DURHAM, N.C. (WTVD) -- Federal COVID relief money has been dogged by stories of waste and fraud across the country. But in Durham, county leaders say a small-business recovery program did exactly what it was supposed to do.
Two years ago, Durham County commissioners launched "Durham Rising," putting $750,000 in federal American Rescue Plan money into the hands of a local nonprofit, Knox St. Studios. The mission: help small businesses hit hard by the pandemic get back on their feet. Knox St. Studios coaches small business owners - and backs that coaching with cash.
Now, the nonprofit says that bet paid off big.
A Fashion Tech Founder's Boost
Jessica Couch needed a boost to get her artificial intelligence-powered fashion shopping tool off the ground.
"Looks AI is a peer-to-peer fashion discovery platform that we're launching on Shopify that allows you to shop based on people who are built like you and have similar style," Couch said.
Couch was one of more than 200 small business owners who went through Durham Rising's programming. Along the way, she received a $5,000 grant to help develop her company.
"That was a huge deal," Couch said. "And I think when it's not coming out of your own pocket, and someone gives you $5,000 to put toward your project, I think that changes everything."
The Numbers Behind the Program
Knox St. Studios Executive Director Talib Graves-Manns says the county's approach to its federal recovery dollars stood out.
"Federally, they put out all this money, billions and billions of dollars," Graves-Manns said. "And I think one thing that's unique about Durham is they care more than some other places about small businesses and entrepreneurship. And they intentionally made a commitment of the capital for Main Street businesses."
The results, according to Knox St. Studios:
Federal Money, Local Questions
Nationally, American Rescue Plan funding has drawn federal audits and accusations of waste. ABC11 asked Durham County Commissioner Michelle Burton how the county verified the numbers Knox St. Studios reported.
"They have to report quarterly back to our economic development team," Burton said. "I'm pleased to say that Knox Street has done a really phenomenal job with the resources that we gave them."
But Burton says the county hasn't yet independently verified those numbers. That confirmation, she said, is still expected from the county manager's office.
What Comes Next
The COVID recovery money behind Durham Rising has run out, and what happens next remains an open question.
Asked whether there's an appetite to fund a "Durham Rising 2.0," or to fold the program into the county's ongoing budget rather than relying on one-time federal money, Burton was noncommittal.
"You know, we'll just have to wait and see," she said. "I have to have some conversation with the county manager."
Graves-Manns hopes the county finds a way to keep programs like it going.
"Anything that was started out of ARPA that worked and made a lot of sense; let's figure out a way to fund it and keep it moving forward," he said.
Not Looking Back
Back at Looks AI, Jessica Couch isn't waiting on the county's next move.
"This program actually was a catalyst to put me in full go-forward mode," Couch said.
Jessica Couch is the founder of Looks AI. Talib Graves-Manns is executive director of Knox St. Studios. Michelle Burton is a Durham County commissioner.