*Specific rules and guidelines for the CARES Act funded programs is beninning to become available, including information for independent contractors. Please be careful that you are working from the most version of documents. Thank you to everyone who has sent links and other information.
New State Executive Order Impacting Small Businesses: Governor Newsom issued Executive Order N-40-20 on March 30, which addressed a number of small business issues, including a 90 day extension for the payment of sales taxes, professional licenses, and certain fees.
Small Business Paycheck Protection Program: Initial application dates for the Small Business Paycheck Protection Program have been announced. Beginning on April 3rd, small businesses and sole proprietorships can begin applying. Beginning on April 10, independent contractors can begin to apply.
Employee Retention Credit: The IRS released information on how to access the Employee Retention Credit, which is designed to encourage businesses to keep employees on their payroll. A portion of the credit is refundable.
Manufacturing Grants: The U.S. Department of Commerce’s National Institute of Standards and Technology (NIST) has opened a funding opportunity for rapid, high-impact projects that support the nation’s response to the COVID-19 pandemic. Using CARES Act funds, the grants will be awarded through the NIST Manufacturing USA National Emergency Assistance Program with no requirements for cost matching. https://www.nist.gov/news-events/news/2020/03/nist-funding-manufacturing-institutes-support-pandemic-response
Export Assistance: The US Department of Agriculture announced that it will provide coverage for exports under sight letters of credit (sight LC) without refinancing under the Commodity Credit Corporation’s Export Credit Guarantee Program (GSM-102). Typically, GSM-102 payment guarantees cover credit terms of up to 18 months, with repayment terms negotiated between the importer’s and exporter’s financial institutions. With a sight LC without refinancing, payment occurs immediately, or “at sight,” once the commodity is exported and the U.S. and foreign financial institutions review and approve all applicable documents. https://www.fas.usda.gov/programs/export-credit-gurantee-program-gsm-102/gsm-fee-schedule.
New Construction Limitations in Bay Area: Under a revised shelter-in-place order covering San Francisco and other Bay Area counties, additional limitations are being placed on construction sites. These orders will be in place until May 3. According to the San Francisco Business Times, “The counties’ previous order restricted most commercial activity but allowed housing construction– which was considered essential – to continue. Starting at midnight on Tuesday, however, the types of construction that will be allowed through May 3 will be narrowed further.”
Federal Small Business Meeting: The Security and Exchange Commission has called an April 2 meeting of Small Business Capital Formation Advisory Committee in response to COVID-19 challenges faced by small businesses. Information about the meeting is available at https://www.sec.gov/page/small-business-capital-formation-advisory-committee). A recording of the meeting will be posted following the meeting.
Toolkit and Flyer for Businesses: US Chamber of Commerce has put forward a number products to help businesses address COVID-19 challenges.