Good afternoon, <<First Name>>,
As you may know, the U.S. Congress is currently reviewing final details on a COVID-19 Emergency Relief Package. It is expected that the Senate and House of Representatives will approve the measure today, December 21, with President Trump signing the legislation into law shortly thereafter.
Through our strong connections in Washington, D.C., we have been able to obtain some additional insight into some elements contained in the package. In particular, the legislation includes a wide range of items of special interest to small water technology business including:
Small Business - $325 Billion
This bill includes $284 billion for the Paycheck Protection Program (PPP) and extends PPP through March 31, 2021. Changes to PPP include:
- Provides a second PPP forgivable loan for the hardest-hit small businesses and non-profits with 300 or fewer employees and that can demonstrate a loss of 25% of gross receipts in any quarter during 2020 when compared to the same quarter in 2019;
- Creates a dedicated $15 billion set-aside for lending through community financial institutions, including Community Development Financial Institutions and Minority Depository Institutions to increase access for minority-owned and other underserved small businesses and nonprofits;
- Creates a set-aside for very small businesses with 10 or fewer employees and for small businesses located in distressed areas;
- Adds PPE expenses, costs associated with outdoor dining, and supplier costs as eligible and forgivable expenses;
- Simplifies the forgiveness process for loans of $150,000 and less; and
- Repeals the requirement of deducting an EIDL Advance from the PPP forgiveness amount.
- For more detailed information, refer to page 11 of this preliminary summary.
Economic Injury Disaster Loans (EIDL) Grant Program - $20 Billion
This bill includes $20 billion for EIDL Advance grants. Small businesses and nonprofits in low-income communities are eligible to receive $10,000 grants. Any small businesses and nonprofits in low-income communities that received an EIDL Advance previously are also eligible to receive the full $10,000 if their award was less in the first round of grants.
As linked to above, we have been able to obtain a preliminary summary of the complete COVID-19 Emergency Relief Package in advance of more detailed information becoming more widely available. Access the summary here.
We will continue to pass along useful details as they become available.
Dean Amhaus President & CEO, The Water Council
1.414.988.8751 l 247 W. Freshwater Way #500 l Milwaukee, WI 53204 USA