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U.S. House Passes Massive Additional COVID-19 Relief Bill
The U.S. House of Representatives on Friday passed the "Heroes Act", a massive additional COVID-19 relief bill, by a vote of 208 to 199. The bill, which was introduced by the House Democratic leadership, is a more than $3 trillion package aiming to continue to address the coronavirus pandemic through additional investments in testing, tracing, and treatment, while also providing funding for state and local governments.
The legislation is the fifth piece of legislation that the House has passed to respond to the coronavirus pandemic. The four bills that Congress has enacted into law include:
- The Paycheck Protection Program and Health Care Enhancement Act (April 24);
- The Coronavirus Aid, Relief, and Economic Security (CARES) Act (March 27);
- The Families First Coronavirus Response Act (March 18); and
- The Coronavirus Preparedness and Response Supplemental Appropriations Act (March 6).
The majority leadership in the Senate and Administration officials have expressed concerns with the overall size of the package, stating that they prefer to wait and see how existing aid passed by Congress helps improve the current situation caused by the pandemic. However, it is expected that both chambers will continue to negotiate terms for a fifth package of coronavirus relief.
Some key provisions of the Heroes Act that would directly impact the northeast and midwest states include:
- $500 billion for state governments:
- $250 billion awarded within 30 days of enactment to the 50 states and DC
- $51 billion divided equally among 50 states and DC
- $49 billion awarded based on the state's share of COVID cases
- $150 billion awarded based on the state's share of population
- $250 billion awarded by May 3, 2021 to the 50 states and DC
- $51 billion divided equally among 50 states and DC
- $199 billion based on the state's share of unemployed individuals
- $375 billion for local governments:
- $250 billion awarded within 30 days of enactment to all municipalities and counties
- $125 billion to municipalities using a modified CDBG formula
- $87.5 billion to entitlement municipalities (generally defined as those with populations of at least 50,000)
- $37.5 billion to non-entitlement municipalities (generally defined as those with populations of less than 50,000). These funds will be awarded to states, which must make awards to non-entitlement cities based solely on population within 30 days of receipt.
- $125 billion to counties based on population
- $125 billion awarded one year after the date of enactment to all municipalities and counties
- $62.5 billion to municipalities using a modified CDBG formula
- $43.75 billion to entitlement municipalities (generally defined as those with populations of at least 50,000)
- $18.75 billion to non-entitlement municipalities (generally defined as those with populations of less than 50,000). These funds will be awarded to states, which must make awards to non-entitlement cities based solely on population within 30 days of receipt.
- $62.5 billion to counties based on population
- An additional $350 billion for the Paycheck Protection Program, which is aimed at providing small business with zero-free loans to retain workers.
- An additional $75 million for coronavirus testing and contacting testing measures.
Additional direct payments to American families that could include up to $1,200 per individual and $6,000 per family.
Additional details about the Heroes Act can be found
here.
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