Last week Congress passed and the president signed the Coronavirus Aid, Relief and Economic Security or CARES Act, a $2 trillion stimulus package, the largest in the nation’s history. Two programs funded by the CARES Act will help doctors and other small businesses meet payroll and fund their business operations during the COVID-19 pandemic. Below is some information to help explain those particular programs.
The Small Business Administration’s (SBA) new Paycheck Protection Program received $350 billion under the CARES Act. Documents from the National Association of Government Guaranteed Lenders (NAGGL), show that this will include forgiveness of the first six month’s loan payments, including principal, interest and fees. This document prepared by the US Chamber of Commerce summarizes the program, which has not yet begun. Now is the time, however, to familiarize yourself with the program if you think it may be helpful. The loans will be made through local lenders in conjunction with the SBA. Read the Chamber’s summary of the program.
The SBA’s Economic Injury Disaster Loan Program received $10 billion under the CARES Act. These loans are available directly from the SBA. Learn more in this SBA presentation.
The AMA has compiled a summary of the CARES Act highlighting the portions that pertain to health care practices, physicians and PAs and medical students. Read the AMA’s summary document.
The NCMS’ local partner, Smith Anderson, also offers this summary and listing of what’s available in the CARES Act. Read their summary.
The NCMS continues to analyze the CARES Act and its impact on medical practices and personnel. Watch your NCMS Morning Rounds for more information on economic relief for your practice as well as announcement of a new webpage where all the pertinent information will be gathered for your easy reference now and in the future.
Please feel free to comment on this post with your input or questions and we will try to provide answers.