CARES Act Paycheck Protection Program (PPP)

May 7th, 2020 | Jon Fredricks

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Our National Government has recently launched a Paycheck Protection Program (PPP). Some have wondered if Discovery should take advantage of this unprecedented resource in these unprecedented times.

There is no doubt Discovery, like many churches, not-for-profits, and even for-profit entities is under financial strain. However, we are choosing to not pursue this avenue at this time. The Church Council and Executive Team have, after a season of prayer, elected to not participate in this program for the following reasons:

  1. We fundamentally believe that the ministry of the church is necessarily resourced by God, through the generosity of the people of God.
  2. Though there may be strategic purposes to consider indebtedness, for 19 years, our church has operated without debt. Without clear direction from the Father, we believe debt would be a mistake. Though the PPP is most often viewed as a grant, applicants are expected to proceed in good faith as if it were a loan.
  3. Many of our neighbors, local businesses, and trusted non-profits have struggled to gain access to necessary assistance. We feel it would potentially negatively impact their livelihood and our witness if we were to proceed.
  4. We believe that the church should operate independently of the state. We observe a lack of clarity regarding the state’s expected oversight and involvement in the future affairs of the church.
  5. Organizations applying for this loan are to do so as a result of an inability to maintain the employment of their staff. We believe at this time we are able to adjust our budget, make necessary strategic changes, and utilize our reserves to maintain our high level of ministry while continuing to employ necessary personnel.

We are deeply grateful for the flexibility the PPP provides to help businesses and non-profits. While it is possible that this crisis may lead to staff reductions or reviewing this opportunity in the future. We are committed to ongoing ethical and prayerful financial management.

If you have any questions, please don’t hesitate to reach out.

Sincerely,

Jon Fredricks
Lead Pastor&
Discovery Community Church Council Member