Message from the  MDA President: 
CARES Act Update and Financial Information

Dr. Brad Rand
__________________________________________________

Monday, March 30, 2020
 
Dear Members,

As you have heard, the Coronavirus Aid, Relief and Economic Security (CARES) bill was quickly passed by the House on Friday and signed thereafter by President Trump.

In this letter, I will try and cover what this development means for you and your practice. Here are some highlights:
  • Under the Act, dentists can withdraw up to $100k from their retirement funds in 2020.
  • Federal student loan borrowers will not be required to pay their loan installments until September 30, 2020. Check with your own lender to confirm this policy is in place!
  • For employees whose dental practice owners help them pay their student loans, those employees will not have to pay income taxes on that payment assistance (up to $5250) that they receive between enactment of the CARES Act and 1 January 2021.
  • Employers and self-employed dentists can defer payment of their employer share (6.2%) of Social Security withholdings until 31 December 2020.
  • For employees who are laid off, the CARES Act increases emergency unemployment compensation benefits by as much as $600/week.
  • The CARES Act will be effective on April 11, 2020. From that point, the federal dollars for SBA loans will take as many as two weeks to be distributed to lenders, which means that funds will likely start being available at the end of April.
As always, the MDA encourages members to consult with their attorney/ accountant/ financial advisor to learn more about how you can take advantage of the CARES Act!

VERY IMPORTANT: 

Dentists are encouraged to, as quickly as possible, take advantage of SBA disaster assistance loans made available through the CARES Act. Go to www.disasterloan.sba.gov  to file for:
  • Small Business Interruption Loans, aka "7(a)" loans: Guide and application information here. 
Also last week (March 27) the ADA and key experts gave a webinar entitled "What's in the CARES Act and How It Can Immediately Impact My Dental Practice." If you missed it you can access it here.


Additional ADA Updates: 
  • On Thursday, CDC issued an updated set of recommendations regarding dentistry during the COVID-19 pandemic. These recommendations echo MDA/ADA's previous statements encouraging Members to postpone non-emergency procedures. The CDC's update may be found here.
  • ADA will soon open a hotline to a national employment law firm to help answer specific questions from dentists. Keep monitoring your email for updates!
  • ADA is rolling out more financial resources through BMO Harris, Key Bank/Laurel Road and other business partners. Information will be shared as soon as it becomes available. Speaking of Laurel Road, ADA Executive Director Dr. Kathy O'Loughlin this morning encouraged all young dentists to take advantage of the extremely low interest rates to refinance their student loans, potentially saving tens of thousands of dollars.
  • For ADAPT participants, the ADA Practice Transitions team has announced it is reducing its monthly fees to $1 for at least the next two months.
  • ADA has a Coronavirus Frequently Asked Questions page that covers employment issues, financial considerations, staff/ office protection, patient communication and more related to COVID-19. Please review this resource here. 
  • There is a new handout on Financial Obligations to Staff During COVID-19 here.
  • To see all available information ADA has to offer on the pandemic and how it affects dentistry, visit www.ada.org/virus
Opening Date:

Over the weekend, President Trump extended the social distancing guidance until end of April. The MDA continues to field questions about when dentists can re-open their practices. As of right now, the MDA continues to recommend postponing all non-urgent dental procedures until April 8th (specifically 12 midnight on April 7th). However, we are balancing federal and state guidance from US CDC, Maine CDC, ADA and the Governor's office. This date may change. We will keep members updated just as soon as we are able to.

PPE Donations:

I also want to say thank you to the 20 practices that have donated PPE to local hospitals, first responders, clinics, and nursing homes. Thank you! If you have already donated and would like the MDA to add your contributions to our tracking spreadsheet you can fill out a short form here.  

Communication: 

Lastly, I just wanted to touch on communication. There is a lot of information to try and keep track of these days. Your inboxes are probably like mine and overflowing with messages. The MDA is doing its best to respond to each and every one, but please be patient.  

I also wanted to urge a bit of caution.... I know it is tempting to send out a blast email to colleagues to vent concerns/ frustrations. Emails are not a secure method to communicate and could have negative repercussions. We are all in the same boat. We will be stronger together and I continue to look forward to serving as your president.   

Thank you and be well.

Sincerely,


Dr. Brad Rand
President
Maine Dental Association
P.O. Box 215
Manchester, ME 04351
(207) 622-7900