We know and appreciate that businesses and nonprofits want to not only preserve their bottom line, but to stand by the employees they have depended on in the past and will need again as Connecticut recovers from this emergency.

There are a variety of federal and state programs that may allow you to continue making payroll and providing health benefits with substantial outside funding. We encourage you to consider these programs as alternatives to immediate layoffs, and as a source of subsidies that will allow you to rehire your staff.

The  Coronavirus Aid, Relief, and Economic Security (CARES) Act that was signed by the President on Friday includes several important benefits for small businesses and nonprofits in Connecticut:

  • Paycheck Protection Program (PPP) Loans: Provide cash-flow assistance through federally-guaranteed loans to employers who maintain their payroll during this emergency. If employers maintain their payroll, the loans will be forgiven. For more information, view flowchart and the Coronavirus Emergency Loan Guide & Checklist for small businesses and non-profit prepared by the U.S. Chamber of Commerce.

  • Economic Injury Disaster Loans & Emergency Injury Grants: An emergency advance of up to $10,000 to small businesses and private nonprofits harmed by COVID-19 within three days of applying for an SBA Economic Injury Disaster Loan (EIDL). Grants and loans may be used to keep employees on payroll, pay for sick leave, meet increased production costs due to supply chain disruptions, or pay business obligations, including debts, rent and mortgage payments. View flowchart for more information.

  • Small Business Debt Relief Program: Provides immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under this program, the SBA will cover all loan payments on previously secured SBA loans, including principal, interest, and fees, for six months.
 
  • Employee Retention Credit for Employers Subject to Closure or Experiencing Economic Hardship: A refundable payroll tax credit for 50% of wages paid by eligible employers to certain employees during the COVID-19 crisis.

  • Delay of Payment of Employer Payroll Taxes: Allows taxpayers to defer paying the employer portion of certain payroll taxes through the end of 2020, with all 2020 deferred amounts due in two equal installments, one at the end of 2021, the other at the end of 2022.

  • Counseling and Training: Local resource partners can be found here. 


For more details on the CARES Act visit Connecticut's COVID-19 Business Resource Portal .


In addition to the above initiatives, employers should also be aware of the following programs:

  • Federal Emergency Paid Leave Program: Through the end of 2020, employers with fewer than 500 employees must provide 80 hours of paid sick leave and 10 weeks of paid family leave. Note that employers will be reimbursed by the IRS for 100% of the paid leave in 2 weeks or less. They will also be reimbursed for employees’ health care premiums during leave. The current IRS guidance can be found here. 

  • CT DOL’s Shared Work Program: Allows employers to reduce employees’ hours by up to 60% and DOL will step in to provide unemployment insurance (UI) benefits that help offset the lost wages, as well as the new federal UI supplement. More information about the program can be found here.

Many of these programs are also open to self-employed individuals.

I encourage Connecticut businesses to act quickly to take advantage of the many resources being provided by the  state  and federal government during this crisis. Businesses should review these resources and reach out to lenders, landlords, and others as you consider making difficult decisions at this time.

Sincerely, 
David Lehman, Commissioner
Connecticut Department of Economic & Community Development
CONNECTICUT BRIDGE LOAN ON PAUSE
Please note that DECD is not accepting applications for the Connecticut Recovery Bridge Loan Program at this time.  For those that have already submitted an application, additional documentation can be sent within seven days of submittal.

DECD has seen a significant demand for the program, receiving over 4,000 applications since the program went operational. Within the last 24 hours, DECD, along with its partner Connecticut Innovations, has added additional staff to process applications for this loan program. In addition, the funding in the program has been doubled to $50 million. 
DECD feels that it is prudent to hit pause and stop taking more applications right now to ensure that the current queue can be processed efficiently and get this much needed money out the door as quickly as possible. 
GOVERNOMENT SUPPORT FOR CREATIVE PROFESSIONALS
NATIONAL ENDOWMENT FOR THE ARTS TO DISTRIBUTE $75 MILLION IN RELIEF FUNDING TO ARTS ORGANIZATIONS
In recognition of the arts’ $877 billion contribution to the U.S. Economy and a source of 5.1 million American jobs, the National Endowment for the Arts (NEA) will distribute $75 million in funding provided by the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
 
The NEA will award funds to nonprofit arts organizations across the country to help these entities survive the forced closure of their operations in response to the spread of COVID-19. 

Details regarding timing and applications are being developed and will be announced as soon as they are available.
 
As stated in the legislation, the $75 million is intended to assist nonprofit arts organizations “to prevent, prepare for, and respond to coronavirus, domestically or internationally.” The legislation allows funds to be used for general operating expenses, a departure from the NEA's requirement of supporting project-based funding and an acknowledgment of the dire situation facing the arts community. In addition, arts organizations do not have to provide matching funds to receive their grant.

The distribution of the funds will be 40 percent awarded to state arts agencies and regional arts organizations and 60 percent to be awarded directly to applicant organizations.                                                                                 
ARTS WORKFORCE INITITAIVE
 APPLICATION DEADLINE EXTENDED
The Connecticut Office of the Arts (COA) has extended the application deadline for its Arts Workforce Initiative (AWI) program. The new deadline is Monday, April 13, 2020.

The Arts Workforce Initiative is a paid intern/apprenticeship program that provides Connecticut college students, emerging creatives and military veterans an opportunity to gain high-level professional work experience with non-profit arts and cultural organizations throughout the state.

COA will select 20 individuals - a combination of college, emerging creative professionals and military veterans - who have experience in or wish to grow professionally in the areas of arts administration, arts presenting/curating, media arts, performing arts, visual arts, arts education, and literary arts . These individuals will be matched with a host organization that is aligned with their specific professional goals and desired career track. 

Eligibility:
An individual must:
  • be a Connecticut resident
  • have availability to successfully complete the program (intern/apprenticeships take place between June - September 2020)
  • have experience in or wish to grow professionally in the following categories: arts administration, arts presenting/curating, media arts, performing arts, visual arts, arts education, and literary arts
  • be enrolled in or a recent graduate from an accredited college or university OR be an emerging creative professional OR a veteran of the U.S. Armed Forces

Important Information:
  • Notification of selections will take place the week of April 20, 2020.
  • Selected individuals are required to attend professional development training session(s) that will take place in May 2020.
  • The intern/apprenticeship will take place between June - September 2020.
  • Individuals placed with a host organization must complete a total of 250 hours.
  • Selected individuals will determine a work schedule with the host organization.
  • Rate of pay is $15 per hour. Selected individuals will be paid directly by the host organization where intern/apprenticeship will take place.
  • Selected individuals will be required to submit a final report upon completion of intern/apprenticeship.

Helpful Videos:
General Information: WATCH NOW
Do's & Don'ts: WATCH NOW

How To Apply:
The Arts Workforce Initiative application must be submitted on-line .
The deadline to submit an application is Monday, April 13, 2020.

Questions:
Contact Brianna Regine Walston via email .
                                                                             
We at the Connecticut Office of the Arts (COA) are working towards a fulltime telework plan to promote social distancing in the face of the COVID-19 pandemic. During this time, we are available to you through email and telephone and encourage you to contact us. A list of COA staff can be found here .