$4.2 trillion Federal stimulus could help rural areas

 Published Date: April 8, 2020

By BILL KNIGHT
 For The Weekly Post

 Congress’s $4.2 trillion coronavirus stimulus package includes provisions that promise relief for rural America.

Specific provisions in both the $2.2 trillion Coronavirus Aid, Relief and Economic Stimulus Act (CARES Act, HR 748) and the $2 trillion Families First Coronavirus Response Act (FFCRA, HR 6201) feature the following:

• Payments to individuals. All Americans with incomes less than $75,000 will receive $1,200. (Families also will receive $500 per child.) Payments will be issued by the Treasury Department through direct deposit or paper checks starting next week.

• Small business loans. Companies with fewer than 50 employees can apply for loans under a $349 billion Paycheck Protection Program being handled by the Small Business Administration. Scheduled to last until June, some believe funds will be gone by mid-April, prompting discussion in Congress of another stimulus bill.

• Food stamps. The laws include an increase of $15.5 billion for food stamps (SNAP: the Supplemental Nutrition Assistance Program), the Food Research and Action Center says. That’s significant for low-income rural Americans, while also providing benefits and job creation for rural grocers. A dollar in SNAP generates $1.79 in additional economic activity, according to USDA’s Economic Research Service (ERS).

• Farm programs. The package includes almost $24 billion in new funds for farmers and ranchers. The Commodity Credit Corporation will receive $14 billion in new borrowing authority to help commodity producers requiring trade assistance. Legislation also creates a $9.5 billion emergency fund to help produce growers, dairy farmers, cattle ranchers and farmers markets.

• State, county and local governments. The legislation sets aside $150 billion for state and local governments: $8 billion for local governments already in financial trouble and prohibited from deficit-spending due to balanced-budget restrictions.

• Funding for rural hospitals and healthcare providers. Billions of dollars are included for rural hospitals, according to the National Rural Health Association (NHRA), which reports that 450 additional facilities – one-quarter of rural hospitals nationwide – now face serious financial challenges. The legislation includes a 15 percent increase in COVID-19 Medicare reimbursements.

• Tele-medicine. The bills provide $200 million for improving tele-health services such as the Rural Health Care Program, which supports high capacity broadband connectivity for providers.

• Funding for rural hospitals and healthcare providers. Billions of dollars are included for rural hospitals, according to the National Rural Health Association (NHRA), which reports that 450 additional facilities – one-quarter of rural hospitals nationwide – now face serious financial challenges. The legislation includes a 15 percent increase in COVID-19 Medicare reimbursements.

• Tele-medicine. The bills provide $200 million for improving tele-health services such as the Rural Health Care Program, which supports hig capacity broadband connectivity for providers.