Storefront Improvement Program FAQ

Frequently asked questions for applicants, from eligibility through contracting, payment, and compliance. Review the Program Guidelines for full details on the program and eligibility. 

These answers summarize the program rules. Answers about contracting, quotes, insurance, legal status, and repayment use the official program wording. Where an answer and the Program Guidelines differ, the Program Guidelines govern. Questions? Program Administrator: CBunch@springfieldcityhall.com   |  (413) 787-6020

About the Program

What is the Storefront Improvement Program?

A grant for exterior, street-facing improvements to small businesses and commercial properties in CDBG-eligible areas of Springfield. It is funded by the U.S. Department of Housing and Urban Development (HUD) through the Community Development Block Grant (CDBG) program and administered by the Office of Planning and Economic Development (OPED) and the Community Development Department.

How much funding can I receive?

Business owners may apply for up to $25,000 per storefront. Property owners may apply for up to $25,000 per storefront, for a total of three (3) storefronts, for a maximum grant amount of $75,000. Except for unusually long storefronts approved by the City's review board, no single facade will receive more than $25,000.

Is this a loan?

No. It is a grant. However, awardees that do not adhere to all project requirements will be required to reimburse the City of Springfield for awarded funds. See "When would I have to pay the grant back?" below.

Do I need to provide matching funds?

No. A match is not required and is not part of scoring.

What kind of project is this program for?

One defined improvement project that makes a visible change to the storefront. It is not intended to pay for routine upkeep, repairs from normal wear and tear, repainting or repairs on a maintenance cycle, or a series of smaller projects spread over time.

Is there an application deadline?

Contact the Program Administrator for current funding availability and any application deadlines.

Eligibility

How do I know if my address is eligible?

Look up your property on the City's GIS map at maps.springfield-ma.gov/gis/ and check the CDBG information for the parcel. The Program Administrator makes the final eligibility determination, so confirm with them before you apply.

What types of businesses are eligible?

Businesses that are open and operating with an active, street-facing, ground-floor commercial space in a CDBG-eligible area. Examples include retail shops, restaurants (bars and pubs only where most revenue comes from food), professional services, personal services, certain repair services, and business services.

What types of businesses are not eligible?

Home-based and web-based businesses; banks; non-profit uses (with case-by-case exceptions for a strong retail presence); auto-related businesses and gas stations; adult entertainment; liquor stores; night clubs; regional and international franchises; real estate investment or residential-use businesses; cannabis- or tobacco-related businesses; properties with no active tenants or used entirely for residential purposes; interior mall-based and upper-story businesses; and storefronts set back more than 50 feet from the street.

My business is not open yet. Can I apply?

Talk to the Program Administrator before you apply. A business that is not yet open may apply with written support from the Massachusetts Small Business Development Center (MSBDC) or a similar local business advisor. If awarded, it must be open and operating at the project address within one (1) year of the signed contract.

I rent my space. Can I apply?

Yes. Tenants may apply. The property owner must give written permission for the work by signing the Property Owner Acknowledgement Form with you. That form and a copy of your lease are part of the full application.

I own a building with several storefronts. How should I apply?

Property owners may apply for up to $25,000 per storefront for up to three (3) storefronts. A single joint application is strongly encouraged to keep quality and design consistent across the building. Grants within a joint application may still be awarded storefront by storefront.

I have received City funding before. Am I still eligible?

Applicants who received small business assistance funding since 2021 (including American Rescue Plan Act or CDBG Small Business Assistance funding) remain eligible but will score lower. A property address, business owner, or property owner may only receive funding from this program once every five (5) years. Owners involved in more than one business entity are considered an owner in each one.

What if I or my landlord owe the City taxes or fees?

Applicants must be current with any city, state, or federal taxes, fines, or fees, including any active code violations, prior to going to contract. If the property owner is different from the business owner and has active violations or owes any fees or taxes, the business owner is not eligible either. Ask the Program Administrator to check early.

What if my property has code violations?

Properties and businesses with active code violations are not eligible. If violations are found during contracting or the contract period, the City will withhold funding or require the business to return the funding.

Can a non-profit apply?

The program is not intended for non-profit organizations, but funding may be awarded on a case-by-case basis to an organization that can demonstrate a strong retail presence. These applications receive additional review.

Do I need a business plan?

Businesses established less than two (2) years must submit a business plan written and reviewed with the Massachusetts Small Business Development Center (MSBDC). Businesses established two (2) years or more must submit their two (2) most recent tax returns. Either one is submitted with the full application.

Who cannot apply at all?

Applicants who have defaulted on past City of Springfield business loans or grants, or on any HUD loans, grants, or fees, are ineligible.

Your Project and Design

What improvements can the grant pay for?

Business signs and awnings, exterior painting of the storefront, doors and window glass, facade improvements, new trees and plantings, lighting related to the facade or sign, removal of existing roll-down doors or window bars (including replacement with interior security gates), and exterior ADA accessibility improvements.

What can the grant not pay for?

Interior improvements, improvements not visible from the public street, roofing, asphalt, paving or parking lots, standard maintenance work, internally lit plastic or box signs, plastic or internally lit awnings, and new security roll-down doors or exterior window bars.

Why is the program limited to exterior work?

Federal CDBG rules limit assistance to privately owned, for-profit commercial buildings to exterior improvements and a few specific health and safety items (24 CFR 570.202(a)(3)).

Do I have to remove my security gates or window bars?

Yes. Businesses must remove any existing exterior roll-down security gates and exterior security or steel window bars to receive funding. The cost of removal is eligible and may be included in the project scope.

Do I need an architect or renderings?

No. Renderings are not required, but your application must include enough design detail (materials and appearance) for the City to evaluate it. Businesses in historic districts are highly encouraged to provide renderings and as much detail as possible.

What are the most common design problems?

Sign type, awning material, masonry treatment, and glazing. Review the Design Quick Reference and the full Design Guidelines before you ask contractors for quotes, so the quotes are for work the program can fund.

My storefront is unusually long. Can I get more than $25,000?

Possibly. A single existing storefront with unusually long continuous street frontage may be considered for funding above $25,000. It is not guaranteed, and it must be approved by the City's review board before a contract is signed. Mention it in your pre-application or when you first contact the Program Administrator.

Who decides whether my design is approved?

The City has final determination on project designs. For properties in a Local Historic District, the Springfield Historical Commission has final authority to approve projects and proposals it finds historically appropriate and/or acceptable.

Historic and Other Reviews

How do I know if my property is in a historic district?

Check the Historic field for your parcel on the City's GIS map. A historic designation only appears if the property is in a historic district (for example, "LHD" means Local Historic District).

What if my property is in a Local Historic District?

You need prior approval from the Springfield Historical Commission for exterior changes before the City can sign your grant contract. Plan on submitting a separate application to the Commission and presenting your project at a public hearing. If the Commission does not have enough information about the proposal, it will be continued to another date, possibly resulting in a delay, and you may need to return for subsequent meetings.

What does the Historical Commission need from me?

As much detail as possible about everything you are touching: what it is now and what it will be. That means color photos of existing conditions, a written description, dimensions, materials, and colors for each element, scaled drawings or sketches, and product information or samples for windows, doors, lighting, awnings, and signs. The section "Historic District Review: What to Prepare" in the guide has the full list.

Do I have to present to the Commission in person?

The property owner, or a representative the owner authorizes in writing, presents at the hearing. The business owner and contractor should plan to attend to answer questions about materials and installation.

How long does Historical Commission review take?

Hearings are scheduled once a complete application is received, and abutters are notified at least 14 days before the hearing. Incomplete applications are not scheduled. Start early: you can apply to the Commission while you prepare your full application.

I am replacing something exactly as it is. Do I still need review?

Work that involves no change in materials, design, or dimensions may qualify for a Certificate of Non-Applicability instead of a full review. Ask the Program Administrator or Commission staff.

My building is old but not in a Local Historic District. Does any of this apply?

Historical Commission approval is required only in a Local Historic District. The City's federal Environmental Review still looks at historic preservation impact for older buildings, and the design guidelines apply to every project.

What is the Environmental Review, and who does it?

A federal review required for every CDBG-funded project (24 CFR Part 58). The City is responsible for completing it. It does not test your property; it reviews the project's impact, including historic preservation impact. It can take four (4) to six (6) weeks or more, and you may be asked for more information or design details. It is separate from Historical Commission approval.

What if my property is in an Urban Renewal District?

Properties in a designated Urban Renewal District may require review and approval by the Springfield Redevelopment Authority. The Program Administrator will tell you if this applies.

Quotes, Contractors, and Davis-Bacon

How many quotes do I need?

For any construction project element costing more than $2,000, the applicant must supply at least two (2) quotes to ensure cost reasonableness. For any purchase or non-construction project element costing more than $3,500, the applicant must supply at least two (2) quotes or prices. For items sold at retail, such as light fixtures, ready-made signs, or materials, prices from two (2) sellers can count as the two prices. Online prices are fine. Each must show the seller, the item, the price, and the date, and the items must match. Collecting quotes and prices is the applicant's responsibility. The City reviews them but will not collect them. If the project has different parts (for example, glasswork and facade work), a minimum of two (2) Davis-Bacon wage quotes must be provided for each part.

What is Davis-Bacon, and what must the quote say?

Davis-Bacon is a federal law requiring contractors on federally funded construction to pay prevailing wages. Submitted quotes must indicate that the contractor is using Davis-Bacon wages and list the specific wage codes. If the contractor working on the site is not paying Davis-Bacon wages, the applicant will be forced to stop work and pay back the awarded funding.

Do the two quotes have to match?

Yes. The two (2) quotes must have nearly identical scopes regarding materials, services, and anything else required for the project. If quotes with dissimilar scopes of work are submitted, the applicant will be asked to provide more quotes.

Which quote do I have to use?

Of the two (2) submitted quotes, the applicant must select the lower quote. This is how the City documents that the cost is reasonable.

What kind of contractor can I hire?

Work must be conducted by properly licensed and insured contractors. Contractor licenses must be submitted with the bids. The City encourages the use of Springfield-based contractors.

Can the City talk to my contractors or recommend one?

No. During the quote process, the Program Administrator cannot be the point of contact for contractors. Communication with contractors must be done by the applicant.

Can I change my contractor or scope after I am approved?

Once under contract, the approved scope of work and the approved contractor(s) cannot be changed without prior written approval from the Program Administrator. This includes replacing an approved contractor for any part of the approved work, even with the contractor who submitted the other quote. Changes of scope and/or contractors without approval will result in the project being placed in default, resulting in the funding award being returned and/or the project being cancelled.

Can I sign with a contractor or start work before the contract?

No. No commitments should be made to contractors prior to City design approval, and no work may begin until a contract is fully signed by all parties and the Program Administrator issues a notice to proceed in writing. The City will not fund or reimburse any work that began before the contract was executed.

The Pre-Application

What is the pre-application?

A short online form that tells the City about your business, your property, and the improvements you have in mind. It takes about 15 minutes. You do not need quotes, tax documents, or legal forms. The only uploads are photos of your storefront and, if you have them, renderings or sketches.

What happens after I submit the pre-application?

The Program Administrator reviews it for eligibility and for whether the planned work fits the program and the design guidelines, and may call you with questions. If the project fits, you will be invited to submit a full application. If it does not, the Program Administrator will tell you why and whether changes could make it fit.

Does an invitation to submit a full application mean I am approved?

No. An invitation means your project appears to fit the program. It does not reserve funding or guarantee an award. Projects are scored and selected only after the full application is complete.

Can I change my pre-application after I submit it?

You cannot edit it after submission. If something changes, contact the Program Administrator.

The Full Application

What does the full application require?

Contractor quotes with licenses; the signed Property Owner Acknowledgement Form; proof of business registration and signing authority; an MSBDC-reviewed business plan or your two most recent tax returns; and the legal and vendor forms: your UEI (or proof you have started registration), W-9, Vendor Maintenance Form, lease (tenants), Declaration and Consent to Verify Legal Status with documentation, Tax Certification Affidavit, Conflict of Interest form, and the business and contractor Davis-Bacon certification statements. The full list is in the section "What the Full Application Requires."

Why do I have to submit legal and vendor forms before I know if I am funded?

Collecting them with the full application lets the City move straight to contracting once a project is selected, which shortens the time to a notice to proceed. The pre-application exists so you only do this work after the City has confirmed your project fits the program.

What happens after I submit the full application?

The Program Administrator checks it for completeness and contacts you about missing items or questions. Complete applications are scored by City officials from OPED and/or Community Development. You will be notified whether your project was selected for funding.

How are full applications scored?

On a 20-point scale: program goals and guidelines (6), community and economic development benefit (4), location in a Neighborhood Revitalization Strategy Area (2), strength of the business or business plan (5), and previous funding history (3). You must score at least 15 points to be funded.

If I score 15 or more, am I guaranteed funding?

No. Funding is limited, and not every qualifying application is funded.

Can I change my full application after I submit it?

You cannot edit it after submission. Make sure every attachment is ready before you submit. If something changes, contact the Program Administrator.

Selection and Your Contract

What does it mean to be selected for funding?

Your project moves into City contracting. No funds are committed until the Environmental Review is complete and the contract is fully executed. The final award amount is based on the approved scope and the selected quote.

What else is needed before the City signs a contract?

An active SAM.gov registration; a Certificate of Liability Insurance naming the City of Springfield as Additional Insured; Historical Commission or SRA approval if it applies; and the signed contract acknowledgements the Program Administrator sends with the contract. The City also completes the Environmental Review, your tax certification, vendor setup, and a debarment check.

What should I start on now?

Register in SAM.gov, talk to your property owner about the acknowledgement form, start on contractor quotes, confirm you and your landlord are current on City taxes, ask your insurance agent about a certificate naming the City as Additional Insured, decide whether you want reimbursement or upfront installments, and if you are in a Local Historic District, start your Historical Commission application.

What is a UEI, and when do I need one?

A Unique Entity Identifier (UEI) is a free, government-issued identifier for federal grants and contracts. It is not your Employer Identification Number (EIN). The pre-application asks if you have one. The full application asks for your UEI or proof you have started registration, and an active SAM.gov registration is required before the City can execute a contract. Register at no cost at SAM.gov under "Register My Entity or Get a Unique Entity ID." It can take two to eight weeks, so start early. You do not need to pay any company to register for you.

What insurance do I need?

If the proposed project is funded, the Recipient and its contractors are obligated at all times to carry sufficient insurance coverage in amounts satisfactory to the City: Comprehensive General Liability insurance (limits $1,000,000/$2,000,000 per occurrence/annual aggregate) and, where applicable, Comprehensive Automobile Liability coverage including owned, non-owned, and hired car coverage (limits $500,000/$1,000,000 per occurrence/annual aggregate). The City of Springfield shall be listed as Additional Insured on all policies, with thirty (30) days written notice to the City before any policy terminates, lapses, or expires. Awardees unable to maintain the limits and list the City as additionally insured cannot receive funding.

What is the tax certification?

The City Treasurer confirms that the business and the property owner are current on City taxes and fees. The contract cannot advance until both pass. If an outstanding obligation is found, funding is withheld until payment receipts are submitted to the Program Administrator.

Why do I have to provide legal status documentation?

Federal law (PRWORA) and HUD guidance require documentation of identity and legal status for certain federal benefits. Every applicant signs the Declaration and Consent to Verify Legal Status and provides the documentation it lists. For applicants who are not U.S. citizens, including green card holders, the City runs a SAVE verification before releasing grant funds.

Who signs the contract?

The person who signs for the business must be the same person shown on the Business Certificate or Secretary of State listing. The contract is signed in two (2) original copies by the business and by the City.

How long does contracting take?

Usually four (4) to eight (8) weeks after selection, depending on the Environmental Review, any Historical Commission or SRA review, and how quickly the remaining items come in.

Construction

When can work start?

Only after the contract is fully executed and the Program Administrator issues a notice to proceed in writing. You must send your contractor's construction schedule before work starts so the City can monitor wages and interview employees, and construction must start within ninety (90) days of contract execution.

What monitoring happens during construction?

All construction is monitored by the City. City staff may visit the site and interview the contractor's employees to confirm Davis-Bacon wages are being paid. Your contractor must submit certified payrolls.

Do I need permits?

Yes, where required. Applicants and their contractors are responsible for obtaining the appropriate permits. OPED approval of the project does not include license or permit approval, and the Program Administrator may require permits before releasing funding.

How long do I have to finish?

Funded projects must be completed within twelve (12) months of the notice to proceed. Repeated delays, ongoing changes to the plan, or failure to finish or open within this period may result in the award being cancelled and any funds already paid being returned to the City.

Getting Paid

How do I get paid?

There are two options, chosen at contracting: reimbursement, or upfront installments of 25%, 50%, then 25%. Grant funds are paid to the business. The City does not pay contractors directly.

How does reimbursement work?

The City typically awards grants on a reimbursement basis. Complete the work, pay your contractor by check, then submit the cancelled checks (front and back), contractor invoices, and the contractor's certified payrolls to the Program Administrator. Additional documentation, such as bank statements, may be requested. A reimbursement check is typically available about two (2) weeks after complete payment documentation is approved. You can repeat this for portions of the project.

Can the City pay my contractor directly?

No. Grant funds are paid to the business, never to the contractor. If you cannot pay the full cost before reimbursement, ask about upfront installments, or ask the Program Administrator about lenders that offer bridge financing.

What do I need for each installment?

An invoice from your contractor for the deposit, materials, or work completed. Before the next installment, send proof you paid the contractor (cancelled checks or receipts) and the contractor's certified payrolls. The final 25% is released after the work passes final inspection. Then send proof of the final payment and the contractor's final lien waiver within thirty (30) days.

Can I get some of the money up front?

Yes, if your contractor needs a deposit or materials to start. The City pays in three installments of 25%, 50%, then 25%, each against a contractor invoice. Each installment must be paid to your contractor and documented before the next is released. Any installment not paid to your contractor must be returned. If the final documentation is not submitted on time, the business must return the grant funding and will be barred from applying to CDBG-funded City grants in the future.

Can I pay my contractor in cash?

No. The City will not reimburse without documentation, and businesses must not pay contractors in cash.

What if the project costs more than the grant?

Expenditures that exceed the approved project costs are the sole responsibility of the applicant. The lenders listed in this guide can help with bridge financing or costs above the grant.

After the Project

What do I commit to after the project is done?

Maintain the improvements in good condition for one (1) year after all work is complete; remain open at the project address for at least two (2) years from the date of contract; make company records and payroll available to the City on request; and allow periodic monitoring, including site visits.

What if I need to move or close?

If the business moves in or out of the City less than two (2) years after the project is completed, the business owner must provide proper reasoning demonstrating the necessity of the relocation. Otherwise, the business will not be compliant and will be required to return awarded funding.

When would I have to pay the grant back?

Repayment may be required if you do not adhere to project requirements, including: the contractor does not pay Davis-Bacon wages; scope or contractor changes are made without approval; the project is not finished or the business is not open within the deadline; the business ceases operations or significantly alters the funded improvements within one (1) year after completion; the business leaves the address within two (2) years without approved reasoning; or code violations are found during the contract period.

Can I apply again later?

A property address, business owner, or property owner may only receive funding from this program once every five (5) years.

Getting Help

Where can I get help preparing?

The Massachusetts SBDC Western Regional Office, SCORE Western Massachusetts, and the WNE Law Center for Innovation and Entrepreneurship offer free help. Common Capital, Massachusetts Growth Capital Corporation, and SBA Lender Match can help with financing. Contact details are in this guide.

Can I get help in Spanish or another language, or a disability accommodation?

Yes. Language assistance is available free of charge, and reasonable accommodations are available on request. Call (413) 787-6020 or use the Massachusetts Relay Service at 711.

Who do I contact with questions?

All questions about eligibility, the application, and the program go to the Program Administrator: CBunch@springfieldcityhall.com, (413) 787-6020, Office of Planning and Economic Development, 70 Tapley Street, Springfield, MA 01104. Do not apply through third parties.