Paycheck Protection Program (PPP) Extended to May 31, 2021

By California Aquaculture Association

As President Joe Biden signed the PPP Extension Act of 2021 into law on March 30, 2021, extending the Paycheck Protection Program an additional two months to May 31, 2021, and then providing an additional 30-day period for the SBA to process applications that are still pending, Administrator Isabella Casillas Guzman, head of the U.S. Small Business Administration, said:

“President Biden sent another strong message to America’s more than 30 million small business owners negatively impacted by the pandemic: help is here. By signing the PPP Extension Act of 2021 and the American Rescue Plan Act into law, the President is providing additional critical relief to the smallest of the small businesses – the mom-and-pop shops that line our Main Streets and keep our local and regional economies going.

“The leadership of the Biden-Harris Administration, working with leaders of the House Small Business Committee, Chairwoman Nydia Velázquez, and Ranking Member Blaine Luetkemeyer, Reps. Carolyn Bourdeaux and Young Kim, and Senate Small Business and Entrepreneurship Committee Chairman Ben Cardin, and Senators Jeanne Shaheen and Susan Collins, ensured a strong bipartisan vote to extend this critical relief to hard-hit small businesses. More than 8.2 million PPP loans have provided struggling small businesses with the relief they need to keep workers employed and make ends meets during this pandemic. The SBA remains dedicated to reaching the heart and soul of the nation’s urban, rural, and low-income communities – the smallest businesses – and removing barriers to access this vital relief.” 

Learn more about PPP

US Department of Agriculture (USDA), Farm Service Agency (FSA), will accept new and modified Coronavirus Food Assistance Program

The US Department of Agriculture (USDA), Farm Service Agency (FSA), will accept new and modified CFAP 2 applications beginning April 5, 2021. 

Agriculture Secretary Tom Vilsack announced yesterday the U.S. Department of Agriculture will begin providing additional financial assistance to farmers, ranchers, and producers impacted by COVID-19 market disruptions. Resources for these payments were approved by Congress in fiscal years 2020 and 2021.

The original application period for CFAP 2 was September 21 through December 11, 2020. USDA will reopen CFAP 2 signup for all eligible producers beginning April 5, 2021. A deadline for signup will be announced at a later date. Learn more at farmers.gov/cfap

Aquaculture Eligibility

Aquaculture eligible for CFAP 2 includes: any species of aquatic organisms grown as food for human consumption, fish raised as feed for fish that are consumed by humans, and ornamental fish propagated and reared in an aquatic medium. Eligible aquaculture species must be raised by a commercial operator and in water in a controlled environment. This includes molluscan shellfish and seaweed that was previously covered under the U.S. Department of Commerce program.

Eligible sales only include sales of raw commodities grown by the producer. The portion of sales derived from adding value to the commodity, such as processing and packaging, and from sales of products purchased for resale is not included in the payment calculation.

CFAP 2 payments are available for eligible producers of aquaculture commodities, which are categorized as sales commodities. Payment calculations will use a sales-based approach, where producers of eligible commodities are paid based on five payment gradations associated with their 2019 sales.

Continue reading

U.S. Small Business Administration (SBA) is Increasing the Lending Maximum Amount

The U.S. Small Business Administration (SBA) is increasing the maximum amount small businesses and non-profit organizations can borrow through its COVID-19 Economic Injury Disaster Loan (EIDL) program. Starting the week of April 6, 2021, the SBA is raising the loan limit for the COVID-19 EIDL program from 6-months of economic injury with a maximum loan amount of $150,000 to up to 24-months of economic injury with a maximum loan amount of $500,000.

Businesses that receive a loan subject to the current limits do not need to submit a request for an increase at this time. SBA will reach out directly via email and provide more details about how businesses can request an increase closer to the April 6 implementation date. Any new loan applications and any loans in process when the new loan limits are implemented will automatically be considered for loans covering 24 months of economic injury up to a maximum of $500,000.

This new relief builds on SBA’s previous March 12, 2021 announcement that the agency would extend deferment periods for all disaster loans, including COVID-19 EIDLs, until 2022 to offer more time for businesses to build back. In order to shift all EIDL payments to 2022, SBA will extend the first payment due date for disaster loans made in 2020 to 24-months from the date of the note and to 18-months from the date of the note for all loans made in the calendar year 2021.

Questions about SBA COVID-19 EIDL and disaster loan payments can be emailed to DisasterCustomerService@sba.gov or directed to SBA’s Customer Service Center at 1-800-659-2955 (1-800-877-8339 for the deaf and hard of hearing).

Identified Gaps in Previous Aid, USDA Announces ‘Pandemic Assistance for Producers’ to Distribute Resources More Equitably

Press Release Release No. 0056.21

Contact: USDA Press
Email: press@usda.gov

WASHINGTON, March 24, 2021 — Agriculture Secretary Tom Vilsack announced today that USDA is establishing new programs and efforts to bring financial assistance to farmers, ranchers and producers who felt the impact of COVID-19 market disruptions. The new initiative—USDA Pandemic Assistance for Producers—will reach a broader set of producers than in previous COVID-19 aid programs. USDA is dedicating at least $6 billion toward the new programs. The Department will also develop rules for new programs that will put a greater emphasis on outreach to small and socially disadvantaged producers, specialty crop and organic producers, timber harvesters, as well as provide support for the food supply chain and producers of renewable fuel, among others. Existing programs like the Coronavirus Food Assistance Program (CFAP) will fall within the new initiative and, where statutory authority allows, will be refined to better address the needs of producers.

USDA Pandemic Assistance for Producers was needed, said Vilsack, after a review of previous COVID-19 assistance programs targeting farmers identified a number of gaps and disparities in how assistance was distributed as well as inadequate outreach to underserved producers and smaller and medium operations.

“The pandemic affected all of agriculture, but many farmers did not benefit from previous rounds of pandemic-related assistance. The Biden-Harris Administration is committed to helping as many producers as possible, as equitably as possible,” said Vilsack. “Our new USDA Pandemic Assistance for Producers initiative will help get financial assistance to a broader set of producers, including to socially disadvantaged communities, small and medium sized producers, and farmers and producers of less traditional crops.”

Continue reading

Update: California Small Business COVID-19 Relief Grant Program

The California Office of the Small Business Advocate (CalOSBA) are happy to announce there were over 300,000 applications successfully completed during Round 1 of the California Small Business Covid-19 Relief Grant Program.

Starting Tuesday, February 2, 2021, at 8:00 am PST Lendistry will open Round 2 for all small businesses and nonprofits to apply.

Round 1 applicants who did not receive funds DO NOT need to reapply. Your application was waitlisted and automatically rolled over for consideration in Round 2.

For new applicants in Round 2, please mark these dates and times on your calendar:

Round 2 opens Tuesday, February 2, 2021 at 8:00 am PST
Round 2 closes on Monday, February 8, 2021 at 6:00 pm PST
Notification about selection: February 11 – 18, 2021
Notification about Not selected: February 24, 2021

Before you apply: WATCH VIDEOS ON THE APPLICATION PROCESS To help you with the application process, Lendistry has prepared short videos that walk you through each step. To watch these videos, click here. We will continuously update this page with more videos in multiple languages.

REVIEW THE PROGRAM AND APPLICATION GUIDE The Program and Application Guide details the entire application process, step-by-step, and provides tips on how to improve your application experience. It also includes screenshots of the application and Portal to help you familiarize yourself with the process. To view the Program and Application Guide, click here.

DAILY WEBINARS Partners are conducting daily webinars that go over the program, application, and step-by-step instruction to complete the application. To view the calendar of daily webinars and access links, click here

PREPARE REQUIRED DOCUMENTS Review Section 8: Required Documents under “Program Overview” in the application guide for a list of required documents for the grant. The guide also provides tips and resources to help you properly scan your documents for upload. See Tip #3: Scan Your Documents Properly under “Tips for Applying”.

FIND AND APPLY THROUGH A PARTNER To apply for a grant, you will need to do so through a partner. You can find a partner by language or by county at www.CAReliefGrant.com. Please apply once and through one partner only.

Additional Application Tips: A partner to the program or the Lendistry team can help you navigate the process. Lendistry’s call center is available at 888.612.4370. Call Center times starting February 2nd are as follows:

7am – 11pm weekdays
8am – 12pm Saturdays
Last day until 8pm

For partner assistance, please contact the partner in which you started or submitted your application with.

You can find an application certification here for for-profits and here for non-profits.  

The application process is NOT first-come, first-serve. You have within the time frame listed above to apply.     

Small Business Administration (SBA) Re-Opening Paycheck Protection Program (PPP) to Small Lenders Jan 15, 2021 and All Lenders Jan 19, 2021

The U.S. Small Business Administration, in consultation with the U.S. Treasury Department, will re-open the Paycheck Protection Program (PPP) loan portal to PPP-eligible lenders with $1 billion or less in assets for First and Second Draw applications on Friday, January 15, 2021 at 9 a.m. EST. The portal will fully open on Tuesday, January 19, 2021 to all participating PPP lenders to submit First and Second Draw loan applications to SBA.

Earlier in the week, SBA granted dedicated PPP access to Community Financial Institutions (CFIs) which include Community Development Financial Institutions (CDFIs), Minority Depository Institutions (MDIs), Certified Development Companies (CDCs), and Microloan Intermediaries as part of the agency’s ongoing efforts to reach underserved and minority small businesses.

On Friday, SBA will continue its emphasis on reaching smaller lenders and businesses by opening to approximately 5,000 more lenders, including community banks, credit unions, and farm credit institutions.  Moreover, the agency also plans to have dedicated service hours for these smaller lenders after the portal fully re-opens next week.

First Draw PPP Loans are for those borrowers who have not received a PPP loan before August 8, 2020.

Second Draw PPP Loans are for eligible small businesses with 300 employees or less, that previously received a First Draw PPP Loan and will use or have used the full amount only for authorized uses, and that can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020. The maximum amount of a Second Draw PPP loan is $2 million. 

Updated PPP Lender forms, guidance, and resources are available at www.sba.gov/ppp and www.treasury.gov/cares.

SBA Extends Crucial Lifeline to Borrowers Impacted by COVID-19 with Debt Relief

As the U.S. Small Business Administration continues implementation of the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act, signed into law by President Trump on Dec. 27, 2020, SBA Administrator Jovita Carranza made the following statement in regards to Section 325:

“Small business is big business in America, and this Administration will continue to extend a lifeline to small business owners during this critical time. Congress charged the SBA with making debt relief payments (principal, interest and fee payments) under Section 1112 of the CARES Act to help borrowers in SBA’s 7(a), 504 and Microloan programs; and now SBA is working expeditiously to implement the newly enacted assistance.

The new law extends SBA debt relief authority, allowing the Administration to continue alleviating adverse economic effects of COVID-19 for small businesses with SBA loans. Since April last year, the SBA has made over $7.1 billion in payments across 1,819,130 loans on behalf of these borrowers. It’s important to note that these firms were also initially able to access capital because of the SBA federal guarantee.”

The SBA is determining how much additional debt relief assistance can be provided to SBA borrowers with the newly issued Congressional appropriation. Debt Relief guidance will soon be posted on the SBA website.

California Small Business Covid-19 Relief Grant Program Applications

California Small Business Covid-19 Relief Grant program applications opened December 30, 2020. Thousands of small businesses have already applied, and The California Department of Small Business Advocates are aware that with this large application volume, many small businesses are experiencing delays or challenges with the application portal.

If you are experiencing technical difficulties with the high volume demand today, please circle back to the application portal.

The CA Relief Grant program is not setup as first come, first serve and will not close early, so if you face technical issues during the process, the application can be submitted for first round consideration any time between now and January 8, 2021 at 11:59PM. Webinars are offered daily by SBDCs at 11 A.M. to introduce you to the application process – click here to register.

Lendistry is working quickly to improve access issues. Please take the opportunity to go to the website, review eligibility requirements and the application process to ready your documents and connect with a local partner.

Know that the program is not the end of the State’s assistance for small businesses and nonprofits. The Governor, Legislature, GO-Biz and CalOSBA continue to work towards more support to help your small business recover during the COVID-19 pandemic.

Coronavirus Food Assistance Program 2 for Aquaculture Producers

Aquaculture species raised by commercial operators in water in a controlled environment may be eligible for CFAP 2. This includes molluscan shellfish and seaweed. Learn more at farmers.gov/cfap/aquaculture.

Apply for CFAP 2 by December 11, 2020, through your local USDA Farm Service Agency.

Learn more at farmers.gov/cfap or call 877-508-8364 to speak directly with a USDA employee ready to offer assistance. 

Watch the Video

Three Categories of Coronavirus Food Assistance Program 2 Payments

Coronavirus Food Assistance Program 2 (CFAP 2) provides producers with financial assistance that gives them the ability to absorb some of the increased marketing costs associated with the COVID-19 pandemic. USDA will accept CFAP 2 applications through December 11, 2020.

There are a wide variety of commodities eligible for CFAP 2 – from alpacas to zucchini. CFAP 2 payments will be made for three categories of commodities – Price Trigger Commodities, Flat-Rate Crops, and Sales Commodities. 

Learn more at farmers.gov/cfap or call 877-508-8364 to speak directly with a USDA employee ready to offer assistance. 

CFPA video