Since the floods at the end of September, donations have poured into Globe-Miami from neighbors in every direction, who have been eager to help. The donations came in small and large amounts. Large companies offered hundreds of thousands. Resolution Copper stepped forward with a $1 million donation.
Of all entities in the area, few were prepared to handle so many donations and in such quantities. Anticipating the need, United Fund of Globe-Miami, which has become the region’s most established nonprofit since its founding more than 60 years ago, created a flood relief fundraiser on Sept. 26, a day after the first flood. The stated intent was to provide financial relief to Globe-Miami businesses and residences directly affected by the floods in September and October.
More than $2 million has been pledged since then, including the $1 million donation from Resolution Copper.
Many have expressed gratitude for United Fund’s flood relief campaign, but some, including members of the business community, are also questioning the process and pointing to a lack of clear communication with the public.
“This entire experience is a first to all of us,” says Stacey Murry, who owns Globe Gym with her husband Ryan Murry. “I’m sure United Fund and the local flooded businesses are all overwhelmed.”
Floodwaters breached Globe Gym while patrons were exercising during the flood Sept. 26. Patrons escaped the building safely once the water receded, but between damaged flooring, walls and equipment, the Murrys were facing more than $50,000 in costs in the aftermath.
As the owners of both the business and the building Globe Gym is housed in, the Murrys qualified for business relief funding through United Fund. Yet Stacey feels local business owners didn’t know what to expect in the business relief funding process because it wasn’t well communicated.
“There was no transparency about the way United Fund decided to distribute the funds,” she says. “I would have preferred more of an explanation regarding how the amount of funds a business receives is decided.”
“Not to sound ungrateful, I’m very thankful that we received the financial help,” she adds. “Without the companies and people that donated, we wouldn’t have been able to recoup some of our losses.”
As of Dec. 18, United Fund reports approximately $1.34 million allocated for business flood relief and approximately $790,000 for residential relief.
Of the $1 million donated, Resolution Copper designated $650,000 for businesses, $300,000 for residential assistance, and $50,000 for flood mitigation planning. BHP designated $35,000 to the business flood relief program, and the City of Globe designated $200,000 to the business flood relief program in Globe.
Though United Fund allowed donor designation, “Most people didn’t designate because they wanted it to go where it was needed,” says Susan Guerrero, community outreach manager for the United Fund.
Donations that were undesignated were split between residential and business relief by United Fund, she says.
United Fund recruited nonprofit business coalition Local First Arizona to conduct the intake process for businesses seeking flood relief funds. Local First Arizona reviewed business applications and conducted follow-up phone interviews with businesses and property owners to determine eligibility for funds.
The business relief application process was broken up into two phases.
The first phase provided initial grants of up to $5,000, and businesses were required to complete an online application to be considered.
To be eligible for phase one funding, businesses had to be directly impacted by floodwaters, licensed and local, says Guerrero.
The application was open for a two-week window, from Oct. 16 to Oct. 31. By Oct. 31, Local First Arizona reported 91 applications had been submitted. As of Dec. 18, United Fund reported that nearly $270,000 in phase one grant money had been disbursed to 60 businesses, including building owners and tenants.
Some phase one grants are still being processed by Local First Arizona, according to Guerrero. Other applications were denied for various reasons, such as not being in the flood path, not being an actual active business, or not having a matching address to the business license.
McSpadden Ford was another of many flood-affected businesses in Globe. Owner Udon McSpadden was in New Mexico tending to his other businesses when word got out that United Fund’s business relief grant would be opening.
The paperwork the City of Globe had dropped off while he was gone mentioned the opening date for the United Fund business application, but did not mention a deadline.
“No information was really ever given that said, this is going to be the date that the application closes. You’ve got to do it by this date,” he says.
The deadlines were posted on Facebook, but he doesn’t have a Facebook account.
“I thought, well, there will be some information that will surely keep coming as to when this has got to be done by,” he says.
In the Oct. 29 edition of the Copper Country News, he read that businesses had approximately 12 days to submit applications, and he read that to mean 12 days from the date of publication.
“So I just went in on the next Monday thinking, well, okay, we’ve got two weeks basically to get this done,” he said.
When he got online to apply for the business grant on Local First Arizona’s website, the application was closed. Businesses could not apply for phase two funding unless they applied on time for phase one funding. Because McSpadden missed the phase one deadline, he is ineligible to apply for phase two funding.
“All of this is just very, very aggravating because I missed the first deadline simply because information was not given to us in a definitive way,” he says.
He says it would have been easy enough to track down flood-impacted businesses and send emails or make phone calls to make sure they knew about the deadline.
“I would have made sure that it was accurate in the paper. I would have made sure that maybe there was some information on the radio that people could go to and listen to,” he adds. “But over and above that, I would have made sure that every person who was impacted by the flood had an email address where information could be sent and disseminated.”
The application for the second phase of business relief grants opened on Nov. 26. Local First Arizona sent phase two applications to phase one recipients who were eligible for the secondary grants.
In addition to receiving a phase one grant, to be eligible for phase two funding, United Fund states businesses must: have had a current municipal business license on record at the time of flooding, show that their main commercial building or operations were impacted by floodwaters, have been actively operating as a business or, in the case of property owners, have had an actively operating business inside, and submit backup documentation showing damage and losses sustained.
Shawna Fierro was one of the applicants eligible for phase two funding after she received $5,000 in phase one funding.
Fierro owns Vamp Salon and the building it operates out of in downtown Globe. The floodwaters destroyed her business, including flooring, every wall of her building, doors, equipment, and the majority of furniture and cabinetry. Vamp Salon was closed for nearly seven weeks.
Seeking help, Fierro filled out the phase one application. Several days later, she received a phone call from a Local First Arizona representative.
“It was about two weeks in when we got the phone call. We’re still knee deep in mud, stressed out,” she says. “I couldn’t have told you my middle name. There was so much going on.”
The representative asked Fierro what she thought it would cost to reopen the business.
Fierro responded, “‘I have no idea. $5,000? I don’t know.”
Knowing she planned to reopen no matter what, she was only thinking about the bare minimum funds she would need to begin taking business as she rebuilt, she explains.
“I didn’t take it as, what do you need to get your building back in pre-flood condition,” she says. “I’m a nail tech, I’m not a construction worker. … I don’t know what a sheet of sheetrock costs. I could tell you what 10 bottles of polish cost.”
“What they didn’t tell you is what you said in the first round affects what you get in the second round,” she adds.
Not long after, Fierro received an email stating that in the second phase, she would be eligible for up to another $5,000.
Yet, United Fund stated on their website that depending on verified need and available funds, most businesses eligible for phase two funding were expected to qualify for relief funds in the $10,000 to $20,000 range, amounts Fierro says she could really use in the rebuilding of her business.
She learned that other business owners had been asked the same question during their phone conversations with Local First Arizona and responded with figures in the $20,000 to $30,000 range. Those individuals received emails from Local First Arizona stating they are eligible for that much in phase two of business flood relief.
“So other people said $20,000, $30,000, and that’s what they are eligible for,” Fierro says. “But it’s not based on anybody coming in and taking a look at your loss or square footage.”
She called the Local First Arizona representative and made an appeal for her situation, but was unsuccessful.
“Of course, anything helps,” she says. “But I’ll be honest. I’m offended, and it’s unfair.”
Adrianne Villalobos is the owner of La Casita Cafe, one of the hardest-hit businesses by the Sept. 26 flood. When she received the call from Local First Arizona after she submitted her phase one application and was asked how much she would need to reopen, she was also unsure of amounts.
“I didn’t even know which of my appliances were broken at that point,” she says. “We didn’t even have gas for our building yet at that time.”
She did know the cost of two refrigerators that were clearly destroyed, meaning her losses were well over $60,000, and she shared that during the phone call.
Villalobos and Murry say they qualified for and received more than $5,000 in the second phase of funding.
In an email to Globe Miami Times, United Fund states that, “the eligible award amount for phase two was given in flat-rate increments based on the selected range chosen by the applicant during the initial relief application for future recovery estimates.”
Both Villalobos and Murry were prepared to provide receipts and documentation in the phase two application process, but they say the application did not ask for these things.
“The only thing you could upload was a utility bill,” Villalobos adds. “They haven’t asked for documentation, receipts, anything.”
Murry and Villalobos say that businesses should have been required to provide such documentation.
“There should be transparency on both sides,” Murry says.
The application for phase two of business relief funds closed last Friday, and United Fund states that the business relief program will be complete by Dec. 31.
In late November, more than 20 Globe-Miami business owners affected by the floods met to discuss post-flood concerns and share information.
Many expressed confusion about the United Fund business relief program.
Gila County Supervisor Tim Humphrey was in attendance. He said he also had questions and was looking to schedule a work session with United Fund to learn more about the flood relief program and how the funds were being distributed, since the county had donated to the relief effort.
As of Dec. 15, Humphrey had requested a work session and was awaiting approval by the deputy county manager.
Several business owners have asked to see the list of United Fund donors and recipients, including Villalobos.
Guerrero says that once all business flood-relief funds have been fully distributed, United Fund will release a full list of donors and businesses receiving support.
“There are so many donors and supporters in the community that have given so generously, so we’d like to acknowledge everyone as the process wraps up. We can provide a full list at that time,” Guerrero says. “I would hate for many organizations that have given so generously to not be acknowledged if only a partial list is published.”
Some, including Villalobos, have asked what will happen to any remaining funds.
“I don’t foresee any funds being left,” Guerrero says. “But it’s not my decision. Most likely, if there are any remaining funds, they will be redistributed to the residential flood relief program, which is still active.”
United Fund has stated during city council meetings that not all funds from its 2021 fire and flood program were used, so the nonprofit was able to apply those remaining funds to this year’s flood relief program.
As for the $50,000 donated from Resolution Copper for flood mitigation planning, Guerrero says United Fund has not addressed those funds.
“We want to acknowledge that this is new territory for all of us. Each step of the way, we’ve learned more,” she says. “We don’t claim to have everything perfect, but we are committed to improving as we go, staying transparent, and serving our community the best we can.”
Local First Arizona deferred any questions about the business relief program to United Fund.
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