COVID-19 relief legislation signed in December includes provisions for churches, ministries

DALLAS  While Congress debates new coronavirus relief under the Biden administration, legislation signed Dec. 27 by President Trump included provisions that could assist churches and ministry organizations, including additional funding for the Paycheck Protection Program (PPP), among other items.

An additional $284 billon was made available for forgivable PPP loans, and $20 billion was included for Economic Injury Disaster Loans for businesses and nonprofits provided through the Small Business Administration (SBA). The PPP under the program are “Second Draw” loans. If a church or ministry has 300 or fewer employees, has sustained a 25% revenue loss in the first, second or third quarter of 2020 as compared to the same quarter in 2019, and has used, or will use, the full amount of the first PPP loan, then it is eligible for a Second Draw PPP loan.

GuideStone® offers a question-and-answer document with key questions related to the new legislation at

The December law provides that a church or ministry may borrow an amount equal to 2.5 months of average monthly payroll expenses up to a maximum of $2 million. Employers may not borrow more than $10 million in aggregate between the first and second PPP loans. Additionally, the law provides a more streamlined loan-forgiveness process for those applying for PPP loans under $150,000.

“Many Southern Baptist churches availed themselves of the Paycheck Protection Program and the Economic Injury Disaster Loans in the early part of 2020,” GuideStone President O.S. Hawkins said. “Every church and individual must come to their own decisions as to whether they feel it’s appropriate to pursue these options. While we would not presume to tell a pastor what he should do in these circumstances, we want to make this information available for churches who are interested in learning more.”

Churches and ministries should work with a local SBA-approved bank or credit union to apply for PPP loans. GuideStone does not provide banking services, including loans.

GuideStone Financial Resources
Roy Hayhurst
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