On this page please find the latest information the Diocese has available for guidance on how to complete the Payroll Protection Program (PPP) loan application to receive a forgivable loan for 2.5x your monthly payroll. Provided you spend 75% of the loan proceeds on payroll and follow the other guidance from your bank, the loan will be forgiven and you will have received two and a half months of payroll courtesy of federal relief. Therefore every congregation and diocesan institution should apply for this relief.
- U.S. Treasury page
- Diocesan Chancellor Christopher Hayes’ narrative document (to come)
- Recording of SBA Loans and Payroll Protection Webinar (April 6, 2020 — Video)
- Paycheck Protection Program Loans – Frequently Asked Questions (FAQs) (April 13, 2020)
- Small Business Paycheck Protection Program (Overview)
- Paycheck Protection Program (PPP) Information Sheet: Borrowers
- SBA Faith-Based Organizations FAQ — Attach the Addendum A form the SBA Faith-Based FAQ to your PPP application to remind your bank that each individual congregation is eligible to apply for its own PPP loan.
- SBA PPP application
- Excel Sheet for Tracking PPP (from Wisdom over Wealth)
- To request the 2019 annual payroll report to support your PPP loan application send an email to Sarah Crawford. In your email request be sure to include the name/location and parish code of your organization.
- Families First Coronavirus Response Act (FFCRA or Act) Employee Rights Notice (Español / English)
- Families First Coronavirus Response Act Employee Paid Leave Rights (Español / English)
- Families First Coronavirus Response Act Employer Paid Leave Requirements (Español / English)
Three Webinars from Horizons Stewardship on SBA PPP Loans
Horizons Stewardship is an ecumenical organization that helps congregations with financial advising and stewardship. They have put out a comprehensive series of webinars and FAQs on the CARES Act. Among the topics covered:
- How to include clergy housing in SBA loans
- Specific information on how churches benefit from the SBA loans
- Liturgical and leadership resources
- How to ensure that you comply with SBA guidelines and receive forgiveness for your loan
Find the complete website list here:
The following webinars are particularly helpful, and the diocese recommends that church and preschool treasurers and administrators watch them.
- Will My PPP Loan Be Forgiven
- This Webinar is designed for church treasurers and administrators on how to comply with SBA rules and regulations on tracking and spending loans from the Payroll Protection Program to ensure that the loans are forgiven. It is a good overview with general information.
- Q&A Session: Best Practices for Accountability and Maximizing your PPP Loan Forgiveness
- This Webinar is a deeper dive into the rules for compliance including ways to maximize your spending under the loan guidelines.
- What to Expect if You Received PPP Loan Funds (and if you didn’t)
- This Webinar covers some of the rules and regulations, and explores some of the decision-making factors that go into the PPP loans.
To receive more information or assistance about your congregation’s finances, please contact Tom Ferguson, CFO, tomf@diocal.org
For questions about your payroll, benefits, and administration, please contact Sarah Crawford, Payroll & Benefits Coordinator, sarahc@diocal.org
To talk with us about fundraising, stewardship, or planned giving, please contact Davey Gerhard, Director of Development, daveyg@diocal.org
Form 941 Request from Your Bank
Your bank may ask you for a Form 941, which is a payroll tax return, to verify your payroll numbers. The Diocese however submits a single Form 941 for the 643 or so employees in its payroll service, so you will not able to provide a 941 for your individual congregation or institution.
Instead, please refer your bank to the FAQs document issued by the Small Business Administration, particularly questions 1 and 10 and provide the following language:
- Question 1 emphasizes that the calculation of the payroll costs is the responsibility of the borrower, and deems “a payroll report by a recognized third-party payroll processor” as an example of reasonable documentation.
- Question 10 recognizes that some employers use a third-party payer to process payroll. “In these cases, payroll documentation provided by the payroll provider that indicates the amount of wages and payroll taxes reported to the IRS by the payroll provider for the borrower’s employees will be considered acceptable PPP loan payroll documentation.” Tax forms are of course acceptable if available, but they are not required.
- And as you know, the borrower must certify the accuracy of the information it is submitting.
- We therefore ask that you rely on this SBA guidance and accept the payroll register reports that are specific to our congregation’s employees.