Last night, Congress agreed on a $900 billion COVID-19 stimulus package. In response the NYC Hospitality Alliance released the following statement:
"10 months into the pandemic, when countless restaurants and jobs have been lost, and indoor dining has again been shut in New York City, it's shameful that the federal government again failed to enact the bi-partisan RESTAURANTS Act, which would provide structured support to save these small businesses that have been uniquely devastated by COVID-19. While the agreed upon stimulus includes the important Save Our Stages Act, another round of the Paycheck Protection Program is a band-aid on a cannon wound, it's better than nothing, yet still a disgrace. We thank Senator Schumer and the New York Delegation for fighting hard for our industry, but clearly the crisis is far from over, and we'll continue to battle for adequate federal support to save restaurants, bars and jobs."
Topline Summary of Stimulus Package for Businesses & Workers (The exact text and details not yet released)
- $284 billion for first and second forgivable PPP loans with dedicated set-asides for very small businesses and lending through community-based lenders like Community Development Financial Institutions and Minority Depository Institutions
- $15 billion in dedicated funding for live venues, independent movie theaters, and cultural institutions
- $20 billion is included for new EIDL Grants for businesses in low-income communities
- $3.5 billion for continued SBA debt relief payments, and $2 billion for enhancements to SBA lending
- Extends and expands the refundable Employee Retention Tax Credit (ERTC), which was established in the CARES Act
- $300 per week for all workers receiving unemployment benefits, through March 14, 2021
- Extends the Pandemic Unemployment Assistance (PUA) program, with expanded coverage to the self-employed, gig workers, and others in non- traditional employment, and the Pandemic Emergency Unemployment Compensation (PEUC) program, which provides additional weeks of federally-funded unemployment benefits to individuals who exhaust their regular state benefits
- Increases the maximum number of weeks an individual may claim benefits through regular state unemployment plus the PEUC program, or through the PUA program, to 50 weeks
- Provides an extra benefit of $100 per week for certain workers who have both wage and self-employment income but whose base UI benefit calculation doesn't take their self-employment into account
- Economic Impact Payments of $600 for individuals making up to $75,000 per year and $1,200 for couples making up to $150,000 per year, as well as a $600 payment for each child dependent. Expanded these direct payments to mixed-status households, importantly providing immigrant families across the country with access to this financial relief.