Earlier this year Norwegian Cruise Lines Holdings gave $2 million to the municipality of Skagway, they said it was a goodwill gesture to help the community weather the pandemic. The Skagway Assembly has set aside $1.2 million of those funds for small businesses and the application period runs now through October 4.
NCL Holdings executive Steve Moeller told KHNS back in May that the $2 million dollar gift had no strings attached.
“We want to make sure that Skagway is still there when we come back… Skagway is very critical to us,” said Moeller.
Some estimates show as much as 95% of Skagway’s economy was lost due to the pandemic-related shutdowns of 2020. In 2021, some cruise ships returned to the tiny town at the top of the Inside Passage, but passenger counts remained less than a tenth of a typical tourist season.
On Friday Skagway officials announced three-fifths of NCL’s $2 million donation would be distributed to small local businesses through a Small Business Relief Grant program.
The $1.2 million in grants are being coordinated by the Skagway Development Corporation, a business resource center in Skagway that helps local companies develop through a variety of programs. Executive Director Kaitlyn Jared says the application process is fairly simple and should only take 15-20 minutes.
“What they’ll need is a complete application, their 2021 state, and local business licenses, because those all have to be up to date. And then I will also need a copy of their 2019 and 2020 tax returns to verify the numbers that they provided on the application,” said Jared.
Jared says the application for this program is very similar to the application for the state’s AK ARPA Business Relief Program, and she hopes that will make it easier for local businesses to apply for both.
Business headquarters must be registered in Skagway, which would make operators with state licenses registered elsewhere like Haines, Juneau, or Anchorage ineligible.
Still, Jared expects around 200 out of Skagway’s nearly 500 registered businesses to apply for their share of the $1.2 million. The most any single business could receive would be $40,000.
“Most businesses are hurting a lot still. So I think they will be more inclined to apply,” said Jared.
Jared also says that since the program is being administered by the SDC, the content of applications will be confidential.
The remaining $800,000 of the $2 million gift will be distributed in part to the local food bank, the local tribal government, and a utilities assistance program. That leaves $450,000 for unemployment assistance the municipality plans to make available to Skagway residents over the winter, but the exact details of that program haven’t been finalized.
The two-week window for businesses to apply for the Skagway Small Business Relief Grant program runs from Monday, September 20 until Monday, October 4. Applications are available through the municipal website at Skagway.org or by calling the Skagway Development Corporation at 907-983-3414.
