Workers, companies want to see federal money — fast

LACONIA — Federal relief to help people and businesses with the economic effects of the coronavirus pandemic includes an additional $600 per week for those receiving unemployment compensation, but that money has not yet begun to flow.

Businesses awaiting relief in the form of loans and grants from the U.S. Small Business Administration have not yet seen their money either.

Richard Lavers, deputy commissioner of New Hampshire Employment Security, said the enhanced unemployment benefits should begin as soon as the middle to later part of next week.

He knows of no state that has started providing the enhanced benefit, which was part of legislation enacted March 27.

”We’re being tasked with implementing significant program changes, there is an information technology component and a staff component at the same time as claim volume for one week is exceeding what we'd usually get for an entire year,” he said.

“We have some incredibly hard-working dedicated staff who are working around the clock and weekends in order to process these claims.”

National Guard troops have even been brought in to answer phones and help with the work.

A total of more than 100,000 new claims have been processed since March 17.

Meanwhile, businesses await government loans and grants.

The $349 billion Paycheck Protection Program is administered at the local level by banks and credit unions and is intended to help small businesses meet payroll and day-to-day operating expenses. The government will forgive a portion of the loan equal to two months of payroll and expenses.

Another program provides Economic Injury Disaster Loans that can include a grant of up to $10,000.

Rachel Roderick, acting district director for the SBA in Concord, said businesses have been anxious to see money from both programs.

She said the computer platform for the Economic Injury Disaster Loans couldn’t handle the volume after the program became active in New Hampshire in mid-March. A new platform and a streamlined process was put into place on March 30.

“There were growing pains,” she said. “This is the first time that the SBA has had a disaster like this affecting the whole country.”

The Payroll Protection Program was part of the CARES act passed by Congress on March 27.

Roderick said required federal guidance needed for lenders to close these loans should be out shortly.

“The PPP loans will get out there very soon, within the next couple days,” she said.

She didn’t have an estimate for when the Economic Injury Disaster Loans and associated grants would become available — a program that had an initial goal of providing assistance to businesses within three days of application acceptance.

“They have been kind of overwhelmed with how many applications they have and are trying to get to them as soon as they can,” she said.

Meanwhile, she and her staff are working to keep up with the calls and concerns of the business community.

“Our phones are non-stop,” she said. “They are concerned. We want to help as much as we can. We have two webinars every day and we advocate where we can.”

Her advice to businesses:

“Hang in there, it will be soon. My team is working very hard to work lenders through the process to get the loans into the system and get the applications in. We’re doing all we can do.

“There is unprecedented demand.” she said. “I’ve worked for the SBA for 30 years and this is the first time in the history of the agency that every state had a disaster at the same time.”

Karmen Gifford, president of the Lakes Region Chamber, said the business community is frustrated, but the financial assistance effort is massive.

“If you really look at it, the governmental things are moving more rapidly than in the past,” she said. “When you think about how much it is and where it goes and how it gets implemented, it’s a huge process.”

At the same time, some companies have seen drastic reductions in business operations for nearly a month now.

“They are into their next mortgage payment or lease payment,” she said. “That's the challenge.

“When all of this happens the feeling is ‘Oh my, this is something none of us have ever experienced before.’

“Then reality sets in.”

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