December 23, 2020

$900 Billion COVID-Relief Package Details

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PPP Round 2 and COVID-Relief Package: What You Need to Know

Congress has agreed on a $900 billion federal stimulus package, the second largest after the $2 trillion CARES Act passed in March. The proposal now requires the President’s signature for approval.

Included in the proposed package is round 2 of the Paycheck Protection Program (PPP), which will allow some businesses to apply for a second loan. The first round stopped taking applications in August.

This time around, the relief package outlines more than $284 billion in loans for the PPP:

  • Available to businesses with fewer than 300 employees and a drop in at least 25% of revenue during the first, second or third quarter of 2020
  • Amount available to borrow reduced from $10 million to $2 million
  • More flexibility in how the money is spent
  • Allows for the deduction of expenses (a change from the first round) and for loan forgiveness to be excluded from income
  • Simplified forgiveness process for loans less than $150,000
  • $12 billion carved out specifically for minority-owned businesses
  • Eligibility expanded to more nonprofits and news outlets

More highlights from the COVID-relief package include:

  • Direct stimulus payments, with amount to be confirmed and based on income levels
  • $300 weekly federal unemployment boost, plus additional program extensions
  • $15 billion in grants for live venues, theaters and museum operators
  • $82 billion for K-12 schools and colleges, plus $10 billion for child care providers
  • $25 billion in rental assistance and the eviction protection program extended to January 31
  • $13 billion in funding for food stamps, food banks and other nutrition services
  • $48 billion for vaccine purchases, distribution and COVID-19 testing assistance 
  • $45 billion to support transportation services
  • $7 billion to bolster broadband access
  • Payroll tax deferment option extended until the end of 2021
  • A tax credit for businesses offering paid sick leave

Check back here for continuing updates and more COVID-19 recaps from the Governor and state legislators.



Sine Die 2024

Legislators in the Maryland General Assembly have spent the final days working on The PORT Act and other final pieces of legislation.

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