Janeth M

WASHINGTON—U.S. Treasury Secretary Steven T. Mnuchin and Small Business Administration (SBA) Administrator Jovita Carranza issued the following statement today following the enactment of the Paycheck Protection Program (PPP) Flexibility Act:

“We want to thank President Trump for his leadership and commend Leader McConnell, Leader Schumer, Speaker Pelosi, and Leader McCarthy for working on a bipartisan basis to pass this legislation for small businesses participating in the Paycheck Protection Program. 

“We also want to express our gratitude to Chairman Rubio, Ranking Member Cardin, Senator Collins, Congressman Roy, Congressman Phillips, and other members of Congress who have helped to create and guide our implementation of this critical program that has provided over 4.5 million small business loans totaling more than $500 billion to ensure that approximately 50 million hardworking Americans stay connected to their jobs.

“This bill will provide businesses with more time and flexibility to keep their employees on the payroll and ensure their continued operations as we safely reopen our country.

“We look forward to getting the American people back to work as quickly as possible.”

Upcoming Procedures

SBA, in consultation with Treasury, will promptly issue rules and guidance, a modified borrower application form, and a modified loan forgiveness application implementing these legislative amendments to the PPP.  These modifications will implement the following important changes:

• Extend the covered period for loan forgiveness from eight weeks after the date of loan disbursement to 24 weeks after the date of loan disbursement, providing substantially greater flexibility for borrowers to qualify for loan forgiveness.  Borrowers who have already received PPP loans retain the option to use an eight-week covered period.
• Lower the requirements that 75 percent of a borrower’s loan proceeds must be used for payroll costs and that 75 percent of the loan forgiveness amount must have been spent on payroll costs during the 24-week loan forgiveness covered period to 60 percent for each of these requirements. If a borrower uses less than 60 percent of the loan amount for payroll costs during the forgiveness covered period, the borrower will continue to be eligible for partial loan forgiveness, subject to at least 60 percent of the loan forgiveness amount having been used for payroll costs.
• Provide a safe harbor from reductions in loan forgiveness based on reductions in full-time equivalent employees for borrowers that are unable to return to the same level of business activity the business was operating at before February 15, 2020, due to compliance with requirements or guidance issued between March 1, 2020 and December 31, 2020 by the Secretary of Health and Human Services, the Director of the Centers for Disease Control and Prevention, or the Occupational Safety and Health Administration, related to worker or customer safety requirements related to COVID–19.
• Provide a safe harbor from reductions in loan forgiveness based on reductions in full-time equivalent employees, to provide protections for borrowers that are both unable to rehire individuals who were employees of the borrower on February 15, 2020, and unable to hire similarly qualified employees for unfilled positions by December 31, 2020.
• Increase to five years the maturity of PPP loans that are approved by SBA (based on the date SBA assigns a loan number) on or after June 5, 2020.
• Extend the deferral period for borrower payments of principal, interest, and fees on PPP loans to the date that SBA remits the borrower’s loan forgiveness amount to the lender (or, if the borrower does not apply for loan forgiveness, 10 months after the end of the borrower’s loan forgiveness covered period).
• In addition, the new rules will confirm that June 30, 2020, remains the last date on which a PPP loan application can be approved.

Source: U.S. DEPARTMENT OF THE TREASURY; https://home.treasury.gov/news/press-releases/sm1026?fbclid=IwAR0gZvP69YIv8mJeaGnz_l-g6Mj_fY-5pzrVKpVWPBXMyk7RIbg3Gl4JFwk

WHEREAS, I, Greg Abbott, Governor of Texas, issued a disaster proclamation on March 13, 2020, certifying under Section 418.014 of the Texas Government Code that the novel coronavirus (COVID-19) poses an imminent threat of disaster for all counties in the State of Texas; and

WHEREAS, in each subsequent month effective through today, I have renewed the disaster declaration for all Texas counties; and

WHEREAS, the Commissioner of the Texas Department of State Health Services (DSHS), Dr. John Hellerstedt, has determined that COVID-19 represents a public health disaster within the meaning of Chapter 81 of the Texas Health and Safety Code; and

WHEREAS, I have issued executive orders and suspensions of Texas laws in response to COVID-19, aimed at protecting the health and safety of Texans and ensuring an effective response to this disaster; and

WHEREAS, I issued Executive Order GA-08 on March 19, 2020, mandating certain social-distancing restrictions for Texans in accordance with guidelines promulgated by President Donald J. Trump and the Centers for Disease Control and Prevention (CDC); and

WHEREAS, I issued Executive Order GA-14 on March 31, 2020, expanding the social-distancing restrictions for Texans based on guidance from health experts and the President; and

WHEREAS, I subsequently issued Executive Orders GA-16, GA-18, GA-21, and GA-23 over the course of April and May 2020, aiming to achieve the least restrictive means of combatting the threat to public health by continuing certain social-distancing restrictions, while implementing a safe, strategic plan to Open Texas; and

WHEREAS, as normal business operations resume, everyone must act safely, and to that end, this executive order and prior executive orders provide that all persons should follow the health protocols recommended by DSHS, which whenever achieved will mean compliance with the minimum standards for safely reopening, but which should not be used to fault those who act in good faith but can only substantially comply with the standards in light of scarce resources and other extenuating COVID-19 circumstances; and

WHEREAS, the “governor is responsible for meeting … the dangers to the state and people presented by disasters” under Section 418.011 of the Texas Government Code, and the legislature has given the governor broad authority to fulfill that responsibility; and

WHEREAS, failure to comply with any executive order issued during the COVID-19 disaster is an offense punishable under Section 418.173 by a fine not to exceed $1,000, and may be subject to regulatory enforcement;

NOW, THEREFORE, I, Greg Abbott, Governor of Texas, by virtue of the power and authority vested in me by the Constitution and laws of the State of Texas, and in accordance with guidance from DSHS Commissioner Dr. Hellerstedt and other medical advisors, the Governor’s Strike Force to Open Texas, the White House, and the CDC, do hereby order the following on a statewide basis effective immediately:

Every business establishment in Texas shall operate at no more than 50 percent of the total listed occupancy of the establishment; provided, however, that:

1.   There is no occupancy limit for the following:

a.   any services listed by the U.S. Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency (CISA) in its Guidance on the Essential Critical Infrastructure Workforce, Version 3.1 or any subsequent version;

b.   religious services conducted in churches, congregations, and houses of worship;

c.   local government operations, including county and municipal governmental operations relating to licensing (including marriage licenses), permitting, recordation, and document-filing services, as determined by the local government;

d.   child-care services;

e.   youth camps, including but not limited to those defined as such under Chapter 141 of the Texas Health and Safety Code, and including all summer camps and other daytime and overnight camps for youths; and

f.    recreational sports programs for youths and adults;

2.   Except as provided below by paragraph number 5, this 50 percent occupancy limit does not apply to outdoor areas, events, or establishments, except that the following outdoor areas or outdoor venues shall operate at no more than 50 percent of the normal operating limits as determined by the owner:

a.   professional, collegiate, or similar sporting events;

b.   swimming pools;

c.   water parks;

d.   museums and libraries;

e.   zoos, aquariums, natural caverns, and similar facilities; and

f.    rodeos and equestrian events;

3.   This 50 percent occupancy limit does not apply to the following establishments that operate with at least six feet of social distancing between work stations:

a.   cosmetology salons, hair salons, barber shops, nail salons/shops, and other establishments where licensed cosmetologists or barbers practice their trade;

b.   massage establishments and other facilities where licensed massage therapists or other persons licensed or otherwise authorized to practice under Chapter 455 of the Texas Occupations Code practice their trade; and

c.   other personal-care and beauty services such as tanning salons, tattoo studios, piercing studios, hair removal services, and hair loss treatment and growth services;

4.   Amusement parks and carnivals shall operate at no more than 50 percent of the normal operating limits as determined by the owner, except that in counties with more than 1,000 cumulative cases of COVID-19, amusement parks may not begin operating until 12:01 a.m. on June 19, 2020;

5.   For any outdoor gathering estimated to be in excess of 500 people, other than those set forth above in paragraph numb            ers 1, 2, or 4, the county judge or mayor, as appropriate, in consultation with the local public health authority, may impose additional restrictions;

6.   For dine-in services by restaurants that have less than 51 percent of their gross receipts from the sale of alcoholic beverages, the occupancy limit shall increase at 12:01 a.m. on June 12, 2020, to permit such restaurants to operate at up to 75 percent of the total listed occupancy of the restaurant;

7.   For indoor bars and similar indoor establishments that are not restaurants as defined above and that hold a permit from the Texas Alcoholic Beverage Commission, only those customers who are seated may be served;

8.   For any business establishment that is subject to a 50 percent “total listed occupancy” limit or “normal operating limit,” and that is in a county that has filed with DSHS, and is in compliance with, the requisite attestation form promulgated by DSHS regarding minimal cases of COVID-19, the business establishment may operate at up to 75 percent of the total listed occupancy or normal operating limit of the establishment starting 12:01 a.m. on June 12, 2020;

9.   For purposes of this executive order, facilities with retractable roofs are considered indoor facilities, whether the roof is opened or closed; and

10. Staff members are not included in determining operating levels, except for manufacturing services and office workers.

Except as provided in this executive order or in the minimum standard health protocols recommended by DSHS, found at www.dshs.texas.gov/coronavirus, people should not be in groups larger than ten and should maintain six feet of social distancing from those not in their group.  People over the age of 65 are strongly encouraged to stay at home as much as possible; to maintain appropriate distance from any member of the household who has been out of the residence in the previous 14 days; and, if leaving the home, to implement social distancing and to practice good hygiene, environmental cleanliness, and sanitation.

In providing or obtaining services, every person (including individuals, businesses, and other legal entities) should use good-faith efforts and available resources to follow the minimum standard health protocols recommended by DSHS.  Nothing in this executive order or the DSHS minimum standards precludes requiring a customer to follow additional hygiene measures when obtaining services.  Individuals are encouraged to wear appropriate face coverings, but no jurisdiction can impose a civil or criminal penalty for failure to wear a face covering.

People shall not visit nursing homes, state supported living centers, assisted living facilities, or long-term care facilities unless as determined through guidance from the Texas Health and Human Services Commission (HHSC).  Nursing homes, state supported living centers, assisted living facilities, and long-term care facilities should follow infection control policies and practices set forth by HHSC, including minimizing the movement of staff between facilities whenever possible.  Notwithstanding anything herein to the contrary, the governor may by proclamation add to the list of establishments or venues that people shall avoid visiting.

For the remainder of the 2019-2020 school year, public schools may resume operations for the summer as provided by, and under the minimum standard health protocols found in, guidance issued by the Texas Education Agency (TEA).  Private schools and institutions of higher education are encouraged to establish similar standards.  Notwithstanding anything herein to the contrary, schools may conduct graduation ceremonies consistent with the minimum standard health protocols found in guidance issued by TEA.

This executive order shall supersede any conflicting order issued by local officials in response to the COVID-19 disaster, but only to the extent that such a local order restricts services allowed by this executive order, allows gatherings prohibited by this executive order, or expands the list or scope of services as set forth in this executive order.  Pursuant to Section 418.016(a) of the Texas Government Code, I hereby suspend Sections 418.1015(b) and 418.108 of the Texas Government Code, Chapter 81, Subchapter E of the Texas Health and Safety Code, and any other relevant statutes, to the extent necessary to ensure that local officials do not impose restrictions in response to the COVID-19 disaster that are inconsistent with this executive order, provided that local officials may enforce this executive order as well as local restrictions that are consistent with this executive order. 

All existing state executive orders relating to COVID-19 are amended to eliminate confinement in jail as an available penalty for violating the executive orders.  To the extent any order issued by local officials in response to the COVID-19 disaster would allow confinement in jail as an available penalty for violating a COVID-19-related order, that order allowing confinement in jail is superseded, and I hereby suspend all relevant laws to the extent necessary to ensure that local officials do not confine people in jail for violating any executive order or local order issued in response to the COVID-19 disaster.

This executive order supersedes Executive Order GA-23, but does not supersede Executive Orders GA-10, GA-13, GA-17, GA-19, GA-20, GA-24, or GA-25.  This executive order shall remain in effect and in full force unless it is modified, amended, rescinded, or superseded by the governor.  This executive order may also be amended by proclamation of the governor.

Source: Office of the Texas Governor; https://gov.texas.gov/news/post/governor-abbott-announces-phase-iii-to-open-texas2

Governor Greg Abbott today announced the second phase of the State of Texas’ ongoing plan to safely and strategically open Texas while minimizing the spread of COVID-19. Under Phase II, restaurants may increase their occupancy to 50% and additional services and activities that remained closed under Phase I may open with restricted occupancy levels and minimum standard health protocols laid out by the Texas Department of State Health Services (DSHS).

Additionally, the Governor announced that public schools in Texas have the option to provide in-person summer school so long as they follow social distancing practices and health protocols laid out by DSHS. These classes may begin as soon as June 1st.

“Today, tomorrow, and every day going forward is one step closer to medical discoveries that can treat and protect people from COVID-19—but until that day comes, our focus is keeping Texans safe while restoring their ability to get back to work, open their businesses, pay their bills, and put food on their tables,” said Governor Abbott. “By continuing to use safe practices, we are slowing the spread of COVID-19 and protecting our most vulnerable. Now more than ever, we need to work together as one Texas. I ask all Texans to continue heeding the guidance of our state and federal medical experts and do their part to protect public health. If we all unite in our resolve, we will overcome this challenge.”

Via Executive Order, the following services and activities may open under Phase II.

• Child Care Centers (May 18)
• Massage and Personal-Care Centers (May 18)
• Youth Clubs (May 18)
• Rodeo and Equestrian Events (May 22)
• Bowling Alleys, Bingo Halls, Simulcast Racing, and Skating Rinks (May 22)
• Bars (May 22)
• Aquariums and Natural Caverns (May 22)
• Zoos (May 29)
• Day Youth Camps (May 31)
• Overnight Youth Camps (May 31)
• Youth Sports (May 31)
• Certain professional sports without in-person spectators (May 31)

All sporting and camp activities are required to adhere by special safety standards, and minimum standard health protocols have been established for all newly-announced opened services and activities. Businesses located in office buildings may also open but must limit their occupancy to the greater of 10 employees or 25% of their workforce.

Additionally, restaurants may expand their occupancy to 50% beginning May 22. Bars—including wine tasting rooms, craft breweries, and similar businesses—may open at 25% occupancy but like restaurants, these occupancy limits do not apply to outdoor areas that maintain safe distancing among parties.

Opened services and activities under Phase II are subject to certain occupancy limits and health and safety protocols. For details and a full list of guidelines, openings, and relevant dates, visit www.gov.texas.gov/opentexas.

Certain counties experiencing surges in COVID-19 cases will have their beginning date of Phase II delayed until May 29. These counties include El Paso, Randall, Potter, Moore, and Deaf Smith. Surge Response Teams are actively working in these areas to increase testing, maintain hospital capacity, and ensure that COVID-19 is contained and mitigated.

During his remarks, the Governor also presented information on the state’s hospitalization and positivity rates—two metrics the Governor and his team of medical experts have used to inform the state’s ongoing plan to safely and strategically open. Details on these metrics can be found in presentation slides, Hospitalizations Chart and Positivity Rate Chart.

Source: Office of the Texas Governor; https://gov.texas.gov/news/post/governor-abbott-announces-phase-two-to-open-texas

From our SBDC (located here in Mount Pleasant, TX) director: “This just came in from SBA. In essence it says, if your PPP loan amount is under $2million, you are not required to provide evidence of need. SBA will not deny your loan forgiveness because you did not prove you needed the money. They are accepting your declaration of need as evidenced on your application, and no further evidence will be required.” 

IMPORTANT: You will still have to document how you spend the money and comply with the 75/25 rule. The prior statement simply relieves you of the burden to prove you needed the money.

To learn more, visit https://www.marketwatch.com/story/treasury-says-paycheck-protection-program-loans-below-2-million-typically-wont-face-audits-2020-05-13?reflink=mw_share_linkedin

What is the Mount Pleasant / Titus County Chamber of Commerce Utility Support Program?

Mount Pleasant / Titus County Chamber of Commerce is a charitable fund, managed by the Mount Pleasant Chamber of Commerce. The Chamber has committed $25,000 to support small businesses in Mount Pleasant and Titus County. Citizens of Mount Pleasant and Titus County and the general public may also contribute to the fund to help sustain the growth of additional funding.

Who can submit a funding request to Mount Pleasant / Titus County Chamber of Commerce?

This utility support program was established to help small businesses in Mount Pleasant and Titus County that have been impacted by COVID-19 mitigation efforts. Priority will be given to businesses that have had to: close, lay off employees, limit operations to take-out, curbside, or delivery, or can show other direct, negative impacts that threaten the ability of the business to continue operations long-term.

To qualify for Mount Pleasant / Titus County Chamber of Commerce, the business must have a Mount Pleasant or Titus County Address and employ 30 full-time equivalent employees or fewer.
All funding requests will be reviewed by a Fund Oversight committee consisting of representatives of the City of Mount Pleasant, the Mount Pleasant Chamber, and the business community. The Committee will make a best faith effort to meet an applicant’s request, but all distributions will be contingent upon the degree of financial need, the timeliness of application submission and the availability of funds.

Funding will begin immediately to address the urgent needs of our community. As additional donations are received from the community, we hope to be able to extend the timeline for funding applications. Funding can be used for utility bills, such as gas, water/sewer, electricity, internet, and phone services.

How to demonstrate the financial impact?

Applicants will be asked to demonstrate how the business has been negatively impacted. Applicants will need to list specific bill amounts and provide documentation of those business expenses by providing the invoice or bill. In addition, all businesses applying for funding must submit a current balance sheet.

What is the maximum funding request? Can I re-apply?

The maximum request for funding is limited to $1,000? for a 45-day period. After 45 days an applicant may submit another request provided funding is available.

How will funds be received?

Once a business has been awarded funding, that business will provide the necessary documentation to the Mount Pleasant / Titus County Chamber of Commerce to allow direct payments to vendors, landlords, etc. The Chamber will pay expenses directly on behalf of the funding recipient. The Chamber will not write a check directly to the business that has been awarded funding.

Application Process:

Visit mtpleasanttx.com to apply for the Utility Support Program.