Save Organizations that Serve (SOS) America Act

On March 27, Representatives Seth Moulton (D-MA) and Brian Fitzpatrick (R-PA) introduced the Save Organizations that Serve (SOS) America Act. The legislation would provide emergency funding for nonprofits and create a universal charitable deduction. The representatives are also advocating for nonprofits of any size to qualify for newly-expanded Small Business Administration (SBA) loans.

Specifically, the SOS America Act would:

  • Expressly provide charitable nonprofits with $60B for any emergency funding proposals. The bill provides for $60 billion in emergency support for charitable nonprofits and a mechanism to rapidly infuse cash to those organizations serving immediate needs in communities facing lost and declining revenue due to the pandemic.
  • Create a robust universal charitable deduction. Improve the proposed above-the-line charitable deduction of the CARES Act (which set a $300 cap) by significantly raising the cap and allowing all taxpayers to immediately claim the deduction on their 2019 taxes and beyond.

Once the CARES Act is enacted into law, Rep. Moulton and Rep. Fitzpatrick plan to amend the bill to ensure all nonprofits qualify for the newly created small business loans and remove the 500-employee caps. They also plan to clarify that charitable nonprofits of all sizes are able to participate in the emergency SBA loan program and remove the cap on the number of employees.

“Nonprofits are operating at a loss to help people manage the disruption coronavirus is causing. The YMCA is feeding kids who don’t have school lunches to count on. The YWCA is sheltering women who don’t have safe homes to quarantine in. Other groups are advocating for Americans with compromised immune systems in a health care system that’s being tested,” said Representative Moulton in a press release. 

“Despite this work, these groups and many others still face the same challenges small businesses are facing, and they need a hand from the government. I urge Congress to work with Rep. Fitzpatrick and me to provide one.”