Help for Local Business Community from Saugus Planning & Economic Development Department - May 14, 2020
Help for Local Business Community from Saugus Planning & Economic Development Department
Dear Saugus Business Community,
In an effort to support local businesses, the Town of Saugus is trying to help and provide updates as soon information becomes available. The Town’s Planning and Economic Development Department, will be the point of contact for the business community. The Department can be reached by contacting Alex Mello, Senior Planner, Phone: (781) 231-4044, email: amello@saugus-ma.gov.
The following is a compilation of information from federal, state and local resources and tools to support businesses in response to economic impacts of COVID-19. The Department will work on and to reach out, innovate, and provide the most up to date information for our local businesses.
What we’re doing …
General Resources
Below is a link for the Commonwealth’s COVID-19 Resources and Guidance for Businesses here: https://www.mass.gov/info-details/covid-19-resources-and-guidance-for-bu....
Need help thinking about how to adapt your business to these changing times? Check out the Enterprise Center at Salem State University free workshops and other technical business services here: https://enterprisectr.org/.
Governor Charlie Baker has issued an emergency order extending the requirement that all businesses and organizations that do not provide “COVID-19 Essential Services” close their physical workplaces and facilities to workers, customers and the public. Governor Baker's order has been extended until May 18. See the press release regarding the essential services order, stay-at-home advisory, executive branch employee guidance, and a new Reopening Advisory Board.
Reopening Planning and Preparation - Governor Baker announced a four-phased approach to reopening the Massachusetts economy, and published Mandatory Workplace Safety Standards that will apply universally to all workplaces that are open in Phase 1, and are designed to reduce the risk of COVID-19 transmission to employees and customers. Phased reopening (driven by public health indicators and guidance) charts a course to allow some businesses, services, and activities to resume, while protecting public health and limiting a resurgence of new COVID-19 cases. Learn more about the four-phase approach and Mandatory Workplace Safety Standards:
Press release
Reopening Advisory Board’s overview of the four-phase approach
Mandatory Workplace Safety Standards
The Reopening Advisory Board is scheduled to present a report on the reopening of the Massachusetts economy on May 18th. As has been noted previously, the timelines and rollout of reopening will be anchored in evidence that the public health threat is being effectively managed in Massachusetts. Your Feedback will Help Massachusetts Reopen! The Commonwealth's Reopening Advisory Board has created an online feedback form to enable direct input to help us all reopen safely. Any resident, organization, business, or industry interested in providing feedback to the Board can do so HERE.
Retailer Guidelines for Remote Order/Sales - The Governor eased restrictions on retail stores to allow a small number of employees to return to work and help fulfill remote sales/orders under specific safety protocols HERE. The full FAQ for each business type can be found HERE. A report and recommendations on additional reopening procedures are expected on May 18th.
Round 2 PPP Loan is now available! APPLY! The Small Business Administration will begin accepting Paycheck Protection Program applications from lenders again today. Businesses who are interested in applying are encouraged to contact their bank immediately. Businesses can also access the SBA’s Find a Lender tool or consult the SBA Massachusetts District Office’s list of participating Paycheck Protection Program lenders.
For individuals who need assistance with navigating this information in other languages, the Mass Growth Capital Corporation has prepared multilingual information about the Payment Protection Program (PPP) and also has a network of multilingual technical assistance providers that can be found HERE.
PUA - Pandemic Unemployment Assistance is now available. This program provides unemployment insurance benefits to classifications of workers who would otherwise not be eligible for unemployment benefits. This includes independent contractors, self-employed individuals, gig-economy workers and the like. For more information and how to apply, please visit HERE OR call the Department of Unemployment Assistance call center at (877) 626-6800. The call center is open. Open 8:30 a.m.–4:30 p.m., Monday–Friday, 8 a.m–12 p.m. Saturday. Multilingual call agents are available.
REMINDER* - Non-Essential Businesses are to remain closed to workers, customers, and the public. Non-essential businesses are encouraged to operate via remote means if possible. For more information about COVID 19 Essential Services visit HERE.
Federal Assistance
COVID-19 Stimulus Bill - CARES Act (signed into law on 3/27)
The federal government recently enacted the CARES Act, which provides unemployment compensation to individuals not covered under regular Massachusetts unemployment law, including people who are self-employed or paid by 1099’s, those who have recently exhausted their weeks of unemployment benefits, and those who do not have sufficient earnings over the last year to qualify for state unemployment. The CARES Act also extends the number of available weeks of benefits for all claimants, and supplements all claimants’ weekly benefit amount by $600. The MA Department of Unemployment Assistance is fully operational and administering the expanded unemployment benefits, the first state in the country to do so (see above).
Here is what the CARES ACT provides:
Cash assistance for eligible individuals: Eligible individuals will receive $1,200 checks from the federal government, with married couples receiving $2,400 and parents getting $500 for every child younger than 17. The payments would start scaling down for those who earn more than $75,000 annually (or $150,000 for those filing jointly), and any individual with an annual income above $99,000 would not qualify for a check.
Dramatic expansion of Unemployment Insurance benefits: The extended and expanded UI program in this legislation increases the maximum unemployment benefit amount by $600 per week above one’s base unemployment compensation amount, and increases the maximum number of weeks that an individual can receive unemployment benefits from 26 weeks to 39 weeks. It also ensures that all workers can access benefits whether they work for small, medium or large businesses, along with those who are self-employed, independent contractors, or workers in the gig economy. You can read more here.
Forgivable small business loans: The Small Business Owner’s Guide to the CARES Act. The CARES Act has many other provisions and funding allocated for different programs, some of which may also help small businesses and non-profit organizations. You can read more here.
Small Business Administration COVID Related Programs -
SBA Paycheck Protection Program Forgivable Loans (PPP)- OPEN for Second Round as of 10:30am on 4.27.2020. See above for more details.
The Paycheck Protection Program is a forgivable loan program designed to provide a direct incentive for small businesses to keep workers on the payroll with benefits. SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities. Even if your business is temporarily closed and employees are home (not working), the business can still use this loan to continue to pay employees and employee benefits. Please apply!
You can apply through any existing SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating. Other regulated lenders will be available to make these loans once they are approved and enrolled in the program. You should consult with your local lender as to whether it is participating in the program.
Paycheck Protection Program will be available through June 30, 2020.
SBA Express Bridge Loan (EBL) Program
On Wednesday, March 25, 2020 the U.S. SBA announced SBA Express Bridge Loan (EBL) Pilot Program has been modified and the term extended. The EBL Program is designed to supplement the Agency’s direct disaster loan capabilities and authorizes SBA Express Lenders to provide expedited SBA-guaranteed bridge loan financing on an emergency basis in amounts up to $25,000 for disaster-related purposes to small businesses located in communities affected by Presidentially-declared disasters while those small businesses apply for and await long-term financing (including through SBA’s direct Economic Injury Disaster Loan Program). The Express Bridge Loan Program is available to businesses that have an existing business relationship with an SBA-approved lender; speak to your lender about accessing this option while you await a decision on long-term financing.
Small Business Administration’s Economic Injury Disaster Loan (EIDL) program - Currently Not Available for New Applicants (as of 4.27.2020) Businesses who already submitted applications will continue to be processed on a first come first serve basis.
This loan is available to small businesses and private non-profit organizations of any size that have been financially impacted as a direct result of the COVID-19 emergency since Jan. 31, 2020. For businesses who applied for this loan before March 30th, you must re-apply again to specifically request the loan advance of up to $10,000.
More information about the SBA EIDL program is here.
Debt Relief to Small Businesses (SBA)
The SBA is also offering debt relief to small businesses. Under this relief, the SBA will pay the principal and interest for six months beginning March 27th, 2020 for qualifying new and current holders of 7(a) loans. More information about the SBA Debt Relief program is here.
U.S. Department of Labor Dislocated Worker Grants
Dislocated Worker Grants (DWGs) of $100 million are available to help address the workforce-related impacts related to COVID-19. Dislocated Worker Grants (DWGs) of $100 million are available to help address the workforce-related impacts related to COVID-19. The full advisory is here.
Federal Reserve Board - Main Street Lending Program Information - The Federal Reserve Board announced it is expanding the scope and eligibility for the Main Street Lending Program. As part of its broad effort to support the economy, the Federal Reserve developed the Main Street Lending Program to help credit flow to small and medium-sized businesses that were in sound financial condition before the pandemic.
When the initial terms of Main Street were announced, the Board indicated that, because the financial needs of businesses vary widely, it was seeking feedback from the public on potential refinements. More than 2,200 letters from individuals, businesses, and nonprofits were received. In response to the public input, the Board decided to expand the loan options available to businesses, and increased the maximum size of businesses that are eligible for support under the program. The changes include:
Creating a third loan option, with increased risk sharing by lenders for borrowers with greater leverage;
Lowering the minimum loan size for certain loans to $500,000; and
Expanding the pool of businesses eligible to borrow.
Under the new loan option, lenders would retain a 15 percent share on loans that when added to existing debt do not exceed six times a borrower's income, adjusted for interest payments, taxes, and depreciation and other appropriate adjustments. This compares to the existing loan options where lenders retain a 5 percent share on loans, but have different features. Under all of the loan options, lenders will be able to apply their industry-specific expertise and underwriting standards to best measure a borrower's income. In total, three loan options—termed new, priority, and expanded—will be available for businesses.
Additionally, businesses with up to 15,000 employees or up to $5 billion in annual revenue are now eligible, compared to the initial program terms, which were for companies with up to 10,000 employees and $2.5 billion in revenue. The minimum loan size for two of the options was also lowered to $500,000 from $1 million. With the changes, the program will now offer more options to a wider set of eligible small and medium-size businesses. The Board recognizes the critical role that nonprofit organizations play throughout the economy and is evaluating a separate approach to meet their unique needs. For more information click here.
Congressman Moulton’s Business Resource Guide
CARES ACT
Paycheck Protection Program Loans
SBA Small Business Debt Relief Programs - 7(a), 504, and microloans
SBA Economic Injury Disaster Loans & Emergency Economic Injury Grants
Business counseling, training, and mentorship.
Government contractor information
https://moulton.house.gov/imo/media/doc/smallbiz.pdf
State Assistance
Mass Growth Capital Corporation Small Business Recovery Loan Fund
Within the first three days that this loan was available, there were 2,500 applications filed and more than $135 million requested. The need continues to be overwhelming. At this time the Mass Growth Capital Corporation (MGCC) is no longer accepting applications the Small Business Recovery Loan Fund as of March 19, 2020 at 12:30pm. The Commonwealth is working closely with the U.S. SBA to strongly advocate to help small businesses across the Commonwealth.
It is recommended at this time for businesses to apply for the U.S. Small Business Administration loan program. For businesses that were able to apply to the Massachusetts Growth Capital Corporation Fund, the Commonwealth encourages you to also apply for additional U.S. SBA EIDL support. For more information about the U.S. SBA EIDL loan program see above.
Massachusetts Rapid Response Program (Pre-Layoff Intervention)
For companies and employees experiencing a layoff or closing, the Massachusetts Department of Career Services uses a Rapid Response team to identify exact needs of a company in crisis and help the company establish partnerships with other organizations and networks to try to reduce the possibility of layoffs or closure. For more information and support for employers and staff during a difficult business closure transition, please see: https://www.mass.gov/prevent-layoffs-with-rapid-response
Massachusetts Workshare Program (Layoff Prevention)
For employers who are interested in avoiding layoffs, this program is an alternative for employers faces with a cut in workforce. Employers can divide available work between affected employees instead of laying off workers. It also allows employees to receive a part of their unemployment insurance (UI) benefits while working reduced hours. This program helps employers avoid layoffs and helps employees to avoid full unemployment. WorkShare also allows employers to:
Increase cash flow
Keep skilled, trained workers
Reduce future hiring and retraining costs
Avoid disruption in business operations
Be prepared for future business growth
Maintain worker productivity
For more information about this program and to apply: https://www.mass.gov/how-to/apply-for-workshare.
Massachusetts Attorney General’s Office Announces Pro Bono Legal Support - The AG’s Office joined a coalition of law firms, nonprofits, and government agencies—led by Ropes & Gray, Lawyers for Civil Rights, and Lawyers Clearinghouse—to launch the COVID Relief Coalition to provide vulnerable businesses and mission-driven organizations with pro bono legal support. Visit the AG’s COVID-19 resource page for information about how the AG’s Office can provide support during this crisis. Click here.
Unemployment Information
Unemployment Virtual Town Hall: The Department of Unemployment Assistance (DUA) hosts daily town hall meetings to guide attendees through the process to achieve a successful unemployment claim and to answer questions. Read more at https://www.mass.gov/forms/massachusetts-department-of-unemployment-assi...
Apply for unemployment benefits here
For individuals with disabilities, special needs, and language barriers who need to speak with an agent to apply for unemployment benefits, please visit: https://www.mass.gov/forms/covid-19-department-of-unemployment-assistanc...
MassHire is a state entity that provides connections between businesses and jobseekers though a statewide network of employment professionals. If you are business who needs to hire additional employees to meet business demand or if you are a worker looking for employment and assistance, MassHire can provide services to meet your needs.
MassHire for employers: https://www.mass.gov/topics/masshire-for-businesses
MassHire for workers: https://www.mass.gov/topics/masshire-for-jobseekers
There are several companies looking for employees including but not limited to CVS, Amazon, and Stop and Shop.
Tax Relief - On Wednesday, March 18, 2020 the Baker-Polito Administration announced administrative tax relief measures for small local businesses which have been impacted by the ongoing COVID-19 outbreak, especially in the restaurant and hospitality sectors. Please see below for more details:
Sales and Use Taxes: Due dates for the filing of returns and making payments for sales and use taxes have been changed for some vendors. Review the details of the emergency regulation amendment.
Room Occupancy Excise for operators: Due dates for the filing of returns, and making payments, for room occupancy excise have been changed for some operators. This does not apply to intermediaries. Review the details of the emergency regulation amendment.
Meals Tax and Room Occupancy Excise: Late File and Late Pay Penalties will be waived for meals vendors, operators, and intermediaries that do not qualify for the relief mentioned above under “Room Occupancy Excise for operators.” See Technical Information Release 20-2 for details.
State income tax filing deadline: Has been pushed back to July 15 (to align with the federal income tax filing deadline).
Local Assistance
National Grid
National Grid is currently offering a number of assistance programs and deferred payment options for their customers. The utility has created a list of national and state resources and programs to support their business customers impacted by the COVID-19 pandemic. For more information, please visit their respective pages for their gas and electric customers.
National Grid, Electric: https://www.nationalgridus.com/MA-Business/COVID19/COVID19
National Grid, Gas: https://www.nationalgridus.com/MA-Gas-Business/COVID19/COVID19
Local Banks and Credit Unions
If you are a customer of a local bank or credit union, please speak with financial institution to ask about flexible payment options or loan information. As of March 17, 2020, The Division of Banks are encouraging financial institutions to work with affected customers and communities because such efforts serve the long-term interest of communities and the financial system. Some local financial institutions are offering the following to all customers:
Loans
Flexible payment options on a case-by-case basis
Increasing ATM daily cash withdrawal limits
Easing restrictions on cashing out-of-state and non-customer checks
Increasing credit card limits for creditworthy borrowers
Offering payment accommodations, such as allowing borrowers to defer, or skip some payments, or extend the payment due day, which would avoid delinquencies and negative credit bureau reporting caused by COVID-19 related disruptions on a case-by-case basis.
Waiving the following types of fees such as
ATM fees for customers and non-customers
Overdraft fees
Late payment fees on credit cards and other loans
Early withdrawal penalties on time deposits
Real Estate and/or Personal Property Tax Bills
The due date of your real and personal property tax bill has been extended to June 1, 2020. June 1, 2020 is the new due date even if the due date for payment on your previously mailed tax bill is May 1, 2020. The due date for applications for property tax exemptions has also been extended to June 1, 2020. June 1, 2020 is the new due date even if the due date for applications or previously mailed tax bill is April 1, 2020.
All interest and other penalties for late payment of any excise, tax, betterment assessment or apportionment thereof, water rate or sewer use or other charge added to a tax for any payments with a due date on or after March 10, 2020 are hereby waived where payment is made late but before June 30, 2020. This applies to late payments of bills that have a due date of March 10, 2020 or after, when such bills are paid late but paid on or before June 30. This waiver of interest does not apply to bills with due dates before March 10, 2020 or if the bill is not paid by June 30.
For anyone having financial difficulties in making payments by the deadlines listed above, please either call us at (781) 231-4135 or send an email to treasurer@saugus-ma.gov. Our Treasurer / Collector may develop a payment plan based on your individual circumstances, but they do need to operate under state law where interest charges and penalties will apply to payments made after June 30, 2020.
NOTE - If the municipal offices are closed on June 1, 2020 as a result of Covid-19 or the declaration of a state of emergency issued by the Governor on March 10, 2020, the due dates for tax payments and applications for exemptions are not extended further, under Section 10(b) of the Act.
GENERAL COVID-19 Information
Town COVID-19 Information- Everything you need to know: https://www.saugus-ma.gov/home/urgent-alerts/town-saugus-update-compost-...
State COVID-19 page: https://www.mass.gov/info-details/covid-19-updates-and-information
Small Business Administration: https://www.sba.gov/
Sincerely,
Alexander Mello, Senior Planner
Planning and Economic Development Department
Phone: (781) 231-4044