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Friday, 17 April 2020 14:08

A Summary of the COVID-19 Relief Acts

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Life has become more challenging for most of us as we sift through the various demands COVID-19 has added to our work and personal lives. The financial concerns of individuals and companies is just one area of added stress we’re facing. Since March 4, 2020, there have been four COVID-19 relief acts put in place, with possibly more to come. 

Phase 1: Coronavirus Preparedness and Response Supplemental Appropriations Act

March 4, 2020 (approximately $7.8 billion)

  • Provided $2 billion for the research and development of vaccines, therapeutics and diagnostics, $300 million in contingency funding for vaccines, and $100 million for grants aiming to improve health care.

  • Provided $1.6 billion for the international response effort to programs such as the International Disaster Assistance (IDA), Economic Support Fund (ESF), Office of the Inspector General (OIG) and the Global Health Programs (GHP)

  • Offered loans for affected small business

  • Produced grants for state, local, and tribal public health agencies and organizations

Phase 2: The Families First Coronavirus Response Act (FFCRA)
March 14, 2020 ($3.5 billion explicitly funded, total estimated cost once benefits are used is in the $100-$200 Billion range)

  • Mandated free COVID testing to all group health plans for all fully insured, self-funded, and grandfathered plans

  • Expanded the emergency FMLA rules for private-sector employers with under 500 employees

  • Requires certain employers to provide their employees with paid and sick leave for specified COVID-related reasons

  • FFCRA offers some tax credit relief for those employers now required to provide paid leave

  • Provided funding for emergency unemployment insurance provisions, increasing the ability of states to process applications and payments

  • Allocated funds for food programs for school-aged kids and other vulnerable populations, ensuring important services and pre-packaged meals are available to those in need

Phase 3: Coronavirus Aid, Relief, and Economic Security (CARES) Act

March 27, 2020 (Approximately $2.2 trillion)

  • The CARES Act implemented the payroll protection program for employers with under 500 employees

  • Provided assistance to individuals in terms of additional unemployment benefits, recovery rebate checks and student loan relief

  • Provided protections for those living in federally-backed properties to protect homeowners and renters from foreclosure and eviction

  • Expands the use of telemedicine programs and over-the-counter drug reimbursements under FSA, HRA and HSA plans

  • Included additional funding for hospitals, states, cities, local responders, and the Departments of Defense (DOD) and Veterans Affairs (VA) to protect the health of service members, veterans, and service-connected contractors

Phase 4: Paycheck Protection Program and Health Care Enhancement Act

April 24, 2020 ($484 Billion)

  • Includes more than $320 billion for the paycheck protection program

  • Roughly $60 billion of the PPP funding will be used for businesses that do not have an established banking relationship

  • Provides an estimated $75 billion for hospitals and $25 billion for coronavirus testing

  • The bill will also provide $60 billion in loans and grants for the Small Business Administration disaster relief fund

Stay tuned for news on the additional bills expected! Our national partner, Alera, also has an amazing free Coronavirus resource page with information on a variety of COVID-related topics. As always, if you have specific questions related to your business’s current challenges due to COVID, please contact your Fall River Client Manager today!

Read 1817 times Last modified on Friday, 11 September 2020 13:00