CA SB87

Establishes the California Small Business COVID-19 Relief Grant Program within the Office of Small Business Advocate to provide grants to qualified small businesses affected by COVID-19, with grants allocated based on geographic distribution, industry impact, and underserved business groups.

Appropriates $2,075,000,000 from the General Fund to the Golden State Stimulus Emergency Fund, with $50,000,000 designated for eligible nonprofit cultural institutions.

Excludes from gross income for state personal income tax and corporation tax purposes (taxable years 2020-2029) grant allocations received under the COVID-19 Relief Grant funded by Executive Order No. E 20/21-182 and the new California Small Business COVID-19 Relief Grant Program.

Establishes grant award amounts of $5,000 to $25,000 depending on applicant annual gross revenue, with qualified small businesses defined as those with 2019 revenue between $1,000 and $2,500,000 that began operating before June 2019 and were impacted by COVID-19 restrictions.

Requires the Office of Small Business Advocate to recapture grants from grantees who fail to meet qualified small business criteria, with recaptured amounts collected by the Franchise Tax Board; article repeals January 1, 2024.