WY Business Council Opens Applications for Agriculture and Endurance Funds
The Wyoming Business Council is set to open the next wave of COVID-19 funding for small businesses, nonprofits, farmers and ranchers impacted by the pandemic on Nov. 2.
Eligible businesses and nonprofits can apply for the Endurance Fund but applicants cannot apply more than one time per fund. Eligible entities include all affected Wyoming businesses and 501(c)3, (c)6, (c)12, (c)19 nonprofits with no more than 50 percent of time spent on lobbying.
For Wyoming ranchers and farmers who have lost revenue due to COVID-19 related public health orders or incurred related expenses can apply for the Agriculture Fund. Eligible entities include Wyoming agricultural producers established as of March 13, 2020.
Recipients are not required to pay back the funds; however, all funds received through the COVID-19 Business Relief Program are considered taxable income.
Both fund applications open November 2, 2020, at 10 AM; and close November 18, 2020, at 8 PM.
Read below for details on both funds eligibility requirements, qualifying expenses, and FAQs.
ABOUT THE AGRICULTURE FUND
For Wyoming ranchers and farmers who have lost revenue due to COVID-19 related public health orders or incurred related expenses
- Timing: Opens November 2, 2020, at 10 AM; Closes November 18, 2020, at 8 PM
- Funding: Up to $250,000; Cannot apply more than one time per fund
- Eligible Entities: Wyoming agricultural producers established as of March 13, 2020
- Eligible time frame: March 13, 2020, to application date
- Total Funding Available: $90 million
BUSINESS ELIGIBILITY
- Has at least one full time (30 or more hours per week) employee
- Established on or before March 13, 2020
- Headquartered in Wyoming or more than 50 percent of the company’s primary work is located in Wyoming AND at least 60 percent of their employees employed in Wyoming or 60 percent of the business payroll paid to individuals living in Wyoming
- Must have been adversely impacted as a result of the COVID-19 pandemic or as a result of business interruptions due to a required closure or public health order
- “Business Interruption” means any interruption to a business as a result of the COVID-19 health emergency and resulting closures. Interruptions may include those inside and outside Wyoming. These may include, but are not limited to: (A) Supply chain disruptions; (B) Decreased demand for products or services; (C) Required closures; and/or (D) Regulatory requirements that make operating unprofitable.
- Must show lost gross revenue and/or extraordinary COVID-related expenses
QUALIFYING EXPENSES
Agricultural producers are able to include actual expenses incurred in addition to normal operating expenses solely due to the COVID-19 pandemic in these three categories:
- Livestock feed and supplement costs
- Extraordinary expenses actually incurred between March 13, 2020, and the application date for the feeding of only livestock
- Custom hire/labor costs
- Extraordinary expenses actually incurred between March 13, 2020, and the application date for contract work or specialized services physically performed on the agricultural operation. This does not include expenses associated with normal day-to-day operations (i.e. accounting and/or administrative services, lawyers, etc.)
- Fertilizer, chemical, and seed costs
- Extraordinary expenses actually incurred between March 13, 2020, and the application date directly related to the production of crops, protein, and/or fiber
ABOUT THE ENDURANCE FUND
Ongoing pandemic response for COVID-19 related losses and expenses for Wyoming businesses and select nonprofits
- Timing: Opens November 2, 2020, at 10 AM; Closes November 18, 2020, at 8 PM
- Funding: Up to $250,000; Cannot apply more than one time per fund
- Eligible Entities: All affected Wyoming businesses and 501(c)3, (c)6, (c)12, (c)19 nonprofits with no more than 50 percent of time spent on lobbying
- Eligible time frame: March 13, 2020, to application date
- Total Funding Available: At least $24 million; Money available in this fund may increase as unused CARES Act dollars from other programs may be diverted into it
BUSINESS ELIGIBILITY
- Has at least one full time (30 or more hours per week) employee; Owner counts as employee
- Established on or before March 13, 2020
- Headquartered in Wyoming or more than 50 percent of the company’s primary work is located in Wyoming AND at least 60 percent of their employees employed in Wyoming or 60 percent of the business payroll paid to individuals living in Wyoming
NONPROFIT ELIGIBILITY
- Must be one of the following: 501(c)(3), 501(c)(6), 501(c)(12), or 501(c)(19)
- No minimum/maximum number of employees (part or full time); Volunteer-run organizations are eligible
- Established on or before March 13, 2020
- Headquartered in Wyoming or principal operations in Wyoming AND at least 60 percent of their employees employed in Wyoming or 60 percent of the business payroll paid to individuals living in Wyoming.
- Must have no more than 50 percent of time spent on lobbying
QUALIFYING EXPENSES
Funding awarded shall be used by eligible businesses to compensate for actual losses and for the following expenses already incurred associated with the COVID-19 pandemic:
- Personal Protection Equipment: Equipment worn to minimize exposure to a variety of hazards; including, but not limited to, gloves, foot and eye protection, masks, respirators, and full bodysuits
- Cleaning/Sanitizing Supplies: Any product used to prevent the spread of disease by killing germs on surfaces and skin.
- Signage: Graphic designs, as symbols, emblems, or words, used especially for identification or as a means of giving direction(s) or warning(s) associated with the COVID-19 pandemic
FREQUENTLY ASKED QUESTIONS:
Gross revenue is the total amount of sales recognized for a reporting period, prior to any deductions. This figure indicates the ability of a business to sell goods and services, but not its ability to generate a profit. Deductions from gross revenue include sales discounts and sales returns. When these deductions are netted against gross revenue, the aggregate amount is referred to as net revenue or net sales. Gross Revenue is found at the top of your income statement.
What kind of losses is the Endurance Fund intended to cover? What does “Lost Business Revenue” mean?
This fund covers gross revenue loss. Business owners and nonprofits will need to compare their current situation to last year (i.e. March 13, 2019 to application date 2019 vs. March 13, 2020 to application date 2020). A worksheet is provided on this page to help you with these calculations.
Lost Business Revenue is the substantiated revenue that would have been earned in the absence of COVID-19 related market conditions. Applicants must be able to substantiate their lost business revenue by comparing 2019 gross revenue to 2020 gross revenue from March 13, 2020, to application date, respectively.
What are “COVID-19 Related Expenses” and what expenses am I allowed to claim for the Endurance Fund?
COVID-19 Related Expenses are the expenses a business experienced as a result of the COVID-19 pandemic. These expenses are in addition to normal operating expenses solely due to the COVID-19 pandemic.
Money awarded in this fund shall be used by eligible entities to compensate for actual losses and for the following expenses associated with the COVID-19 pandemic:
1. Personal Protection Equipment: Equipment worn to minimize exposure to a variety of hazards; including, but not limited to, gloves, foot and eye protection, masks, respirators and full body suits.
2. Cleaning/Sanitizing Supplies: Any product used to prevent the spread of disease by killing germs on surfaces and skin.
3. Signage: Graphic designs, as symbols, emblems, or words, used especially for identification or as a means of giving direction(s) or warning(s) associated with the COVID-19 pandemic.
If I received funds from the Mitigation Fund or had an Extraordinary Expenditure Plan in the Relief Fund, do I include those same expenses on my Endurance Fund worksheet?
If you had Personal Protective Equipment, Cleaning/Sanitation Supplies, or Signage in previous programs please include those expenses within the specific categories of the Endurance Fund. Please only include the specific categories of expenses and not the entire grant amount. Also include any additional expenses within these categories that the business has incurred since the last program application.
Is there a step by step guide on how to apply?
A worksheet is available to download on this webpage to help you calculate your fund amount as well as a video tutorial to walk you through the application process step-by-step.
Why is the Endurance Fund closing on November 18, 2020?
The federal CARES Act requires all funding be allocated and reporting complete before December 30, 2020. As such, the Wyoming Business Council must close applications for the Agriculture and Endurance funds on November 18, 2020, in order to have sufficient time to review all applications and issue and postmark all payments by December 30, 2020. For the last two funds from the COVID-19 Business Relief Program, the Relief and Mitigation Funds, it took the Business Council and State Auditor’s Office more than 30 days to issue $203.2 million in payments to 3,100 businesses and nonprofits.
Will these funds have to be paid back?
No, these are grants that will not have to be paid back. However, this is considered taxable income and you will be required to report it on your 2020 tax return.
We recommend you work with your accountant, bookkeeper, or local lender to collect necessary data to complete your application. You can also contact your local Wyoming Business Council Regional Director or local SBDC Director for technical assistance.
For technical assistance, please call our toll-free hotline at 1-877-257-7844.
Are government entities eligible?
No, governmental or government-owned entities are not eligible to apply for the Relief and Mitigation Funds. This includes tribal government-owned businesses
Wyoming businesses applying for the Endurance Fund must have at least one full-time employees (30 or more hours per week) and the owner can count as this one employees.
Select nonprofits do not need to have a minimum or maximum number of employees to apply for this fund, unlike previous funds, and volunteer-run organizations are now eligible, as well as nonprofits with only part-time employees.
Applications must be completed and submitted online using this website. A worksheet is available on this webpage to help you with your fund calcuations.
What forms or additional information do I need to complete my application or verify my business?
As part of our process to verify that we are doing our best to serve true Wyoming businesses, we review each application in a multi-step process. Sometimes we have some trouble with the initial verification and we may ask you to provide additional information. If we need more information from you, you will get an email from [email protected].
It will be helpful to have the following available:
— If you file your business taxes with your personal taxes, please provide the 2019 Schedule C or F
— If you file as a partnership, please upload your 2019 Form 1065
— If you are a corporation, we will need your 2019 Form 1120
— Nonprofits will need to provide their 2019 Form 990.
In order to expedite payment of awards by the State Auditor’s Office, please be careful that all information provided on your application matches your IRS tax documentation.
— If you applied using an Employer ID Number (EIN), you should reference your IRS form SS-4 to verify your EIN and Business Legal Name match on your application down to the last letter.
— If you applied as a Single Member LLC or Sole Proprietor using your Social Security Number (SSN), please ensure your SSN is entered correctly and matches your Business Representative Name exactly.
Can I apply multiple times?
No. The Endurance and Agriculture Funds are mutually exclusive and you are only allowed one application based on your entity type (agricultural producer, business or nonprofit). You can apply for one or the other of these funds but not both and the maximum you can apply for is $250,000.
Yes, you are eligible to apply for these funds if you have COVID-related losses or expenses since your previous application date; however, you are only allowed to apply one time and cannot apply for BOTH the Endurance Fund and Agriculture Fund. Be sure to include any previous payments as well as other federal CARES Act grant funds received in your application. Those funds will be deducted from this fund’s total award amount.
What CARES Act funds do I need to include in my application and why?
Because the Endurance and Agriculture Funds are money directed to the State of Wyoming through the CARES Act, we must account for any other CARES Act money you have received in order to ensure there is not “double dipping” of these funds. Depending on your business or entity type, you may have received the following funds and must report them on your application. We have provided a worksheet to help you with these calculations.
— Economic Injury Disaster Loan Advance – ONLY the funds received for the EIDL Advance must be included, not the EIDL (Loan) that must but repaid and is not forgiven. This cannot exceed $10,000.
— Payment Protection Program (PPP) – ALL PPP funds must be deducted and included on your worksheet even if they have not formally been forgiven yet.
— Coronavirus Food Assistance Program (CFAP) – ALL CFAP funds must be deducted.
— Pandemic Unemployment Assistance (PUA) – ALL PUA funds must be deducted.
— Previous COVID-19 Business Relief Program funds – Any money received through the Interruption, Relief or Mitigation funds must be deducted.
— Any other CARES Act funding received must also be deducted.
How do I know my application was submitted?
After you submit your application, you will receive an email confirming the successful submission and a unique application number. Throughout the review process, you should receive multiple emails from the Wyoming Business Council. Please double check your SPAM filters to make sure you are receiving this important correspondence.
How long will it take to know if my application is approved and to receive funding?
Timing to receive funding after approval depends on a number of factors; however, most applicants should receive their funds within 21 business days from the start of their review date.
How will I hear from the State of Wyoming about my application?
Depending on the correspondence or information needed, you might hear from the Wyoming Business Council, Secretary of State or State Auditor’s Office in a number of ways:
• By email ([email protected]) to the email listed in your application – be sure to check your SPAM filter!
• By SMS text message to the cell phone # you provided in your application
• By phone if you have not responded to requests for additional information
• By phone from the State Auditor’s Office as additional verification is required
If approved, how will I receive my money?
Businesses or nonprofits that are already set up in the state Vendor Management System will receive their award via an electronic funds transfer; all other businesses/nonprofits not in the system will receive a check sent via certified mail from the State Auditor’s Office to the mailing address listed on their application.
All applicants receiving funding under any of the Wyoming Business Relief programs will have their name (or business name) and the amount of any award(s) received listed on the Wyoming State Auditor’s transparency website at wyopen.gov/wbc.
All funds received under the Wyoming Business Relief Program must be reported as taxable income on your next federal tax filing and the State Auditor’s Office will mail out appropriate tax documentation. Applicants are encouraged to work with a qualified accountant to determine how funds awarded under this program affect their tax situation; the Wyoming Business Council cannot advise you on tax or business matters.
When do these funds need to be spent, what can they be spent on and will reporting be required?
There is no requirement on when funds need to be spent and they should be used as you would typically use business income. No reporting is required; however, all award recipients are subject to audits.
Will I be audited if I receive funding?
Funds awarded under these programs are subject to random and/or targeted audits as provided in statute and program rules. Current rules may be found online at rules.wyo.gov. Knowingly making a false statement to obtain funding under these programs may require total or partial repayment of the funds and is punishable under the law, including under 18 USC 1343 by imprisonment of not more than thirty years and/or a fine of up to $1,000,000 and Wyo. Stat. Ann. 6-3-402 by imprisonment of not more than ten years and/or a fine of up to $10,000.
Are these grant awards considered taxable income?
Yes, any funds received through the Business Relief Program are considered taxable income and will need to be claimed on your 2020 tax return. The State Auditor’s Office will issue all fund recipients a 1099 Form for “Miscellaneous Income“.
If my application is denied, is there an appeal process?
Yes, applicants must first notify the Wyoming Business Council of their intent to appeal via email at [email protected] within FIVE (5) calendar days of the application denial date.
- After FIVE (5) calendar days the application will no longer be eligible for funding.
- Denied applications may appeal with a typed summary of business’ activities, history, industry, etc. plus one or more of the following documentation:
- Tax Return forms filed with the IRS; (B) Schedule C of IRS form 1040, Schedule F of IRS form 1040, any other form necessary to establish a business’ existence
- Documentation of EIN from IRS
- Failure to submit the aforementioned documentation within FIVE (5) calendar days will result in denial of the application.
- Any eligible business found using multiple methods (EIN and SSN) to apply for numerous awards may be denied any or all applications at the Business Council’s sole discretion.
- The approval or denial determination of the Business Council is final.
For the application and additional details visit the WY Business Council website at
Remember, the KTLLP experienced CPAs in our Gillette Office are available to assist with any questions or concerns. Give us a call today.
