The US Senate passed a $480 billion economic relief package that will replenish the Paycheck Protection Program under the CARES Act along with additional provisions for healthcare funding and Covid testing.
In the unanimous voice vote, the Senate has allocated an additional $310 billion for the Paycheck Protection Program (PPP) under the Small Business Administration which ran out of funds in record time after the program launch. This program was drained of it’s original $349 billion in funds in just a few days; a major catalyst for the passing of this current relief package. The PPP will now have an increased appropriation level of just over $670 billion. This legislation will also increase the authorization level of the Emergency Economic Injury Disaster (EIDL) grants from $10 billion to $20 billion.
An additional $75 billion has also been allocated to health care providers. This specific funding is an addition to the original $100 billion allocated for this purpose in the first CARES Act. These funds have been allocated through HHS in the form of grant payments to Medicare Fee-For-Service providers and for reimbursement of Covid-related costs for the uninsured and Medicare population. We will expect HHS to continue announcement of how these existing and additional funds will be allocated to healthcare providers.
This legislation also increases funding for States and expands capacity for Covid-19 testing.
The House is expected to vote on this relief bill on Thursday and, if passed, it will make it to the President’s desk by end of week.
To read more about the Relief provisions, visit:
This post was first published April 21, 2020 and was updated July 29, 2020.