With the U.S. Senate passing the nearly $2 trillion economic relief package and the U.S. House of Representatives expected to follow suit, the National Marine Manufacturers Association (NMMA) has compiled a breakdown of provisions in the legislation, formally known as the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and how they might affect the marine industry.
Items included in the Senate stimulus package:
- Provide $350 billion to small businesses (boat building qualifies as less than 1000 employees) to keep employees on the payroll and support operational expenses.
- Allow businesses to delay payment of payroll taxes.
- Set up a national small business sustainability program to provide assistance to partially unemployed workers to support employee retention.
- Treasury will implement a new lending program targeted at medium-sized businesses (500-10,000 employees).
- Streamline approval of and provide $562 million for the small business disaster loan program.
- Establishes a grant program to educate and advise businesses as they navigate the new programs that will assist in the recovery.
- Provide modifications for net operating losses to provide more critical cash flow.
- Delay all scheduled federal tax payments for 90 days by waiving interest and penalties that would otherwise apply.
- USTR removed some Section 301 tariffs related to fishing tackle bags, certain trailers, cleats and chocks, and components such as cam/crankshafts and certain mountings/fittings.
- Continued access to public waters
- Waive all fees to access public lands and waters.
Items not included in the Senate stimulus plan:
- Create a federal Manufacturing Resiliency Fund.
- Permanently repeal research and development amortization.
- Assist with major event and meeting cancellations.
- At this time, USTR has kept in place most tariffs on imported Chinese products.
- Keep federal lands and waters open and accessible within Centers for Disease Control and Prevention.
For more information, including fact sheets, visit www.nmma.org/coronavirus.