Here’s the latest on the COVID-19 outbreak and the federal & state response in North Carolina:
The Small Business Administration and the Treasury Department announceda new, more borrower-friendly loan forgiveness application for businesses that have obtained loans via the Paycheck Protection Program. In addition to the full forgiveness application, the SBA has also published a new “EZ” version of the app that applies to borrowers that:
Are self-employed and have no employees; OR
Did not reduce the salaries or wages of their employees by more than 25%, and did not reduce the number or hours of their employees; OR
Experienced reductions in business activity as a result of health directives related to COVID-19, and did not reduce the salaries or wages of their employees by more than 25%.
The EZ application requires fewer calculations and less documentation for eligible borrowers. Details regarding the applicability of these provisions are available in the instructions for the new EZ application form. Both applications give borrowers the option of using the original 8-week covered period (if their loan was made before June 5, 2020) or an extended 24-week covered period. Click here to view the EZ Forgiveness Application. Click here to view the Full Forgiveness Application.
A few updates on the Main Street Lending Program set up by the CARES Act to help small and medium-sized businesses access needed capital to survive the COVID-19 crisis: The Federal Reserve has announced that the program’s Lender Portal is now open, enabling eligible lenders to register to provide loans to borrowers through the program. You can find useful Instructions here for completing the required documents and an extensive Frequently Asked Questions (FAQs) document providing more information regarding eligibility and conditions. Additionally, Treasury Secretary Mnuchin has announced that the Treasury Department and the Federal Reserve are exploring the possibility of opening up the Main Street Lending Program to nonprofit organizations. Stay tuned as more information about this proposed expansion becomes available.
The USDA has announced that as of late last week, our meat processing facilities across the cattle, swine and broiler sectors are operating at more than 95% of their average capacity compared to this time last year. This is largely a result of President Trump’s executive order directing these facilities to remain open under the specific CDC and OSHA guidance created to help ensure employees remain safe. It’s important that these processing plants remain in operation to the greatest extent possible during this pandemic.
Here’s the latest fact sheet on Operation Warp Speed, the historic effort launched by the Trump Administration to speed vaccine and treatment development, manufacturing and distribution. The fact sheet describes how Operation Warp Speed is investing in and coordinating the government-wide effort in conjunction with the private sector to quickly and safely develop and deliver needed treatments and vaccines to patients.
North Carolina’s Department of Health and Human Services has allocated $35 million in federal funding approved by Congress to local health departments to support the COVID-19 response effort. Of that, more than $3.75 million has gone to the 9 counties included in the 7th District. More information here.
