Rep. Estes Reviews Congress' Response to COVID-19

WASHINGTON-Congressman Ron Estes (R-Kansas) released the following information regarding Congress' actions to combat COVID-19.

"As our nation continues to combat both the physical and economic impact of COVID-19, Congress has worked to fight the virus, support treatment research and innovation, provide relief to hurting workers and families, and create a bridge for small businesses. The three response packages that are now law demonstrate Congress' commitment to the American people. While the bills were not perfect, I am pleased at how my colleagues were able to move past the partisan gamesmanship to deliver relief to Kansans."

Congressman Estes supported the three COVID-19 response packages in the House.

Phase Three – Coronavirus Aid, Relief, and Economic Security (CARES) Act:
The third response package was signed into law March 27, 2020.
  • The measures contained in the CARES Act are designed to stabilize our economy and protect families in this uncertain time.
  • $250 billion for the purposes of expanded access to unemployment benefits.
    • Provides additional $600/week payment to each Unemployment Insurance (UI) or Pandemic Unemployment Assistance recipient for four months beginning April 1 through July 31, 2020.
    • Creates a new Pandemic Unemployment Assistance program to help those not traditionally eligible for UI, such as self-employed and independent contractors, like gig workers and Uber drivers, as well as those who are unable to work or telework as a result of the coronavirus public health emergency.
  • Provide grants and loans to small businesses to meet payroll and pay rent.
    • The bill creates a “paycheck protection program” for small employers, self-employed individuals, and “gig economy” workers, with $350 billion to help prevent workers from losing their jobs and small businesses from going under due to economic losses caused by the COVID-19 pandemic.
    • The “Paycheck Protection Program” would provide 8 weeks of cash-flow assistance through 100 percent federally guaranteed loans to small employers who maintain their payroll during this emergency.
    • If the employer maintains payroll, the portion of the loans used for covered payroll costs, interest on mortgage obligations, rent, and utilities would be forgiven, which would help workers to remain employed and affected small businesses and our economy to recover quickly from this crisis.
    • This proposal would be retroactive to February 15, 2020, to help bring workers who may have already been laid off back onto payrolls.
  • Send direct checks to eligible Americans of up to $1,200 per person and $500 per child.
  • $100 Billion in direct grants to hospitals struggling with immediate cash flow short falls.
    • Kansas hospitals will receive an estimated total of $1.15 billion, but we are awaiting guidance from HHS to know that full and final allocation. 
  • Allow regulatory relief so banks can grant loan forbearance for otherwise healthy businesses struggling while business has been shut down.
  • Provide Treasury and the Fed the ability to provide several trillion dollars in assistance to distressed industries, including airlines, through guaranteed loans while also including strong accountability protections.
  • $9.5 billion to the Secretary of Agriculture to "prevent, prepare for, and respond to coronavirus by providing support for agricultural producers including producers of specialty crops, producers that supply local food systems, including farmers markets, restaurants, and schools, and livestock producers, including dairy producers." The funding is not limited to specific agricultural crops or producers.
  • $14 billion for replenishment of the Commodity Credit Corporation (CCC).
  • Rush resources to hospitals, doctors and other front-line providers. 
  • Expand the use of telehealth medicine to surge capacity to diagnose and treat patients in a safer and faster environment.
    • Federally Qualified Health Centers and Rural Health Clinics are approved to furnish telehealth services to beneficiaries in their home or other setting. Medicare would reimburse for these services at a composite rate similar to payment provided for comparable telehealth services under the Medicare Physician Fee Schedule.
  • Hospitals will receive an increased payment that would otherwise be made to a hospital for treating a patient admitted with COVID-19 by 20%. This add-on payment would be available through the duration of the COVID-19 emergency period. 
  • The CARES Act includes a total of $150 billion in funds to be used for State fiscal relief. There is flexibility on how these funds may be used.
    • Of the $150 billion, Kansas will be allocated $1.25 billion.
    • These funds will provide immediate relief to the State and will allow the State to act quickly to address its most immediate needs.

Phase One – Coronavirus Preparedness and Response Supplemental Appropriations Act:
The first response package was signed into law March 6, 2020.

  • The first package included $4 billion to increase testing capabilities; and to support treatments to ease the symptoms of those infected with the virus.
  • As part of this Kansas received a $5.9 million grant. This grant is intended to help build the state's capacity to increase testing and treatment for those diagnosed with COVID-19. This grant was also intended to help provide states with funds to purchase the needed personal protective equipment (PPE) to ensure that health care workers are safe.
Phase Two – Families First Coronavirus Response Act:
The second response package was signed into law March 18, 2020.
  • Included in the second supplemental funding package were the following resources. These resources have not yet been noticed for direct grants but will have significant impact and benefit to the state.
  • $1.2 billion to help cover the costs of testing, including $142 million to directly help our service members and veterans.
  • Provided a temporary increase in the federal share of Medicaid spending.
    • The required coverage of testing for Medicaid patients will result in an increased financial burden on states the federal government is increasing the federal share. The second package provided states with a 6.2% Medicaid FMAP increase for all medical services for the duration of the public health emergency.
    • This increase will result in a preliminary rough estimate of $220 million increase in payments to Kansas from January 1, 2020 to December 31, 2020. This is contingent upon the National emergency lasting through the remainder of the calendar year. 
  • $1 billion into the Public Health and Social Services Emergency Fund for the National Disaster Medical System to pay provider claims for testing and services related to testing for uninsured individuals.  
    • The federal government will be taking on the costs associated with treating the uninsured in an effort to remove an additional burden from states.
  • $1 billion for emergency administrative grants to state unemployment agencies that can be used to help with spike in claims, processing and applications. The funds are separated into two allotments. The first is immediately available, the 2nd allotment is available to a state that experiences a 10% increase in claims from the previous quarter.
    • Kansas will receive a total of $9.5 million.
 Ron Estes is a 5th generation Kansan and represents Kansas’ 4th Congressional District in the U.S. House of Representatives. He serves on the House Committee on Ways and Means.

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