SALEM — The city has received a $662,922 CARES Act Recovery Assistance grant to strengthen and diversify the region’s tourist economy, which is estimated to create nearly 400 new jobs.
The project will allow Salem to implement a tourism industry recovery strategy, including a visitor marketing campaign, alternative events programming, and technical assistance for small businesses.
“This is great news for our small businesses, especially those benefiting from tourism and the hospitality industry,” wrote Ward 3 City Councilor Patti Morsillo in her weekly newsletter. “It will also assist with strategies for greater economic diversification in Salem.”
The grant was awarded by the U.S. Department of Commerce’s Economic Development Administration (EDA) and will be matched with $165,730 in local investment.
The effort to obtain the grant was led by Tom Daniel, Salem’s director of planning and community development.
Salem’s tourism-reliant economy has been particularly hard-hit by the economic effects of the COVID-19 pandemic, with many small businesses either shutting down or going into temporary hibernation during the slow winter season.
“As a premier tourist destination in Massachusetts, whose historic sites, museums, restaurants, lodging, and other small businesses were forced to close, Salem’s economy has been drastically impacted by the coronavirus pandemic,” said U.S. Sen. Ed Markey. “The city of Salem has taken an innovative approach to support its economy throughout this crisis, and this federal funding will play a critical role in helping Salem rebuild its tourism and hospitality industries.”
The grant will also facilitate the creation of an economic diversification strategy, which will identify promising industries for future expansion.
The project is funded under the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act, passed in March 2020, which has provided the EDA with $1.5 billion for economic assistance programs to help communities prevent, prepare for, and respond to the coronavirus.
The CARES Act Recovery Assistance provides a wide range of financial assistance to eligible communities and regions as they respond to and recover from the impacts of the pandemic.
“The Economic Development Administration is committed to helping communities across the nation implement strategies to mitigate economic hardships brought on by the coronavirus pandemic,” said Dennis Alvord, acting assistant secretary of commerce for economic development.
“This EDA investment will implement a recovery strategy designed to advance sustained long-term recovery from the pandemic and ensure downtown Salem remains a nationally and globally competitive tourism destination.”
