May 29, 2020

COVID-19 Government Relations Daily Summary 

The following Daily Summary includes updates of the Illinois Supreme Court Rules and guidance from the City of Chicago on graduated City reopening to phase III.  Also included in the Federal Updates is information on the U.S.. House's passage of the Paycheck Protection Program Flexibility Act of 2020 and PPP FAQ updates by U.S.Treasury and the IRS.


Illinois Supreme Court
COVID-19 Orders
Illinois Supreme Court Justice Burke announced the creation of a new Rule 45, and amendment to Rule 46 and Rule 241.  These rules relate to the use of remote hearings via telephone or video conferencing in the courts and recording of court proceedings.  The Court also issued guidelines for resuming judicial branch operations amid the COVID-19 Pandemic to allow chief circuit judges to establish new schedules.  See the newly revised rules

Also note:  Each of the three Federal District Courts (Northern, Central and Southern District(s)) have issued General Orders governing trial schedules for civil and criminal hearings. 

City of Chicago Reopening
Gradual Reopening Guidelines for Phase III
Chicago Mayor Lori Lightfoot has announced the City of Chicago will move to Phase 3 City reopening on June 3rd. The Mayor's Office and the City Department of Public Health worked with industry leaders to develop industry-specific guidelines for Phase III reopening. See City Guidelines.


House Votes to Ease Rules on PPP Loans

The U.S.. House of Representatives passed the Paycheck Protection Program Flexibility Act of 2020.  This legislation would make several important changes to the PPP for small businesses such as extending the time for the expenditure of funds and easing the requirement that 75% of funds be used for wages.  Also, a provision of the bill would amend the CARES Act to allow the deferral of payroll taxes without losing forgiveness of indebtedness under the PPP.  H.R.. 7010

US Treasury Department
Paycheck Protection Program

The Treasury Department and the Internal Revenue Service updated FAQs concerning the employee retention credit and the PPP enacted as a part of the CARES Act.  Treasury updated FAQ #45 concerning PPP repayments.    Additionally, the IRS updated version of FAQ #79 to clarify that employers that received a loan under the PPP, but opted to repay the loan by May 18th, may claim the employee retention credit after repaying the PPP Loan.