JEDE COVID-19 Update for April 24, 2020

MAJOR COVID-19 ACTIONS AND ANNOUNCEMENTs

PROGRAM ANALYSIS

ECONOMIC RECOVERY

GLOBAL ACTIONS

  • Japanize Financial Supports for Ag and Fisheries:  As part of the Government of Japan’s COVID-19 emergency economic package, the Ministry of Agriculture, Forestry and Fisheries (MAFF) is expected to receive a 545 billion yen ($5 billion) supplementary budget. Over 35 percent of MAFF's budget will be allocated for spending to support the food service and related industries after the spread of COVID-19 slows. The livestock, dairy, horticulture, forestry, and fishery industries as well as products for export are eligible to receive support through the supplementary budget. https://gain.fas.usda.gov/#/  

  • Netherlands Financial Supports for Potatoes:  The Netherlands is one of Europe’s largest producers and one of the world’s largest exporters of frozen pre-fried potato products (mainly French fries) and heavily depends on export markets. COVID-19-related closures have resulted in 1.5 million MT of the 2019 ware potato harvest still being in storage.  The industry has undertaken several initiatives to find alternative uses for almost one million MT. In addition, the Dutch government announced a €50 million program to compensate ware potato growers for the effects of the corona virus.  https://gain.fas.usda.gov/#/

  • World Bank Predicts Sharp Decline in Remittances:  Global remittances are projected to decline sharply by about 20% ($445 billion) in 2020 due to the economic crisis induced by the COVID-19 pandemic and shutdown. The projected fall, which would be the sharpest decline in recent history, is largely due to a fall in the wages and employment of migrant workers, who tend to be more vulnerable to loss of employment and wages during an economic crisis in a host country.  https://www.worldbank.org/en/news/press-release/2020/04/22/world-bank-predicts-sharpest-decline-of-remittances-in-recent-history

  • The Coronavirus Global Response Fund:  The European Union is joining global partners to kick-start a pledging effort – the Coronavirus Global Response Fund. Moneys raised will be used to develop fast and equitable access to safe, quality, effective and affordable diagnostics, therapeutics and vaccines against coronavirus. The initial funding goal is to raise €7.5 billion ($8.12 billion).  https://europa.eu/covid19/coronavirus-global-response-eu-launches-pledging-effort-2020-04-24_en

IMPORTANT COVID-19 PROGRAM AND SERVICE UPDATES

  • Support for Mental Health:  WellSpace Health operates a free Suicide Prevention and Crisis Line, available 24/7. Call 1-800-273-TALK (8255) or Text the word “HOPE” to 916-668-4226.

  • Supplemental Payment Tracker Down for Maintenance:  The IRS “Get My Payment” tool will be down for maintenance from 10:00 pm through 1:00 am (Eastern Standard Time) on Thursday, April 23; Friday, April 24; and Saturday, April 25, 2020.  https://www.irs.gov/coronavirus/get-my-payment

  • CDBG Fund Distribution:  CALED and the League of Cities announced the submittal of a joint letter to the California Department of Housing and Community Development supporting the formula distribution of CDBG funds to non-entitlement communities. If HCD does make these changes, CALED believes it is a win-win for applicants and the department.  The more simplified application process benefits communities, while project monitoring activities will be streamlined for HCD. (see attached)

  • Credit Liquidity Facility:  The Federal Reserve is continuing to expand access to its Paycheck Protection Program Liquidity Facility.  Currently, only depository institutions are eligible to participate in the PPPLF, including banks and credit unions.  The expansion will include non-depository institution lenders, such as some Community Development Financial Institutions.   The PPPLF supports the Payment Protection Program (PPP) by extending credit to financial institutions that make PPP loans, using the loans as collateral. The additional liquidity from the PPPLF increases the capacity of financial institutions to make additional PPP loans. https://www.federalreserve.gov/newsevents/pressreleases/monetary20200423b.htm

  • New Cal Competes Awards:  The Governor’s Office of Business and Economic Development announced that the California Competes Tax Credit Committee approved $74,507,665 million in tax credits for 20 companies projected to create 3,060 new, full-time jobs and more than $2,601,894,747 in new investments across California.

  • Grant Funding Coming:  The US Department of Energy’s Office of Energy Efficiency and Renewable Energy announced its intent to issue, on behalf of the Advanced Manufacturing Office (AMO), a Funding Opportunity Announcement (FOA) to stimulate technology innovation, improve the energy productivity of American manufacturing, and enable the manufacturing of cutting-edge products in the United States.  The FOA, entitled “FY20 Advanced Manufacturing Multi-topic FOA,” is intended to fund high-impact, applied research and development projects that integrate specified research opportunities across AMO.  https://www.energy.gov/eere/articles/energy-department-announces-notice-intent-issue-funding-enhance-manufacturing

  • Removing Limits on Savings Account Transfers:  The Federal Reserve Board announced an interim final rule to amend Regulation D, Reserve Requirements of Depository Institutions, to delete the six-per-month limit on convenient transfers from the "savings deposit" definition. The interim final rule allows depository institutions immediately to suspend enforcement of the six transfer limit and to allow their customers to make an unlimited number of convenient transfers and withdrawals from their savings deposits at a time when financial events associated with the coronavirus pandemic have made such access more urgent.  https://www.federalreserve.gov/newsevents/pressreleases/bcreg20200424a.htm

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