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Sonoma County supervisors shift $2 million that had been earmarked to buy hotels to support local businesses and rental assistance programs

Press Democrat September 1 2020….To boost funding for small businesses and struggling renters and landlords, supervisors shifted $2 million that had been eyed to help purchase two hotels to house homeless residents. Instead, the board agreed to split that amount, with an additional $1 million each going to the small business grants and rental assistance programs.

Supervisor David Rabbitt expressed frustration with the process, saying he had always been against using CARES Act funding for the hotel purchases, even if he’s supportive of the program as a whole. The original amount slated to help small businesses — $1.5 million — didn’t come close to fixing the problem, he said
“It creates the illusion that we’re actually doing something when it’s actually a token amount of dollars,” Rabbitt said.
Toward the end of the discussion, Rabbitt led the effort to delay a decision on funding for the purchase of the Sebastopol Inn and Hotel Azura in downtown Santa Rosa, the two hotels eyed for homeless housing. He sought to put all $2 million allocated for those purchases into grants for small business before Supervisor Lynda Hopkins brokered a compromise that will split the money between small business help and rental assistance.
Supervisors will revisit the funding for hotel purchases next week, when they review spending of one-time money in budget discussions set to kick off Tuesday. Rabbitt said the need in the business community is more immediate than for the hotel purchases, which have yet to be finalized.
“For me, it’s about setting ourselves up for success instead of failure,” Rabbitt said….

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