Shortly after it passed the House last Friday, the President signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act into law. Federal agencies, under tight deadlines, are beginning to roll out guidance and other procedures for businesses and individuals to access the financial assistance available under the new law. Notably, important information for the Paycheck Protection Program, which will provide up to $349 billion in loans to small businesses and eligible nonprofits, as well as self-employed individuals and independent contractors, is available as follows:
Elsewhere, the President and federal agencies continue to take other steps to respond to the outbreak, including, but not limited to:
- The President has approved disaster declarations for states and territories nationwide to make funding available to state, local, and tribal governments and certain nonprofits to respond to the pandemic. He also signed several Presidential Memoranda to provide federal support for Governors’ use of the National Guard in several of the hardest hit states.
- The Internal Revenue Service (IRS) launched the Employer Retention Credit, 50% of up to $10,000 in wages paid by an eligible employer whose business has been financially impacted by COVID-19.
- The Treasury Department and IRS published FAQs to help small and midsize businesses navigate paid sick and family leave tax credits.
- The Department of Labor (DOL) announced a temporary rule implementing new paid sick leave and expanded family and medical leave under the Families First Coronavirus Response Act.
- The Food and Drug Administration (FDA) has issued several Emergency Use Authorizations to expand access to certain drugs and medical equipment.
- The Centers for Medicare and Medicaid (CMS) issued temporary waivers and new rules to provide the healthcare system with additional flexibility to respond to the pandemic.
A complete overview of both congressional and Administrative response efforts is available here and updated daily.
Congress is not scheduled to return to Washington until the week of April 20. In the meantime, congressional leaders are already discussing the parameters for a fourth phase of coronavirus response legislation, which is expected to focus on stimulating the economy and providing additional relief to individuals and certain sectors. House Democrats have floated including infrastructure investment in that legislation; President Trump also endorsed incorporating $2 trillion for infrastructure this week.
- Federal Response Timeline
- New Congressional Research Service (CRS) Reports:
- The Coronavirus Relief Fund (CARES Act, Title V): Background and State and Local Allocations
- Are Startups Eligible for the SBA’s New Paycheck Protection Program (PPP) Loans?
- Business Interruption Insurance and COVID-19
- COVID-19: The Employee Retention Tax Credit
- The Economic Development Administration and the CARES Act
- COVID-19: Potential Impacts on the Electric Power Sector
- Centers for Disease Control and Prevention (CDC)
- Johns Hopkins University Coronavirus Live Map
- KFF: State Data and Policy Actions to Address Coronavirus
Read more in McGuireWoods Consulting’s Emerging Technologies Washington Update.