Purple Line Small Business Grants

The Maryland Department of Transportation (MDOT) has launched the MDOT Small Business Grant Program to support small businesses affected by construction activities related to the Purple Line Light Rail Project. The Purple Line, a major infrastructure initiative spanning Prince George’s and Montgomery counties, is a public-private partnership led by MDOT and the Purple Line Transit Partners. Recognizing the operational challenges faced by local businesses due to prolonged construction impacts, the state initiated this grant program in 2025. The program is scheduled to run through 2028, distributing $1 million annually to assist qualified businesses situated along the Purple Line corridor. This grant program provides direct financial assistance of up to $50,000 per award to eligible small businesses. These funds are designed to cover various critical business expenses including payroll and healthcare benefits, contract labor, rent or mortgage for business properties, supplier payments, machinery, and utilities. Additionally, the program may fund marketing and other business support services for enterprises along the corridor. Each business may receive a maximum of two grants per calendar year. The grants are awarded at the discretion of MDOT and are subject to taxation. Payments are generally made within 30 days following award notification. To qualify, businesses must meet stringent criteria. They must be located within one-quarter mile of the Purple Line tracks and have been in operation at that location before January 1, 2022. The business must be in good standing with the Maryland State Department of Assessments and Taxation, as well as with all federal and state taxing and licensing authorities. The good standing status can be demonstrated with a screenshot from the Maryland Business Express website. Ineligible entities include businesses associated with alcohol, tobacco, cannabis, gambling, firearms, adult entertainment, and other specified categories. The application process requires complete submissions, including a filled application form, an IRS Tax Form W-9, and documentation confirming good standing with the state. Applications may be submitted via the new online portal or by email in PDF format. The application form is available in English, Spanish, and Amharic. For 2025, the application windows are scheduled in three rounds: Round 1 from February 10 to March 14; Round 2 from June 2 to July 11; and Round 3 from October 6 to November 14. Award announcements are planned for March 2025, August 12, 2025, and December 16, 2025, respectively. Funding decisions are prioritized based on business proximity to major construction activity and whether the business is located in a designated Sustainable Community, Priority Funding Area, or Opportunity Zone. While 104 businesses received grants in Round 1 of 2025, the distribution of funds and decisions are final and tailored to individual business needs and locations. Questions and submissions should be directed to purplelinebusinessgrants@mdot.maryland.gov. The MDOT Small Business Grant Program is a successor to the Purple Line Construction Zone Grant Program, which previously operated under a different structure and administration through local counties. The new iteration of the program reflects an ongoing commitment to supporting economic resilience during the transportation infrastructure build-out.

Apply via the portal for best results. PDF also accepted.