Missouri Coronavirus Information Hotline: 877-435-8411. The hotline will be operated by medical professionals and is available 24 hours a day, 7 days a week.

Coronavirus and Worship

Signs of excessive stress include changes in appetite, lack of sleeping, ruminating thoughts, use of alcohol or drugs, anger outbursts, low energy, nervousness, unexplained body aches and pain (not associated with a disease process, crying, sadness and irritability.   

 

If you or someone you care about are expressing feeling overwhelmed with emotions, sadness, depression or feel like harming yourself or others – please call Behavioral Health Response crisis helpline at 1-855-339-1144 or Substance abuse and mental health helpline at 1800 985 5990 or text to Talk with use to 66746

The Paycheck Protection Program & the Church: How does it work? And what does it mean?

 

The Paycheck Protection Program & Churches

Late Wednesday, the U.S. Senate voted unanimously to advance the CARES Act.  Today, the House (Friday, March 27, 2020) passed the bill, and the President is expected to sign the bill into law.  One aspect of the CARES Act that can be particularly helpful to churches and other religious organizations is the  Paycheck Protection Program .  

 

How does the Paycheck Protection Program work?

The bill provides $350 billion to support loans for small employers with 500 employees or fewer, self-employed, and certain nonprofits, including 501(c)(3) organizations and 501(c)(9) veteran organizations and tribal concerns.   Churches designated as 501(c)(3) may participate in the Paycheck Protection Program .

 

What does the program provide?

The program provides  loans that are equal to 2.5 times the average monthly payroll  for the preceding 12 months (if the entity is brand new, they would use the average of January and February 2020).  Covered payroll costs include salary, wages, and payment of cash tips; employee group health care benefits, including insurance premiums; retirement contributions; and covered leave; however, individual compensation above $100,000 may be excluded.  

 

What will the loans cost

The cost of participation in the program would be reduced for both borrowers and lenders by providing fee waivers, an  automatic deferment of payments for six months to one year , and no prepayment penalties. The  interest rate is not to exceed 4% .  Furthermore, these loans may qualify for forgiveness of the original loan principal amount, if certain criteria are met.

 

How could this debt be forgiven?

The U.S. will  forgive the debt used for payroll costs, mortgage interest, rent and utility payments, as long as businesses maintain the same number of employees it had before the coronavirus crisis and all employees receive at least 75% of their prior pay, for the loan period.  For businesses that reduce their headcount or reduce wages more than 25%, the amount of the loan forgiven will be reduced in proportion to payroll cuts, but the companies can rehire employees in coming weeks without penalty.  Funds that are not forgiven have a loan maturity of 10 years.

 

What if we have already laid someone off or reduced their hours?

There is  flexibility in the program to allow organizations to rehire individuals that have been laid off and still qualify . They simply need to be in business before February 15th and show the lender they have had employees on the payroll.

 

What are the requirements?

  • No collateral or personal guarantee is required

  • Requirements include a good-faith certification that

  • The loan is needed to continue operations during the COVID-19 emergency

  • Funds will be used to retain workers and maintain payroll or make mortgage, lease, and utility payments

  • The applicant does not have another application pending under this program for the same purpose or does not receive duplicative amounts.

 

How do I obtain one of these loans?

Loans will be available immediately through more than 800 existing SBA-certified lenders, including banks, credit unions, and other financial institutions.  In this case, the loan is made by the bank but guaranteed 100% by the U.S. government.  Lenders who are designated as an SBA Preferred Lender have additional expertise with these programs.

Use this  SBA tool  to help you find a lender.

Missouri Mid-South Conference of the United Church of Christ

483 East Lockwood Avenue, Suite 15, St. Louis, MO 63119

314-962-8740 or 877-877-5884

Fax 314-918-2610

mms@mmsucc.org​

 

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