CARES Act

CARES Act

On April 3 and again on April 6, Holston Conference Council on Finance and Administration sponsored the following webinar explaining the CARES Act and how Holston churches can participate. Please take time to watch the webinar before applying. You will also need a group certificate that is provided by GCFA. Click here for additional information regarding this certificate.

 

 

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The application process for the federal CARES Act Paycheck Protection Program (PPP) is now available: click here for the application.

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As a reminder, the Coronavirus Aid, Relief, and Economic Security (CARES) Act establishes a Paycheck Protection Program (PPP) that will provide $349 billion in low-interest loans for companies and nonprofits (including churches) with fewer than 500 employees—a portion of which can be forgiven if the organization meets certain criteria, such as retaining workers. 

 

How to apply for a PPP loan:

**Note: These steps are defined and detailed in the COVID-19, Stimulus, Payroll and Churches Webinar.**

  1.  Contact your administrative/leadership council chair.
    • Inform them of this opportunity and ask them to assist you with gathering information.
    • Ask your leadership chair to contact the administrative board/leadership council to approve this loan application electronically (by e-mail).
  2. Contact your local bank to see if they are an approved Small Business Administration (SBA) lender.
  3. Ensure your 2019 and first quarter 2020 financial statements and payroll records are up-to-date.
  4. Determine who you have paid a W-2 between January 1, 2019 and March 31, 2020.
  5. Collect the following information: Your staff and administrative board chair can help you with this:
    • 2019 payroll—including the last 12 months of payroll.
    • List of all 2019 employees—copies of W-2s and 1099s for January 1, 2019 to March 31, 2020 employees (do NOT include independent contractors).
    • Housing allowances should be included in payroll costs.
    • Individuals who earn more than $100,000 must be included and will be credited no more than $100,000.
    • Healthcare costs—all health insurance premiums paid by the church under a group health plan.
    • Retirement – include the Direct Billing pension (including CPP) amount(s).
    • Most recent mortgage statement or rent statement (lease).
    • Most recent utility bills (electric, gas, phone, Internet, water).
    • Interest paid on other debt obligations incurred before February 15, 2020.

Additional Resources: