On Thursday, Nonprofit Montgomery partner Franca Brilliant answered questions about the new PHEG Program. Click here to see the video and here to view her presentation.

A few take aways: 

  • Organizations have to show a 50% loss since the disaster declared compared to a comparable period previously. Funding for first round of applications (approximately 50% of total funding) is a maximum of $10,000 plus a potential $2,500 for support for teleworking.
  • With these constraints the grant is likely to work best for organizations who have significant earned income, eg childcare providers, performing arts groups, ESOL providers, and who need short term assistance while they look for other resources.
  • There is a complicated formula for calculating the loss in revenue but essentially the County will compare a monthly average revenue from pre-COVID-19 operations to March 2020 revenue. The amount you will be awarded is based on revenue lost, not any additional costs incurred because of the emergency.
  • It is important to read the FAQs and the Executive Regulation to ensure that revenue calculations are done correctly. [NOTE: one of the questions on the webinar had to do with organizations that only had quarterly financials for the post emergency period. In that case, the monthly average revenue would be multiplied by three as a basis for comparison to the post emergency revenue).
  • Applicants may use the funds for a wide range of operating costs, and may use these funds along with other funds from state and federal sources such as the PPP or SBA disaster loans.
  • Funds may not be used to cover costs covered by insurance or for wages paid to employees who are eligible for unemployment at the same time.
  • The application asks for a percentage breakdown of how the funds will be used if awarded but the County has said that they understand that the percentages and use may change because conditions are evolving so rapidly.
  • There is no deadline for the application and there does not appear to be a specific grant period other than the duration of the public emergency. Organizations can apply monthly until the grant funding expires.