Federal Aid

The Coronavirus Aid, Relief, and Economic Security Act (CARES) provides an estimated $2 trillion stimulus package to battle the harmful effects of the COVID-19 pandemic.

Economic Impact Payments, also referred to as stimulus payments, are automatic for most taxpayers. No further action is needed by taxpayers who filed tax returns in 2018 and 2019 and most seniors and retirees. Click here to see if you are eligible for an Economic Impact Payment. You can also check your payment status, update your bank account and mailing address, or find more information regarding Economic Impact Payments here.

The National Conference of State Legislatures (NCSL) has provided the following breakdown regarding the direct effects to the States and citizens:

Direct Economic Stimulus Funding to States, Territories, Local and Tribal Governments

  • Provides $150 billion to states, territories, local and tribal governments to use for expenditures incurred due to the public health emergency with respect to COVID-19 in the face of revenue declines, allocated by population proportions.

    • Distribution is based on population. No state shall receive a payment for fiscal year 2020 that is less than $1.25 billion.

    • 45% of a state’s funds are set aside for local governments, with populations that exceed 500,000, with certified requests to the U.S. secretary of Treasury. Certification requires a signature by the chief executive of the local government that the uses are consistent with certain requirements.

      • NCSL believes the funds remaining from the 45% set aside for localities revert back to the state. 

    • $3 billion set aside for District of Columbia, Puerto Rico, Virgin Islands, Guam, Northern Mariana Islands and American Samoa.

    • $8 billion for tribal governments.

  • Funds can be used for costs that:

    • Are necessary expenditures incurred due to COVID-19.

    • Were not accounted for in the budget most recently approved as of the date of enactment of this section.

    • Were incurred during the period that begins March 1, 2020, and ends Dec. 30, 2020.

Direct Payments to Citizens

  • Direct payments to lower- and middle-income Americans. Individuals get $1,200, and married couples get $2,400—$500 per child younger than age 17.

  • Payments phase out for individuals with adjusted gross incomes over $75,000 ($150,000 for couples). Anyone making over $99,000 would not get a payment ($198,000 for couples). Money is expected to go out by April 6.

Expanded Unemployment Benefits

  • 360 million for Department of Labor to invest in programs that provide training and supportive services for dislocated workers, seniors, migrant farmworkers and homeless veterans. Includes funding for implementing new paid leave and unemployment insurance benefits.

  • Expands unemployment insurance from three to four months, and provides temporary unemployment compensation of $600 per week, which is in addition to and the same time as regular state and federal UI benefits.

    • Part-time, self-employed and gig economy workers now have access to UI benefits.

    • Allows employers to receive an advance tax credit from the Treasury instead of having to be reimbursed on the back end.

    • $260 billion investment into the unemployment insurance program.

    • Creates regulatory authority to implement the tax credit advances.

Social Security beneficiaries who are not typically required to file tax returns will not need to file to receive a payment. Instead, payments will be automatically deposited into their bank accounts. However, some people who typically do not file returns will need to submit a simple tax return to receive the economic impact payments. For more information, please visit the IRS website: https://www.irs.gov/coronavirus