The American Anglican Council recently published an article regarding the usefulness of the CARES Act Paycheck Protection Program to keep our congregations, clergy and staff afloat for 8 weeks thanks to the Act’s $350+ BILLION in forgivable loans to small businesses and all 501c3s including churches. You can find the article here: https://americananglican.org/current-news/ Another great overview by our AAC Trustee and attorney Rich Baker can be found here: https://www.mauckbaker.com/post/the-cares-act-and-its-impact-on-nonprofit-organizations

Open enrollment begins today. The money will go fast. Below is the Application form that churches and dioceses will need to fill out in order to apply for a loan. There is also a fact sheet from the SBA (administering the loans) that addresses the following questions:

  • Where can I apply? (a lender approved by SBA—a local bank that your diocese or congregation uses)
  • Who can apply?
  • What do I need in order to apply?
  • What other documentation do I need?
  • What can I use these funds for?
  • What counts as payroll costs?
  • How much can I ask for?
  • How much of the loan may be forgiven? (up to 100%)
  • How can I request loan forgiveness?
  • What is my interest rate over the term of the loan?
  • What do I need to certify?

We have also been made aware of some potential constitutional issues regarding participation in this program, specifically concerns about whether participation would trigger civil rights/employment non-discrimination clauses that would bind us and infringe upon our first amendment rights. The best legal counsel we have received thus far leads us to conclude that the benefits of this loan program outweigh the risks at this time, though the AAC will continue to post any additional information on developing legal issues as they come up. Be sure to visit our COVID19 Resource Center for more information as this situation develops.

Download our CARES Act Resource Forms:

PPP Borrower Information Fact Sheet [PDF]

PPP Paycheck-Protection-Program-Application-3-30-2020-v3 [PDF]

Share this post