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The North Dakota Department of Commerce today announced that the Hospitality Economic Resiliency Grant (HERG) application window for round two will begin on Feb. 4 at 10 a.m. CST and will close on Feb. 25 at 5 p.m. CST.

“We have learned a great deal over the course of the last few months,” Interim Commerce Commissioner Shawn Kessel said. “Our team has listened and gathered valuable feedback to improve the HERG application process. With changes in the federal deadline, second-round applicants will be allowed more time to respond to questions. We were able to broaden the definition of entertainment venues slightly so more businesses will be eligible. It is our goal to distribute every dollar we can to eligible North Dakota businesses.”

Due to the continuing need of assistance, Commerce created the HERG to focus on reimbursing hospitality businesses that were directly impacted by Executive Order 2020-06. This includes all restaurants, bars, breweries, cafes and similar on-site dining establishments.

Eligible entities also include theaters, drama, music and entertainment venues and  professional production companies that support major venues, meetings and events.

Hotels with restaurants, bars, coffee shops and/or banquet/meeting spaces may apply for a grant using the operational expenses from those specific operations. Receipts must clearly show this connection, such as food costs or staffing. 

Funds must be used to reimburse eligible entities for costs in operations, like payroll, rent and utilities. Eligible expenses must have been incurred on or after March 27, 2020, and no later than date of application.

Recipients of the first round of the HERG may be eligible for round two funds if the recipient received less than the full eligible amount. In this case, the recipient may be eligible for the difference between the two rounds, up the maximum distribution allowed per grant. Different expenses from round one reimbursements must be submitted to receive round two funds.

Applicants may receive up to $25,000 and eligible entities with multiple locations may receive up to $75,000. A max of $25,000 will be allowed per location. Grant recipients are required to comply with ND Smart Restart protocols.

Commerce was approved by the Emergency Commission to use the funds remaining from previous grants estimated to be approximately $25 million and an additional $29 million for the hospitality-specific grants to support more than 3,000 food service, drinking establishment, entertainment venues and professional production companies operating in North Dakota.

Applications will be processed as they are received. Funding will be approved if the application meets all criteria and funding is available. Additional information is available at https://belegendary.link/HERG .

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