Impact and Capacity Grant (ICG) Initiative – COVID-19
Due to overwhelming response, the Impact and Capacity Grant (ICG) Initiative was closed on April 24. In total, 91 Kansas organizations received funding from this initiative. To see the complete list, please read the official news release.
What Recent Federal Legislation means for Nonprofits:
In response to the global pandemic, new federal legislation, such as the CARES Act and Families First, were passed to provide relief for businesses and communities. The legislation also provides many opportunities for nonprofits. Below are links to help guide organizations through questions, applications and eligibility.
CARES Act Programs for Nonprofits:
Paycheck Protection Program:
- Key Dates: On April 3, 2020, the Small Business Administration will begin accepting applications for the Paycheck Protection Program. This program will run through June 30, 2020. Contact your lender immediately for information. Additional documents can be found here and here.
- Nonprofit Eligibility: Available for charitable nonprofits with 500 or fewer employees (counting each individual – full time or part time, not FTEs).
- Loan Use: Funds are available for payroll and associated costs, including health insurance premiums, facilities costs, and debt service.
- Loan Forgiveness: Loans become forgivable if nonprofit organizations keep staff on the payroll between March 1 and June 30. In essence, the loan becomes a general operating support grant.
- Hotline: The SBA requests all organizations call their hotline to determine your eligibility before applying at 1-800-659-2955.
- Summarized articles: Resources from the U.S. Chamber of Commerce, Independent Sector and the Council of Nonprofits.
Economic Injury Disaster Loans (EIDL) Grants:
- According to the Small Business Administration, this advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application. This loan advance will not have to be repaid. Full details are available here.
Employee Retention Credit:
- The Treasury Department and the Internal Revenue Service launched the Employee Retention Credit, designed to encourage businesses to keep employees on their payroll. The refundable tax credit is 50 percent of up to $10,000 in wages paid by an eligible employer whose business has been financially impacted by COVID-19. Click here for more information.
Deferral of Payroll Taxes:
- Allows employers to defer payment of the employer share of Social Security taxes, 6.2% on employee wages.
- Payroll taxes may not be deferred if a nonprofit has a loan forgiven under the Paycheck Protection Program.
- The Independent Sector has provided an outline of this program.
Local and State Resources:
Resources From State Agencies and Associations:
Additional Federal Relief Resources
Families First Coronavirus Response Act:
Coronavirus Aid, Relief, and Economic Security Act (CARES Act):
General Resources for Nonprofits:
We know that many non-profit organizations will face new challenges in the weeks ahead with day-to-day operations and serving clients and constituents. Through our philanthropic networks, we have compiled various resources that may be useful to you, including helpful articles and free software applications.