Renewed PPP Funding for Houses of Worship and Faith-based Organizations
FROM THE CENTER FOR PUBLIC JUSTICE:
The President signed into law today the Paycheck Protection Program and Health Care Enhancement Act, providing extensions and modifications of the Small Business Administration’s Paycheck Protection Program (PPP) and the EIDL emergency loan and grant program. This action gives nonprofits, including churches, small businesses, and self-employed individuals and independent contractors another opportunity to receive federal support designed to counteract the economic crisis caused by COVID-19. Organizations and individuals needing this help should act quickly. The PPP program is likely to begin again on Monday, April 27.
About the Paycheck Protection Program (PPP)
- This is for small organizations and self-employed individuals and independent contractors.
- Includes a total of $310 billion more for loans.
- $60 billion is set-aside for loans made by mid- and small-sized community banks, credit unions, and institutions that serve underserved or low-income communities.
- Originators of these set-aside loans include minority depository institutions, which are predominantly led by and serve minority communities, and community development financial institutions (CDFIs), which are dedicated to promoting economic development and providing education and other supports to borrowers.
- Action: Applicants not already working with a willing financial institution may consider local community banks, including including minority-led banks; credit unions with whom they have a relationship; or CDFIs serving their community.
- The SBA in a new question added to its general FAQ document has stressed that, to qualify for a loan, applicants “must certify in good faith that their PPP loan request is necessary”; larger companies that have other resources they can tap are warned away from PPP loans.
About the EIDL loans and Emergency Grants
- Apply through the SBA website.
- Additional $50 billion for the Disaster Loans Program Account.
- Additional $10 billion for the EIDL emergency grants.
- Makes small agricultural enterprises eligible for EIDL loans and grants.
If you have any questions, please email inquiries@CPJustice.org.