A Guest Post By Doug Hoey, RPh, MBA, Chief Executive Officer of the National Community Pharmacists Association

There’s no doubt about it: Our nation, our world is experiencing extraordinary times. Community pharmacies are the safety nets helping their communities in the COVID-19 crisis. But pharmacies need help, too. The Coronavirus Aid, Relief and Economic Security (CARES) Act is just one of the ways that they can get it, and we at the National Community Pharmacists Association (NCPA) are bringing that help to you.

Here at NCPA, we’re busy trying to do whatever we can to support you. Much of the NCPA team is working from home, but our work continues — at turbo speed to try to keep up with the support community pharmacies need as they serve patients on the front lines of health care. A major part of our job is to be your voice to government and media, telling them how community pharmacists can be supported. Another big part of NCPA’s job is to sift through the avalanche of information you are receiving to highlight those areas most important to your practice — while not adding to the avalanche. NCPA’s Coronavirus Resource Center is the most active part of our newly remodeled website. Over the last few weeks, thousands of registrants have come to NCPA to hear what we have to say on webinars about the most important issues to your business.

On April 2, we hosted one of our coronavirus-related webinars on the $2.2 trillion CARES Act, which had been signed into law less than a week before. This law has enormous implications for small businesses. We had unprecedented interest for this webinar; if you weren’t able to watch it in real time, we’ve posted the recording on our Coronavirus Resource Page.

The CARES Act includes important relief for small businesses, including emergency grants, a forgivable loan program, and changes to rules for expenses and deductions meant to make it easier for small businesses to keep employees on the payroll and open for business. These are provisions that you asked for and that you need.

Paycheck Protection Program
NCPA successfully lobbied for the Paycheck Protection Program (PPP). It provides for immediate, readily accessible credit and forgivable loans to independent pharmacies to ensure that you have the cash to pay your workers, rent and other costs during this crisis.

At one point during the progression of the legislation, pharmacies and other health care providers were eligible for loans and grants. NCPA worked hard to ensure pharmacies would be eligible. Also, NCPA was successful in lobbying to restore the ability of small business community pharmacies to carry back any net operating losses against previous year tax payments, payroll tax credits and other beneficial small business provisions. 

Economic Injury Disaster Loan Program
In addition to the PPP, there are other coronavirus-related financial assistance opportunities that could have a positive impact for pharmacies. One is the Economic Injury Disaster Loan (EIDL) program.  Under this Small Business Administration (SBA) program, pharmacies can obtain low interest, long term loans with deferred payments. This could assist pharmacies with issues like inventory financing. Further, a pharmacy can apply for an EIDL loan even if they have received a PPP loan. Another unique feature of the EIDL application process is a provision that allows you to request a $10,000 grant, regardless of whether your EIDL application is approved.

SBA Loan Forbearance Program
Finally, for existing SBA 7(a) loan holders impacted by the COVID-19 pandemic, there is an SBA loan forbearance program under which the SBA will make your payments for you for 6 months! It does not accrue, and it is not a deferral that you will owe in the future. And there’s more: This program does not prevent you from applying for PPP or EIDL assistance. The forbearance program is an automatic program for existing SBA 7(a) loan holders, so if you have not heard from your lender yet, you should reach out to them.

For more information on these and other COVID-19 resources, visit the NCPA Coronavirus Resource Center, where we have a recording of our CARES Act webinar, the webinar slides, a detailed summary of the act and much more.

Every morning in qAM, NCPA shares the creative ways that our members are responding to the unique needs of their communities while running their businesses in the midst of a pandemic. (Keep sending those stories to us!) Through phone calls, emails and texts, I’m hearing stories about community pharmacy MacGyvers all over the country doing all they can to change their practices into what their patients need.

In 2006, community pharmacists saved the Part D program when it rolled out with a big thud. Health and Human Services Secretary Mike Leavitt acknowledged pharmacies’ role in saving the day. The heroic efforts of pharmacists during this national emergency even outweigh the Herculean Part D program save. Just like stars in the sky, community pharmacies shine all year round, but it’s when the skies are darkest that people notice how bright they are. As we’ve seen over the past few weeks, pharmacies are shining brightly on their communities.

Brian Douglas (Doug) Hoey is the Chief Executive Officer of the National Community Pharmacists Association. He has spent 25+ years working in and representing community pharmacies. Hoey is a licensed pharmacist in Oklahoma, Virginia and Texas and practiced for five years in community pharmacies, including his own family's pharmacy. He is frequently quoted by media about the prescription drug supply chain. Hoey also developed and taught pharmacology courses at George Washington University and Marymount University. He is co-chairman of the board of directors for Surescripts, chairman of the Mirixa, NCPA Innovation Center and Community Pharmacy Enhanced Services Networks (CPESNSM-USA) Boards, and serves on the board of the Stabler-Leadbeater Pharmacy Museum in Alexandria, Virginia as well as advisory boards for several schools of pharmacy. He earned his pharmacy degree from the University of Oklahoma College of Pharmacy and his MBA from the Oklahoma City University Graduate School of Business.