Covid-19 Stimulus Bill Info



  • It has been a bit of a challenge researching what the COVID-19 Stimulus Bill actually provides. An aide for one of our representatives forwarded this my way. Appreciated.

    Small Business Administration (SBA) Payroll Protection Program in the CARES Act

    SBA Express Loan

    • Eligibility: Eligibility: any business concern, non-profit organization (501(c)3), veterans organization (501(c)19) or tribal businesses that employs less than 500 employees or meets size standard. Sole proprietors, independentcontractors, and eligible self-employed individuals. Non-profits receiving Medicaid expenses are ineligible.
    • Cap: $1 million
    • Turnaround Time: 36 hours
    • Loan Forgiveness: Any payment made for payroll (including paid sick, medical or family leave and benefits), rent, mortgage interest, utilities between February 15, 2020 and June 30, 2020 can be forgiven. Amount of loan forgiveness can be reduced by any change in staffing or payroll expenses. Amounts forgiven shall be excluded from taxable income.
    • Interest: 4% max
    • Deferment of Payment: Up to six months
    • Covered Loan Period: February 15, 2020 – June 30, 2020

    NOTE: No business may take more than one resource or it may be considered a, “duplication of benefit.”
    Businesses may not be forgiven for amounts paid for leave if they are eligible for a tax credit to off-set the cost.

    SBA 7(a) Loan

    • Eligibility: Any business concern, non-profit organization (501(c)3), veterans organization (501(c)19) or tribal business which employs less than 500 employees or meets size standard. Sole proprietors, independent contractors, and eligible self-employed individuals. Non-profits receiving Medicaid expenses are ineligible.
    • Cap: 250% of an employer’s average monthly payroll (wages, tips, FML, health benefits, retirement, state and local taxes), capped at $10 million.
    • Turnaround Time: 2 weeks
    • Loan Forgiveness: Any payment made for payroll (including paid sick, medical or family leave and group health benefits), rent, mortgage interest, utilities between February 15, 2020 and June 30, 2020 can be forgiven. The amount of forgiveness can be reduced by any change in staffing or payroll expenses. Amounts forgiven shall be excluded from taxable income.
    • Interest: 4% max
    • Deferment of Payment: Up to six months
    • Covered Loan Period: February 15, 2020 – June 30, 2020

    NOTE: No business may take more than one resource or it may be considered a, “duplication of benefit.” Businesses may not be forgiven for amounts paid for leave if they are eligible for a tax credit to off-set the cost.

    SBA Economic Injury Disaster Loan (EIDL)

    • Eligibility: Any business concern, non-profit organization (501(c)3), veterans organization (501(c)19), or tribal business that employs less than 500 employees or meets size standard; sole proprietors, independent contractors, and eligible self-employed individuals; non-profits receiving Medicaid expenses are ineligible.
    • Cap: $2 million
    • Turnaround time: 3-6 months, however, advance cash grants of $10,000 are available within 3 days if requested.
    • Deferment: Up to six months
    • Forgiveness: $10,000 of any cash advance if used to maintain payroll and monthly expenses.
    • Interest: 3.75% for small businesses; 2.75% for non-profits. NOTE: No business may take more than one resource or it may be considered a, “duplication of benefit.” Businesses may not be forgiven for amounts paid for leave if they are eligible for a tax credit to off-set the cost.

    Other Small Business Resources

    • Idaho Small Business Development Center (SBDC). The Idaho SBDC business advisors are available to provide information and technical assistance on SBA Economic Injury Disaster Loans and to help you navigate the economic impacts caused by COVID-19. Find more information here.

    • Idaho Women’s Business Center (WBC). The Idaho WBC is available to provide information and technical assistance on SBA Economic Injury Disaster Loans and to help you navigate the economic impacts caused by COVID-19.

    • Small Business Administration Idaho Offices. There are several SBA offices in Idaho which offer many small business loan and assistance programs and are currently helping small businesses understand how to access and apply for the capital they need. Check the SBA office locator for an office near you.

    • U.S. Small Business Administration Disaster Assistance

    I imagine other states provide similar. Substitute as appropriate.

    Direct Financial Help for American Taxpayers

    The CARES Act provides rebates to most U.S. taxpayers, putting cash in the hands of individuals and families to help ease the economic impact of COVID-19.

    Eligibility:

    • Any individual who meets the following criteria is eligible for a full $1,200 rebate:

      1. Reported no more than $75,000 annual adjusted gross income on last federal tax return.

      2. Cannot be claimed as a dependent by another taxpayer.

      3. Has a work-eligible social security number.

    • Individuals filing jointly who meet the following criteria are eligible for a full $2,400 rebate:

      1. Reported up to $150,000 joint annual adjusted gross income on last federal tax return.

      2. Cannot be claimed as dependents by another taxpayer.

      3. Have work-eligible social security numbers.

    • In addition, individuals filing a single tax return and those filing jointly are eligible for an additional $500 rebate for each child claimed on their last federal tax return. This is also true for those who have no income, as well as those whose income comes entirely from non-taxable, means-tested benefit programs such as SSI benefits.

    • Cap: The rebate amount will be reduced $5 for every $100 of taxpayer annual income that exceeds the phase-out threshold - which is $75,000 for individuals and $150,000 for those filing a joint tax return.

    • Individuals making between $75,000 and $99,000 per year will receive a $1,200 rebate, minus $5 for every $100 they make over $75,000 up to $99,000.

    • Individuals filing jointly who make between $150,000 and $198,000 per year will receive a $2,400 rebate, minus $5 for every $100 they make over $150,000 up to $198,000.

    • Individuals making more than $99,000 per year and joint filers who make more than $198,000 per year do not qualify for a rebate.

    • Turnaround Time: The IRS will send rebate checks to eligible taxpayers via direct deposit or paper check within the next month or two.

    • Application: No action by the vast majority of Americans is necessary to receive a rebate. The IRS will use a taxpayer’s 2019 tax return if it has been filed; if not, their 2018 tax return will be used. Low-income individuals who file tax returns in order to take advantage of the refundable Earned Income Tax Credit and Child Tax Credit are included.

    Corona Virus Tax Relief

    There is also some corona virus tax relief information available from the IRS.



  • Oh, boy! Lot of analysis has come down the tubes since I posted this. Lot of folks feeling left out in the cold as our elected officials and "leaders" picked winners and losers. I'd hopes we'd learned from mistakes in oversight made in 2008 that resulted in hundreds of billions of tax payer bail out money going missing and wealthy execs pocketing multi-million dollar bonuses. Sigh... but no.... guess we should have seen this one coming:

    Wealthy real estate developers score a huge tax break in the stimulus bill

    "As if Jared Kushner's involvement in coronavirus response wasn't already preposterous enough...now we learn that there's a huge tax giveaway for people like him and his family in the stimulus package," said the nonprofit legal aid group Citizens for Responsibility and Ethics in Washington in a tweet.

    The more I learn about the provisions the more distraught I am by just how egregiously lopsided they are. I lost faith in our "democracy" years ago but I guess I was still just naive enough to hope that greed might take a back seat during a crisis of this magnitude . I guess if history is any indication that there will always be profiteering during crisis. We dress it up in patriotism, nationalism, identity politics and break our elbows patting ourselves on the back but the Emperor is still wearing no clothes and we have no courage, only shame.



  • @toby And this somehow surprises you?



  • @David-Harris said in Covid-19 Stimulus Bill Info:

    @toby And this somehow surprises you?

    Surprised? No. Grossly disappointed? Yes.



  • Just received the latest "Mike Drop" from Idaho Senator Mike Crapo. Among the CARE Bill talking points was this:

    Rapid relief for small businesses and incentives to keep their employees on payroll, including farming enterprises with 500 or less employees

    I reached out to both his Boise and D.C. offices. Nobody home. Imagine that. Left some vmail indicating that as small business owners providing essential services to other small business owners, we were definitely not seeing any hint such "rapid relief" on the front lines, at least w.r.t. small business in Boise. I ended the message requesting a call back for further guidance. The Bill is ~880 pages and I have not been able to read the actual text. Seeing how they ought to be fairly familiar of that which they are tooting about I am keeping my optimist fingers crossed. 🤞

    Hmm... otoh, maybe I'd best rustle up some burnt offerings while I think of it, just to be on the safe side. 😵

    P.S.; The phone number for Crapo's Office in Boise (208) 334-1776. Groove on it. 🏄

    P.P.S.; Note also that debt clock, currently spinning in the red to the tune of 23 trillion. Yep. That is with a "T"...... 🏃 🎱 🎱 🎱



  • Strange that he or a staff member didn't get back to you. Did you remember to mention that you were a Republican? I think he's one of the best senators that money can buy!



  • @FritzRayCovid-19 Stimulus Bill Info 中说:

    Strange that he or a staff member didn't get back to you. Did you remember to mention that you were a Republican? I think he's one of the best senators that money can buy!

    Nope. Not yet. But I am optimistically crossed. 🤞



  • Mom & Pop Shops' Aid Being Poached By Big Corporate Players

    Uh.... you vipers are just now getting this figured out? From Rueters: 'Mom & Pop' shops worry they will be squeezed out of small business coronavirus aid:

    WASHINGTON (Reuters) - Family-owned restaurants fear they could be pitted against larger competitors, hotel chains and potentially investment funds in a race starting on Friday for a $349 billion pot of money the U.S. government will offer businesses hard-hit by coronavirus.

    For certain small business loan purposes, the term typically refers to companies that employ fewer than 500 workers. But Congress and the Trump administration agreed to include large hotel and restaurant chains, as long as they employed fewer than 500 workers in a given location.

    Now, private-equity firms, venture capital funds and other large investors are also angling for a piece of the action.

    Anybody surprised? Fsck'ing parasites have no shame.



  • Howard Schultz is sending coronavirus stimulus to Seattle workers ahead of federal response

    From Yahoo Finance article

    Timely Help When We Need It?

    Uh, not from the guv'mint.....

    "Government assistance, unfortunately, is going to be weeks away, and we recognize that this is a group of people that really needs our help,” Schultz told Yahoo Finance. “They are in dire, dire need — facing home insecurity, food instability...."

    Ya think? As previously whinged about: The CARES Act cares about three things:

    1. "Big" Big Business
    2. Big business employees
    3. Big business investors.

    The rest of us are screwed, blued, at tattooed. No meaningful assistance on the front lines for small business. Lots of cheap talk though. And exploitation by Big Big Business masquerading as small businesses just because they provide services at satellite locations, each of which employs under five hundred people. Convenient loop hole the puppet masters gave themselves on that one, eh? Just imagine, if you will, how stimulating all those zero interest loans will be for our small business economy. Ooh, la, la!!! I am so excited I just peed myself!

    Jobs, Jobs, Jobs...

    In a matter of two weeks, 10 million people filed for unemployment insurance in the U.S. as the labor market deteriorates because of the COVID-19 pandemic. Many expect the initial claims number to be higher due to a backlog of applications.

    Schultz reports:

    "I spoke to the mayor and the governor in the last couple of days, and I was told something that, I guess I'm not surprised by, that is, the system for unemployment has crashed in the state of Washington. And that's not going to be an anomaly around the country," he added.

    For Better, or For Worse...

    Encouraging that some affluent types are choosing to rise above rather than sink below. Good on ya' Howard! 👍



  • From the just in, I'll believe it when I see it desk:

    Coronavirus aid program for small businesses looks set to get more money this week

    U.S. lawmakers said Tuesday that they’re working across party lines to set aside additional coronavirus aid for small businesses this week, after the new Paycheck Protection Program created in Washington’s third legislative response to the pandemic met with high demand.

    Right... Got to keep those under 500 employee "small business" satellite offices/locations for the hospitality and various financial brokerage service sectors well greased.

    Meanwhile, Back in the Real...

    Banks are overwhelmed with PPP applications

    And some of these small business owners we have spoken to have also noted that they're concerned that, you know, they've received some kind of confirmation from the bank that, basically, across the board, the banks are saying, you've now done what you can. You have submitted your application. Don't bother us. Don't contact us. We'll contact you next to let you know. And it could be days. It could be a week. And a lot of them are concerned that days will pass, and then they'll hear back. And it will turn out there was some kind of issue or problem on their application, and they'll get denied for that reason.



  • Closed Due to Coronavirus

    Restaurant owners fear small business sweeteners for coronavirus package won't be enough

    With Treasury Secretary Mnuchin pushing Congress to approve the additional funds by Friday, hard-hit restaurateurs warn that the money is unlikely to fill the nearly $1 trillion void left by multiple establishments shuttering their doors across the country.

    “It won’t make enough of a difference,” Kwame Onwuachi, founding member of the Independent Restaurant Coalition, which represents over 500,000 restaurants, told Yahoo Finance on Wednesday. “That’s what we’re really trying to fight for.”

    The rollout of the paycheck protection program (PPP) for small businesses has been uneven at best and chaotic at worst. White House economic adviser Larry Kudlow stated that 178,000 loans amounting to $50 billion had been approved on Tuesday, but many small businesses have faced hurdles in securing those funds.

    Luckily they have a sizeable lobby represented via the "Independent Restaurant Coalition". So mayhaps they will experience a little less tough love in the next round of stimulus. What about the rest? The Mom & Pop shops that lack extra cash flow for such foolishness?

    Ah, silly me.....



  • @toby There is a... I hesitate to call it an upside, but maybe something that will help.

    As you say, many small businesses (the Mom & Pop shops, both restaurants and others) that operate on an almost day-to-day basis with very thin margins are going to be obliterated.

    But it is not the case that these small operations are the only ones to suffer. For every Mom & Pop shop that can't pay the rent there is a landlord who now can't pay his bills. And so on up the chain.

    Sure, Jamie Dimon and Bill Gates probably won't suffer too badly, but not everyone in between Jeff Bezos and the smallest of the small business owner is somehow elite and exempt from financial disaster.

    So, to take it back to your Mom & Pop who lost everything... well, that little restaurant space they rented is now sitting vacant, and the landlord, who may have been hit just as hard as Mom & Pop, will be desperate to rent it out. And likewise, whoever he owes money to will be desperate to regain income.

    So, maybe, if everybody realizes that half a loaf is better than no bread, things will turn out in a way that doesn't mean starvation for everyone except the 1%. The landlord's creditors may say, well, if we don't foreclose, maybe he'll be able to re-rent, and then we'll have our interest again. And the landlord, in turn, could say, well, if I let Mom & Pop back in, it will be a month or two before they can actually pay the rent, but then...

    And so on.

    Or, it could go the other way, and our entire civilization could go down the toilet.



  • @David-Harris

    I grok what you are getting at. Early in the pandemic I was optimistic that humans would rise up to their better selves. It is now obvious I was delusional. Especially w.r.t. our "leadership" and financial sector. I should have known and expected they would be shameless. So now I am pretty much in the camp where the glass being half empty would be an optimistic outcome because then at least we'd have a glass rather than having to lick up whatever gets thrown our way from the ground. Yep. Color me jaded.

    In related commentary: see my post here 'twixt yours and @Skywalker regarding Subway

    https://forums.redpointuniversity.com/topic/294/coronavirus/292

    Big Corp America is refusing to pay rent/lease on the spaces they currently occupy, as a matter of official corporate covid-19 pandemic policy. Many of the "Fat Cats" who own these commercial spaces are "small, small businesses" in the overall scheme of things and being hit hard, still waiting on loans that have been submitted but yet to be processed by the banks we just gave yet more billions to. Meanwhile, back in the real world, time goes by and their financial realities continue to worsen. What to do? Tighten their belts another notch, hunker down, and hope.



  • Publicly traded firms get $365M in small-business loans

    Courtesy Associated Press:

    Companies with thousands of employees, past penalties from government investigations and risks of financial failure even before the coronavirus walloped the economy were among those receiving millions of dollars from a relief fund that Congress created to help small businesses through the crisis, an Associated Press investigation found.

    PPP Fails While Big Banks Sit On Funds

    Meanwhile back in the real of the little guys....

    Small-business owner describes frustrating PPP experience with longtime banker JPMorgan Chase

    I think we have two actual small business clients who have received loans. Some interesting bits:

    • Both went thru local banks they'd done business with for decades.

    • Both had their applications in Day One.

    • Neither went thru the Small Business Association to have their paperwork processed, as recommended by official guidelines.

    Indeed, the herd could use some trimming. Too bad the selection process has become the Class
    War of the Millennia
    .

    And our leaders pretend to love the working man. Spoiler: Get a four year degree. If you can afford it.

    I was hoping we'd pull together and the "do the right thing". Once again my old Biology Prof's favorite admonition rings true; "People are no damned good!"

    Cannot say that I am surprised by any of this. Disappointed? Yes. Very.



  • Fed Expands "Main Street" Loan Program

    Fed expands scope of loan program to Main Street

    Companies with up to 15,000 employees or up to $5 billion in annual revenue will now be eligible for the Fed’s four-year, low-cost loans under the Main Street Lending Program. When the Fed originally announced the program, the central bank set the eligibility requirements at 10,000 employees and $2.5 billion, respectively.

    The Fed also lowered the minimum loan size available under the program, to $500,000 from $1 million.

    Courtesy Yahoo Finance

    Seriously? A half million minimum to help small businesses, eh? Sure would love to know what "Main Street" our leaders are living on.

    Better yet, please pass left..... cuz I am gonna' need a lot of help swallowing this hooey! 🚬

    The Good, The Bad, & the (Mostly) Ugly

    Courtesy US Federal Reserve

    Fed Fails to Announce Start Date

    Fed expands ‘Main Street’ lending program but doesn’t announce start date

    The Fed said that “a start date for the program will be announced soon.” The central bank said officials are working around the clock to get the program started and said there would be a series of public events to educate the public about the program.

    Courtesy of Market Watch

    Well, hey, yet another shot in the arm for the stock markets, at the least? Or not. DJIA is presently down several hundred points but that is nothing in these roller coaster days. Still plenty of time yet for some institutional investors' programmed trades to stoke the furnace.

    Yippie yi-yo kiyah!

    Well, At Least There Is Still Art

    As I was out riding one morning for pleasure
    I spied a young cowboy-a riding along
    His hat was throw'd back and his spurs were jingling
    And as he was riding he was singing this song

    Whoopee ti yi yo, get along little dogies
    It's your misfortune ain't none of my own
    Whoopee ti yi yo, get along little dogies
    You know that Wyoming will be your new home

    When spring comes along we'll round up the dogies
    We'll stick on their brands and we'll bob off their tails
    Pick out the strays, then the herd is inspected
    And the very next day we'll go out on the trail

    Courtesy Kingston Trio.

    Speaking of Which...

    We don't need no education
    We don't need no thought control
    No dark sarcasm in the classroom
    Teacher, leave them kids alone
    Hey! Teacher, leave them kids alone
    All in all it's just another brick in the wall
    All in all you're just another brick in the wall

    We don't need no education
    We don't need no thought control
    No dark sarcasm in the classroom
    Teacher, leave the kids alone
    Hey! Teacher, leave us kids alone
    All in all you're just another brick in the wall
    All in all you're just another brick in the wall
    ....

    When we grew up and went to school
    There were certain teachers who
    Would hurt the children any way they could

    By pouring their derision
    Upon anything we did
    Exposing every weakness
    However carefully hidden by the kids

    But in the town it was well known
    When they got home at night,
    Their fat and psychopathic wives
    Would thrash them within inches of their lives

    Courtesy of Pink Floyd: The Wall

    A long time ago in a galaxy far, far away....

    The year was 1979 and I'd scored something like the fourth or fifth highest grade in the class on my quantum mechanics mid-term. The above quote constituted the entirety of my final exam. Shout out to Dr. Seth Putterman!!

    Me: "You are a pompous ass."

    Putterman: "I'll give you that. Next..."

    Ah, those were the days, my friend.



  • Whoopee ti yi yo, get along little dogies

    Wealthiest Americans Raking in Billions from Coronavirus Pandemic

    After an initial decline, by April 5, billionaire collective wealth rose to $3.017 trillion from $2.9 trillion a few weeks prior. “The U.S. billionaires, the last couple of weeks seem to be ‘delinking’ from the U.S. economy,” said Chuck Collins, one of the authors of the report. “There are some huge winners.”

    Just 5 days later, according to the report, their wealth surged to $3.229 trillion — surpassing their 2019 levels.

    “Between March 18 — the near bottom point of the pandemic financial swoon — and April 10, 2020, U.S. billionaire wealth rebounded by $282 billion,” the report states.

    Uhmm... you were expecting this, right?


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