April 20, 2020 - Canon Ron Feister, Bob Raun, and Kate Krumreig
We all have concern regarding the effects of the pandemic on both our corporate and individual lives. The Standing Committee of the ADGL is reviewing information on the CARES Act and wishes to share the following information regarding qualifying for relief under the Paycheck Protection Program. Of significant interest is that the federal CARES Act can provide financial support to duly incorporated churches and faith-based organizations. Below you will find information and resources regarding the CARES Act and the Paycheck Protection Program (PPP). CARES Act The 900-page, $2.2 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act became law on March 27, 2020. It is the third package enacted by Congress in response to the COVID-19 (coronavirus) outbreak. Key Provisions of the Act include: Individual help, Employee retention credit, Unemployment insurance provisions, Charitable contributions, Delay of certain deadlines (particularly income tax filing deadline), and the Paycheck Protection Program (PPP). To read more about these Key Provisions, visit Church Law & Tax website: https://www.churchlawandtax.com/web/2020/march/overview-of-cares-act-for-churches.html Paycheck Protection Program (PPP) The CARES Act establishes a new US Small Business Administration loan program called the Paycheck Protection Program (PPP) for small employers (including nonprofits and churches) with 500 or fewer employees to help prevent workers from losing their jobs and small businesses from failing due to economic losses caused by the COVID-19 pandemic. The program provides federally guaranteed loans to cover payroll and other operating expenses. A few key points of the PPP:
To be eligible, the small employer (example: church) must have serious concern regarding maintaining payroll as a result of the pandemic. The Act requires eligible borrowers to make a good-faith certification that:
the loan is necessary due to the uncertainty of current economic conditions caused by COVID-19; and
they will use the funds to retain workers and maintain payroll, lease, and utility payments.
The program is retroactive to February 15, 2020, to help bring workers who may have already been laid off back onto payrolls.
The program provides loans of up to 250 percent (250%) of an employer’s average monthly payroll costs for the one-year period preceding the loan (excluding compensation over $100,000).
The loan is forgiven in full if, during the eight-week period beginning when the church receives the loan, the money is spent entirely on:
group health care expenses
interest on any mortgage obligations
rent, including rent under a lease agreement
interest on debt incurred before February 15, 2020
The amount of loan forgiveness is reduced based on an employer’s reduction in workers or wages according to a formula. Of note: declines in payroll between February 15, 2020 and April 26, 2020 do not reduce the amount of loan forgiveness if the employer returns to pre-decline levels by June 30, 2020.
Again we emphasize any consideration of moving forward with this program should be accomplished in consultation with your financial advisors and banking relationship with the approval of the vestry.
Any portion of a loan not forgiven is carried forward as an ongoing loan with a term of two years at 1 percent (1%) interest.
The recipient applies for forgiveness through the lender.
Additional Information It is strongly recommended that you be in contact with your parish’s financial institution/partner in order to investigate information specific to your church needs. Each vestry must make a determination based on need and advise from your legal and banking relationships.
The Rt. Rev. Roger C. Ames Named Bishop Emeritus of the Anglican Diocese of the Great Lakes
The Standing Committee, on behalf of the entire Anglican Diocese of the Great Lakes, announces the bestowal of the honorific title of Bishop Emeritus of the Anglican Diocese of the Great Lakes upon The Rt. Rev. Roger Copeland Ames. As we reflect upon the present strengths and future ministry potential of the ADGL, this honor recognizes Bishop Roger’s leadership as the founding bishop of the ADGL, his steadfast love for the congregants of the diocese, and his passion to stand before all to proclaim faith in our Lord Jesus Christ. In addition to being the Founding Diocesan Bishop of the ADGL, Bishop Roger most recently served as an Assisting Bishop for the past four years. Throughout the formative years of the diocese, Bishop Roger and Gretsie together persevered, provided leadership, withstood the onslaught of naysayers, and joyfully proclaimed the saving power of Jesus’ name. We seek to honor Bishop Roger’s years of service and continued support while at the same time respecting his and Gretsie’s personal and family time in retirement. We are grateful for Bishop Roger’s willingness to engage in episcopal ministry to bless, strengthen, and encourage the clergy and parishes of the ADGL in specific and appropriate situations within our diocese throughout this transitional season. We look forward to the first suitable opportunity to publicly recognize Bishop Roger and Gretsie with this honor and to their continued presence among us for celebrations yet to come.