After weeks of negotiations, congressional leaders tonight announced a deal for a $900 billion bipartisan coronavirus relief package. While the legislative text has not yet been released, the deal reportedly includes $284 billion in new funds for the Paycheck Protection Program, including a second draw option for prior PPP borrowers, and a new round of $600 Economic Impact Payments.
It is possible that a large number of EIPs could be sent via ACH on the first day of processing—which could potentially fall before Christmas, depending on the timing of the bill’s passage. To be prepared, banks will need to begin planning tomorrow to have call center and ACH operations staffing levels ready as well as ordering and moving sufficient cash to meet a surge in ATM and branch withdrawals as EIPs land in customer accounts.
Once legislative text is available, American Bankers Association staff will review it closely for any additional measures affecting banks. The COVID-19 relief package is expected to be voted on tomorrow; meanwhile, Congress is set to pass a short-term government funding measure tonight. ABA Daily Newsbytes will keep members apprised of key developments, including passage of the package and logistical details related to reopening the Small Business Administration’s PPP platform and the new round of EIPs.