What the $900B Relief Package Holds for Multifamily
The bipartisan measures include an extension of the federal eviction moratorium, as well as $25 billion in rent relief.
Congressional leaders have unveiled the final details of the $900 billion bipartisan relief package expected to pass final votes in both chambers of Congress today. Apart from one-off direct payments to individuals, the package includes a revival of the Paycheck Protection Program for small businesses, $25 billion in rental assistance and an extension of the federal eviction moratorium.
Many of the measures echo parts of the $2.2 trillion CARES Act that passed at the end of March, which included a host of provisions that helped prop up the multifamily industry and the economy in general, amid surging unemployment rates and unprecedented economic volatility.
With many in the industry and the public at large dreading a potential eviction tsunami, the federal eviction ban set to expire at the end of this year is being renewed through January. In addition, $25 billion is allocated for rental assistance, of which $800 million is being put aside for Native American housing entities.
According to summaries obtained by Politico, the package includes $166 billion in direct checks. Individuals earning less than $75,000 a year are slated to get a one-off check of $600, with couples making less than $150,000 expected to receive $1,200, as well as an additional $600 for each child.
Extended unemployment payments, another provision that has helped renters meet their obligations during the health crisis, are back on the table. Some $120 billion in additional unemployment aid should provide an extra $300 per week through March 14.
Meanwhile, the Paycheck Protection Program, which has provided much-needed cash flow for small businesses during the past couple of quarters, is returning with an allocation of $284 billion. The bill also includes tax breaks associated with PPP loans. In addition, $20 billion is being earmarked for businesses in low-income areas and $15 billion for live venues, cultural institutions and independent movie theatres.
Among others, the bipartisan year-end package also includes:
- $82 billion for colleges and schools
- $69 billion for vaccines and other COVID-19 mitigation programs
- $45 billion for transportation
- $13 billion for food stamp benefits
- $13 billion for farmers and ranchers
- $10 billion for child care assistance
- $7 billion for expanding broadband access
Stay tuned to MHN for updates on the new relief package.