply

1. Review the Eligibility Requirements for the program.
2. Be sure to use the correct, exact legal name of the hotel owner on your application.
3. Check the taxpayer identification number and be sure it matches the legal name of the owner.
4. Ensure that you are primarily engaged in business activities that would be covered through NAICS Code 721110 (Hotels (except Casino Hotels) and Motels) or Code 721191 (Bed-and-Breakfast Inns).
5. Ensure you are in "Good Standing" with the State of Maryland at the time of application.

Follow these steps to determine whether your business is in "Good Standing":

1. Go to Maryland Business Express
2. In the "Business Quick Links" section, select "Business Entity Search".
3. Enter your exact legal business name and select "Search".
4. Your business will be listed if you are registered.
5. Select your business and check under the General Information tab to verify that your business is in Good Standing. It is not necessary to order a copy of your certificate of good standing.

Eligibility Requirements

1. Be primarily engaged in activities that, in accordance with the North American Industrial Classification System, would be included in Code 721110 (Hotels (except Casino Hotels) and Motels) or Code 721191 (Bed-and-Breakfast Inns).
2. The applicant (hotel owner) must be a Maryland based entity subject to Maryland sales and use tax, and the Montgomery County Hotel/Motel tax.
3. If a part of a franchise with multiple locations of businesses, are owned by a Maryland franchisee.
4. Be in Good Standing with the State of Maryland.
5. Demonstrate a loss of revenue of 25% or more from September 2021 through January 2022 compared to September 2019 through January 2020. Eligible applicants must be open to the public for provision of accommodations by March 31, 2021.

Allowable Use of Hotel Grant Relief Funds

Grantees are allowed to use funds for:

• Normal operating costs, such as rent, payroll, job training, taxes, debt service, or similar costs.
• Purchase of PPE, sanitization services, or other COVID-19 related costs.

Required Documentation

The following documents will be required at the time of application:

1. Signed, completed application form
2. Annual Profit & Loss Statements, by MONTH for 2019, 2020, 2021 and 2022 (through 3/31/2022)

Application Review Process

Applications will be reviewed for eligibility based on the criteria listed above.

Applications will be accepted July 1, 2022 through July 22, 2022.

Hotel Relief Grant Program Frequently Asked Questions.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.