TCG continues to meet daily with the SBA on the Shuttered Venue Operators Grant (SVOG) program. We will keep you updated on any news. While nothing is official until the SBA puts it in writing, this is what we have recently learned:
AWARD RECONSIDERATIONS and DECLINE APPEALS:
- The SBA has committed to providing a reconsideration process for anyone who believes their award amount is lower than it should be. Information on this process is imminent, and any applicant who was awarded an amount that was at least $100 less than the amount they requested will get an email on this process directly from the SBA when the process begins. If an applicant opts to participate in this process, the SBA will ask the applicant to submit a signed statement detailing reasons for reconsideration and provide supporting documents. You’ll want to connect your financials to calendar year 2019 and to your Form 990s, likely from 2018 and 2019 and clearly describe any discrepancies between your fiscal year earned revenue and calendar year 2019.
- The SBA has committed to providing an appeals process for declines. All applicants who received a decline notice will be invited by the SBA to opt into an appeals process. If an applicant opts to participate in this process, the SBA will ask the applicant to submit a signed statement, detail reasons for appeal, and provide supporting documents outlining eligibility.
- We are awaiting confirmation of timelines on both processes from the SBA, but they have verbally communicated the intent to notify the above applicants and then designate two weeks for these processes to run concurrently before beginning the supplemental grant process.
SUPPLEMENTAL GRANT FUNDING:
- Supplemental grants will be available to recipients of first, second, and third priority round awards who suffered a 70% or greater earned revenue loss for the first quarter of 2021 compared to the first quarter of 2019.
- Supplemental grants are an additional grant equal to 50% of the total initial award. For those who deducted a Paycheck Protection Program loan from your initial award, the 50% is based on the original amount (pre-deduction). If you received a PPP loan and have not yet deducted it, it will be deducted from your supplemental grant.
- The SBA has advised that eligible applicants will not need to reapply for a supplemental grant, but that applicants will be notified of the grant and asked to confirm their acceptance of the award. Again, this process is pending the SBA's official communication.
THE NUMBERS:
As of earlier today, more than 14,000 applications have been "decisioned" of which:
- 8,171 have been notified of their awards,
- 1,410 have been queued for award notification,
- 657 have been declined,
- approximately 1,700 are queued for decline,
- 1,900 have been sent requests for technical correction,
- 156 are queued for technical correction notices.
- Thus far, award notifications represent $6.14 billion of which $5.56 billion has been disbursed.
Today and Monday, SBA will be notifying recipients of technical correction notices to try and help resolve any outstanding issues so those applications can move forward.
There are delays in some disbursements as SBA works to get initial notices to all applicants. SBA is working to resolve these delays.
- SBA staff announced that grantees will NOT have to file their Form SF-425 (federal financial report) until the close out of the grant. Instructions will be forthcoming, so please stay tuned.
If you have a question for the SBA, you can send it to SVOGrant@sba.gov.
Do you have a specific SVOG application issue you'd like TCG to submit to the SBA on your behalf? If so, please submit your case (along with your grant #) to Laurie Baskin, TCG’s Director of Advocacy, at lbaskin@tcg.org.
Please do not share any information in this post with the press or on social media. SBA is working to be transparent with stakeholders and is sharing information before it is officially posted. Thank you.