One-Year Moratorium on Canceling Insurance: Insurance Commissioner Ricardo Lara issued a mandatory one-year moratorium on insurance companies non-renewing or cancelling residential property insurance policies. http://www.insurance.ca.gov/0400-news/0100-press-releases/2020/release113-2020.cfm According to the announcement, this moratorium is anticipated to assist 2.1 million policyholders (18% of California’s residential insurance market), affected to date by the record 2020 wildfire season.
Small Business Technical Assistance: The Governor’s Office of Business and Economic Development announced the awarding of $21.3 million to 81 awardees under the California Small Business Technical Assistance Expansion Program (TAEP) and Capital Infusion Program (CIP) grant programs. https://mailchi.mp/eb49e54b8a77/over-20-million-in-new-small-business-technical-assistance-grants-expands-small-business-assistance-in-california?e=47d35ba1ce These moneys represent the third year of a five-year commitment to award $20 million annually to support small businesses in accessing capital under CIP and to expand consulting and training services to underserved business owners including minority, women, and veteran-owned businesses and to businesses in low-wealth, rural, and disaster-impacted communities through TAEP.
Online Food Ordering: The US Department of Agriculture is expanding its pilot project to expand the ability of Food and Nutrition Agency clients to order food online. https://www.fns.usda.gov/news-item/fns-001820 Earlier in the year, the department launched the Supplemental Nutrition Assistance Program (SNAP) Online Purchasing Pilot and is now planning to expand ordering to include Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), as well.
Virtual Trade Mission to Spain and Portugal: The Governor’s Office of Business and Economic Development (GO-Biz) announced a new trade event under its Global Connect initiative, Portugal and Spain: Renewable Energy and Advanced Transportation. Up to 20 businesses can participate and small businesses may qualify for a STEP grant to help them participate. https://static.business.ca.gov/wp-content/uploads/2020/10/CA-EU-Energy-vTM-Web-Flyer.pdf GO-Biz is partnering with Kallman Worldwide and the US Commercial Service in sponsoring this virtual trade mission. Applications are due by November 10, 2020.
DATA, SURVEYS, AND ANALYSES
US Unemployment: The US Bureau of Labor Statistics released employment data for October 2020, reporting that US unemployment was 6.9%, reflecting a payroll employment gain of 638,000. The number of unemployed persons in the US who were actively seeking work fell by 1.5 million to 11.1 million and the number of long-term unemployed (those jobless for 27 weeks or more) increased by 1.2 million to 3.6 million (32.5% of all unemployed) in October 2020. https://www.bls.gov/news.release/empsit.nr0.htm State-level data for October 2020 will become available in mid-November.
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.
CDFI Annual Report: The US Department of the Treasury’s Community Development Financial Institutions Fund released its 2019 Annual Certification and Data Collection Report (ACR), as reported by Community Development Financial Institutions (CDFIs). https://www.cdfifund.gov/Documents/ACR%20Public%20Report%20Final%2010292020%20508Compliant.pdf Among other findings, the ACR states:
The top primary line of business across all CDFIs was consumer finance (30.7%) followed by residential real estate finance (24.4%) and business finance (22.2%).
CDFIs collectively reported a total of $141.2 billion in outstanding Financial Products on their organizations’ balance sheets as of the end of their fiscal year. Loans made up the largest dollar value of the total portfolio.
CDFIs reported a total of $92 billion in outstanding financial products to their Target Markets on their organizations’ balance sheets as of their fiscal year end. Loans made up the largest dollar value of the total portfolio to their Target Markets.
Financial education is the most popular Development Service used by clients of Certified CDFIs.
Certified CDFI credit unions report the highest total assets amount and the most financing capital available.
Expanding outreach and targeted assistance to ensure LA County residents were informed of available services.
Expanding home-delivered meals and emergency food distribution options.
Working with employers and workers to increase employment opportunities, including holding virtual hiring events, connecting potential workers with job openings, and implementing rapid response and layoff aversion activities. Resulted in 1,500 employees being rehired in the restaurant industry, 1,700 people being placed in jobs paying hourly wages of $16.31 or more, and connecting 1,300 businesses with 71,000 employees with unemployment insurance benefits.
Adapting existing programs to meet the needs of vulnerable individuals, including hosting COVID-19 testing sites and PPE giveaways in locations and through programs that were culturally sensitive to the needs of Native Americans.
Creating programs and services geared to serve families and older adults.
Obtaining and distributing PPE to meet the needs of residents and businesses, including the distribution of 9.7 million units of PPE to local small businesses and seniors.
Engaging businesses and workers in designing programs and services, including holding 5 industry convenings, launching a countrywide business survey, and launching a Safer at Work education program.
ECONOMIC RECOVERY STRATEGIES
Economic Mobility for All Californians: The California EDDGE Coalition has released its policy agenda for 2021. https://caedge.org/policy-agenda/ In summary, their policy agenda includes the following:
Support funding for education and workforce training programs to create pathways to quality jobs by integrating competency-based education and credit for prior learning, and better align and expand career tech and adult education programs that respond to high demand sectors of the economy.
Protect, grow, and expand existing and innovative “learn and earn” opportunities by elevating blended learning, including online and hands-on training in high-demand fields, and expanding work-based training opportunities that support workers in underserved communities.
Expand and secure a social safety net for underserved communities to remove barriers to quality jobs by assisting low/no-income students, adult learners, communities of color, and dislocated workers in accessing support services that address basic needs such as food, housing, transportation, childcare, and healthcare.
Secure quality broadband access for all by supporting the expansion of reliable high-speed internet access, especially in underserved communities, in addition to ensuring equitable learning and training can continue while physical distancing orders are in place, and close the digital divide.
Support workers and employers in COVID-19 response and recovery by strengthening partnerships between business, education, workforce, and community-based organizations; supporting economic stimulus funding and employer incentives to assist businesses in rebuilding capacity and retaining/rehiring their workforce, and reimagine opportunities within the Workforce Innovation and Opportunity Act.
Support the development and implementation of California’s longitudinal data system by ensuring the integration of statewide data across education, workforce, and human services systems is public-facing, transparent, secure, and includes the adult learner and worker voice. Having access to quality public data will help individuals, researchers, policymakers, and advocates inform decision making through outcome transparency and can improve program/institutional effectiveness,
California Economic Summit: California Forward announced the opening of registration for the 2020 California Economic Summit, which is the ninth annual gathering of private, public, and civic leaders dedicated to building an inclusive and sustainable economy. The event will be 100% virtual with workshops and general sessions scheduled for December 3 and 4. https://summit.caeconomy.org/registration
International Trade Skill Development: The US Commercial Service announced a six-part webinar series to assist startup and early stage companies in pursuing international opportunities. https://globalinnovationforum.com/startup-global-socal-2020/ The series runs from November 9 through December 14, 2020.
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.
Equity Metric Added to Blueprint for Re-Opening: The Blueprint for a Safer Economy was expanded on October 6, 2020, to include a health equity metric. This information will be used in combination with the county’s case rate and test positivity rates to determine a county's tier. https://www.cdph.ca.gov/Programs/CID/DCDC/Pages/COVID-19/CaliforniaHealthEquityMetric.aspx The purpose of this new metric reflects the disproportionate impact COVID-19 has had on certain population groups, including rates of hospitalizations and death.
Shop Safe Shop Local: GO-Biz is leading a campaign to remind Californians to shop local and help small businesses prepare for the business realities of COVID-19. The #ShopSafeShopLocal website highlights free / discounted resources to help small businesses get digital, find e-commerce tools, learn more about industry guidance, locate small business centers, and access PPE. https://business.ca.gov/shopsafeshoplocal/
Safely Making Web Platform: California manufacturers who produce PPE, including face masks and gloves, can advertise their wares on https://www.safelymakingca.org/. The website is a joint effort by the California Manufacturers and Technology Association (CMTA) and the State of California. A manufacturer does not have to be a member of CMTA to participate. To apply, manufacturers should complete this form. At his September 9, 2020, press conference, Governor Newsom announced that the web platform currently included 450 California manufacturers.
STATUS REPORTS AND NEW INFORMATION ON SMALL BUSINESS LENDING
[This is a “quick-source” section that includes new and previously provided information.]
Reduction in Reporting Requirements: The US Congress enacted the Reinvigorating Lending for the Future Act of 2020 (S 7045), which reforms the Economic Development Administration’s Revolving Loan Fund (RLF) program by eliminating the requirement for reporting "in perpetuity" and, instead, releasing the federal interest in EDA RLFs after seven years.
NEW – Program Changes: The Federal Reserve Board adjusted the terms of the Main Street Lending Program in order to support smaller businesses and nonprofits to utilize the program. The changes include reducing the minimum loan size from $250,000 to $100,000 and lowering the fees. https://www.federalreserve.gov/newsevents/pressreleases/monetary20201030a.htm
NEW – FAQ: The Federal Reserve Board and the US Treasury Department issued a new FAQ, which clarifies the conditions under which the a Paycheck Protection Program loan of up to $2 million may be excluded for purposes of determining the maximum loan size under the Main Street Lending Program. https://www.federalreserve.gov/newsevents/pressreleases/files/monetary20201030a6.pdf
COVID-19 EIDL Aggregate-Level Data Update: The US Small Business Administration released program utilization information for the Economic Injury Disaster Loan (EIDL). As of October 19, over 3.6 million EIDL loans have been approved in the US for a total of $191.9 billion. In California, 549,758 EIDL loans have been approved for a total of $34.1 billion. Link to a PowerPoint displaying data for loan activity through 10/19/2020: https://www.sba.gov/document/report-covid-19-eidl-loans-report-10-19-20.
CA Small Business Loans Addressing the Wildfires: The Governor’s Office of Emergency Services received updates from the US Small Business Administration on small businesses that are utilizing the Economic Injury Disaster Loan and Home Loans
SBA Weekly Lending Report on Race and Ethnicity of Clients: The US Small Business Administration (SBA) released its weekly lending report for the week ending October 30, 2020. Information includes race, ethnicity, gender, and veteran participation in the SBA 7(a), 504, and Advantage Loan Programs. https://www.sba.gov/document/report-2020-weekly-lending-reports
*Data received from Great Plates Data Portal updated twice per week.
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:
Unemployment Continued Claims Backlog Dashboard: Reflects individuals who received at least one payment and are now waiting more than 21 days for further processing of payment or disqualification in this week-by-week eligibility based program.
COMMEMORATING SMALL BUSINESSES, WORKERS, AND INCLUSIVE ECONOMIC PROSPERITY
[This is a “quick-source” section that includes new and previously provided information.]
National Veterans Small Business Week is November 2 to 6: The US Department of Veterans Affairs announced that November 2 to 6, 2020, is National Veterans Small Business Week. https://www.sba.gov/national-veterans-small-business-week?utm_medium=email&utm_source=govdelivery This year’s theme is #VetBiz Resources in Your Local Community and will highlight the free to low-cost entrepreneurial resources that veteran and military entrepreneurs can locally access, from seeking business counseling services from a SBDC, to visiting the Veterans Business Outreach Center (VBOC) in their area for help formulating a business plan.
No Veteran Should Be Without a Place to Call Home: Free help for homeless veterans is available at 1-877-4AID-VET (1-877-424-3838), including information for VA services for homeless and at-risk veterans. This phone line provides confidential online support 24/7. https://www.va.gov/homeless
Are You a Veteran in Crisis or Concerned About One? The VA offers same day services in Primary Care and Mental Health at 172 VA Medical Centers across the US. Contact the Veterans Crisis Line at 1-800-273-8255 and press 1 to chat, or text 838255.
National Apprenticeship Week is November 8 to 14: The US Department of Labor announced that the sixth annual National Apprenticeship Week will occur from November 8 through 14, 2020. According to the announcement, National Apprenticeship Week is a “nationwide celebration that gives businesses, communities, and educators the opportunity to highlight their apprenticeship programs and apprentices, and demonstrate the value apprenticeship programs offer businesses, careers seekers, and the community as a whole. https://www.apprenticeship.gov/national-apprenticeship-week The weeklong initiative will focus on themes and industries in which apprenticeships are making a significant difference for American workers, including technology, healthcare, financial services, advanced manufacturing, cybersecurity, and more.” https://www.dol.gov/newsroom/releases/eta/eta20201007
There are four themes for GEW 2020: Ecosystems, Education, Inclusion and Policy.
California State University Sacramento is hosting several events. https://www.csus.edu/center/carlsen/global-entrepreneurship-week/ This includes several online events: Global Perspectives: How to advocate for improving Global Entrepreneurship Networks; Culture, Community and Entrepreneurship Panel Discussion; and SBDC – Your Journey as an Entrepreneur.
Small Business Saturday: Many communities and businesses in the US and UK celebrate November 24, 2020, as Small Business Saturday. California Office of the Small Business Advocate (OSBA) and many stakeholder groups are helping businesses to prepare for Small Business Saturday and the holiday shopping season. Below are examples of a few of those activities.
Digital Pop-Up Festivaland E-Commerce Bootcamps: The California Office of the Small Business Advocate (OSBA) announced a new partnership with the Eva Longoria Foundation, Stockton Strong/Goodstock Productions, and state-supported Small Business Development Centers (SBDCs). The partnership will host a December Digital Pop-Up Festival in Central California and is a component of the OSBA’s ongoing “Get Digital CA!” initiative, which promotes e-commerce adoption by small business owners and promotes online holiday shopping at small businesses. During the Digital Pop-Up Festival, small businesses will use social media channels to showcase live videos to tell their stories, sell products and services, and create new customer experiences. In preparation for the holiday shopping season, the SBDCs will lead digital training bootcamps to present e-commerce and digital marketing techniques. Small businesses can register for the digital bootcamps at https://digital-bootcamp-ca.eventbrite.com. Sign-up for updates on “Get Digital CA!” initiative at: https://business.ca.gov/advantages/small-business-innovation-and-entrepreneurship/get-digital-ca/.
Holiday Gift Guides:
Small Business Majority announced they will be launching a Holiday Gift Guide in time for Small Business Saturday. Inclusion in the Holiday Gift Guide is free to qualifying small businesses. Approved applicants will be featured on Small Business Majority’s website from November 16, 2020 - January 1, 2021 and will also receive a toolkit to help participating small businesses in sharing the Holiday Gift Guide with their customers. https://go.smallbusinessmajority.org/l/229072/2020-10-13/9w1wn In order to be considered, a small business must: apply by November 9, 2020; have less than 100 employees; be located in the US; have a website where people can find information about their products or services; and have a “giftable” product or service, including gift cards.
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.
