More COVID-19 relief for nonprofits is on the way! Both Congress and the State of California have set aside more relief funds for nonprofits. President Biden signed into law a revised version of the American Rescue Plan Act on March 11, 2021. Also, the California legislature authorized over $2 billion in additional financial relief for nonprofits and small businesses with a specific set aside for arts and cultural institutions.
American Rescue Plan Act
The federal bill will provide the following additional funding to established programs, which are all available to nonprofits:
- $7.25 billion to the Paycheck Protection Program (PPP);
- $1.25 billion to the Shuttered Venue Operators Grant (SVOG) program;
- $15 billion will go to the Economic Injury and Disaster Loan (EIDL) program; and
- $350 billion will go to state and local government programs to assist small businesses and nonprofits.
Additionally, the bill allows some larger nonprofits to apply for a PPP loan for the first time. The new eligibility requirements allow nonprofits with more than 500 employees that operate at multiple locations to apply as long as no single location has more than 500 employees. Nonprofits have until March 31st to apply for a PPP loan.
The SVOG will be available to more nonprofits as well. Now, nonprofits may apply for an SVOG even if they have already applied for a PPP loan. (Previously, nonprofits could not apply for a SVOG if they had applied for a PPP loan after December 27, 2020).
California COVID-19 Relief Grant Program
Through the California Small Business COVID-19 Relief Grant Program, nonprofits may be eligible to receive grants of up to $25,000. Read more about the program and nonprofit eligibility requirements in our previous post on the program.
For organizations that have not yet received a relief grant under this program, there are several more rounds of grants available. Starting on March 15th, arts and cultural nonprofits may apply for funding specifically set aside for them. Arts and cultural nonprofits may qualify for a grant if they are in one of the following industries:
- Theater, dance, and other performing arts companies;
- Musical groups, artists, writers and performers;
- Promoters of performing arts, sports and similar events;
- Agents and managers for artists, athletes, entertainers and other public figures;
- Zoos, museums, gardens, nature parks and other similar institutions.
Other nonprofits that are eligible for a relief grant may apply for a grant beginning on March 25th. In addition, nonprofits that have already applied for, but not yet received, a relief grant need not apply again. Their applications will be automatically re-submitted for review on March 25th.