New COVID and Payroll Protection Benefits Available
Action Needed Now!! Emergency Assistance to Non-Public Schools
The second Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSA Act), provides an Emergency Assistance to Non-Public Schools (EANS) program, which is part of the Act’s Governor’s Emergency Education Relief (GEER) Fund.
A new guidance document of Frequently Asked Questions has been released by the U.S. Department of Education. It can be found here. Sr. Dale McDonald will be conducting a webinar on this topic on January 28, 2021 at 2 PM EST. Online registration is available.
The CRRSA Act sets aside $2.75 billion for the EANS program to address the impact COVID-19 has had, and continues to have, on non-public school students and teachers.
There are several steps to complete for the implementation of this program:
- The governor of each state must make an application to the US Department of Education for funds available to the state under EANS. The deadline for the Governor’s submission of the signed Certification and Agreement is February 8, 2021.
- The Department will award grants by formula to each governor with an approved Certification and Agreement to provide services or assistance to eligible non-public schools.
- By accepting an EANS award from the Department, a governor designates the State educational agency (SEA) to administer the program.
- To receive services or assistance, an eligible non-public school must submit an application to the SEA.
Please note: The governor has discretion as to whether or not to apply for the EANS funds. We are asking all dioceses, schools and other private school supporters to contact their governor’s office and request that he/she apply for the EANS funds. A copy of the letter sent to Governor Hogan by several Maryland coalitions is attached here.
The EANS funds are the only ones available to serve private schools; a local school district is not required to provide equitable services to students and teachers in non-public schools from supplemental funds received under the CRRSA Act’s Elementary and Secondary School Emergency Relief Fund (ESSER II Fund) or GEER Fund (GEER II Fund).
However, equitable services requirements continue to apply under the first CARES Act’s ESSER and GEER programs so check to see that you are receiving your allocation that is separate from the newest funding.
Caveat: school cannot apply for both EANs and the new Payroll Protection Program (round two). Schools may apply for EANS if they received a PPP in the first round and choose not to do it in round two.
The U.S. Department of Education has developed a webpage for the EANS program.
The following are items included on the EANS webpage for your information.
The Department plans to publish a set of Frequently Asked Questions soon, which will provide information to non-public schools about the program. In the meantime, please email your questions to GEERF@ed.gov and ONPE@ed.gov.
SBA and Treasury Announce PPP Re-Opening; Issue New Guidance
The Paycheck Protection Program (PPP) will re-open the week of January 11 for new borrowers and certain existing PPP borrowers.
To promote access to capital, initially only community financial institutions will be able to make First Draw PPP Loans on Monday, January 11, and Second Draw PPP Loans on Wednesday, January 13. The PPP will open to all participating lenders shortly thereafter.
This round of the PPP continues to prioritize millions of Americans employed by small businesses by authorizing up to $284 billion toward job retention and certain other expenses through March 31, 2021, and by allowing certain existing PPP borrowers to apply for a Second Draw PPP Loan.
Key PPP updates include:
- PPP borrowers can set their PPP loan’s covered period to be any length between 8 and 24 weeks to best meet their business needs;
- PPP loans will cover additional expenses, including operations expenditures, property damage costs, supplier costs, and worker protection expenditures;
- The Program’s eligibility is expanded to include 501(c)(6)s, housing cooperatives, direct marketing organizations, among other types of organizations;
- The PPP provides greater flexibility for seasonal employees;
- Certain existing PPP borrowers can request to modify their First Draw PPP Loan amount; and
- Certain existing PPP borrowers are now eligible to apply for a Second Draw PPP Loan.
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
- Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses;
- Has no more than 300 employees; and
- Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.
The new guidance released includes: