As big business is aided by coronavirus stimulus, nonprofits like mine won't find much relief

As a nonprofit leader who provides services to thousands of families in the poorest communities in Los Angeles County, I’m worried.

Poverty alone is enough to wipe out the forgotten Americans whom I and other nonprofit leaders normally help — the homeless, the formerly incarcerated who can't find work, victims of domestic violence who end up on the street.

But the coronavirus — which doesn't discriminate based on race or socioeconomic background — is poised to do even greater damage. And the relief package signed by President Donald Trump on Friday erroneously treats nonprofits like small businesses, making it difficult for us to go on helping those who need it.

As the U.S. coronavirus crisis continues to outpace that of Italy and China, what will happen to nonprofit groups like mine? More important, what will happen to the people we serve?

Falling through the cracks

A few weeks ago, I dipped into my personal funds to buy groceries and supplies for a 71-year-old grandparent who is also a domestic violence survivor.

For the past 10 years, this grandmother has participated in my nonprofit's training program that supports her grandson, who is on the autism spectrum. She also volunteers to help other grandparents raising kids with autism.

Recently, she was forced to move out of her home and has been standing in long lines in the cold and rain to get food, hand sanitizer and toilet paper, the last two of which have been sold out everywhere. She eventually bought two cans of Lysol, which were stolen from her. I suspect that during this time of crisis, I’m not the only nonprofit director who has used her personal money to help those in need.

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It's impossible to overstate the importance of nonprofits, organizations that do vital work in criminal justice reform and education and health, including providing meals and shelter.

We see firsthand the stress, despair and hopelessness that underprivileged people (who slip through the cracks of the government and the private sector) experience.

And it's people who get help from nonprofits like mine who are likely to suffer the most during the coronavirus outbreak.

Many working poor, for example, lack health insurance and might have underlying conditions that aren't getting proper treatment. Many of those illnesses, like diabetes, put people at higher risk for more severe struggles with coronavirus.

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Poor people often don't have the luxury of staying home from work and avoiding virus hot spots. They either work their shift in a crowded warehouse, drive for Uber in a car full of strangers or don't pay their rent. They are also more likely to be left without health care as a result of quarantines and state-mandated lockdowns.

I was disappointed — but not surprised — when Trump called a news conference a few weeks ago during which he was surrounded by corporate CEOs. Trump's message was clear: Big businesses would not unduly suffer because of the coronavirus. He had their backs. But I didn't see anyone standing next to Trump representing workers, labor unions or nonprofits.

Too little, too late

The $2 trillion stimulus package that Trump signed last week is an improvement over the previous plan, but still leaves a lot to be desired.

The most grievous error from my perspective is that it treats nonprofits and small business similarly, offering both the same type of forgivable loans. Although the loans are unquestionably good for small businesses, they're horrible for nonprofits. Our organizations simply don't work the same way. Nonprofits operate primarily on grants and donations, not bank loans. Our grants are typically restricted to specific programs and don't include discretionary funds for loan repayment. Nonprofits aren't owned by individuals, they are run by executive directors — private individuals who shouldn't have to use their credit to secure loans.

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It also provides nonprofit organizations and small businesses one-time emergency grants up to $10,000 — paltry sums and not likely to provide relief to any nonprofit that has a robust roster of services and programs and a sizable payroll.

The package's boost for individuals was also lacking.

Where more funds could have been allocated to stitch up gaping holes in the nation's safety net, money was given to big business. Where additional funds could have been provided to shore up gig workers or get medical care to the previously incarcerated and the homeless, billions were given to the hotel and airline industries.

Giving $1,200 to individuals is wholly inadequate. Such a meager amount is only enough to sustain most families for a few weeks. Lockdowns could drag on for months. Poorer Americans are also least likely to have direct deposit, which means they may have to wait for up to a month (possibly more) to get a paper check. For low-wage workers and those who are disabled, on Social Security or impacted by the criminal justice system, waiting that long is not an option.

There are commonsense things that lawmakers can do to blunt the impact: Give a $200 increase to those receiving Social Security and disability checks; provide paid sick leave for anyone diagnosed with the virus and anyone who must care for someone impacted by the virus; give nonprofits more grant money instead of loans so they can keep people employed and continue to help folks who fall through the cracks.

Years from now, few will remember which corporation got a bailout. What we will remember are the actions that all levels of government took to protect the financial well-being of everyday people.

Saving their lives is the only way to win against a global pandemic.

Areva Martin is a CNN legal analyst, talk show host, civil rights attorney and president of Special Needs Network, a nonprofit organization that provides autism advocacy for underserved families.

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This article originally appeared on USA TODAY: Coronavirus stimulus: Nonprofits like mine won't find much relief