Governors say states should get $500 billion more to address shortfalls
On Saturday, the National Governors Association (NGA) asked Congress to increase federal aid funds for state governments and make them more flexible. The third coronavirus aid bill (CARES Act) that was passed in March included $150 billion to be shared by state, local, and tribal governments. The funds must be used for needs related to […]
10th of April 2020
Washington’s public higher education institutions and their students will receive $185.3 million from federal aid bill
The third federal aid bill included $14.2 billion for a higher education emergency relief fund, for needs related to coronavirus. The U.S. Department of Education announced yesterday how $12.5 billion of that will be distributed. Of the allocation amounts, half must be used for financial aid grants to students. Department of Education Secretary DeVos said, […]
8th of April 2020
Federal funding for small business loans may be increased, and the state offers new grants
The third federal aid bill included $349 billion for paycheck protection loans for small businesses. The Wall Street Journal reports, Heavy requests for the previously approved $350 billion in loans are pushing Republican and Democratic lawmakers to consider augmenting the Paycheck Protection Program less than a week after it started accepting loan applications. President Trump […]
2nd of April 2020
Paycheck protection loans and startups
As the Association of Washington Business writes, small businesses may apply for the federal Paycheck Protection Program (PPP) beginning tomorrow. These forgivable loans were funded in the third federal aid bill and are meant to be used for payroll and other costs (more details here). Startups may not be eligible for these loans, according to […]
1st of April 2020
Funding for public schools and higher education in third federal aid bill
The third federal aid bill includes $30.75 billion for an education stabilization fund that will be split among states, elementary and secondary schools, and higher education institutions. This includes: $3.0 billion for emergency education relief grants to states. Governors will award funds to local educational agencies and higher education institutions that “have been most significantly […]
31st of March 2020
Mortgage relief and eviction prohibitions in federal aid bill and in Washington state
The federal coronavirus aid bill includes provisions that provide mortgage relief and suspend evictions and foreclosures. First, borrowers with federally-backed mortgages on residential properties with one- to four-family occupancy who are “experiencing a financial hardship due, directly or indirectly, to the COVID-19 emergency may request forbearance.” The forbearance period would last for 180 days and […]
A bit of good news for state budget writers tucked into federal aid bill
Federal law requires states to make disproportionate share hospital (DSH) payments to hospitals that serve high numbers of Medicaid and uninsured patients. The federal government provides an annual allotment to states for this purpose. (Washington’s preliminary allotment for FY 2019 was $212.9 million.) The Affordable Care Act (ACA) required these federal allotments to be reduced […]
30th of March 2020
Federal aid bill includes relief for airlines, workers
The federal coronavirus aid bill that was signed into law March 27 provides $25.0 billion for loans and loan guarantees for passenger air carriers, $4.0 billion for loans and loan guarantees for cargo air carriers, and $17.0 billion for loans and loan guarantees for “businesses critical to maintaining national security.” The duration of such loans […]
27th of March 2020
Tax provisions in federal stimulus package include individual rebates and employer payroll tax credits and deferrals
Altogether, the tax provisions in the federal stimulus package, which was passed by Congress today, are estimated by the Joint Committee on Taxation to reduce federal revenues by $605.5 billion through fiscal year 2025. Of that reduction, $292.4 billion is from the bill’s rebate for individuals. The rebate will be $1,200 for singles and $2,400 […]
Small business loans in the federal aid bill
Under the federal coronavirus aid bill, as passed by Congress, the Small Business Administration (SBA) would guarantee “paycheck protection loans” for businesses with fewer than 500 employees, sole proprietors, independent contractors, and the self-employed. The loans could be used for payroll costs (except the compensation of individual employees over $100,000 annually), health benefits, salaries, mortgage […]