New London, Norwich to receive additional federal COVID-19 relief grants
Norwich and New London will receive a combined total of $901,000 in federal grant money to help the “vulnerable” cities respond to the COVID-19 pandemic and help businesses reopen and recover from economic losses.
Norwich will receive $544,143 and New London $357,031 from the U.S. Department of Housing and Urban Development in Community Development Block Grant funds through the federal Coronavirus Aid, Relief and Economic Security, or CARES, Act approved in March.
U.S. Rep. Joe Courtney, D-2nd District, announced the new grants Wednesday and said the funds are in addition to previous CDBG grants announced for Norwich and New London in April. Norwich received $506,569 and New London, $514,725 in April.
“Eastern Connecticut has shown a lot of grit and smarts in fighting back against COVID-19, and this federal funding will help us continue to keep our communities safe so that we can stay on the path towards overcoming this pandemic,” Courtney said in a news release announcing the funding. “The CDBG funding that we authorized on a bipartisan basis back in March is very flexible, and can be put towards a wide range of uses to support some of the people and families in our region who have been hit hardest economically.”
Examples of eligible activities range from construction of testing and rehabilitation facilities, testing and diagnosis services, purchase of equipment and supplies, grants or loans to new businesses, or business expansions, create jobs and manufacture necessary medical supplies and short-term working capital to small businesses to help implement social distancing or remote work capabilities.
Norwich Mayor Peter Nystrom said he was “extremely grateful” to receive the additional CDBG grant and that Congress and HUD acknowledge the continuing need municipalities and businesses have for assistance.
But Nystrom said while city businesses and residents have suffered since March, the federal government has yet to release the first CDBG the city was awarded in April. Norwich plans to use a bulk of the first grant to help low-income residents pay rent and utilities.
“We need the initial funds released,” he said.
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