Food Business Microgrant Program

FAQ

  • WHAT IS THE FOOD BUSINESS MICROGRANT PROGRAM?

    The Food Business Microgrant Program provides funding for the rehabilitation and expansion of shared‑use commercial kitchens (commissary kitchens) in Orleans Parish. The program supports safe, code‑compliant kitchen operations and increases access for food entrepreneurs impacted by the loss of facilities following Hurricane Ida.

  • WHAT IS A COMMISSARY KITCHEN?

    A commissary kitchen (also referred to as a shared-use or commercial kitchen) is a licensed, health department-approved facility that provides food businesses with access to commercial-grade equipment, food preparation space, and storage on a shared or scheduled basis. Commissary kitchens are used by multiple food entrepreneurs, caterers, food truck operators, and small-scale producers to prepare, cook, package, and store food in compliance with local, state, and federal health and safety regulations.

  • HOW MUCH FUNDING CAN I RECEIVE?

    Awards may be up to $400,000, depending on application score, total eligible project costs, and funding availability. Grants may cover up to 100% of eligible costs.

  • AM I ELIGIBLE TO APPLY?

    Eligible applicants include nonprofit or for‑profit entities that currently operate a commissary kitchen in Orleans Parish or have a well‑developed plan to establish one. Applicants must be in good standing with the City, registered with the Secretary of State, and authorized to do business with the Federal Government.

  • DO I NEED TO PROVIDE A FINANCIAL MATCH?

    No financial match is required, but applicants must demonstrate the ability to cover any project costs that exceed the maximum award amount.

  • WHAT TYPES OF IMPROVEMENTS ARE ALLOWED?

    Funding can be used for permanent, code-compliant kitchen improvements, including:

    • Electrical, plumbing and mechanical upgrades
    • Ventilation and fire suppression systems
    • Commercial kitchen equipment (installed/fixed)
    • Flooring, walls, and sanitation improvements
    • ADA accessibility upgrades
    • Shared kitchen equipment and storage
  • WHAT IS NOT ELIGIBLE?

    Grant funds cannot be used for:

    • Working capital, payroll, or operating expenses
    • Portable or small equipment
    • Interior furnishings not related to kitchen operations
    • Costs incurred before signing grant agreement
    • Any other uses NORA deems ineligible
  • WHAT IS THE DIFFERENCE BETWEEN PART 1 & PART 2 OF THE APPLICATION?

    Part 1 is a pre‑application screening to confirm eligibility and readiness.

    Part 2 is the full application, completed with Technical Assistance (TA), and includes detailed plans, scope, budget, contractor estimates, and operational documentation.

  • HOW DO I APPLY?

    The application has two parts:

    Part 1- Pre-Application includes submission of the following:

    • Applicant information
    • Proposed project scope
    • Photos of the current kitchen space
    • Financial documents

    Part 2- Full Application (by invitation only) includes submission of the following:

    • Detailed scope and design
    • At least 2 bids from licensed contractors
    • Business plan
    • Financial documents

    Proof of corridor eligibility

  • HOW ARE AWARDS DETERMINED?

    Funding is based on:

    • Application score
    • Project cost
    • Funding availability
  • WHERE CAN I APPLY?

    Applicants should be submitted online via the application portal linked here. Paper applications are not available and will not be accepted. 

  • ARE GRANTS AWARDED ON A COMPETITIVE BASIS?

    Yes. Funding decisions are based on a standardized scoring rubric evaluating project need, impact, feasibility, safety improvements, business model strength, community benefit, and alignment with disaster recovery goals.

  • WHEN CAN CONSTRUCTION BEGIN?

    Construction may only begin after NORA issues a Notice to Proceed (NTP). Any work completed before NTP is not eligible for reimbursement.

    Projects that start early are automatically disqualified.

  • WHAT IS TECHNICAL ASSISTANCE (TA), AND IS IT REQUIRED?
    Yes. Applicants who pass Part 1 must work with a designated TA provider to strengthen their application, refine project scope, and ensure all required documentation is complete.
  • DO I NEED MULTIPLE CONSTRUCTION ESTIMATES?

    Yes, once the project designs are completed, the selected applicants are responsible for soliciting bids from at least two licensed contractors. A 10% contingency is recommended.

  • HOW ARE FUNDS DISTRIBUTED?

    This is a cost‑reimbursement program. Applicants must:

    • Submit itemized invoices and supporting documentation to NORA
    • Complete a NORA inspection for each reimbursement request
    • Once we complete the inspection, we will pay you, and you will pay the contractor.

    Up to four reimbursement requests may be submitted per project.

  • HOW LONG MUST IMPROVEMENTS BE MAINTAINED?
    Funded improvements must be maintained in good condition for three (3) to five (5) years, depending on the project scope and funding tier.
  • WILL NORA CONDUCT INSPECTIONS AFTER THE PROJECT IS COMPLETED?

    Yes. NORA will conduct compliance inspections at approximately Year 1, Year 3, and Year 5 during the Regulatory Period.

  • WHAT HAPPENS IF IMPROVEMENTS ARE NOT MAINTAINED?

    Failure to maintain improvements or keep the kitchen operational may result in recapture of grant funds.

  • HOW LONG DOES THE APPROVAL PROCESS TAKE?

    Timelines vary based on environmental review and scope of work. Most projects take up to 3-6 months from application to final approval.

  • WHAT ARE THE OPERATIONAL READINESS REQUIREMENTS?

    Within six (6) months of grant agreement execution, the facility must:

    • Become occupancy-ready
    • Obtain a Certificate of Occupancy

    If the kitchen has no tenants at project completion, it must begin accepting tenants within twelve (12) months.

  • WHAT IS THE 10% PENALTY?

     If recipient fails to meet operational readiness requirements (e.g., not occupancy-ready within 6 months, no tenants with 12 months), NORA may require repayment of 10% of the total grant funds disbursed.  

  • HOW LONG IS THE REIMBURSEMENT PROCESS?
    Reimbursements typically take no more than 45 days after submission and approval of documentation and site inspection.
  • HOW LONG DO I HAVE TO COMPLETE THE PROJECT?
    All construction and related project activities must be completed within twelve (12) months of the Notice to Proceed (NTP) issued by NORA. Applicants may request an administrative extension, but extensions are granted only for good cause and are not guaranteed. Failure to complete the project within the required timeframe may result in recapture of award funds..
  • WHAT HAPPENS IF I DO NOT MAINTAIN THE IMPROVEMENTS FOR THE FULL 5-YEARS?

    NORA may recapture a portion or all of the award if:

    • Improvements are altered, removed, destroyed, or not properly maintained during the Regulatory Period
    • The facility ceases operations before the Regulatory Period ends
    • The project is not completed according to the approved scope of work
    • A duplication of benefits is identified (e.g., another funding source also paid for the same improvements)

    Recapture may be calculated on a pro‑rated basis, meaning the amount you must repay is reduced by one‑fifth (1/5) for each full year that the facility remained in compliant operation. For example, if you maintained the improvements for 2 full years but fell out of compliance in Year 3 of a 5‑year Regulatory Period, NORA may recapture up to 3/5 of the grant funds disbursed.

  • WHAT HAPPENS IF MY PROJECT IS NOT COMPLETED CORRECTLY?

    Projects that are not completed in accordance with the approved scope of work, do not meet required codes or standards, or fail to satisfy inspection requirements will not be eligible for reimbursement. Incomplete or non‑compliant work may result in denial of remaining reimbursements and may also trigger recapture of funds already disbursed, depending on the severity of non‑compliance.

  • CAN NORA RECOVER FUNDS IF I SELL THE PROPERTY?

    Yes. If the property is sold, transferred, or ownership changes during the Regulatory Period without prior approval, NORA may recover a portion or all of the grant funds. Assignment of the grant to a new owner may be permitted at NORA’s discretion, but unauthorized transfers may trigger full or partial recapture.