Updated Financial Relief for Camps

Stock photo: Tax Relief

April 6, 2021

Since the American Rescue Plan was signed into law on March 11, 2021, several federal relief provisions have been made that can further provide much-needed relief to many camps and youth-serving organizations across the country.

Paycheck Protection Program

Legislation to extend the Paycheck Protection Program (PPP) through May 31 was approved by Congress and signed by President Joe Biden. The US Senate voted 92-7 on March 25  to approve the PPP Extension Act of 2021, H.R. 1799, sending the legislation to the president for his signature.

The PPP application deadline changed from March 31 to May 31. If you have not yet participated, act quickly — there is only $66 billion remaining of the nearly $292 billion allocated to the fund, and experts believe the money will run out well before the May 31 deadline.

Economic Injury Disaster Loan

The Small Business Administration (SBA) is set to raise the maximum amount nonprofits and businesses can borrow. Beginning April 6, 2021, the loan limit for the COVID-19 Economic Injury Disaster Loan (EIDL) program will be $500,000 and cover 24 months of economic activity.

The previous EIDL program limit was six months of economic injury with a maximum loan amount of $150,000. Businesses that received a loan subject to the previous limits do not need to submit a request for an increase at this time.

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).

Employee Retention Tax Credit

The American Rescue Plan included a provision that extended the deadline for the Employee Retention Tax Credit. Businesses and nonprofit organizations now have until December 31, 2021, to claim the credit, which is an extension of six months from the deadline established in December 2020 relief bill.

See IRS’s updated FAQs for more information.

$28 Billion in Learning Recovery for Camps and Out-of-School Programs

The American Rescue Plan includes an Elementary and Secondary School Emergency Relief Fund provision.

  • $6.1 billion for learning recovery, including summer and afterschool programs
  • $22 billion for learning recovery strategies, including summer enrichment and afterschool programs

Funding can be spent until September 2023. Once funds arrive at the state level, likely by early April, state education and human service agencies will make the decision on how to distribute funds. State education agencies and/or your statewide afterschool network will administer the $6.1 billion fund and local education agencies/school districts will administer the $22 billion fund. 

More Information