JEDE COVID-19 Midweek Update - November 18 Edition

MAJOR ANNOUNCEMENTS

  • Unprecedented Surge in COVID-19 Cases:  Governor Newsom announced revisions to the Blueprint for Recovery framework.  https://www.gov.ca.gov/2020/11/16/governor-newsom-announces-new-immediate-actions-to-curb-covid-19-transmission/ In addition, the Governor is requiring that face coverings be worn by every individual whenever outside their home, with limited exceptions.  These changes are being made in response to the significant surge in COVID-19 cases.  

    • 40 of the state’s 58 counties currently reside in Tier 4 – Purple/Widespead/Most Restrictive, which includes over 94% of California’s population.

    • Rather than once a week, changes in county tier assignments may occur any day of the week and may occur more than once a week.

    • A county may be moved back more than one tier position, if the CDPH determines that that is the most appropriate intervention.    

    • When moving to a more restrictive tier, the county will be required to implement related operational changes the day following the tier announcement.

  • Revising the Definition of Small Business:  The SBA published three proposed rules in the Federal Register recommending the revision of the small business size definitions. Under the Small Business Jobs Act of 2010, the SBA is required to undertake a comprehensive review of small business size standards every 5 years.

  • 2021 Legislative Calendar:  The Assembly Desk has released the 2021 legislative calendar.  https://www.assembly.ca.gov/legislativedeadlines A selection of key dates are provided below.

    • December 7Members sworn-in

    • January 4:  Legislature reconvenes

    • January 10:  Budget must be submitted by Governor

    • January 22:  Last day to submit bill requests to the Office of Legislative Counsel

    • February 19:  Last day for bills to be introduced

    • March 25 to April 5:  Spring Recess

    • April 30:   Last day for policy committees to report bills to the fiscal committee

    • May 7:  Last day for policy committees to report non-fiscal bills to the floor

    • May 25:  Last day for fiscal committees to report fiscal bills to the floor

  • Exploring Careers in Economics:  Federal Reserve Governor Lael Brainard spoke at the "Exploring Careers in Economics" event sponsored by the US Federal Reserve Board.  https://www.federalreserve.gov/newsevents/speech/brainard20201117a.htm  

“Economics can give you a powerful framework to explore the questions that matter most to you. Let me give a few examples of some important questions and the economic practitioners who made a big impact in addressing them.

So here's one: How can we help protect working women and men and their families from the financial devastation of job loss due to forces beyond their control? Frances Perkins first began thinking about that question as a young White girl in the manufacturing hub of Worcester, Massachusetts in the 1880s. When Frances asked her father why nice people could fall into poverty, he replied that this was a question little girls should not concern themselves with. Fortunately, Frances did not listen to him. In college, Perkins took an economics class where she started exploring the impact of rapid industrialization on the lives of working people. Her professor encouraged students to visit local factories to see firsthand some of the brutal working conditions facing women and children. That early field research sparked Perkins' determination to bring about improved working conditions and established her careful attention to gathering data.

Perkins went on to become a key author of the New Deal, and served as Labor Secretary for a record 12 years, despite considerable opposition to the appointment of the first woman Cabinet secretary. She persuaded Roosevelt to put in place a system of unemployment insurance and built the Labor Department's capability to compile the necessary employment statistics. She worked hard to secure legislation codifying core labor rights, and she played a key role in designing and implementing Social Security.”

  • Cal/OSHA Training Academy:  The California Labor and Workforce Agency announced that Cal/OSHA Training Academy is offering courses for employers and workers.  https://trainingacademy.dir.ca.gov/page/on-demand-training-covid19   Through the Cal/OSHA Training academy, employers and workers can access online training courses, current guidance documents, as well as videos and other materials related to occupational safety and workplace safety.

  • Interagency Groups Will Meet on Veterans Small Business Issues:  The US Small Business Administration announced that the Interagency Task Force on Veterans Small Business Development will meet on December 2, 2020, at 1:00 to 3:30 pm, and the Advisory Committee on Veterans Business Affairs (ACVBA) will meet on December 3, 2020, from 9:00 am to 3:30 pm. Both meetings can be accessed online.   https://www.sba.gov/article/2020/nov/16/sba-veterans-small-business-advisory-committees-host-virtual-public-meetings-dec-2-3   

GOOD NEWS FOR SMALL BUSINESS FRIENDS

  • Tracy Stanhoff:  The Southern California Minority Supplier Development Council is honoring Tracy Stanoff with the 2020 Progressive Leader Award.  https://www.scmsdc.org/events  She will receive her award at the SCMSDC’s 36th Annual Leadership Excellence Awards, which is being held on November 19, 2020.  Tracy is the President of the American Indian Chamber of Commerce of California.  Earlier this year, Tracy received the 2020 District Director’s Award for the Orange County and Inland Empire SBA District. 

  • Pamela Haynes and Amy Costa:  The California Community Colleges Board of Governors announced the election of Pamela Haynes to the position of board president, and Amy Costa was selected to serve as vice president. https://www.cccco.edu/About-Us/News-and-Media/Press-Releases/2020-BOG-ELECTIONS-PR  According to the announcement, “Haynes is the first African American to lead the governing board of the nation’s largest system of higher education, and this is the first time two women will serve as president and vice president.”

DATA, SURVEYS, AND ANALYSES

  • State Unemployment Benefit Data:  The Employment Development Department (EDD) released new unemployment insurance data for California on October 31, 2020.  https://www.edd.ca.gov/newsroom.htm  Among other information, the weekly Unemployment Benefits report for the period prior to the shutdown states:

    • 39,987 initial Unemployment Insurance (UI) and Pandemic Unemployment Assistance (PAU) claims were filed for the week ending October 31, 2020.

    • Over 10 million initial unemployment benefit claims have been filed with EDD between March 14 and October 31, 2020.

    • $109 billion has been paid to out-of-work Californians since the start of the pandemic. https://www.edd.ca.gov/About_EDD/pdf/news-20-61.pdf

  • Impact of COVID-19 on City Revenues:  The California State Auditor has issued a report, Impact of COVID-19 on City Revenueshttps://auditor.ca.gov/local_high_risk/covid-19/process_methodology.html The report found that nearly all cities in California were impacted to some degree.  Localities which had the highest percentage of their total revenues coming from sales and use taxes and business license fees were the least effected.  Communities which relied on hotel and tourism related fees were significantly impacted.

  • 2020 Distressed Communities Index and Report:  The Economic Innovation Group released its 2020 Distressed Communities Index (digital interactive map) and a related report, The Spaces Between Us: The Evolution of American Communities in the New Century.   https://eig.org/dci   The report analyses neighborhood-level well-being using a racial equity lens.  According to the announcement, the report found that:

    • 50.5 million people in the US live in distressed communities, and 56% of these individuals are people of color.

    • The population living in prosperous zip codes doubled between 2000 and 2018, as low-income neighborhoods became more isolated.  This was especially true in Western states.

    • Nearly one-quarter of working adults who live in distressed zip codes were employed in services sectors, which have now become the frontline workers of the COVID-19 pandemic.

GRANTS

  • FY 2019 EDA Disaster Supplemental Funding:  The US Department of Commerce announced the availability of $587 million in supplemental disaster funding.  https://www.grants.gov/web/grants/view-opportunity.html?oppId=319126  There is a match requirement and funds can be used to help communities implement long-term economic recovery strategies from disaster that occurred in 2018 and 2019, as specified.  Accommodation-related taxes were reported to be down 66%, while sales tax was down 12% and business license fees were down 6%.  Eleven cities are identified as needing to severely cut services due to reduced revenues and 21 cities are cited as having sufficient reserves to weather this economic downturn.

CURRENT GUIDANCE ON STATE COVID-19 AND RECOVERY ACTIONS

[This is a “quick-source” section that includes new and previously provided information.]
  • Blueprint for a Safer Economy:  Businesses can check out the status of the reopening of their county through the Blueprint for a Safer Economy (https://covid19.ca.gov/safer-economy/). This is the state’s four tier reopening plan.  Tier 1 (purple) has the most restrictions and Tier 4 (yellow) has the fewest. 

Most Recent Tier Assignment Changes (11/16)*
Back to Purple from Red
Contra Costa • Fresno • Glenn • Kern • Kings • Mendocino • Merced • Orange • Placer • San Benito • San Joaquin • San Luis Obispo • Santa Barbara • Santa Cruz • Solano • Stanislaus • Sutter • Ventura • Yolo • Yuba
Back to Purple from Orange
Alameda • Butte • El Dorado • Napa • Nevada • Santa Clara • Siskiyou • Trinity • Tuolumne
Back to Red from Orange
Colusa • Del Norte • Marin • Modoc • Mono • Plumas • San Mateo
Back to Red from Yellow
Humboldt • San Francisco
Back to Orange from Yellow
Calaveras • Sierra
*Tier assignments may occur any day of the week and may occur more than once a week when CDPH determines that the most recent reliable data indicate that immediate action is needed to address COVID-19 transmission in a county.
 
 
 
 
 

 

STATUS REPORTS ON SMALL BUSINESS LENDING 

[This is a “quick-source” section that includes new and previously provided information.]
(4558-DR-CA) Wildfire - SBA Disaster Assistance (11/18)
CA Loans (EIDL) Approved
34
Dollar Amount of CA Loans (EIDL) Approved      
$3,275,500
CA Home Loans Approved
362
Dollar Amount of CA Home Loans Approved
$43,553,000
Total Dollars Approved
$45,840,600

 

(4569-DR-CA) Wildfire - SBA Disaster Assistance (11/18)
CA Loans (EIDL) Approved
1
Dollar Amount of CA Loans (EIDL) Approved      
$5,900
CA Home Loans Approved
41
Dollar Amount of CA Home Loans Approved
$5,227,600
Total Dollars Approved
$5,283,50
  • Small Business Disaster Loan Guarantee Program:  The Small Business Finance Center at the California Infrastructure and Economic Development Bank administers a credit enhancement (loan guarantee) as a way to encourage traditional and mission-driven lenders to loan money to small businesses who have been impacted by a disaster.  Below is the most recent program activity.

State Small Business Disaster Loan Guarantee Program (October 2020)
 
Conditionally Approved
Loan Amount
Guarantee Amount
Amount Encumbered
Employees
Total
658
$21,933,818
$20,721,496
$10,360,748
3140
The IBank provides the Joint Legislative Budget Committee an update monthly
Great Plates Delivered (11/18)
Meals served as of 11/15
16,655,033
Individuals Served This Week as of 11/15
55,467
Food Providers Contracted as of 11/15
795
Data received from Great Plates Data Portal updated on Sundays
 
 
 
 

 

  • Tracking UI Benefits:  The California Employment Development Department (EDD) launched identity verification technology to help address the backlog of unprocessed unemployment benefit applications, including the Pandemic Unemployment Assistance.  As of October 21, 331,492 individuals have been waiting more than 21 days for an initial payment. Updates are available through EDD’s new:

COMMEMORATING SMALL BUSINESSES, WORKERS, AND INCLUSIVE ECONOMIC PROSPERITY

[This is a “quick-source” section that includes new and previously provided information.]

FREE WEBINARS

JEDE maintains a list of on-demand webinars on our website.  You can access this list at https://ajed.assembly.ca.gov/content/demand-webinars-available-24-7.  Webinars cover a range of topics, including federal disaster programs, marketing during the COVID-19 pandemic, and accessing international markets.

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