Congress Reaches Deal on $900 Billion COVID-19 Relief Package
Following months of negotiations and the passage of several short-term funding extensions to prevent a government shutdown, Congressional leaders finally reached a deal on December 20 to provide additional pandemic relief for Americans and U.S. economy through a $900 billion legislative package. Congress moved to enact the agreement into law as part of a $1.4 trillion "omnibus" government funding package for the fiscal year 2021 before adjourning for a holiday recess.
Some of the notable provisions included in the recent pandemic relief package were:
- $284 billion for Paycheck Protection Program (PPP) Loans: Extension of PPP and certain businesses that have already received PPP loans will be eligible for a second round of loans. Program reforms, including clarification that business expenses paid for with PPP funds are tax-deductible from gross income, eligibility extension to certain 501(c)6 organizations, and addition of certain expenses (PPE, barriers, etc.) to qualify as an allowable use of PPP loan funds. The SBA will provide a simplified PPP loan forgiveness process for recipients with loans under $150,000. Certain PPP borrowers will also have the ability to request an increased loan amount due to updated regulations.
- $116 billion in Direct Payments: Up to $600 in stimulus payments to individuals making under $75k, and up to $1,200 for couples making under $150k, with an additional $600 for each child.
- $120 billion for Unemployment Assistance: Extension of Pandemic Unemployment Assistance and Pandemic Emergency Unemployment Compensation through March 14, with an extra $300 per week for all unemployment benefits.
- $69 billion for COVID-19 Vaccines, Testing, and Tracing
- Provisions to End Surprise Medical Billing for Emergency and Scheduled Care
- Extension and Enhancement of the Employee Retention and Rehiring Tax Credit
- $3 billion for the Public Health and Social Services Emergency Fund (Provider Relief Fund)
While the deal brings a significant infusion of aid into the U.S. economy and addresses many vital pandemic-related concerns that have arisen in recent months, the issues of exposure liability protections and assistance for state and local governments were omitted in the final package. President-elect Joe Biden and Congressional Democrats are expected to firmly push for another relief package early in 2021, making it likely that these contentious issues will once again surface.
Impact on General Dentistry: AGD is pleased that the COVID-19 relief package includes provisions addressing several policy priorities AGD has been advocating for on behalf of general dentists. The pandemic continues to adversely impact general dentists across the country, with most practices still seeing lower than average patient volumes. Long-awaited PPP reforms and enhancements are anticipated to be beneficial to many small-business owner-dentists. AGD will continue to advocate for additional policies to benefit the profession and patients in any future policy deliberations in Congress related to COVID-19 response.