Dear APAP Members and Colleagues,

First of all, I hope you are safe and well.

A lot has been happening in the past couple of weeks, so we wanted to take the opportunity to share with you important updates about the Paycheck Protection Program and the Main Street Lending Program .

Last Friday, June 5, the Paycheck Protection Program Flexibility Act was signed into law to provide much-needed flexibility for Paycheck Protection Program (PPP) borrowers to get their loans fully forgiven. 

Key highlights are that the law:

  • Extends deadlines for PPP usage

  • Changes the forgiveness formula for PPP loans

  • Expands conditions and interest rate around repaying the loans

  • Outlines deferment plans for monthly loan repayments

  • Lengthens the forgiveness rehire date

  • This legislation also corrected an item in the original CARES ACT and would now allow employers who receive PPP loans to be also eligible to defer payment of the employer's portion of a W-2 employee's 2020 FICA tax so that 50% can be paid in 2021 and 50% in 2022.

Please note: if you haven't already completed the loan process, PPP loans must be borrowed before June 30, 2020 (subject to availability of funds).

On June 8, the Federal Reserve announced the expansion of the Main Street Lending Program to small and medium-size businesses. While these types of loans are *not* the forgivable type and were previously only available to major corporations, the terms may be attractive and provide much more flexibility for use of funds. $75 billion is being made available for these loans through the CARES Act. The Federal Reserve Board also confirmed that it will soon be announcing an additional loan program specifically for nonprofit organizations .

To view the latest advocacy efforts APAP is conducting on your behalf and to access the COVID-19-related resources, visit our frequently updated COVID-19 resource page and our dedicated  government relief page .

We also encourage you to contact your Congressional representatives and continue to make the case for performing arts organizations, artists and arts workers . Your voice and your story are critical to building legislation that serves our field.

We are here for you. Please don't hesitate to reach out to us.
Mario Garcia Durham
President and CEO, APAP
Lisa Richards Toney
Incoming President and CEO, APAP