April 27, 2020
Late last week, President Trump signed a $484 interim funding bill to increase the Paycheck Protection Program (PPP) and provide resources to hospitals and testing programs, among other provisions. 501(c)(6) associations were not included in this legislation. It is important to note, however, that legislators explicitly stated this interim bill would include more money for the PPP but not expansion of eligibility.
As the interim bill was negotiated, Congressional staff were already drafting aspects of the next, largescale relief measure, commonly referred to as “CARES 2.0” or “COVID-4.” Drafting will continue over the next several weeks and we are optimistic 501(c)(6) associations will gain access to vital relief measures. To that end, several high-profile legislators are now on the record in support of 501(c)(6) associations:
- In a major development, Senators Bill Cassidy (R-LA) Joe Manchin (D-WV) sent a bipartisan letter with 18 signatories to Senate and Small Business Committee leadership, which urgently requests that associations gain access to the relief they critically need.
- Today on MSNBC, Speaker Nancy Pelosi expressed support for 501(c)(6) associations, among others.
- On April 20, Senator Catherine Cortez Masto (D-NV) sent a letter to Senate leadership that fully supports including 501(c)(6) associations in the PPP.
- In his recent Congressional testimony, Congressman Andy Kim (D-NJ) lamented the PPP’s “exclusion of local non-profits and associations at the front lines of the crisis.”
- As previously reported, Congressmen Chris Pappas (D-NH) and Brian Fitzpatrick (R-PA) sent a letter with 60 bipartisan signatories to Speaker Nancy Pelosi requesting association relief.
- Earlier in April, the New Jersey Congressional delegation wrote leaders in the House and Senate calling for 501(c)(5) and 501(c)(6) organizations to gain access to the PPP.
While the next relief bill is weeks away, there are still plenty of opportunities to get involved and stay updated:
- Send us your stories. Many of you have already sent us extremely valuable data and anecdotes, but we need more to help make our case. If you haven’t yet emailed us, please send a paragraph or two, with data points and figures, to firstname.lastname@example.org at your earliest convenience. To support our messaging in Congress, we specifically need data on 1) how your organization is providing support amid the pandemic; 2) current and previous financial impact; 3) future financial impact; 4) layoffs, furloughs, etc.; and 5) insurance coverage for business interruption or event cancellations.
- Follow ASAE Public Policy on Twitter @Power_of_A.
- Communicate with your legislators on social media using ASAE’s sample messaging.
- Watch recordings of ASAE’s policy update webinar and congressional town hall with US Representatives Stephanie Murphy (D-FL) and Ami Bera (D-CA).