Congressman Steven Palazzo (MS-4) today offered strong support for passage of the Coronavirus Aid, Relief, and Economic Security (CARES) Act which is the phase three of a legislative series in Congress to bolster the United States’ response efforts and provide economic assistance to Mississippians and businesses struggling from disruptions caused by the COVID-19 outbreak.
“As the number of cases around the US grow, so does the economic concern of many Mississippians. This bill will get much needed assistance directly into the hands of Mississippians so they can continue meeting their basic needs while remaining at home and slowing the spread. The legislation also invests in our health care workers, including our rural providers, and contains strong provisions that provide significant relief to small businesses in south Mississippi. While the legislation is not perfect, I am proud to see this relief bill move forward to President Trump’s desk.”
Tax Provisions
-includes a one-time tax rebate check
-$1,200 per individual, $2,400 per couple, $500 per eligible child
-The amount listed above is not reduced for lower income Americans
-The amount listed above does decrease for higher income earners, starting at $75,000 for individuals, $112,500 for head of household, and $150,000 for married couples
-Phases out completely at $99,000 for individuals and $198,000 for married couples
-Expands unemployment insurance to cover gig workers and self-employed as well as non-profit employees
Small Business Provisions
-Creates new SBA-backed loan program to help small businesses pay for expenses
-Loans taken by small businesses to keep employees on payroll may be forgiven
-Creates “paycheck protection” program that incentivizes small businesses to keep employees on payroll
-The “Paycheck Protection Program” will provide 8 weeks of cash-flow assistance, rent, and utilities at 100% up to 2.5x average monthly payroll
-501 (c)(3)s will also be eligible for this program
-Offers extensive debt relief
-Requires Small Business Administration to enact these programs no later than 15 days after the bill is signed into law
Health Provisions
-Gets more resources into the hands of health care providers
-Expands access to care for patients
-Supports public health response by prioritizing treatment for COVID-19 patients
-Increases Medicare reimbursement rate to assist providers caring for our most vulnerable population
-Provides $16 billion for the Strategic National Stockpile to procure personal protective equipment, ventilators, and other medical supplies for federal and state response
-Allows the FDA to quickly approve the use of new medication and treatments
-Facilitates the use of new and innovative telemedicine technology to protect and contain the spread of COVID-19.
-Includes $140 billion to support the US health system
Unemployment Provisions
-Provides 13 weeks of unemployment benefits above what is available under state law
-Adds $600 to weekly compensation benefits that states provide for up to 4 months
-Provides 39 weeks of unemployment benefits under state law, including self-employed, independent contractors, those with limited work history, those who are sick with or caring for a family member with coronavirus, those caring for child or other individual whose school or place of care is closed.
-Reimburses states who have, or want to develop, unemployment benefits for those who are working but on reduced hours
-Allows states to reimburse nonprofit, government agency, and tribes for half the costs of unemployment benefits they provide to their employees
-Reimburses states for the cost of providing unemployment benefits immediately when someone becomes unemployed instead of waiting for one week
Student Loan Provisions
-Defers payments, including principal and interest, on student loans for six months
-Suspends involuntary collections of loans from wage garnishment, reduction of tax refunds or social security benefits
-For those working to earn Public Service Loan Forgiveness, months in which payments are deferred will be counted as if they were paid
-Allows colleges to pay Work Study participants even if they can’t complete work requirements because of the COVID-19
-If a student has to drop out of school because of the virus outbreak, they are still eligible for a Pell Grant and federal student loans in the future. Moreover, the semester in which they dropped out will not count toward the number of semesters they’re eligible to receive aid
You can find key provisions of the bill by clicking here.
You can download a section by section summary of the legislation here.
Palazzo sent a series of letters to House Speaker Nancy Pelosi and Republican Leader Kevin McCarthy asking for support for rural health care providers, NASA contractors, as well as religious and non-profits. In addition to his pleas to House Leadership, Palazzo joined his co-chair of the House National Guard and Reserve Caucus Rep. Tim Ryan (D-Ohio) calling on President Trump to utilize military airlift to assist repatriation efforts for Americans around the world.
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Release from Congressman Steven Palazzo.
Magnolia Tribune
