7 Major Coronavirus Developments — Federal Funds Little Help to RI Restaurants —  April 13, 2020

Monday, April 13, 2020

 

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Rhode Island restaurateurs are warning the federal stimulus may do little to help them.

The stimulus and specifically the Paycheck Protection Program was intended to provide short-term loans — that may be forgiven for companies if they keep their workers on the payroll.

The U.S. Department of Treasury writes, “The loan amounts will be forgiven as long as: The loan proceeds are used to cover payroll costs, and most mortgage interest, rent, and utility costs over the 8 week period after the loan is made; and Employee and compensation levels are maintained.”

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“To qualify for PPP loan forgiveness, at least 75% of the funds have to be used for payroll, and both employee count and payroll levels need to be restored to pre-disaster levels. This creates two major problems for restaurants,” said Jordan Boslego, who owns Sydney — with locations in Providence and Portsmouth.

The Sydney cafes in Rhode Island have been a hit —  “Sydney is where Australian inspiration meets local ingredients and a passion for quality. we are an all-day café distinguished by easygoing sophistication, finest-quality healthy ingredients, and cheerful service.”

WATCH: Former RI Director of Health Dr. Michael Fine on GoLocal LIVE at 12 PM on Monday

“It's highly unlikely that things will return back to normal quickly enough to justify returning to full operations within 8 weeks. Second, we are likely to face major problems recruiting and rehiring staff while the increased unemployment benefits are still in effect, if returning to work pays far less than remaining at home. Therefore, unless there are changes to the requirements, most restaurants are unlikely to qualify for forgiveness,” said Boslego.

Bob Burke of Pot au Feu writes in an email to GoLocal:

A man walks into a bar and says - I’ll have a beer.
They serve him caviar and champagne, a filet mignon, great Bordeaux and a Creme Brulee with Cognac.
When it’s time to pay - bartender says no charge.
He says, Great, I’ll have another beer.

People aren’t stupid or crazy - the same unfortunately cannot be said for politicians. American politics is full of examples of truly horrifying unintended consequences that have caused more harm than good. This is a perfect example of that happening.  There can be no economic recovery without workers.

 

READ 7 Major Coronavirus Developments BELOW

 

Related Slideshow: 7 Major Coronavirus Developments —  April 13, 2020

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Testing Closed Monday

Due to high winds and heavy rain forecasted for Monday, April 13, all outdoor coronavirus disease 2019 (COVID-19) testing sites in Rhode Island will be closed for the day. This includes testing sites at:

• URI in South Kingstown; • CCRI in Warwick; • Rhode Island College in Providence; • Rhode Island Hospital in Providence; • Kent Hospital in Warwick; • Newport Hospital in Newport; • Westerly Hospital in Westerly • CVS Rapid Testing Site in Lincoln; and • Respiratory Clinics with outdoor tents.

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Death Count Rises for Grocery Store Workers 

Critical to the food chain are the 3 million grocery store workers.

Now, in the United States, a growing number of supermarket workers have died from the coronavirus, reports the Washington Post

The count now stands at 41.

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Andrea Bocelli - Amazing Grace - Sunday's Performance

The Italian superstar tenor delighted the world with a live Easter performance from Milan, Italy.

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Disney Furloughs 43,000 Employees

Walt Disney Parks and Resorts has laid off tens of thousands of employees. 

"The Service Trades Council Union announced Saturday that approximately 43,000 nonessential employees at Disney World, the iconic Florida theme park, will be furloughed without pay beginning April 19," reports the Washington Post.

"Full-time furloughed workers will be eligible to sign up for unemployment benefits and retain group insurance benefits for 12 months. However, with uncertainty surrounding how long the theme park will remain closed due to the coronavirus, workers will go without regular paychecks until further notice," writes the Post.

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Numbers

2,665 Cases in Rhode Island

25,475 Cases in Massachusetts

63 Deaths in RI

756 Deaths in Massachusetts

560,532 Cases in the United States

22,210 Deaths in the United States

1,864,094 Global Cases

115,158 Global Deaths

428,763 Global Recoveries

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Global Oil Deal Between U.S., OPEC, and Russia

The glut of oil and falling oil prices has sparked a deal between the major oil producers. In the United States, hundreds of thousands of oil-related jobs are now threatened due to falling prices.

"Saudi Arabia, Russia and the U.S. agreed to lead a multinational coalition in major oil-production cuts after a drop in demand due to the coronavirus crisis and a Saudi-Russian feud devastated oil prices. The deal, sealed Sunday, came after President Trump intervened to help resolve a Saudi-Mexico standoff that jeopardized the broader pact," reports the Wall Street Journal.

"As part of the agreement, 23 countries committed to withhold collectively 9.7 million barrels a day of oil from global markets. The deal, designed to address a mounting oil glut resulting from the pandemic’s erosion of demand, seeks to withhold a record amount of crude from markets—over 13% of world production. The U.S. has never been so active in forging a pact like this."

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GoLocal LIVE Schedule - Monday, April 13, 2020

 

12:00 PM Dr. Michael Fine, former RI Director of Health

 

1:00 PM Governor Gina Raimondo, Briefing

EDITOR'S NOTE: Raimondo does not allow Rhode Islanders to hear reporters ask questions. Nearly all governors across the country and the White House allow reporters to ask questions directly and for the public to hear the questions and the responses.

 
 

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