PH FedACTion: Financial Regulatory Updates
Daily Financial Regulation Update - Friday, July 3, 2020
July 03, 2020
FedACTion Task Force
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Click here to read more from our Coronavirus series.
Congress
Click here to view the full text of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), Enacted March 27, 2020.
Click here to view the full text of the Paycheck Protection Program Increase Act of 2020, Enacted April 24, 2020.
Click here to view the full text of the Paycheck Protection Program Flexibility Act of 2020, Enacted June 5, 2020.
Click here to view a running list of proposed legislation from the Senate Committee on Banking, Housing, and Urban Affairs, Senate Committee on Small Business and Entrepreneurship, House Committee on Financial Services, and House Committee on Small Business.
Federal Agencies
Department of the Treasury
Treasury, Five Major Airlines Agree on Loan Terms for Title IV CARES Act Loans
July 2, 2020
The U.S. Department of the Treasury (Treasury) announced that American Airlines, Frontier Airlines, Hawaiian Airlines, Sky West Airlines, and Spirit Airlines (collectively, the Airlines) have signed letters of intent setting out the terms upon which Treasury would extend loans to the Airlines under Division A, Title IV, Subtitle A of the CARES Act. Title IV of the CARES Act authorizes Treasury to make loans to eligible businesses related to losses incurred as a result of COVID-19, and requires borrowers to provide warrants, equity interests, or senior debt instruments as appropriate taxpayer compensation. Under the CARES Act, participating borrowers must also commit to certain requirements to maintain employment levels and limit employee compensation, dividends, and share repurchases. The terms of Treasury’s loans to the Airlines will be posted on www.Treasury.gov/CARES within 72 hours after a transaction is completed.
Department of Housing and Urban Development/Federal Housing Administration
HUD Awards over $15 Million to Native American Tribes to Aid COVID-19 Recovery
July 2, 2020
The U.S. Department of Housing and Urban Development (HUD) awarded $15 million to Native American tribes across the nation as part of HUD’s Indian Community Development Block Grant Imminent Threat program, which provides funding to help address problems that pose an imminent threat to public health or safety of tribal residents. The newly awarded funding will specifically be used to help tribes prevent, prepare for, and respond to COVID-19, and the initial tranche is the first $15 million of $100 million that will be going to tribes.
Department of Labor
BLS Releases Jobs Report
July 2, 2020
The U.S. Bureau of Labor Statistics released its Employment Situation Summary (Jobs Report) for June 2020. According to the Jobs Report, in June 2020 total nonfarm payroll employment rose by 4.8 million, and the unemployment rate declined to 11.1%. The Jobs Report specifically showed that in June employment in leisure and hospitality rose sharply, and notable job gains also occurred in retail trade, education and health services, other services, manufacturing, and professional and business services.
Labor Department Issues News Release on Unemployment Insurance Weekly Claims
July 2, 2020
The U.S. Department of Labor (Labor Department) issued a News Release regarding weekly unemployment insurance claims. The News Release states that, for the week ending June 27, 2020, the advance figure for seasonally adjusted initial claims was 1,427,000, a decrease of 55,000 from the previous week’s revised level; the previous week’s level was revised up by 2,000 from 1,480,000 to 1,482,000; the four-week moving average was 1,503,750, a decrease of 117,500 from the previous week's revised average; and, the previous week's average was revised up by 500 from 1,620,750 to 1,621,250.
International
Bank of England
Bank of England Releases June 2020 Decision Maker Panel Data
July 2, 2020
The Bank of England released data from its monthly Decision Maker Panel (DMP) for June 2020.