CARES Act Summary – COVID-19 Federal Rescue Bill

Federal Monetary Policy Response to COVID-19

The Federal Reserve announced a variety of new lending initiatives aimed at injecting $2.3 trillion of financing for businesses as well as state and local governments. The new stimulus will include lending to governments as well as increased purchases of corporate bonds, including high-yield or junk bonds. Source: Wall Street Journal

CARES Act – COVID-19 Federal Rescue Bill – Summary

Note: We are working with our partners at the U.S. Department of Labor to implement the programs in the CARES Act affecting Idaho Department of Labor customers as quickly as possible. This could take several weeks once USDOL issues the guidance to the states. Updates will be posted on Labor’s COVID-19 website,

Direct Rescue Checks to Households – All U.S. residents with adjusted gross incomes up to $75,000 — $150,000 for married couples — will receive $1,200 — or $2,400 for couples — in direct payments. Families get an additional $500 per child, and payments phase out above the $75,000 mark, disappearing altogether at $99,000.

Enhanced Unemployment Insurance (UI) Benefits – UI benefits expand in scope, duration and value. Claimants can get an extra $600 per week for up to four months. Gig economy workers are also now eligible for benefits, affecting a multidimensional expansion of unemployment benefits — more people, bigger payments, longer duration.

$500 Billion in Flexible Rescue Loans – The Treasury has discretion to allocate up to $500 in loans to failing industries, or local and state governments. An accountability committee will be set up to oversee the program, though Treasury Secretary Steve Mnuchin has broad power to initiate lending. Continue reading →