Previous Story
$400K grant eyed for Gardenia’s rehab
|
Posted on Mar 03 2009
The Commerce Department is eyeing about $400,000 in federal assistance for the rehabilitation of the Pacific Gardenia Hotel, which it plans to use as the new small business development facility that will assist local entrepreneurs with low-cost rent for new ventures.
Commerce Secretary Michael Ada told Saipan Tribune Monday said this will be the government’s way to help small local entrepreneurs who encounter difficulties in starting their transactions.
Ada said that based on the stimulus bill approved by President Barack Obama, the U.S. Small Business Administration will provide grants to local businesses on island.
The Commonwealth Development Authority, who took over the Pacific Gardenia Hotel, has approved Commerce’s request to use the facility for small business development activities.
This comes after the SBDC program was stopped at the Northern Marianas College because grants were held back some years ago.
“We reached a verbal agreement with CDA and everybody is behind the idea. We’re working together now in writing the grant application. We need at least $400,000 to rehabilitate the facility so the people can start running businesses,” Ada said, adding that the grant application will be submitted to the Economic Development Administration.
He cited as example a local entrepreneur wanting to start an accounting firm and could not afford to pay for rent and hire staff services.
Ada said Commerce is also gearing up for the revival of SBDC, which would also be funded through SBA.
SBDC, he said, would deal with counseling and guidance for entrepreneurs, which is an important aspect in any business’ beginnings.
“SBDC is funded through SBA. Basically, we don’t have it anymore because the funding was held back in the 1990s…so our goal is to try to get SBDC back and work on the business incubator program too,” Ada said.
CDA had attempted to sell or lease the Pacific Gardenia property but failed due to some tax issues related to the company’s former owners.
