Terms and Definitions You NEED To Know
These definitions are loosely explained to give you an idea of what is being discussed.
For complete details and full descriptions of terms, agency responsibilities and roles,
and programs you should visit the individual sites of the governing agencies.
CARES Act (Coronavirus Aid, Relief, and Economic Security Act)
Federal law meant to address the economic fallout of COVID-19. It encompasses all federal efforts - including unemployment benefits to employees, and financial resources to businesses and states. There's no real reason to read anything else about the provisions in the CARES Act, but it can be found on US Treasury website.
SBA (Small Business Administration) www.sba.gov 800-659-2955
The SBA provides forgivable advances, low-interest repayment loans, and deferred payments on existing SBA backed loans. The SBA also provides training and assistance to help with filing and reporting requirements. You can participate in their daily webinars at 9am M-F. You can access those webinars by phone at 1-202-765-1264, 470177937# or via Skype by clicking on the link at their website.
COVID-19 EIDL (COVID-19 Economic Injury Disaster Loan)
This SBA loan provides an immediate and forgivable "advance" of $1,000-per-employee (up to $10,000) to each business. You apply for this directly through the SBA at www.sba.gov. The first round of funding was quickly exhausted, and the current round is only for the agricultural sector. However, additional funding may become available so check their site frequently.
If more funding does become available, and you are approved, the money will be deposited into your bank account, then in a few weeks you will receive an application for additional funds. The additional amount is not forgivable and can easily be declined if you don't want it. You can just keep the "advance" portion.
PPP (Paycheck Protection Program)
Here's the tricky one! The PPP can provide a forgivable loan in the amount of up to 2.5x your monthly payroll. You apply for this through your bank. Be very cautious when accepting this loan, because the fulfillment requirements can vary between banks. There is current conversation about easing the restrictions on this program, but at this time it is recommended that you be prepared to pay back a portion (or all) of this loan if all requirements are not met.
According to SBA personnel, you are not supposed to have any furloughed employees if you are approved for the PPP, however, there are employers who are doing that. Your bank will provide you with all reporting requirements when you are approved for the loan. More info on the PPP can be found at www.sba.gov.
PUA (Pandemic Unemployment Assistance)
Basically, unemployment insurance for everyone who isn't normally eligible to receive unemployment insurance... that might be you! Accessed through the VT Dept. of Labor site www.labor.vermont.gov. If your business has been closed, you are eligible.
ACCD (Vermont Agency of Commerce and Community Development) www.labor.vermont.gov
Here are the folks who are interpreting the Governor's orders for businesses and laying out the guidelines for the reopening process. They have also published the VOSHA requirements for all Vermont businesses before they are allowed to reopen. Visit their site for all updates on reopening requirements. Find information in the attachments regarding employee training.