Chamber Members:
Today’s update is going to be light as we want to share just a couple of updates as previously reported issues have progressed. Also, please remember that tomorrow morning will be our video conference with Congressman Foster and Representative Walsh Jr. Here are the details:
COVID-19 Discussion with U.S. Congressman Bill Foster and State Representative Larry Walsh Jr.
Fri, Apr 17, 2020 9:30 AM – 10:30 AM (CDT)
Please join my meeting from your computer, tablet or smartphone.
https://www.gotomeet.me/jolietchamber/april17coronavirusdiscussion
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United States: +1 (571) 317-3112
Access Code: 963-724-549
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The $349 billion lending program for small businesses has run out of funds. The Small Business Administration (SBA) has run out of money for its Paycheck Protection Program (PPP). The Treasury Department and SBA have tapped the entirety of funding allotted for the PPP. “The SBA is currently unable to accept new applications for the Paycheck Protection Program based on available appropriations funding. Similarly, we are unable to enroll new PPP lenders at this time,” the SBA said in a statement this morning.
The SBA also said that the $10 billion Congress appropriated for Economic Injury Disaster Loans had dried up. The program was meant to get fast cash to businesses, providing them with a $10,000 advance within just a few days of application for loans of up to $2 million.
We have been in communication with the offices of Senator Durbin, Senator Duckworth, and Congressman Foster to relay the message of how important it is to our members that both funds are replenished as soon as possible. So many small businesses are relying on these programs to keep the doors open and be able to make payroll. Nothing was passed in the Senate today so this topic will have to wait until Monday for further action.
Unemployment numbers continue to soar. Another 5.2 million people filed initial unemployment claims for the week ending April 11, according to the Department of Labor. Over the past four weeks, 22 million Americans have filed for unemployment, the sharpest and most severe rise in joblessness in the nation’s history.
Reopening the economy talks continue to progress. The question of how quickly to reopen the economy has emerged as the latest political battleground dividing parties in Washington. Retail sales plunged a record 8.7% in March, easily surpassing the previous record, a 3.7% drop in November 2008 during the Great Recession. The answer and reaction to the unemployment numbers and sales percentage varies from a need to hurry and reopen on May 1st to slowly and carefully reopen in order to reserve panic to prevent further shutdowns amid additional virus spread. Governor Pritzker has started a coalition of six other Midwest states to work on a regional plan. President Trump just unveiled guidance this afternoon for a phased reopening of parts of the U.S. economy that leaves the final decisions up to governors. The 18-page document, which was distributed to governors during a conference call Thursday afternoon, recommends that states see a downward trajectory in the number of confirmed coronavirus cases as well as flu-like symptoms before they move to lift stay-at-home orders and other restrictions meant to curb the spread of the virus. It also recommends that states and regions see a decline in documented cases over a period of 14 days, ensure that hospitals can treat all patients without crisis care, and have a robust testing program in place including antibody tests for at-risk health care workers before moving to the phased reopening.
Yesterday, we covered the administrative rulemaking undertaken by the Illinois Workers Compensation Commission (IWCC). In review, the commission voted to approve a rule that would all but guarantee workers compensation benefits for any worker who contracts COVID-19. The expansion was undertaken without consultation with the employer community and was clearly rushed through. The Illinois Chamber of Commerce is consulting closely with partners in the business community to determine an appropriate and aggressive response to this government overreach. We are also seeking information to see whether these claims will increase premiums.
Attention Bar & Restaurant owners! If you have laid off employees due to the COVID-19 pandemic, they are not only eligible for unemployment benefits and the federal unemployment stimulus benefits but could also receive a $1,000 grant from Samuel Adams and The Greg Hill Foundation through their Restaurant Strong Fund. Employees can apply ONLINE for the grant but must apply by April 30th.
Finally, let us talk again about how all of this is impacting our local municipalities. Previous legislation passed by Congress to address the COVID-19 pandemic only provides direct financial support to cities with populations over 500,000. This excludes hundreds of smaller cities and counties facing tough financial decisions in the coming weeks and months. The Coronavirus Community Relief Act (H.R. 6467) ensures funding for cities of all sizes and allows greater flexibility for how these funds can be used. This new legislation allows cities to use the funds to cover losses they have incurred from closed businesses and canceled programs. We will be watching to see if these needs can be met during the discussions on infusing more money into the PPP and EIDL funds.
Stay well,
Joliet Region Chamber of Commerce & Industry Staff and Board of Directors
Mike Paone
Vice President – Government Affairs
Joliet Region Chamber of Commerce & Industry
815.727.5371 main
815.727.5373 direct