Los Angeles

LA County Board

May 21, 2024 Item #19

Agenda Item 19

19. Creating a Fee Subsidy Program to Equitably Implement the County’s\nNew Microenterprise Home Kitchen Operations Program\nRecommendation as submitted by Supervisors Mitchell and Solis: Adopt the\nModel III subsidy program for the Department of Public Health’s (DPH’s)\nMicroenterprise Home Kitchen Operations (MEHKO) Initial Application Review\nFee, as described in the Chief Executive Officer’s report dated May 15, 2024,\nwith the following parameters:\nUp to 1,000 eligible MEHKO permittees will receive a one-time subsidy of\n$597 which represents a 100% subsidy towards their Initial Application\nReview Fee, through June 30, 2026, at a cost of up to $600,000 in total\nsubsidies; and\nEligibility will be limited to MEHKOs with annual net revenues of less than\n$50,000 who are applying for a new MEHKO permit;\nInstruct the Directors of Public Health and Economic Opportunity, to collaborate\non the design of the education and outreach campaign, with the primary\npurpose of incentivizing prospective MEHKO permittees to join the regulated\nmarketplace, with the program to consider the many barriers MEHKO operators\nface when interacting with the government and be linguistically and culturally\ncompetent;\nDirect the Chief Executive Officer to amend the Board-approved American\nRescue Plan (ARP) Coronavirus Local Fiscal Recovery Funds (CLFRF)\nSpending Plan to include $1,200,000 in funding for the MEHKO program, which\nwill be funded via ARP CLFRF’s revenue loss provisions and include $600,000\nfor DPH’s subsidy program and $600,000 for the Department of Economic\nOpportunity’s outreach and education campaign, with the increase to\ncorrespond with a $1,200,000 reduction of funding for the DPH-administered\nCommunity Testing program in the Board-approved ARP CLFRF Spending\nPlan; and\nInstruct the Director of Public Health, in collaboration with the Director of\nEconomic Opportunity, to report back to the Board in writing within 45 days,\nand quarterly thereafter, until the full amount of the funding subsidy is expended\nor until the subsidy program ends on June 30, 2026. (24-1862)\nChief Executive Officer Report - May 15, 2024