On March 27, 2020, President Trump signed the Coronavirus Aid, Relief and Economic Security Act (CARES Act) into law. The CARES Act provides emergency assistance to individuals, families and businesses affected by COVID-19. The CARES Act is divided into two divisions. Division A includes programs to benefit individuals, companies and the health care system affected by COVID-19. Division B describes the supplemental appropriations to help the government respond to COVID-19.
Title I of Division A, called the Keeping American Workers Paid And Employed Act, includes the (i) Paycheck Protection Program; (ii) Disaster Loan Program; (iii) SBA Express Loan Program; (iv) Entrepreneurial Development Programs; and (v) State Trade Expansion Program. For further assistance regarding these programs, please contact Ford Turrell, Tim Hillegonds or your Warner attorney.
Title II of Division A, called Assistance For American Workers, Families And Businesses, provides expanded unemployment benefits, changes to tax rebates and certain employee benefit plan rules and other tax credits, deductions and exemptions for businesses. For further assistance regarding the unemployment benefits, please contact Ed Bardelli. For further assistance related to the tax law changes and benefits, please contact Sean Cook. For further information regarding the changes for employee benefit plans, please contact Lisa Zimmer.
Title III of Division A, called Supporting America’s Health Care System In The Fight Against The Coronavirus, provides numerous provisions to help our health care system respond to COVID-19 including provisions for device shortages, supply shortages and support for healthcare workers, education, the workforce and finance. For more information on these provisions, please contact Jeffrey Segal.
Title IV of Division A, called the Economic Stabilization And Assistance To Severely Distressed Sectors Of The United States Economy, provides the Secretary of the Treasury with the authority to make loans or loan guarantees to states, municipalities and eligible businesses. This title also changes regulations created in the Dodd-Frank Wall Street Reform and Consumer Protection Act, the Economic Stabilization Act of 2008 and others. For more information regarding changes that may affect financial institutions, please contact Charlie Goode or Rodney Martin. For more information regarding landlord tenant issues, please contact Chris Meyer.
Title V, of Division A, called Coronavirus Relief Funds, provides relief up to $150 billion for states, tribal governments and local governments for costs incurred related to COVID-19. Title VI of Division A, called Miscellaneous Provisions, authorizes the U.S. Postal Service to borrow up to $10 billion for operating expenses and take other actions to deal with the response to COVID-19.
Division B, titled Emergency Appropriations For Coronavirus Health Response And Agency Operations, includes supplemental appropriations to help the government respond to the COVID-19. We have included a summary of these appropriations. If you have questions about these appropriations, please contact Troy Cumings or for the agricultural, rural development or food and drug programs, please contact Kurt Brauer.
Read Warner’s Summary of the CARES Act Here