It’s not just Lakewood. So far, 99 Christian orgs have repaid their Paycheck Protection Program loans.
When Michigan’s governor required churches to stop meeting in person on March 16 last year, Kenton Sanders, director of operations at Mars Hill Bible Church, quickly did some worrying math.
About 40 percent of donations to the megachurch in Grandville, Michigan, came during in-person services that drew some 1,750 adults, students and children weekly. With in-person services shutting down, donations would surely tumble. If that happened, the church would have to lay off some of its staff.
“It was at the beginning of the pandemic, we had just gone online, and had no idea what was going to happen,” he said.
So, like more than 120,000 churches and other religious organizations nationwide, Mars Hill applied for help through the Paycheck Protection Program, the emergency loan program created by the CARES Act, a $2.2 trillion relief and stimulus package passed by Congress in March 2020. Under the PPP, the Small Business Administration would funnel funds to local banks, which would make loans to employers in their communities.
Mars Hill’s $295,000 loan, approved on April 14, 2020, would protect two dozen jobs at the church, at least for a few months.
But within a month after the loan was approved, Sanders noticed that giving had actually gone up. In addition to regular offerings that came in online, church members also contributed to a benevolence fund, known as “the white bucket project,” to help neighbors in need during the pandemic.
After talking with other Mars Hill leaders, Sanders called up the bank and returned the entire amount of the loan.
Mars Hill is one of a small number of religious organizations that took out large PPP loans only to return the funds without ever withdrawing a penny or to …