MDOT Purple Line Small Business Grant Program Grant Application Details
MDOT Purple Line Small Business Grant Program Grant Application
Purple Line Small Business Grant Program
The Purple Line Small Business Grant Program is operated by the Maryland Department of Transportation to provide support to small businesses located along the Purple Line corridor that are impacted by construction. Businesses are highly encouraged to apply through the Maryland OneStop Portal, but paper applications are also accepted. Program information and paper grant applications are available in English, Spanish, and Amharic.
LIMITATIONS
Eligible businesses may receive grants of up to $50,000 per award and are limited to no more than two awards per a calendar year. Grant award amounts will vary based on a business’s gross sales and the construction activities taking place at or immediately near the business location in the six months immediately prior to the grant application. There are no fees or costs to apply for a grant. However, please note that grants are taxable. Cannabis-based businesses, pawn shops, gun shops, massage parlors, adult video/book shops, adult entertainment facilities, tanning salons, check-cashing facilities, gambling facilities, tattoo parlors, and liquor stores are ineligible to receive grant awards.
BACKGROUND
The Program launched in 2025 and will end in 2028. It will be funded at $1 million per year, with funding allocated between Prince George’s and Montgomery counties. Each year, there will be three rounds of grant applications and awards. The dates for each round of applications and awards will be announced at the beginning of each year.
For 2025, the following schedule will apply:
Application Period Opens |
Applications Due |
Awards Announced |
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Round 1 |
2/10/2025 |
3/14/2025 |
3/26/2025 |
Round 2 |
6/2/2025 |
6/27/2025 |
7/28/25 |
Round 3 |
9/8/2025 |
10/24/25 |
11/19/2025 |
Funding support is provided by Purple Line Transit Partners, the Maryland Department of Transportation’s private sector partner in the construction, operation, and maintenance of the Purple Line Light Rail. The Program is a successor to the Purple Line Construction Zone Grant Program, which provided grants in 2023 and 2024 from the State of Maryland administered by Prince George’s and Montgomery counties.
Construction of the Purple Line Light Rail project started in 2016 and is expected to be finished in late 2027. The project is adding 16 miles of new east-west rail connections from New Carrollton in Prince George’s County to Bethesda in Montgomery County. To stay informed about upcoming construction activities near your business, please sign up for updates.
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Open from to
Submission Window
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Approval Time
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Completion Time
Apply or Register
This application is closed. Please contact the administrator if you have questions.-
Online Application
Complete the form
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Instructions
Review the steps - read carefully
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Create or Login to OneStop Account
Register for OneStop or login using your credentials
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Complete Application
Complete all required questions and file uploads.
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Provide SDAT Documentation
Your business must be active and in good standing with the Maryland State Department of Assessments and Taxation (SDAT) to receive a grant. Required support documentation in the form of a copy of the results of a Business Entity Search for your business from the SDAT website is required https://egov.maryland.gov/BusinessExpress/EntitySearch. If your business is not in good standing, you will be ineligible to receive funds. If you need assistance with getting your business back into good standing, directions can be found at the link below and on the attached checklist. https://businessexpress.maryland.gov/manage/maintain-good-standing-status.
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Vendor Registration
Please register as a vendor receiving a grant from the State of Maryland and provide your banking information for ease of payment. Additional information is available at: https://www.marylandtaxes.gov/divisions/gad/eft-program.php.
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Grant Information
Grant recipients, and the dollar amount of the grant received, are public information.
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IRS 1099 Forms
Grant funds may be reported as taxable income to the business. IRS 1099 Forms will be issued to each grant recipient.
Resources and Links
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What Happens After Submission
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Benefits
The Program will primarily take the form of direct grants up to $50,000 to eligible small businesses to offset the impact that construction closures or detours may have on business operations. Program activities and funding may also include marketing funding for businesses along the corridor and other business support. Grant funds must be used for business-related expenses, including payroll/healthcare benefits, contract labor, working capital, business rent or mortgage payments for business property, supplier payments, machinery and equipment, critical operating expenses, and utility payments for business locations. Grant payments will generally be made within thirty days of notice of grant award. All grant recipients are highly encouraged to register to receive payment by electronic funds transfer. Additional information about electronic funds transfer is available here.
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Eligibility
To be eligible for a grant, a business must meet all of the following requirements:
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Business Status
- Be an existing business in good standing with the Maryland State Department of Assessments and Taxation. Documentation that the business is Active and in Good Standing with the State can be obtained from the Maryland Business Express website. A screenshot of the results will suffice, a formal certificate of good standing is not required.
- The business must also be in good standing with all federal and State taxing and licensing authorities. Grant payments are subject to interception by the IRS and/or Maryland Comptroller if outstanding debts are owed to the federal or State government.
- The business must have been open and operational at its current location along the Purple Line alignment prior to January 1, 2022
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Location
Do business directly with customers primarily onsite at a business location that is within one-quarter mile of the existing or future Purple Line Light Rail tracks.
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Small Business
Must be a small business, defined as:
- An entity with 50 or fewer employees in the most recently completed fiscal year;
- An entity whose gross sales did not exceed an average of $2,000,000 or less in its most recently completed three fiscal years; OR
- Is a business certified in the State of Maryland’s Small Business Reserve Program.
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Prioritization of Funding
Applications will be prioritized based on 1) the location of the business and its proximity to significant construction impacts in the previous three months or anticipated for the next three months; and 2) businesses located in an area designated as a Sustainable Community, Priority Funding Area, or Opportunity Zone.
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