COVID-19: June 16 NAO Update

June 16, 2020

Hello Nonprofit Leaders and Colleagues,

As protests across Oregon and the U.S. continue to challenge the status quo and demand policing reforms and investments in black communities, through the U.S. Supreme Court, another historically marginalized group was handed a stunning victory. The U.S. Supreme Court ruled on Monday that Civil Rights Law Protects Gay and Transgender Workers!

The court said the language of the Civil Rights Act of 1964, which prohibits sex discrimination, applies to discrimination based on sexual orientation and gender identity.

 “An employer who fires an individual merely for being gay or transgender defies the law,” Justice Neil M. Gorsuch wrote for the majority in the 6-to-3 ruling.

That opinion and two dissents, spanning 168 pages, touched on a host of flash points in the culture wars involving the LGBTQ community — bathrooms, locker rooms, sports, pronouns and religious objections to same-sex marriage. The decision, the first major case on transgender rights, came amid widespread demonstrations, some protesting violence aimed at transgender people of color.

Until Monday’s decision, it was legal in more than half of the states to fire workers for being gay, bisexual or transgender. The vastly consequential decision thus extended workplace protections to millions of people across the nation, continuing a series of Supreme Court victories for gay rights.

While there has been much to be saddened by over the past days, weeks and months, this victory shows that rules and laws can be modernized and struggling for rights for all people is a worthy cause. Thank you to the tens of thousands of LGBTQ people who have struggled for so long to make this recognition a reality.

Happy Pride Month!

COVID-19 Updates in Oregon

Oregon public health officials announced a record 184 new cases of COVID-19 Monday, bringing the total number of known cases in the state to 5,820.

Officials said Monday’s record number of cases was due in large part to an outbreak associated with the Lighthouse United Pentecostal Church in Union County, where 99 new COVID-19 cases were identified. Public health officials expect to discover “a lot” more cases in Union County when more test results come back Tuesday.

Monday’s new high solidifies a disturbing trend statewide. Previously, the number of new cases in the state had never exceeded 100. But seven of the past nine days have seen Oregon’s cases well above 100 per day. The significant uptick in new cases caused the Governor to suspend any counties entering new phases of reopening last Thursday. That pause was put in place for seven days and expires at the end of this week. It is likely that the pause will be extended leaving Multnomah County as the only county not to have been granted Phase I re-opening.

Nonprofits that are open or opening should follow OHA guidance on proper distancing, cleaning protocols, and be sure all staff understand the importance of not coming to work and instead calling a doctor if they feel sick. Tools and checklists on how to reopen safely can be found on our COVID-19 Resources Page.

At the Federal level

Mid-Size Loan Programs

The Federal Reserve Board yesterday announced its proposal to expand the Main Street Lending Program to provide access to credit for nonprofit organizations. According to the news release, “the proposed expansion would offer loans to small and medium-sized nonprofits that were in sound financial condition before the coronavirus pandemic and could benefit from additional liquidity to manage through this challenging period.” Nonprofits with between 50 and 15,000 employees would be eligible for non-forgivable loans ranging from $250,000 to $300 million. Public comments may be submitted via email here until Monday, June 22.

Tax Relief (and UI and charitable giving)

A House virtual hearing on Thursday will explore “Tax Relief to Support Workers and Families During the COVID-19 Recession.” We anticipate that this will present us with the opportunity to demonstrate the work of charitable nonprofits during the pandemic and promote tax priorities found in the national Nonprofit Community Letter which NAO supports. The hearing will take place on Thursday, June 18 at noon ET before the Select Revenue Measures Subcommittee of the House Ways and Means Committee.

PPP Update

Representatives Seeking Names: Seven House Democrats, led by Majority Whip Clyburn (D-SC), are ratcheting up their oversight efforts on the Paycheck Protection Program by asking large banks to divulge the names of businesses that obtained the loans. Last week, Treasury Secretary Mnuchin refused to disclose the names of borrowers under the program, claiming that was proprietary and confidential information. Earlier this month, Senate Small Business Chair Marco Rubio (R-Fla.) and Sen. Ben Cardin (D-Md.), the committee’s top Democrat, asked the Trump Administration to start publishing the names and other details of Paycheck Protection Program loan recipients. Then Treasury said last week that loan-level data would risk disclosing “proprietary data of millions of small businesses and the salaries of sole proprietors and independent contractors.”

This matters to nonprofits because SBA and Treasury have so far refused to provide any data on nonprofit successes and failures in securing the forgivable loans.

Nonprofits Seeking Answers: Nonprofits need answers from SBA on persistent questions about eligibility, use of funds, forgiveness, and more. We are working with colleagues to compile essential questions and delivering them in a must-respond format. ACTION ITEM: Share with us the persistent questions (via our national partner – National Council of Nonprofits) you have, so we can include them in the communications to SBA.

The Impact of COVID-19 on Mid-Sized Nonprofits

Yesterday, Independent Sector released results of a survey of mid-size nonprofits (i.e., those employing between 500 and 5,000 employees) that “reinforce the urgent need for additional assistance for mid-sized nonprofits in upcoming negotiations on the next round of COVID-relief legislation.” The survey found that 83% of respondents reported the loss of revenue typically raised at conferences, events or other activities, a reduction in individual giving, and a reduction in grants received. 71% reporting a reduction in services or available operations and maintain their workforces. 47% reported a decline in employment with most either laying off or furloughing employees. See the survey summary.

2020 Nonprofit Employment Report

A new report from the Johns Hopkins Center for Civil Society Studies finds that U.S. nonprofits maintained their position as the third largest employer in the U.S. economy—overtaking manufacturing by nearly 100,000 workers nation-wide in 2017, and exceeding that industry in 28 states and territories across the U.S. Indeed, the only industries employing more workers than the nonprofit sector in 2017 were retail trade and restaurants and hotels.

However, as is the case with all sectors of the economy, nonprofits face challenging times as a result of the on-going COVID-19 pandemic, with projected job losses of over 1.6 million between March and May of 2020—all at a time when demand for their services is growing. And well-documented challenges facing nonprofits in accessing government support funds through the Paycheck Protection Program and the Main Street Lending Program may compound these losses, accelerating for-profit gains in market share in many traditionally nonprofit fields.

Upcoming Online Sessions for Nonprofits

Leading Diversity, Equity, and Inclusion Efforts during a Crisis, Thursday, June 18, 11 a.m. – Noon PT: Alexis James, Consultant and Trainer will lead us through this session. With everything that’s happening in our world today, you may be wondering how you can lead systemic change and keep your diversity, equity, and inclusion efforts moving forward effectively. How do you move with the urgency required, and thoughtfully and strategically at the same time? In this 1-hour session, we will connect with other professionals committed to equity and inclusion. By sharing our hopes and fears, we will lay the groundwork to double-down on our values and commitment to equity. Register for the session here.

QuickBooks Desktop Edition Made Easy for Nonprofits, June 16, 17 & 18, 11 a.m. – 1 p.m. PT: Gregg S. Bossen, CPA of QuickBooks Made Easy, is partnering with NAO to offer an updated three-part QuickBooks® training webinar for nonprofits. This webinar is for the Desktop edition of Quickbooks. Gregg will cover the basics of setting up and entering transactions specifically for nonprofits, an overview of the software updates included in the QuickBooks® 2018 Desktop Edition, as well as advanced topics covering a host of specific processes that will help you do more helpful and amazing things! Register for the three-part webinar here.

QuickBooks Online Edition Made Easy for Nonprofits, June 23, 24 & 25, 11 a.m. – 1 pm. PT: Gregg S. Bossen, CPA of QuickBooks Made Easy, is partnering with NAO to offer an updated three-part QuickBooks® training webinar for nonprofits. This webinar is for the Online edition of Quickbooks. Gregg will cover the basics of setting up and entering transactions specifically for nonprofits, an overview of the software updates included in the QuickBooks® 2018 Online Edition, as well as advanced topics covering a host of specific processes that will help you do more helpful and amazing things! Register for the three-part webinar here.

Essential Unemployment Insights for Nonprofits, Thursday, June 25, 10 – 11 a.m. PT: Nonstop Wellness, an NAO partner, is hosting this session. Laura Achee, Enrollment Manager at UST and Elizabeth Hodges, Benefits Advisor at Nonstop will discuss the COVID-19 impact on unemployment benefits for nonprofits, share resources for employers, and will help answer your questions. Register for the session here.

Ask the Experts: Characteristics of Resilient Leadership, Tuesday, June 30, Noon – 1 p.m. PT: Vanessa Becker, Senior Principal Consultant with V Consulting & Associates Inc. will focus on how resilient leaders turn disruptive changes, conflicts or crises from disaster into a growth opportunity, both personally and organizationally. Participants will gain insight into how they can assess their own leadership styles, identify primary change stressors in their organizations, and leave with areas of focus to become more resilient and adaptable to change. Register for the session here.

Stay safe and healthy.

Sincerely,

Jim White

Executive Director

Thank you to the following SUPPORTERS and SPONSORS who are supporting NAO’s online COVID-19 events and communications during these challenging times. Their support is vital in helping NAO to bring much-needed resources and information to Oregon’s nonprofits – thank you.

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