April 3, 2020
Colleagues & Congregational Leaders,
Good Morning. This is a glorious and cold Friday morning in Oklahoma, but this email brings some important news regarding the CARES Act.
The CARES Act Payroll Protection Program (PPP) is to help prevent employees from losing their jobs, and is designed to assist non-profit organizations which include churches, pre-schools, and schools with loans to be an immediate cash infusion for payroll costs, group health care expenses, interest on any mortgage obligations, rent, and utilities (electricity, gas, water, telephone, internet). There is a forgiveness element to the loan. The loan becomes a grant if used within the specified time frame of funding. Your church is eligible to apply for this Payroll Protection Program. Click here to read how to apply through Disciples Church Extension Fund.
I participated in the webinar from Church, Law & Tax yesterday and am providing you some important information regarding this part of CARES Act. Eric Gray from Oklahoma Disciples Foundation has also provided some resources. Eric Gray, Michael Davison, and I will be available to help you through this process. Do not hesitate to call us.
After reviewing the documents below, invite the appropriate person in church leadership to complete the application and apply directly with your bank, which needs to be an SBA lender. This will take some work in completing the form, gathering documents, achieving the appropriate approval from the church Board, but it is vital to your church. The time to apply for this loan is limited.
Week of Compassion is instituting a grant program, Household Solidarity Grants for Income Loss, to help respond to critical economic needs during the COVID-19 outbreaks in the US and Canada. We are coordinating this program along with other General Ministries to help Disciples individuals and families during this pandemic. Access to the application is below.
Household Solidarity Grants for Income Loss are available to Disciples of Christ congregations on behalf of members and pastors who are experiencing significant financial hardship. Eligible households must have lost wages due to COVID-19 (illness, protective social measures, or reduced hours/gigs) and must not be eligible for state unemployment insurance (USA) or the GSTC (Canada). Additional funds are available for households that do not qualify for federal stimulus benefits. (This application is also in Spanish and Korean should you need it.) For more information, email Week of Compassion at [email protected]
Please call us if you need assistance or have any questions.
Peace,
Rev. Pamela Holt
Resources
We created a folder that contains all the forms/applications listed below so you can download them. Click here to access the folder.
CARES Act Interpretation by Disciples
General Unit Presidents Gary Kidwell, Rick Reisinger and Todd Adams have provided some interpretation of the US Federal disaster bill, CARES Act. PDFs of all their work can be found at this link (under “financial considerations” on the COVID-19 page): https://disciples.org/
Week of Compassion
WOC Income Loss Grant Application
SBA Link
https://content.sba.gov/sites/
BOK Documents provided by Oklahoma Disciples Foundation Regarding PPP
BOK Check List for Documents
PPP Eligible Loan Amount
PPP Forgivable Calculation
PPP Is My Business Eligible
National Council of Nonprofits Summary Regarding PPP
CARES Act Loan Options for Nonprofits
Application to apply for PPP
PPP Borrower Application
501c3 Verification
You will need a 501c3 letter with the various US federal programs requiring proof. Please email directly to [email protected] so the letter can be sent directly to you.
Governing Documents
Please review your congregation’s governing documents, Constitution & ByLaws for how to hold a Board meeting. If there is no provision for the Board to act electronically or in a crisis, here is what the State of Oklahoma says about action by a Board without a meeting.
In the State of Oklahoma from Articles of Incorporation
Here are relevant portions of 18 O.S. Section 1027 providing for action by a Board of Directors (or other governing body) without a meeting.
F. Unless otherwise restricted by the certificate of incorporation or bylaws:
1. Any action required or permitted to be taken at any meeting of the board of directors, or of any committee thereof may be taken without a meeting if all members of the board or committee, as the case may be, consent thereto in writing or by electronic transmission, and the writing or writings or electronic transmission or transmissions are filed with the minutes of proceedings of the board or committee; and the filing shall be in paper form if the minutes are maintained in paper form and shall be in electronic form if the minutes are maintained in electronic form; and any person whether or not then a director may provide, whether through instruction to an agent or otherwise, that a consent to action will be effective at a future time (including a time determined upon the happening of an event), no later than sixty (60) days after such instruction is given or such provision is made and such consent shall be deemed to have been given for purposes of this subsection at such effective time so long as such person is then a director and did not revoke the consent prior to such time; and any such consent shall be revocable prior to its becoming effective;
G.
2. Except as may be otherwise provided by the certificate of incorporation, the provisions of this section shall apply to such a corporation, and when so applied, all references to the board of directors, to members thereof, and to shareholders shall be deemed to refer to the governing body of the corporation, the members thereof and the members of the corporation, respectively; and all references to stock, capital stock, or shares shall be deemed to refer to memberships of a nonprofit nonstock corporation and to membership interests of any other nonstock corporation.
