Campfire Conversation: How to Swiftly & Safely Re-Open Parks & Trails

Welcome to OIA Campfire Conversations, our new special video and audio series that is part of our Audio Outdoorist podcast.

Subscribe to OIA’s Audio Outdoorist and listen to this and other episodes anytime, anywhere. You can find the podcast on iTunes and SoundCloud

These episodes are your opportunity to be a fly on the wall, to listen in as thought leaders and subject-matter experts chat about issues that are important, relevant and timely. The conversations will be candid and casual, fluid and free-flowing. Our hope is that you’ll come away with deeper — and maybe even some new — insights as you consider the various perspectives of the participants. As the trade association of the outdoor industry, OIA’s aim is to convene the diverse thinkers and changemakers whose work and ideas will steer us toward continued growth. We’ll post these as videos on our website for you to watch on your computer, and we’ll publish them on our Audio Outdoorist podcast, so you can listen on your next hike, bike or paddle. Thanks for listening in and enjoy the conversation.

Episode 1 – How to Swiftly & Safely Re-Open Parks & Trails

Amid COVID-19, states across the country implemented stay-at-home and shelter-in-place orders, all with different closure rules and requirements for local, county, state and national public lands, parks and trails. Now, as the country begins to contemplate reopening those outdoor assets, there are many questions and considerations about how to do it expeditiously but safely. Directors from several state outdoor recreation and parks and wildlife offices gather around the fire to chat about what conversation they’re having with other government and land management agencies, outdoor businesses and participants in their states; what usage and access trends have emerged during the pandemic; and how outdoor businesses have been and can continue to be leaders in their communities as Americans rediscover the benefits of time spent outside.

Episode Participants
Cailin O’Brien-Feeny, Director of Oregon Office of Outdoor Recreation
Rue Mapp, OIA Board Member, Outdoor Afro Founder, California State Parks Commissioner
Colin Robertson, Administrator, Nevada Division of Outdoor Recreation
Jon Snyder, Outdoor Recreation and Economic Development Senior Policy Advisor to Washington Governor Jay Inslee
Doug Vilsack, Assistant Director of Colorado Parks, Wildlife and Lands

 

Sign on Letter: Supporting the Outdoor Recreation Economy and Recovery

The Honorable Nancy Pelosi
Speaker, United States House of Representatives
1236 Longworth House Office Building
Washington, D.C. 20515

The Honorable Kevin McCarthy
Minority Leader, United States House of Representatives
2468 Rayburn House Office Building
Washington, D.C. 20515

The Honorable Mitch McConnell
Majority Leader, United States Senate
317 Russell Senate Office Building</br
Washington, D.C. 20510

The Honorable Charles Schumer
Minority Leader, United States Senate
322 Hart Senate Office Building
Washington, D.C. 20510

Re: Supporting the outdoor recreation economy and recovery of individuals, communities, and outdoor companies in any upcoming pandemic response legislation

Dear Speaker Pelosi and Leaders McCarthy, McConnell and Schumer:

Our outdoor recreation economy generates $887 billion in consumer spending and 7.6 million jobs annually. The outdoor industry comprises 2.2 percent of the United States GDP and, prior to the unprecedented COVID-19 pandemic, was growing faster than the economy. In addition, communities with access to outdoor recreation assets like trails, waterways, and parks of all types are attracting and retaining business investments, as more and more businesses rely on quality of life to attract employees.

Our system of parks and public lands being open for public use is critical for small and large retailers and outdoor businesses, along with the supply chain that serves them. Plus, these natural places bring quality of life to communities across the nation. Every part of this system has been interrupted by COVID-19, impacting the health and wellness of individuals, companies, and communities.

Outdoor Industry Association and our 1,300 member companies write to ask for your support for including provisions that will aid economic recovery for the outdoor industry and communities across the country in any upcoming rounds of pandemic economic response legislation.

Thank you for the actions you have already taken to support these businesses through the CARES Act. Many of our members were able to access CARES programs, including the Paycheck Protection Program that bought them some badly needed time, but their fates hinge in large part on the ability of their current and potential customers to get back outside.

As we look to recovery in the months ahead, more needs to be done to help our communities and the outdoor industry recover from the current economic shock through investments in recreation infrastructure which will provide more opportunities for all Americans to get outside. The last few weeks have shown that millions of Americans depend upon outdoor recreation opportunities for health and wellness. Now more than ever, we need the mental and physical health benefits that getting outside can provide. Investing in outdoor infrastructure as part of our economic recovery efforts will provide a powerful return for all Americans.

Specifically, we would like your support for the following:

Permanent funding for the Land and Water Conservation Fund (LWCF) and funding for the maintenance backlog across federal public lands: Pass the Great American Outdoors Act, which would finalize bipartisan and bicameral legislation that provides dedicated funding to the Land and Water Conservation Fund and resources to reduce the maintenance backlog on our public lands. This funding will have a long-term economic impact and will increase the visitor experience – a needed benefit for local tourism. Investing in LWCF has proven to double its investment in local economies and create thousands of jobs. Congress was close to passing this legislation due to extraordinarily broad bipartisan support. It makes even more sense now, with the public demand for outdoor recreation during the pandemic and with the economic, social, and health benefits that recreating outdoors provides.

Include permit streamlining: We support incorporating the Simplifying Outdoor Access for Recreation (SOAR) Act (H.R. 787/S.1665) and the Recreation Not Red-Tape Act (H.R. 3458/S. 1967) into any legislative stimulus package. Streamlining the federal permitting system is important to the health of the guiding and outfitting communities, which have been financially harmed by the ongoing pandemic. These bills would provide more access to outdoor recreation for millions of Americans who annually enjoy the outdoors via guided adventures. By reducing current regulatory red tape, guides and outfitters will more easily kick-start local tourism once Americans are able to access public lands.

Fund active transportation: We appreciate your commitment to infrastructure as an economic growth opportunity and, in doing so, would encourage you to include provisions that would increase funding for bicycle and pedestrian infrastructure. This type of funding helps local economies and provides people with safe, environmentally sensitive, and low-cost forms of transportation and recreation. We support the Transportation Alternatives Program and the Recreational Trails Program (among others) and are hopeful that any additional infrastructure funding would significantly increase funding levels for these important economic drivers.

Increased funding/expansion of Civilian Conservation Corps: Additional funding for expansion of the Civilian Conservation Corps (CCC) will provide a combination of jobs for Americans and restoration and stewardship of our public lands. The program could be further expanded to reach more youth and more outdoor places and to include opportunities on state lands. This program could immediately be brought to scale to meet the needs of recently unemployed workers from various affected industries. The CCC could be rapidly deployed via existing cooperative agreements with federal agencies and state and local agencies.

Funding to states and local municipalities for building parks, trails, and other outdoor recreation amenities in underserved and under-resourced communities: Local and state tax revenues are significantly declining, yet the public needs local services. With the need to recreate close to home for health and wellness, the majority of Americans need access to parks, trails, and open spaces within a 10-minute walk or drive of their homes. This type of program is badly needed to help address the current inequities surrounding those who live near and reap the benefits of outdoor recreation, trail, and natural areas – and those who do not.

Prioritize policies to reduce carbon emissions: In consideration of transportation, energy, and infrastructure provisions, we would encourage you to use the opportunity to ensure policies are in place to reduce carbon emissions. Our industry relies on a healthy environment for those who love the outdoors to experience it to the fullest. Green infrastructure solutions not only sequester carbon and help mitigate the worst impacts of future natural disasters but also serve as places to recreate. We ask that you take a long-term view and work to ensure stewardship of our lands and oceans for future generations to enjoy.

As Congress moves forward with response and helping with the recovery from the ongoing pandemic and its economic impacts, we ask that you consider the critical role our public lands and the opportunities for outdoor recreation play in our country’s recovery. Together, we can help make a meaningful contribution to pandemic recovery efforts.

Sincerely,

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Lise Aangeenbrug
Executive Director
Outdoor Industry Association

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Michael West
CEO
686 Technical Apparel Co.

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Matt Wade
Advocacy & Policy Director
American Mountain Guides Association

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Chris Valiante
Owner
22 Designs

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Clay Haller
President
Advanced Elements, Inc.

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Penn Newhard
Founder/Partner
Backbone Media

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Tim Koehler
Chief Financial Officer
Backpacker’s Pantry

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Tag Kleiner
VP of Marketing
Far Bank Enterprises
(Sage, Redington, RIO Products, Fly Water Travel)

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Craig Mackey
Principal
Mackey Partners, LLC

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Bill Gamber
President and Co-Founder
Big Agnes

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David Koorits
Co-Founder
Good To-Go

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Matthew McClain
Executive Director
Mammoth Lakes Recreation

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Brad Werntz
President
Boulders Climbing Gym

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Matt Holmes
Executive Director
Groundwork Richmond

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John Wentworth
CEO/Board President
Mammoth Lakes Trails and Public Access Foundation

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Jenn Swain
Global Senior Sustainability Manager
Burton

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Larry Witt
President of Housewares (Hydro Flask & OXO)
Helen of Troy

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David Dragoo
Founder
Mayfly Outdoors

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Ali Kenney
SVP – Global Strategy & Insights
Burton

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Alyssa Ravasio
Founder & CEO
Hipcamp

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Bob Mignogna
President
Mignogna Consulting, Inc.

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Matt Lyon
Board Chair
California Outdoor Recreation Partnership

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John Kirk
Director of Communications
International Sportsmen’s Expos

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Cam Brensinger
CEO & Founder
NEMO Equipment, Inc.

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Peter Bragdon
Executive Vice President, Chief Administrative Officer and General Counsel
Columbia

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Jeff Turner
Director of Sales
Kokatat, Inc.

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Chris McKleroy
CEO
Nocs Provisions

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David Feinman
Government Affairs Director
Conservation Lands Foundation

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Rhonda Swenson
CEO
Krimson Klover

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Drew Saunders
Country Manager
Oberalp North America

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Coral Darby
Founder
Darby Communications

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Shawn Gorman
Executive Chairman
L.L.Bean

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Chris Rischke
Director of Operations
Oboz Footwear

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Jennifer Pelkey
Sr. Marketing Director
Outdoor Retailer

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Brian Cox
President
Lightspeed Outdoors

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Louis Geltman
Policy Director
Outdoor Alliance

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Rose Marcario
President and CEO
Patagonia

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Nick Sargent
President
Snowsports Industries America

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Fred Ferguson
VP, Public Affairs and Communications
Vista Outdoor

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Jenn Dice
Chief Operating Officer
PeopleForBikes

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Jennifer Savage
California Policy Manager
Surfrider Foundation

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Ashley Korenblat
CEO
Western Spirit Cycling

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Tom Adams
COO
Petzel America

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Michael Stewart
Founder/Director of Partnerships
Sustainable Surf

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Todd Walton
Executive Director
Winter Wildlands Alliance

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Eric Artz
President and CEO
REI Co-op

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David Polivy
CEO
Tahoe Mountain Sports

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Ryan Martin
CEO
Yakima Products, Inc.

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Wendy M. Carey
VP/CFO
Seirus Innovative Accessories, Inc.

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Brady Robinson
Executive Director
The Conservation Alliance

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Craig Flax
Founder/President
Youth Transportation Organization (Yoots)

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Steven Frisch
President
Sierra Business Council

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Arne Arens
Brand President
The North Face

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Steven Frisch
President
Sierra Business Council

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Gordon Seabury
CEO
Toad&Co

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Tony Post
CEO & Founder
Topo Athletic

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Ben Christensen
Vice President, Operations
Simms Fishing Products

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Brian Vargo
President/CEO
Vargo Outdoors, Inc.

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Ben Warner
President
Skeleton Key Agency/Coast Film Festival

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Steve Rendle
Chairman, President and CEO
VF Corp

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Seraph White
Interim Executive Director
Outdoors Empowered Network

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Kristin Hostetter
Editor In Chief
SNEWS | The Voice

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Jon Jay
Digital Content Editor
SKI Magazine

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Tori Peglar
Co-Brand and Content Director
National Parks Trips

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Andrea Kupfer
VP, Managing Director
Catapult Creative Labs

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Campfire Conversation: Conservation & Recreation Advocacy From Home

Join us for a collaborative campfire conversation with Outdoor Industry Association, Outdoor Recreation Roundtable, The Conservation Alliance and Outdoor Alliance while they discuss support efforts of policy initiatives through in-person and virtual advocacy amid the pandemic safer-at-home orders.

OIA Campfire Conversations, is our new special video and audio series that is part of our Audio Outdoorist podcast. You can find the podcast on iTunes and SoundCloud.

These episodes are your opportunity to be a fly on the wall, to listen in as thought leaders and subject-matter experts chat about issues that are important, relevant and timely. The conversations will be candid and casual, fluid and free-flowing. Our hope is that you’ll come away with deeper — and maybe even some new — insights as you consider the various perspectives of the participants. As the trade association of the outdoor industry, OIA’s aim is to convene the diverse thinkers and changemakers whose work and ideas will steer us toward continued growth. We’ll post these as videos on our website for you to watch on your computer, and we’ll publish them on our Audio Outdoorist podcast, so you can listen on your next hike, bike or paddle. Thanks for listening in and enjoy the conversation.

Thrive Outside Atlanta: Connecting With the Outdoors During COVID-19

In its first year, The Outdoor Foundation’s Thrive Outside Community Initiative has made multi-year grants to four regions across the country (San Diego, Oklahoma City, Atlanta and Grand Rapids) to build and strengthen networks focused on providing children and families with repeat and reinforcing experiences in the outdoors. Our communities are finding unique ways to positively impact their communities during the COVID-19 crisis.

We’re proud to share the ways one Thrive Outside Atlanta organization, West Atlanta Watershed Alliance, are continuing to connect with and serve their local youth.

 

 

“Providing accessible, sensory-based, outdoor programming through technology”

With a curriculum that typically encourages the use of our senses for learning and exploring, shifting to online curriculum initially seemed to be a daunting task for us at West Atlanta Watershed Alliance (WAWA).

At WAWA, we believe that the power of play, inquiry instruction, social constructivism and cultural relevance are foundational principles of environmental education pedagogy. We quickly identified a crossroads between our pedagogy and technology in order to offer sensory-based livestreams in lieu of O-ACADEMY, our spring break camp.

When developing content for digital audiences in response to COVID-19, there were a few important factors to consider including digital accessibility, exercises that can be completed outdoors, and sensory-based engagement with youth. Because some residents in our community struggle with access to technology to complete daily tasks such as school-based distance learning, we decided to use accessible social media platforms including Facebook and Instagram to host content, because we know many of our constituents utilize these channels. With COVID-19 anchoring us all at home, we chose programs that could be done outdoors and with little supplies. Lastly, we wanted to ensure the programs feel participatory, and so, we encourage families to grab household items and participate in programming that draws on our senses to enhance our understanding of the outside world.

One of our programs “Sensory with Soils” provides youth a learning opportunity from simply playing in the dirt. During this program, we encourage the touch and observation of soil types to understand the benefits and best uses of each soil.

We also generated a survey among our online communities to determine if the increased digital content was useful or overwhelming. The results of this survey will help us to determine how we continue developing digital content and through which platforms we deliver it. WAWA will continue to provide accessible, sensory-based outdoor programming for digital audiences throughout the COVID-19 pandemic, and we look forward to adding more digital offerings to our environmental education moving forward.

Anamarie Shreeves,
Environmental Education Programs Manager,
West Atlanta Watershed Alliance (WAWA)

Trade Alert: New China Tariff Exclusions – Hydration Backpacks, Duffels, Bikes, Messenger Bags

The Office of the U.S. Trade Representative (USTR) recently announced that it approved another group of tariff exclusions for products hit by the List 3 China 301 tariffs, including several outdoor products. As a result, any company can gain tariff relief on items that match the product description approved by the USTR. We are writing to provide you with the details on these exclusions to ensure that OIA members are able to take advantage of this opportunity to reduce their tariff costs.

To learn more about this exclusion process and how to take advantage of it to reduce your tariff costs, join us for a webinar this Thursday, April 30, at 3 p.m. (ET).

The group of product exclusions is retroactive to Sept. 24, 2018, and will be valid through Aug. 7, 2020. Here are some examples of the products included:

  • Backpacks with hydration packs
  • Bikes
  • Duffel bags
  • Messenger bags

In order to claim this exclusion, your product must match the product description, and you should use Harmonized Tariff Schedule (HTS) code 9903.88.45 when importing your product.

Again, any importer can benefit from a granted exclusion if the product matches both the subheading and the exact specifications of the granted product description. If your product matches the written description but is not currently classified under that provided HTS, we recommend that you check with your customs broker or counsel to review its applicable classification.

To claim duty refunds using a product exclusion, importers can either submit a post-summary correction (PSC) or file a protest. For future imports, the Chapter 99 number assigned to that product exclusion must be used on entries and entry summaries. Guidance on this process issued by Customs and Border Protection (CBP) can be found here.

We will keep you updated on any future developments on China 301 product exclusions.

Thrive Outside Grand Rapids: Connecting with the Outdoors During COVID-19

In its first year, The Outdoor Foundation’s Thrive Outside Community Initiative has made multi-year grants to four regions across the country (San Diego, Oklahoma City, Atlanta and Grand Rapids) to build and strengthen networks focused on providing children and families with repeat and reinforcing experiences in the outdoors. Our communities are finding unique ways to positively impact their communities during the COVID-19 crisis.

The following work, led by our partner organization Our Community’s Children in Thrive Outside Grand Rapids, has applicability in other regions across the nation that are trying to help people experience the outdoors during coronavirus lockdown restrictions.

 

 

With governments issuing stay-at-home protocols, it became clear to one Grand Rapids-based nonprofit that parents and children didn’t realize that it was still ok to venture outside to boost mental and physical health. “We talked with after-school providers and found out that parents didn’t know what they could do outside. So, we reviewed local, state and national standards and developed a resource for parents on the subject,” said Lynn Heemstra, executive director of Grand Rapids’ Our Community’s Children program.

The resource comes in the form of a brief publication titled “Yes, You Can Go Outside” and is available to families in both English and Spanish. To create the document, Our Community’s Children worked closely with local city staff and leaders from Grand Rapids Public Schools. The publication honors the importance of maintaining social distancing, and reminds families that children should not be interacting with friends other than online, and they should not use playground equipment or engage in any close-contact sports such as basketball, soccer or football.

The resource provides other suggestions to help families get a nature break, including going for walks, biking, fishing, listening to birds and exploring trails. All this is packaged with some common sense tips (such as taking your own water bottle, avoiding public restrooms and water fountains). Be sure to check local guidelines when applying this resource to your region, and good luck getting outside to enjoy some fresh air during these challenging times.

COVID-19 Webinar: Ingenuity & Rediscovery: The Consumer Response to COVID-19

Speakers: Kristin Minzenmayer, Director – Egg Strategy (Denver)
Tim Donza, Managing Director, Lifestyle – Egg Strategy (New York)
Fiona Atzler, Senior Director – Egg Strategy (New York)

From home schooling and virtual offices to social distancing and lockdowns, COVID-19 has already changed a lot about daily life in a short time. Egg Strategy, a leading insights and brand strategy consultancy, has spent the past month following consumers across the United States to see how their relationships with their spaces (indoors and out) have adapted and what new behaviors have emerged. Here they serve up some provoking ideas and thoughts for how the outdoor industry can learn and grow with consumers.

COVID-19 Webinar: Small Business Support to Boost Economic Recovery

Speakers: Burl Kelton, U.S. SBA and Frances Padilla, Colorado SBA District Director

If you are a small business owner, you know that the last few weeks (just barely a month!) have been anxious, frustrating and hopeful.

Congress has charged the U. S. Small Business Administration with the huge task of funneling sustaining funds of billions of dollars to small businesses and employees alike, in an effort to sustain them in a difficult and nearly impossible situation. Using the traditional SBA and bank partnership and the Disaster Assistance Office, the agency revamped programs in just days, and the billions of dollars of funding could move directly into the economy in a historical effort unmatched in the more than 50 years of the agency.

Learn how the agency is supporting small business.

 

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Additional Resources and FAQ

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SBA CARES Act Paycheck Protection Program

Best resource: www.sba.gov/coronavirus

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Does applying for the EIDL preclude a business from the PPProgram?

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No.

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Can businesses apply for BOTH the EIDL loan and the PPP loan?

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Yes. Apply for the short term emergency SBA Disaster Assistance EIDL (SBA.GOV), the long term SBA Disaster Assistance EIDL (updated website pending) and the Paycheck Protection Program (PPP) (local financial provider or bank).

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Can a business apply for a PPP and use that for payroll/payables/utilities and have that forgiven if it meets the criteria, then apply for an EIDL to buy components for the coming season?

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Visit sba.gov /coronavirus.

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If you take advantage of the cares act $10,000 loan can you still apply for the PPP?

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Yes.

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When will the PPP loan will be active and do you apply thru the SBA website similar to the 10K loan?

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You can apply through your local financial provider or bank after April 3, 2020.

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When will local SBA-preferred lenders be receiving guidance on PPP?

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Lenders may begin participating April 3, 2020.

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How will Shareholder Distribution be counted as income for the PPP grant/loan?

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Consult with your CPA.

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Are sole proprietor LLC’s or S-Corps with one employee(the owner) eligible for the EIDL or the PPP program?” template=”basic/accordion” attribute-data=”name:heading;type:text;label:Heading|name:template;type:text;label:Block”]
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Apply with the short term SBA Disaster COVID EIDL at, www.sba.gov using the link at top of the screen. Be sure to also consult your PPP banker and information at, www.sba.gov/coronavirus.

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Consult with Your PPP Financial Provider, Banker and/or CPA for details regarding these questions.

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  • The PPP states from Feb 15 to June 15 – and that it’s a grant if I keep all employees. What if the number of employees decreases due to not having the income to support this. Will the grant turn into a loan? Example – I had 5 employees on payroll in March but I will most likely have 3 by June – If I take the PPP loan and pay for payroll April, May and June will I be accountable to pay this back in a loan or will it be under the grant?
  • Regarding PPP, if we already had layoffs, and don’t intend to replace those employee’s for reasons not linked to Covid-19, how does the forgiveness work?
  • If rent is paid using a company’s credit card, what type of documentation is necessary to satisfy forgiveness under PPP?
  • Should I apply for the PPP for employees and the CARES act SBA loan for rent etc? Or just CARES loan?
  • PPP is intended to support cash flow in order to maintain payroll. But is it applicable to support just a portion of my employees who are still on the payroll?
  • If you take a loan out that is only enough to cover the 8 week period of payroll, rent and utilities, will that loan in its entirety be forgiven?
  • How do we access the paycheck protection program?
  • Should I keep employees on payroll, even though we’ve let them all go from the Ski shop?
  • If hours for employees are reducedcould we still be eligible for the payroll loan?

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Visit sba.gov /coronavirus for answers to these questions and more.

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  • For the PPP loan program, how should seasonal businesses (like ski resorts) address the payrolls and loan forgiveness impact of seasonal employees.
  • Our company is owned by a company in Europe. We are incorporated in the US and employ 20 full time US staff. Are we eligible for PPP and EIDL?
  • For PPP loans, are independent reps considered employees (1099), or temps hired through an agency?
  • When do we expect more detail on the payroll protection plan?
  • Is a private organization registered as a nonprofit (non-charity) eligible for PPP?
  • Where can I find the most updated information on Paycheck Protection Loan vs Standard 7(a) SBA Loan?

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CARES Act SBA Disaster Emergency EIDL

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How does the loan become a grant?

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If you demonstrate the business meets the requirements and make request.

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Would we be *required* to bring everyone back?

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See www.sba.gov/coronavirus and consult with your PPP banker or CPA.

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If you apply for PPP and still have to furlough SOME employees, is the forgiveness just proportional to who you were able to keep employed?

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Visit sba.gov/coronavirus for more details.

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Are 1099 employees eligible for the payroll grant?

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Independent contractors are eligible to apply for the short term SBA Disaster Assistance emergency EIDL loan/grant. Apply at, sba.gov and click on the yellow banner link at the top of the website.

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Should we reduce our payroll totals from 2019 by employee contributions to health care premiums?

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Consult with your CPA after reviewing the program at sba.gov/coronavirus.

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If I am the only full-time employee of my business and all of my employees are part-time, how does this affect the loan amount or loan forgiveness?

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Please visit sba.gov/coronavirus for more details about employee break downs.

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As a ski shop, my staffing needs cyclically decline at this time every year. How is that factored into the loan forgiveness?

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Visit sba.gov/coronavirus about the EIDL and for more information on the PPP consult your banker or CPA.

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Are both the Economic Injury Loan and the Paycheck Protection Program dually available or is it only one per business?

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Businesses may apply for one, two, or all three programs: PPP, short term emergency disaster assistance EIDL and long term disaster assistance EIDL.

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If my Sales Agencies has 1099 contractor what can I do for them? Can the Payroll Program work?

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Independent contractors may apply individually.

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The summary of the program that was communicated to me was that we can borrow up to 2.5x our average monthly payroll. If we maintain our payroll until June 30th the principal will be forgiven. I know there are specific requirements, but is that a general summary of the program?

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That is one aspect of the PPP. Visit sba.gov/coronavirus for more details.

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SBA Disaster short-term emergency EIDL

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Why does it say that the $ 10,000 loan from EIDL does not need to be repaid?

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The loan can be converted to a grant if all fund usage requirements are met.

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Can you clarify the $10,000 program under CARES?

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It is a short term SBA administered emergency economic injury loan up to $10,000 based on the number of employees in the business. It is intended to be used for payroll and operating expenses. It may be converted to a grant if all requirements are met.

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For EIDLs, is early payback an option? Is there a penalty for early payback?

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There is no prepayment or early repayment penalty.

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Can you access the emergency economic injury grant funds even if you aren’t eligible for an EIDL loan?

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There are two SBA Disaster Assistance EIDL loans. They may be applied for separately, but you do need to be qualified and not an ineligible applicant. The long-term Disaster Assistance EIDL online portal is still being updated and will be available soon. The short-term Disaster Assistance emergency EIDL can be reached at: www.sba.gov with the link at the top of the screen.

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SBA Disaster long term COVID EIDL

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How does the SBA determine the amount of an EIDL loan, and how do they determine the length of the term?

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The long-term SBA Disaster EIDL loan amount and term is set by SBA based on all available financial information from the business and in discussion with the owner.

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Does current Tax status affect eligibility?

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Discuss this with your Loan Officer in processing.

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Do you consider charitable organizations the same as non-profit organizations? Are non-profits of any kind eligible for EIDL?

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Charitable organizations and public non-profits (government or government services) are not eligible.

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Do 501(c)3 organizations qualify?

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Private non-profits are eligible. Church non-profits can only be of secular non-religious activity. Discuss with a Loan Officer if you have questions.

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We applied last week but did not receive an application number because of the SBA web portal issues. Should we re-apply?

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For the long term SBA Disaster EIDL loan status, call: 800-659-2955, or email: disastercustomerservice@sba.gov, until the website is available. You do not need to re-apply if your application is in the processing system.

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Would the long-term loan be forgivable? Such as a grant?

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At this time, the long-term SBA Disaster Assistance EIDL loan does not have a forgiveness component.

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Are assets pledged to secure the long-term loan?

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Collateral is not required in Phase I.

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Does a savings account that we have built up over time as a business exclude us from receiving approval?

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Generally, no. The Loan Officer can discuss any concerns you have about current savings.

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What are the rates and terms of EIDL loans?

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The short-term SBA Disaster emergency loan, if not converted to a grant, and the long-term SBA Disaster loans have interest rates of 3.75% for business and 2.75% for private non-profits. Both are simple, annual rates.

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What Financials are required for SBA disaster assistance?

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The short-term SBA Disaster emergency loan asks for previous year’s revenue total and previous year’s cost of goods. Also, additional income from other sources. No documentation is required with the application. The long-term requirements are being updated and will be available soon.

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What is the time limit on the application process?

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Deadline to apply is Dec. 31, 2020.

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If the same officer runs an S-Corp and a Non-Profit, can they each apply?

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Yes. They must be separate business entities.

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Can a foreign entity apply for the long-term loan? Would the size of the foreign HQ entity be added to the U.S. entities?

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The applying entity must be a U. S. company. You will need to discuss size limits and ownership issues with the Loan Officer.

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How quickly will funds disperse after application is approved?

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The short-term SBA Disaster emergency EIDL has a target turnaround of a few days for eligible funds. We will be working to disburse as soon as possible for the long-term SBA Disaster EIDL loans, once the site is operating with new CARES Act features.

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Seasonal Employers

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In a seasonal business, employees have been on unemployment. When I ask them to return, some are choosing to stay home. They are looking for unemployment and the $600 weekly. At that point, no unemployment, correct?

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We don’t have any information about state unemployment programs. Contact your state agency.

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What if you are a seasonal business that will open May 15 but it appears that may not happen due to business closures for social distancing reasons?

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If you have employees and operating expenses to remain viable as a business, apply to all three programs, after consulting with your banker and/or CPA for the PPP.

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We employ 1099 contractors, are we allowed to pay them for lost work using an EIDL loan?

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Independent contractors may apply to both the short term and long term SBA Disaster EIDL.

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What if you employ both seasonal and non-seasonal employees?

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Visit sba.gov/coronavirus for more details about employee classifications.

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Other FAQs

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Can a recently started business (less than one year old) qualify for any of this?

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Yes, if in business on Jan. 31, 2020.

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Is there a way to apply other than online? We have a member of our LLC with a more than 20% interest that is a non US national so they have an ITIN rather than a SSN for taxes. The SBA site keeps registering the ITIN as an error and I cannot proceed with the application.

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Consult the Loan Officer if you are applying for the long-term SBA EIDL. Information may be added during loan processing.

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What are the declared disaster areas? Isn’t the entire country in the disaster area based on the President’s National Emergency decree?

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A separate disaster declaration is required for each state individually, requested by the Governor.

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What if this goes longer than June?

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The long-term SBA Disaster EIDL is designed for long term recovery. The deadline for application for the long-term EIDL is December 31, 2020.

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Should employees/owners be filing for state unemployment, and how would that effect any assistance going forward? Assuming all/most employees would be retained.

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Consult with your state agency regarding unemployment programs and visit sba.gov/coronavirus.

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Can you use disaster assistance loan for a termination of lease/eviction negotiation?

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That would be the business owner’s decision.

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COVID-19 Webinar: Protect Your Bottom Line – Relief from China 301 duties and a 90-day tariff deferral

Speakers: Rich Harper, Manager of International Trade, Outdoor Industry Association
Nicole Schude, Of Counsel, Sorini Samet & Associates
Megan Costello, Vice President, Trade & Customs Policy, Sorini Samet & Associates

As they deal with the COVID-19 crisis, outdoor companies may be able to utilize two programs to secure much-needed tariff relief.

If you are a U.S. importer of an impacted product, you could be eligible for retroactive duty refunds from the China 301 tariffs. The Office of the United States Trade Representative (USTR) has granted many product-specific exclusions from these duties, and many requests are still pending. If your product is eligible, additional action needs to be taken to ensure your ability to obtain a full retroactive refund.

Additionally, the Trump administration announced last week that it would grant a 90-day deferral on all tariffs, taxes and fees on a select group of products imported into the U.S. in March and April of 2020 for companies impacted by COVID-19.

Learn how your company can utilize these programs to protect your bottom line.

COVID-19 Webinar: Real Estate Rights and Strategies for Business Owners–COVID-19

Speakers: Andy Ewald, Scott Peterson and Greg Mikrut, CBRE

CBRE’s panel of experts, who specialize in representing local and national business owners, will share strategies for and rights of business owners during the COVID-19 crisis. In order to relieve a short-term cash burden during a period of disrupted revenues, local and national tenants have pursued these strategies as a reaction to the economic shock from COVID-19. Their team will review the legal obligations within a lease document, outline the proper approach to secure rent relief, share how landlords are responding, and provide predictions for the future.  In addition, the CBRE team will provide an overview of what is happening at a high level in the capital markets, which effects the velocity of lending, and they’ll share how the market may react going forward. Finally, their finance team will discuss how this pandemic may impact valuations and how to protect the future value for business owners.

Cash flow relief is on the minds of business. On behalf of outdoor industry small and mid-sized business, OIA is exploring legislation that provides rent relief.