Two Federal Small Business Loan Programs are Out of Money: The SBA issues a "Lapse in Appropriation" notice signaling that the SBA would no longer be accepting new applications for the Paycheck Protection Program or the Economic Injury Disaster Loan (EIDL)-COVID-19 .
EIDL applicants who have already submitted their applications will continue to be processed on a first-come, first-served basis.
Prospective borrowers with an EIDL loan application # who have questions about that application please call 1-800-659-2955 or email disastercustomerservice@sba.gov.
Prospective PPP borrowers need to check with the lender to learn the status of their loan.
Some SBA Programs are Still Available: As funding levels on the PPP and the EIDL programs dropped, SBA has increased the marketing of its other small business loan products, including the SBA 504 loan. The current rate for an SBA 504 25 year debenture is 3.03% and, under the debt relief provision of the CARES Act, SBA will cover the first 6 months of the SBA loan payments for all SBA 504 debentures funded between March 27 and September 27, 2020. https://www.sba.gov/funding-programs/loans
California Receives Largest Share of PPP Money: The Small Business Administration released updated figures on Friday after money for its $349 billion program ran out. California received $33.4 billion, followed by Texas with $28.4 billion and New York with $20.3 billion.
Food Trucks for Essential Workers: The executive order allows for commercially licensed food trucks to be able to temporarily operate in roadside rest areas for a period of 60 days, to ensure essential infrastructure workers have access to food. Caltrans will be charged with developing and implementing a process to administer the temporary permits.
California Economic Recovery Task Force: Governor Newsom announced a new advisory board, the Task Force on Business and Jobs Recovery, comprising 80 members including all four living past Governors, the President Pro Tempore of the Senate, the Speaker of the California State Assembly, and industry and labor leaders, among others. Co-chaired by Tom Steyer and the Governor’s Chief of Staff Ann O’Leary, the Task Force will meet twice a month throughout 2020 to develop options that would work for all Californians, with a particular focus on those hardest hit by the pandemic.
Federal Economic Recovery Task Force: President Trump announced a new advisory board, the Great American Economic Revival Industry Groups, comprising 111 members representing workers and owners in the fields of finance, real estate, manufacturing, technology, health care, construction, agriculture, and thought leaders.
California Losses Greatest Number of Jobs: The US Department of Labor released state employment data for March 2020. Nonfarm payroll employment decreased in 31 states with the largest job declines occurring in California (-99,500), Texas (-50,900), and New York (-41,700). California’s unemployment rate was reported to be 5.3% with a national seasonally adjusted rate of 4.4%. Louisiana reported the highest unemployment rate for March 2020 of 6.9%. More details on the make-up of California’s March 2020 employment will be released by EDD on April 21, 2020. https://www.bls.gov/news.release/laus.nr0.htm
Veterans Affairs Recipients will Receive Automatic Economic Impact Payments: The Internal Revenue Service, working in partnership with the Treasury Department and the Department of Veterans Affairs, announced today that recipients of VA benefits will automatically receive automatic Economic Impact Payments. Veterans and their beneficiaries who receive Compensation and Pension (C&P) benefit payments from VA will receive a $1,200 Economic Impact Payment with no further action needed on their part. Timing on the payments is still being determined. In making this announcement, the IRS noted that moving VA recipients into the automatic payment category follows weeks of extensive cooperative work between VA, Treasury, IRS, and the Bureau of Fiscal Services. Information is from the IRS Newswire IR-2020-75.
Food Trucks for Essential Workers: Governor Newsom issued an executive order (N-52-20) to allow commercially licensed food trucks to temporarily operate in roadside rest areas for a period of 60 days, to ensure essential infrastructure workers have access to food. Caltrans will be charged with developing and implementing a process to administer the temporary permits.
HOT LINES FOR FAST SERVICE FOR SMALL BUSINESS COVID-19 CHALLENGES
Norcal SBDC Network: Serving businesses located in Alameda, Amador, Butte, Calaveras, Contra Costa, Colusa, Del Norte, El Dorado, Humboldt, Glenn, Lake, Lassen, Marin, Mendocino, Modoc, Napa, Nevada, Placer, Plumas, Sacramento, San Mateo, San Joaquin, Shasta, Santa Cruz, Sierra, Siskiyou, Solano, Sonoma, Sutter, Tehama, Trinity, Yolo, Yuba, Counties and the City and County of San Francisco.
Central California SBDC Network: Serving businesses located in Fresno, Inyo, Kern, Kings, Madera, Mariposa, Merced, Monterey, Mono, San Luis Obispo, San Benito, Stanislaus, Tulare, and Tuolumne.
COVID-19 Business Impact Survey Results: A number of groups have been surveying their businesses. The surveys below were undertaken in the early days of the COVID-19 emergency. Some groups may be planning another round of surveys at the end of April. Stakeholders are encouraged to share their surveys with JEDE.
Main Street Business Loan Program: The Federal Reserve released initial information about the new Main Street Lending Program, as authorized under the CARES Act. The purpose of the program is to provide small and mid-sized businesses access to liquidity. Using $75 billion in equity from the US Treasury, the Federal Reserve will provide up to $600 billion in capital to participating lenders that will provide qualifying loans to eligible businesses. The Main Street Lending Program will offer 4-year loans to companies employing up to 10,000 workers or with revenues of less than $2.5 billion, who are in good financial standing before the crisis. Principal and interest payments will be deferred for one year.
Guidance Issued on Manufacturing Worker Safety: The federal Occupational Safety and Health Administration (OSHA) issued an alert listing safety tips employers can follow to help protect manufacturing workers from exposure to coronavirus. These measures include, but are not limited to, practicing social distancing, establishing flexible work hours, staggered shifts, training workers on how to properly use and maintain protective clothing and equipment, promoting personal hygiene, providing disinfectants and disposable towels workers can use to clean work surfaces, and encouraging workers to report any safety and health concerns. This guidance is available in English and Spanish. https://www.dol.gov/newsroom/releases/osha/osha20200416
Expand Eligibility for PPP Loans: Federal Reserve Board announced a change in the Payment Protection Program which allows certain bank directors and shareholders to apply for loans for their small businesses. To prevent favoritism, the rules limit the type and quantity of loans available under this temporary rule. This rule announcement states that these loans have prevented some small businesses, especially those in rural areas, from accessing loans under the Payment Protection Program. https://www.federalreserve.gov/newsevents/pressreleases/bcreg20200417a.htm
Grant Funding for Workforce Training to Deaf and Hard of Hearing Individuals: The Employment Development Department announces the availability of Wagner-Peyser 10% Governor’s Discretionary funds for Program Year 2020-21. Eligible proposals are to assist job-ready deaf and hard of hearing individuals in searching for, obtaining, and retaining unsubsidized employment and career advancement opportunities. The Solicitation for Proposal is open to public agencies and private non-profit corporations. Individuals are not eligible to apply. Proposals are due May 15, 2020. https://www.edd.ca.gov/Jobs_and_Training/pubs/wsin19-42.pdf
Gant Funding for Farmworkers: The US Department of Labor today announced the availability of up to $91.8 million in grant funding to support the economic stability of farmworkers through the National Farmworker Jobs Program - Career Services and Training Grants and Housing Grants. Eligible applicants include, but are not limited to, state workforce agencies, workforce agencies of outlying areas, non-profits and Tribal organizations. In addition to assisting farmworkers to access affordable housing, qualifying projects include workforce training to assist farmworkers and their dependents to acquire skills to either stabilize or advance in their agricultural jobs or obtain employment in new industries or occupations.
Save Small Business Fund: The US Chamber of Commerce is sponsoring a grant making initiative, Save Small Business Fund, capitalized by corporate and philanthropic partners. The Save Small Business Fund will provide $5,000 grants to as many small employers as they can. These are one-time supplemental cash grants for businesses that have 3-to-20 employees and operate in economically vulnerable communities. The grant application will go live on Monday, April 20 at 12:00 PM PT/3:00 PM ET.
The Governor’s Office of Business and Economic Development (GO-Biz) launched an on-demand COVID-19 webinar series. GO-Biz will use these webinars to provide updates from the Office of the Small Business Advocate, the Business Investment Services Unit, the International and Sustainable Freight and Goods Movement teams on resources, and other guidance and state actions taken to assist businesses. Link to the first webinar: https://www.youtube.com/watch?v=iAHT1HJyJUc&feature=youtu.be
Update from the Port of Los Angeles: At the Port of Los Angeles, all terminals and gates are open. Each day their website is updated with information on our activities during the COVID-19 public health crisis. Information includes the vessels in port, container terminal gate hours, the USNS Mercy, and void sailings https://www.portoflosangeles.org/covid-19
12 ships in port today: 7 container, 2 liquid bulk, 1 vehicle carrier, 1 cruise ship, and USNS Mercy.
The NCL Jewel is in port for fuel, ship stores and to transfer of some crew to chartered coach and air transport home.
Number of blank sailings are at: 2 for late April, 14 for May, 11 for June, and 3 for July.
Logistics Victory Los Angeles (LoVLA.org) is receiving a donation of 160,000 face shields from Apple Inc. (AAPL). Donated through Apple’s Giving program, the face shields will assist in L.A.’s response to the COVID-19 pandemic. COVID-19 caregivers in Southern California are running low on certain supplies, including isolation gowns, examination gloves, face shields, medical ventilators, N95 masks, and IV drip apparatus.
Registration for potential PPE suppliers: www.LoVLA.org.
The Port of Los Angeles released another video message from Executive Director Gene Seroka describing the construction projects that continue to move forward and the anticipation of a stronger April. https://www.youtube.com/watch?v=3Q6BCkf3wdM
Update from Ontario Airport: Ontario International Airport freight shipments surge by 22% in March 2020. More than 70,000 tons of commercial cargo moved through the airport, up 12,600 tons from the same month in 2019. From January through March, Ontario handled 186,000 tons or freight, a 13% increase over the first three months of last year. https://ajot.com/news/ontario-international-airport-freight-shipments-surge-by-22-in-march
Stopping Fraud: The Federal Trade Commission (FTC) has charged a Rhode Island-based company and its owner with falsely claiming to be an approved lender for a federal coronavirus relief lending program and asked a federal court to immediately halt their misrepresentations. The FTC’s complaint alleges that Ponte Investments, LLC, also doing business as SBA Loan Program and SBA Loan Program.com, and its owner John C. Ponte, have been falsely claiming an affiliation with the U.S. Small Business Administration (SBA) and marketing themselves to small businesses as an approved lender under SBA’s Paycheck Protection Program (PPP). According to the FTC, the defendants are neither affiliated with the SBA in any way, nor are they an SBA-authorized lender. https://www.ftc.gov/system/files/documents/cases/sbacomplaint.pdf?utm_source=govdelivery
Immigrant Assistance Guide: Governor Newsom released a new COVID-19 Immigrant Guide, which highlights the benefits and other assistance available to immigrants in California, including assistance that can be provided without regard to immigration status. The COVID-19 Immigrant Guide was created in partnership with Listos California. This guide builds on other activities of the state to support immigrant workers, including the $75 million in statewide disaster assistance funding announced previously and the $50 million committed by the philanthropic community through the California Immigrant Resilience Fund.
New Webpage Report Scams: The Treasury Inspector General for Tax Administration announced a new website providing information concerning IRS-related coronavirus scams - https://www.treasury.gov/tigta/coronavirus.shtml. Taxpayers may also report potential coronavirus scams to TIGTA at: www.tips.tigta.gov
