Initial claims for unemployment in Washington continue to be historically high, though last week’s report showed a reduction in initial claims from the previous week. Continued claims—the total number of people claiming unemployment benefits—were a record 435,891. This vastly outnumbers continued claims during the Great Recession, suggesting that this downturn could be worse.

The overall reduction in initial claims is a positive sign, but some sectors still experienced increases in initial claims (manufacturing, for example). Since March 1, the sectors with the most initial claims relative to their February employment are arts, entertainment and recreation; construction; and accommodation and food services.

Monthly economic reports from the state showed a slight decline in revenue collections and 11,100 lost jobs. But economic activity that happened after mid-March is not covered by the reports. Next month’s reports will better illustrate the impact the downturn is having on our economy.

Meanwhile, information continues to come in as to how much of the federal aid funding will flow to Washington. The biggest piece is the amount of paycheck protection loans awarded to businesses here. Funding for the program ran out on Thursday, April 16. According to the Small Business Administration, the final number of loans approved for Washington businesses is 30,421 (1.8 percent of the total) and the final amount is $6.960 billion (2.0 percent of the total). The Washington Post reports that Congress is close to a deal on legislation that would increase appropriations for the paycheck protection program by $310 billion.

Another big part of the federal aid bills is funding for states and local governments (with populations of at least 500,000) for COVID-19-related spending. Washington’s governments will get $2.953 billion. The National Governors Association thinks Congress needs to add $500 billion in more flexible aid for states facing revenue shortfalls.

Finally, we’ve been looking back over how the state responded to the Great Recession:

• Looking back at state budgeting in the Great Recession, part 1: Revenue losses
• Looking back at state budgeting in the Great Recession, part 2: How the governor and Legislature responded
• Looking back at state budgeting in the Great Recession, part 3: New resources