American Horse Council Covid-19 Information
Free webinar on COVID-19 Financial Assistance Options
for Horse Owners and Horse Businesses
If you or your business is struggling financially due to COVID-19 related layoffs, closings, or reduced business, join Extensionhorses.org and AHC to learn about some assistance options.
Ashley Harkins from the United Horse Coalition (UHC) provided an overview of UHC and spoke about their resource database of safety net programs including rescues and hay banks for horse owners.
Bryan Brendle from the AHC described some pandemic-related federal assistance programs including unemployment assistance, federal tax rebates, and two small business loans made available by the CARES Act (the Paycheck Protection Program and the Economic Injury Disaster Loan). He also discussed who qualifies and how to apply for each of these.
https://www.youtube.com/watch?v=tuLQXCN0Qlw&feature=youtu.be
National resource database available to help at-risk horses.
UHC has pushed up the release of its resource database questionnaire in the wake of COVID-19, in an effort to compile a listing of all known safety net programs available in the nation to help owners who are in need, as well as the rescues and sanctuaries that help them. It is our hope, that by having one centrally located area to access these resources, we will help owners keep their horses from becoming at-risk during these trying times.
The brief questionnaire can be completed by going to our website here: https://unitedhorsecoalition.org/resource-database/
Two-Week Old CARES Act Unleashes Avalanche of Emergency Loan Applications
Since passage of the $2 trillion Coronavirus Aid, Relief and Economic Security (CARES) Act two weeks ago, the Small Business Administration (SBA) has begun to implement one of the law’s signature provisions, the Paycheck Protection Program (PPP). As reported in a widely circulated edition of AHC’s Tax Bulletin , the CARES Act provides about $350 billion to help bridge payroll, rent and related expenses for small business, non-profits, independent contractors and the self-employed. The loans, capped at $10 million or two and one-half times an employer’s average monthly payroll – whichever sum is smaller - are available to a small business or 501(c)(3) or (19) nonprofit with not more than 500 employees. The SBA is rolling out the program in two steps: on Friday, April 3, the agency began to process applications from small business, sole proprietors, and 501(c)3 and (c)19 corporations.
On April 10, the agency will officially extend the program to two new classes of potential borrowers; the self-employed; and independent contractors. The expansion of the pool of eligible borrowers should benefit large segments of the horse industry, including veterinarians, farriers and trainers, among others. Unlike other programs, the SBA will fully forgive any loan made pursuant to the PPP, so long as the borrower uses funds to cover payroll costs, mortgage interest, rent and utilities. Furthermore, federal regulators are requiring that borrowers use at least 75 percent of the loan amounts to cover payroll. SBA is deferring any payments due pursuant to PPP loans for six months The SBA is processing an unprecedented volume of applications, creating bottlenecks within the financial system and raising the possibility that the program could run dry in two or three weeks. To help create efficiencies within the process, federal policymakers are considering two options: allowing the Federal Reserve to step in and assist the SBA in disbursing loans directly to banks; and moving legislation that would allocate an additional $250 billion to the program, above the $350 billion authorized by the CARES Act. While the Administration has authority to take immediate action to smooth implementation of Paycheck Protection, authorizing additional billions of dollars will require an act of Congress. This is already proving problematic as lawmakers debate priorities for next steps for COVID-19 relief.
For a detailed overview of Paycheck Protection, go to the following link: https://home.treasury.gov/system/files/136/PPP%20--%20Overview.pdf.
Potential borrowers can find more information, including where to apply for loans, at the following link: https://home.treasury.gov/system/files/136/PPP--Fact-Sheet.pdf. To view a copy of the three-page application, please click on the following link: https://home.treasury.gov/system/files/136/Paycheck-Protection-Program-Application-3-30-2020-v3.pdf .
Details: Bryan Brendle at bbrendle@horsecouncil.org.