As Congress works on additional relief for individuals, businesses, and nonprofits affected by the COVID-19 crisis, North Carolina nonprofits are asking for four specific improvements to the nonprofit relief in the CARES Act:
- Expand access to credit. Helping nonprofits get more immediate by expanding nonprofit eligibility for the Paycheck Protection Program (PPP) and by establishing a dedicated funding stream for PPP loans to nonprofit organizations.
- Bolster charitable giving incentives. Strengthening temporary above-the-line charitable deduction from the CARES Act by allowing taxpayers to use it on the 2019 taxes, significantly increasing the $300 cap, and extending it beyond 2020.
- Protect self-insured nonprofits. Holding harmless self-insured nonprofits by providing funding to cover 100% of the costs of these organizations’ unemployment claims. Without this change, many nonprofits that provide health care, food assistance, affordable housing, childcare, and other critical services will have to end or curtail services later this year.
- Support nonprofit service providers. Increasing emergency funding so that nonprofits can work with state and local governments to provide essential services to vulnerable families and frontline responders to the COVID-19 crisis.
On Thursday, April 16, a group of 461 nonprofits from throughout North Carolina sent a letter to each member of Congress from North Carolina asking them to make these modifications to the CARES Act to provide needed relief to charitable nonprofits and the communities they serve.