Mon, June 08, 2020
We’re nearing the 100-day mark since Florida’s first confirmed COVID-19 case, and businesses throughout Florida are continuing with their reopening efforts. Sixty-four of 67 counties began operating under Phase 2 of Governor DeSantis’ Safe. Smart. Step-by-Step. plan last Friday, and the remaining three counties (Miami-Dade, Broward and Palm Beach) are now advancing their phased-in reopening efforts similar to statewide efforts. There are now over 7 million confirmed cases globally and, sadly, over 400,000 deaths.
Here is a series of update to help you and your business:
Payroll Protection Program Updates
As of May 30th, 343,442 Florida businesses have received a PPP loan, totaling $30.5 billion in approved funding. Nationwide, the 3 top industries to receive a PPP loan are health care; professional, scientific and technical services; and construction. Accommodation and food services, and retail trade account for about 15 percent of the nationwide funding. To date, there is still roughly $100 billion remaining for loans and $10 billion of that funding has been set aside for loans by Community Development Financial Institutions. The current loan forgiveness provisions and the loan forgiveness application have been released, however new loan forgiveness provisions were passed late Wednesday evening. Expect additional details to be released by the U.S. Treasury and the SBA in the coming days and weeks to address the changes that were made in the Paycheck Protection Program Flexibility Act. For more information about the current PPP program, click here .
EIDL Funding Updates
The U.S. Small Business Administration is only accepting Economic Injury Disaster Loan (EIDL) and EIDL Advance applications on a limited basis for agricultural businesses. Additionally, the maximum loan amounts have been capped at $150,000. As of May 8th, nearly 298,000 Florida businesses received EIDL advances totaling more than $897 million. Overall, 37,740 businesses in Florida received an EIDL loan, for a total of $3 billion in funding. Click here for more details.
Main Street Lending Program Update
The Federal Reserve released lending program forms and an updated FAQ for the Main Street Lending Program, however has yet to announce a date of when the program will be operational. Businesses planning to apply should start planning now and our friends at the U.S. Chamber of Commerce have put together this useful guide of what businesses need to know about the program. For more information about the Main Street Lending Program, click here.
“Phase 4” Coronavirus Relief Legislation
The House and Senate are still debating what a Phase 4 Coronavirus Relief package might look like. The House passed a $3 trillion Heroes Act, H.R. 6800, which included federal aid for state and local governments, provided rent and mortgage relief and significantly expanded unemployment and food assistance programs. It also had several bad-for-business provisions including retroactive repeals of business-friendly tax provisions as well as an extension of the $600 federal unemployment benefit through January of 2021.
The Senate has not indicated an appetite to pass the Heroes Act, and instead is focused on releasing their own bill to include safe harbor protections for businesses and employees that are doing the right thing to keep employees and customers safe. The Florida Chamber has long advocated for federal action to provide frivolous litigation safe harbors to businesses that follow federal public health and safety guidance.