BRG Reimbursement

• Grant under $500,000 - Your grant is 20% of your economic loss¹

• Grant over $500,000 - Your grant is 20% of your economic loss¹ up to a grant amount of $500,000 + 45.0433% of the amount that is over $500,000 
  • Follow the steps below to calculate grants over $500,000:
    • Step 1:  Multiply your economic loss¹ by 20% 
    • Step 2:  Subtract $500,000
    • Step 3: Multiply by .450433589685654
    • Step 4: Add $500,000

¹If you received a grant during Phase 1 of the Program, the economic loss used to calculated your Phase 2 grant is determined by subtracting the gross receipts on line 8b from the gross receipts on line 5b of your application.

• Grant under $500,000 - Your grant is 10% of your economic loss¹

• Grant over $500,000 - Your grant is 10% of your economic loss¹ up to a grant amount of $500,000 + 45.0433% of the amount that is over $500,000 
  • Follow the steps below to calculate grants over $500,000:
    • Step 1:  Multiply your economic loss¹ by 10% 
    • Step 2:  Subtract $500,000
    • Step 3: Multiply by .450433589685654
    • Step 4: Add $500,000

¹If you received a grant during Phase 1 of the Program, the economic loss used to calculated your Phase 2 grant is determined by subtracting the gross receipts on line 8b from the gross receipts on line 5b of your application.

North Carolina law provided $200,000,000 for reimbursement grants to be distributed to eligible applicants.  The Business Recovery Grant Program "Program" had $176,686,609.30 remaining for reimbursement grants during Phase 2 of the Program.  

The Department was required to initially calculate grant awards for eligible applicants that didn’t receive other COVID relief² by multiplying their economic loss¹ by 20%, up to a grant award of $500,000.  The Department was required to initially calculate grant awards for eligible applicants that received other COVID relief² by multiplying their economic loss¹ by 10%, up to a grant award of $500,000.

After calculating the initial Phase 2 grant awards, the grant awards to eligible applicants did not use all of the funds available for reimbursement grants.  In this case, the law required the Department to remove the $500,000 cap on Phase 2 grant awards.  As a result, applicants that had Phase 2 grant awards above $500,000 received 45.0433% of the amount of their award that exceeded $500,000.

¹If you received a grant during Phase 1 of the Program, the economic loss used to calculated your Phase 2 grant is determined by subtracting the gross receipts on line 8b from the gross receipts on line 5b of your application.

²Other COVID Relief means an award from any of the following programs:  COVID-19 Job Retention Program, EIDL Advance, Paycheck Protection Program (PPP), Restaurant Revitalization Fund, and Shuttered Venue Operators Grant Program.

Example 1:  John’s Shop experienced an economic loss of $50,000.  John’s Shop did not receive any other COVID Relief.  John’s Shop did not receive a grant during Phase 1 of the Program.

John’s Shop received a grant of $10,000.  The amount is determined by multiplying the economic loss of John's Shop, $50,000, by 20%.  

Example 2:  Jane’s Store experienced an economic loss of $50,000.  Jane’s Store received a loan from the Paycheck Protection Program (PPP).  

Jane’s Store received a grant of $5,000.  This amount is determined by multiplying the economic loss of Jane's Store, $50,000, by 10%.

Example 3:  Statewide Firm experienced an economic loss of $5,010,000.  Statewide Firm received a loan from the Paycheck Protection Program (PPP).  

Statewide Firm received a grant of $500,450.43.  This amount is determined by multiplying the economic loss of Statewide Firm, $5,010,000, by 10%.  The result is above $501,000.  Since the amount exceeds $500,000, Statewide Firm receives the full amount of the grant up to $500,000 and 45.0433% of the remaining $1,000 ($450.43).   As a result, Statewide Firm received the maximum grant award of $500,450.43 ($500,000 + $450.43).  

https://www.ncdor.gov/business-recovery-grant#faqs