Small, Minority, and Woman-Owned Business Wage Subsidy Terms and Conditions

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Small and Minority and/or Woman-Owned Business Wage Subsidy Terms and Conditions

Funding availability: Baltimore has up to $1,500,000 in total wage subsidies for employers under this program to support hiring or rehiring 250 city residents at $6,000 per subsidy.

Application period: the subsidy application period will begin on December 1, 2021, and remain open as long as funds are available.

Maximum subsidy: employers may receive up to three subsidies in a given year with each subsidy of $6,000. An employer may receive a total of $18,000 in subsidies under this grant.

Eligible businesses: a business is eligible for a wage subsidy if it meets all of the following criteria:

  • Located in Baltimore City
  • Negatively impacted by the pandemic, as evidenced by an attestation by the business
  • Not a franchisee of a business with locations outside of Maryland (no national chains)
  • Small business that has 100 or fewer employees
  • 51% or more of the business share is minority and/or woman-owned as defined by Baltimore City Code ART. 5, § 28-13-h; the business does not need to be certified by the city or state as MBE/WBE/DBE to qualify

Determining if a hire qualifies for a subsidy: an eligible business may apply for a new hire or former employee rehire wage subsidy if:

  • The new hire is a Baltimore city resident and the new hire was unemployed or underemployed at the time of application
  • The new hire started the job after December 1, 2021
  • The new hire must start the position within 60 days of the eligible business receiving the pre-approval letter
  • The position pays the resident at least $15 per hour and no more than $25 per hour; tips will not be counted toward the hourly wage
  • The position offers at least 32 hours of work per week

Payment of the subsidy: the subsidy is reimbursement of wages paid to eligible employees by the eligible employers. Payment conditions are these:

  • Employers can request a subsidy after the eligible hire has worked at least ten weeks and has been paid at least $6,000 in wages
  • Employers cannot receive a partial subsidy of less than $6,000
  • Employers must complete the online application
  • Employers must attach supporting documentation:
    • Vendor W-9
    • Contract (if applicable; i.e. Temporary to Permanent Employment Contract)
    • Paystub or payroll proof that shows minimum ten weeks of employment of the hire
    • Invoice for payroll reimbursement

The Mayor’s Office of Employment Development (MOED) coordinates and directs workforce development initiatives responsive to the needs of Baltimore City employers and job seekers to enhance and promote the local economy. MOED seeks to deliver economic justice by creating an equitable workforce system that is responsive to the needs of all Baltimore City residents-- especially those who have been generationally and systemically disadvantaged--and ensures viable economic opportunities. Our vision is for all City residents to maximize their career potential and for all City employers to have the human resources to grow and prosper. In short, a workforce system that works!

“These services are supported by Coronavirus State and Local Fiscal Recovery Funds and shall be used as permitted by the federal American Rescue Plan Act of 2021 (ARPA) § 9901, Pub. L. No. 117-2, codified at 42 U.S.C. § 802 et seq. to support small and minority owned businesses impacted by the pandemic. As such, this grant is 100% federally funded.”