This year has been so tumultuous that "2020" has practically become an adjective. Thank you to the thousands of readers who have stuck with us this year, and have found the insights within our weekly newsletter to be worthy of sharing. During a global health and economic crisis, it can be a challenge to share business and economic news that is helpful, hopeful, and not entirely tragic. We hope we have been able to strike that delicate balance more often than not.

We are here, working for and with you, to make 2021 a year not just of recovery, but of prosperity. Please keep health and safety at the center of your holiday plans so that we can all be here to enjoy 2021 together.

After what seemed an eternity, the U.S. Congress finally passed a second stimulus package to address the long-standing economic calamity brought on by the COVID lockdowns. This time around, the stimulus checks are only $600, half the size of the March CARES Act checks, and the eligibility formula is less generous. Adults who earned less than $75,000 in 2019 will receive the full $600 and couples who earned less than $150,000 will receive $1200. The payments then diminish for higher incomes and are phased out completely for individuals earning more than $87,000 and couples earning more than $174,000. Dependents under the age of 17 are eligible for up to $600 payments.

To give some perspective on the scale of this stimulus I conducted a rough estimate of how much this stimulus would amount to in the Coachella Valley. Tax return data is available at the zip code level from the IRS, with the 2018 tax year the latest available. Using these data, I was able to determine the number of returns filed for single, joint return households, and head of household returns in each valley zip code. Unfortunately, they are classified by adjusted income in $25,000 brackets up to $100,00, and then $100,000 to $200,000, and $200,000 or more. So, the single filing up to $75,000 is an accurate number, but I used all returns up to $200,000 for joint returns, and up to $100,000 for head of household returns, so these estimates are skewed high and low, respectively. I was also able to obtain the total number of residents up to age 17 by zip code to determine the dependent stimulus total. In the valley, most households with children are not from high income households, so I went ahead and counted all these residents in each zip code. Using these rough guides, I estimated that Coachella Valley residents will receive approximately $210 million in new stimulus money.

The map shows the stimulus total estimates for each valley zip code. Ranging from $1.25 million in Indian Wells, to $32.30 million in Indio, the array of total stimulus varies significantly based on the total population, the proportion of high-income population, and the proportion of dependent-aged residents. The percentages on the map show the estimated percentage of the total population that would receive stimulus, including dependents up to age 17. So, while the 92201 zip code of Indio will receive the most stimulus, Mecca would have the highest proportion of residents receiving stimulus, at nearly 100%.

Sources: IRS.gov Statistics, Esri Business Analyst 2020

1.4 million face masks, 96,000 ½ liter bottles of hand sanitizer, and 40,400 face shields: the CVEP Million Mask Giveaway is off to a strong start! Several cities have already begun distributions, and as the remaining cities finalize their distribution plans in the coming days, we will update the CVEP Million Mask Giveaway page. This PPE is provided at no cost to directly support the small businesses of Greater Palm Springs.

Riverside County continues to set records for numbers of cases, hospitalizations, and ICU patients. In addition to the methods recommended since the beginning, testing remains a critical method of controlling the spread of COVID. Many people have symptoms so mild that they are indistinguishable from a cold or other minor illness, and these are the people who are likely to accidentally spread the virus to those more vulnerable. Find a testing location at the RUHS COVID-Testing website.

The new pandemic relief package contained many things you've already heard about - like a $600 stimulus check - as well as several things that haven't garnered the same level of coverage. There are several changes to federal programs including the PPP loan program, the EIDL loan program, the Employee Retention Tax Credit, and the Venue Grant program. Visit the U.S. Chamber's website to learn more about what these changes mean for small business.