Bill would exempt amounts businesses have received in government-funded grants and forgiven loans from the B&O tax (and other state taxes)
Through Aug. 8, 2020, 107,659 paycheck protection program (PPP) loans were made to businesses in Washington. The total amount of the loans was $12.465 billion. Nationally, $525.012 billion was loaned to 5,212,128 businesses. The program was first established in the federal CARES Act, to provide funding for businesses—mainly to keep employees on the payroll during […]
28th of December 2020
Washington has allocated more than it received from the coronavirus relief fund
Originally, states and local governments had until Dec. 30, 2020 to use their shares of the federal Coronavirus Relief Fund (CRF). Gov. Inslee has allocated $2.218 billion—$50.6 million more than the state government received from the federal government. This is based on allocation memos posted by the Office of Financial Management (OFM) to date. (The […]
Washington will use federal CARES Act funds to provide “pandemic relief payments” in response to the lapse in federal unemployment insurance benefits
Earlier this month, Gov. Inslee announced that Washington would use $54.6 million of the state’s share of the federal Coronavirus Relief Fund (CRF) for unemployment insurance benefits for people in the federal Pandemic Unemployment Assistance (PUA) program, if the federal government didn’t act to extend the program before it was set to expire on Dec. […]
22nd of December 2020
New federal coronavirus aid bill extends the time states have to spend coronavirus relief fund money
Congress has passed new COVID-19 aid, as part of the FY 2021 appropriation bill. The COVID-19 aid portion appropriates $900 billion. The hold-up in getting a new relief package has been disagreements over whether to include liability protections for businesses and funding for state and local governments. In the end, neither policy was included. However, […]
11th of December 2020
The governor plans to allocate another $50 million for business grants, plus $55 million for unemployment benefits (if Congress fails to act)
On Tuesday, Gov. Inslee announced that an additional $50 million will be allocated for Working Washington grants for businesses. This is on top of the $50 million for these grants that was announced in November. The governor didn’t specify where this funding is coming from, but it sounds like it will come out of the […]
3rd of December 2020
More details on how federal funding will be used for economic support, as applications are open for a new round of small business grants
Last week I wrote about the additional allocations of the state’s share of the federal Coronavirus Relief Fund (CRF) that Gov. Inslee made for economic support. The Office of Financial Management has now posted the official allocations of these funds (here and here), totaling $135 million: $15 million for low income home energy assistance, $20 […]
24th of November 2020
How important is another federal relief bill to Washington’s budget?
Earlier this year, Congress enacted relief packages that appropriated trillions of dollars. But since the spring, Congress has failed to enact additional funding. A new federal aid package may be welcome for many reasons—including for businesses and individuals. State and local governments have asked for more funding as well. But such additional funding for state […]
23rd of November 2020
Federal dollars replace rainy day fund appropriations; if the rainy day fund is replenished, there is no longer a budget shortfall
Gov. Inslee has allocated $122.2 million from the state’s share of the federal Coronavirus Relief Fund (CRF) to replace funds that the state Legislature appropriated from the rainy day fund in March. If the state funds are returned to the rainy day fund, the 2019–21 budget is back in balance over four years. In March, […]
Gov. Inslee allocates additional federal funds for economic support
On Sunday, Nov. 15, Gov. Inslee announced that he would allocate $50 million of the state’s share of the federal Coronavirus Relief Fund (CRF) for aid for businesses. As I wrote last week, a proposal for use of CRF dollars that the governor submitted to the Legislature on Nov. 17 also included $20 million for […]
20th of November 2020
More information on the proposed $50 million in business assistance
On Sunday, Gov. Inslee announced $50 million in aid for businesses but provided few details. Joseph O’Sullivan of the Seattle Times reports that the $50 million will come from the state’s share of the Coronavirus Relief Fund (CRF). The governor has not formally made the allocation, but he has shared his plan with the Legislature. […]