May 22, 2020, Washington, D.C. – The $3 trillion Health and Economic Recovery Omnibus Emergency Solutions Act passed May 15 by the U.S. House of Representatives is known as the HEROES Act, but its passage by the U.S. Senate is uncertain.
Republicans in the Senate are unenthusiastic about the legislation; other pundits suggest President Trump will veto the new economic stimulus package, even if senators have a change of heart.
Several components of the HEROES Act are designed to broadly benefit the overall U.S. economy, including funding streams that could positively impact rent-to-own retailers and their employees, such as:
- Strengthening the Payroll Protection Act and providing additional funding to help small- and medium-sized businesses retain their employees and meet other certain expenses.
- An extension of $600 weekly unemployment insurance supplements through the end of 2020 for out-of-work employees.
- Additional payments of $1,200 to individuals making less than $99,000 a year, or $2,400 to couples making less than $198,000 – with additional funding for families with up to three dependents.
- Debt forgiveness for economically distressed student borrowers having difficulty making their loan payments even before the COVID-19 pandemic began.
- $100 billion for low-income renters facing eviction and $75 billion for homeowners pressured to meet mortgage payments.
- Funding for an expansion of coronavirus testing and free treatment for all Americans diagnosed with the disease.
If the HEROES Act overcomes current political obstacles to win the Senate’s approval and the President’s signature, these initiatives and others created to help state and local governments, first responders and other essential workers are expected to pump more money into the economy, helping RTO businesses maintain their employees and helping RTO customers keep their existing accounts current, as well as stimulating new rent-to-own transactions.
Even if the current HEROES Act is dead in the water, it is expected to set the stage for new federal economic stimulus legislation next month that will earn bipartisan support and achieve similar business and community outcomes.
Track the HEROES Act (H.R. 6800) on The Congress Project’s website.