The Foraker Group

Posted Under: Advocacy COVID

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The American Rescue Plan Act was signed by President Biden on March 11 and has many components to support nonprofits and the people and places we serve.

This is the sixth major federal COVID-relief bill enacted, and nonprofits have been included in all of them. A summary of the key provisions affecting nonprofits has been prepared by our partner, the National Council of Nonprofits, and can be found here.

Of particular note to nonprofits:

• An additional $7.25 billion is available for the Paycheck Protection Program and eligibility is expanded to additional nonprofits and digital news services.
• Additional funds are allocated for the Shuttered Venue Operators Grant program, and organizations are now allowed to apply for both a PPP loan after Dec. 27, 2020, and the SVOG.
• An additional $15 billion is provided for Targeted Economic Injury Disaster Loan Advance (EIDL) payments, including an allocation of $5 billion for Supplemental Targeted EIDL advance payments for those hardest hit.

Also note the hidden treasure in the Employee Retention Tax Credit, which is included in the analysis. This provision can have a big impact on all nonprofit employers. Additional information is available here.

We will share more about this legislation in the coming days. As always, please get in touch with us if you have questions.