News of the Day

Yesterday, the Department of Workforce Development (DWD) released the total number of new applications, weekly claims, and amount distributed for unemployment benefits for the time period of March 15 to April 6, 2020.

Between March 15 and April 6, 2020, the total number of new applications submitted for unemployment benefits was 313,068, with weekly claims reaching 589,616. The total amount in unemployment benefits distributed equaled $68,759,104.

By comparison, during the same period in 2019, the total number of new applications paled in comparison, 17,748, with weekly claims of 155,148. The total amount of unemployment benefits during this period was $39,597,111.

“The fact that initial claims ballooned by more than 1600% illustrates the unprecedented nature of this pandemic and its effect on our economy,” Secretary Caleb Frostman said. “The IT infrastructure of the UI division was not adequately modernized coming out of the Great Recession, which has forced DWD’s staff to work overtime, nights, and weekends to process unemployment claims to support out-of-work Wisconsinites. We are confident that our accelerated and expanded hiring, along with real-time telecom and IT improvements will help alleviate claimant backlogs.”

On top of the measures in additional staffing and technology, DWD is developing the application for Pandemic Unemployment Assistance (PUA), with the goal of taking the first applications the week of April 21, 2020. PUA was established by the Coronavirus Aid, Relief, and Economic Security (CARES) Act that was signed into law on March 27, 2020. It temporarily expands UI eligibility to those who are otherwise ineligible for state UI benefits, including those who are self-employed, free lancers, independent contractors, and part-time workers impacted by COVID-19. Workers will be eligible for retroactive benefits (as far back as Feb. 2, 2020) and can receive benefits for up to 39 weeks.

The CARES Act also created the Federal Pandemic Unemployment Compensation (FPUC) program, which provides an additional $600 per week through July 31, 2020 to those who are eligible for UI and PUA benefits. Wisconsin hopes to be ready to start making these payments the week of April 26, 2020.

As part of the effort to measure the COVID-19 pandemic’s economic impact, a report by the Center for Research on the Wisconsin Economy at the University of Wisconsin-Madison found foot traffic at Wisconsin businesses decreased by 52% in the last week of March when compared to the same week a year ago.

The drop was 60% from 2019 to 2020 for the final weekend in March. Malls, restaurants, and bars statewide were closed on March 17. The safer at home order took effect on March 25.

CROWE’S director, Noah Williams said CROWE researchers expected a large decline in foot traffic statewide, but they were not sure how large the impact would be.

“Clearly for businesses like movie theaters which are closed down, it was almost a 100% drop which was predictable,” Williams said in an email. “But we weren’t sure for example how large the decline in retail was as the shutdown of non-essential businesses were (at least partly) balanced by increases at essential businesses.”

The report states foot traffic was down 76% at hotels and 71% in restaurants for the last week of March. That drop was even greater, 83% and 76% respectively, during the month’s final weekend.

Overall, retail stores saw a drop of 33%, while grocery stores had the smallest drop, just 7%.

Wisconsin’s Spring Primary and Presidential Primary will occur on Tuesday, April 7, and all absentee ballots must be turned in or postmarked on Election Day as a result of decisions Monday by the Wisconsin Supreme Court and United States Supreme Court.

The Wisconsin Supreme Court enjoined an executive order by Governor Tony Evers, clearing the way for in-person voting at the polls to occur on Tuesday, April 7.

The United States Supreme Court enjoined an order from the U.S. District Court regarding deadlines and postmarks for absentee ballots. Ballots must be returned to the polling place or the clerk’s office by 8 p.m. Tuesday, April 7, or postmarked by April 7 and received by the clerk by 4 p.m. Monday, April 13.

The Wisconsin Elections Commission offered these important reminders to voters:

1.    Voters with absentee ballots must return them or mail them on Election Day.

2.    Because of poll worker shortages, your polling place may have changed due to consolidation.  Before heading out to vote, please double-check your polling location at myvote.wi.gov. Click “Find My Polling Place.”

3.    Wash your hands before heading to your polling place on Election Day.  Hand hygiene is essential for a safe voting experience for everyone at the polls. Also, wash or sanitize your hands again when arriving at your polling place and before voting. A 70% alcohol spray solution will be available at most polling places.

4.    Things will look different at your polling place.  Social distancing and public health related changes have been made to each polling place for this election.

5.    Please be patient when voting at the polls.  The public health procedures being used will slow down some parts of the process when you have to interact with poll workers.

6.    You may be asked to line up outside your polling place or voting area to ensure only a safe number of voters are in the voting area at one time.

7.    Social distancing is essential even at your polling place on Election Day.  There will be procedures in place to allow for six feet between voters and poll workers to ensure a safe voting experience for everyone.

8.    Please keep your face-to-face interactions brief with both poll workers and other voters.  We want to limit the risk for everyone in the process on Election Day.

9.    If you are ill and still need to vote on Election Day, curbside voting options are available.

10.    If you received an absentee ballot, you can return it at your polling place on Election Day if you have not yet returned it to your municipal clerk’s office.

Wisconsin has been granted a major disaster declaration for the entire state of Wisconsin, as a result of the COVID-19 pandemic. The declaration provides access to Public Assistance programs for all 72 Wisconsin counties and the state’s federally recognized tribes.

“I am grateful for the swift action of the federal government in reviewing our request for a major disaster declaration,” Gov. Evers said. “The assistance granted today will help ensure Wisconsin can gain access to critical assistance as we continue our work to respond to this pandemic.”

Gov. Evers earlier this week requested that the federal government provide the following programs to support the state’s response: Public Assistance, Direct Assistance, Hazard Mitigation (statewide), and certain Individual Assistance programs; Crisis Counseling, Community Disaster Loans and the Disaster Supplemental Nutrition Program.

“The state will work with communities across Wisconsin to ensure federal disaster assistance is received as quickly as possible,” said Dr. Darrell L. Williams, Wisconsin Emergency Management administrator. “We are thankful that our partners at FEMA helped to get a quick  response to this request, so we can ensure critical assistance programs are available to communities that are in need.”

The major disaster declaration covers assistance to public entities, and will cover eligible projects submitted by counties, cities, townships, tribes, and certain private, not-for-profit organizations. Local governments in the declared counties are now eligible for federal assistance and should contact county emergency management directors for further information. Under the program, FEMA provides 75 percent of eligible costs, while the remaining 25 percent is the responsibility of state and local agencies.

The IRS expects to start sending an initial wave of economic stimulus payments, worth up to $1,200 apiece, to some 60 million Americans the week of April 13, Treasury Department and IRS officials have told the House Ways and Means Committee.

Democratic Gov. Tony Evers and Republican legislative leaders signaled Wednesday that they were making progress toward a state bill to address the economic fallout of the COVID-19 pandemic.

Assembly Speaker Robin Vos, R-Rochester, and state Senate Majority Leader Scott Fitzgerald, R-Juneau, said they support a temporary repeal of Wisconsin’s one-week waiting period for unemployment benefits, an effort pushed for the past two years by Evers.

The governor also unveiled a new round of proposals he wants the Legislature to consider as part of a legislative session to address the new coronavirus, including a plan that would guarantee the payment of all unemployment benefits and another that would spend $150 million on grants to help small businesses weather the economic storm.

While Evers and Republicans remained far apart on specifics, Vos and Fitzgerald’s comments were noteworthy given their previous opposition to repealing the one-week waiting period, a law signed by former Republican Gov. Scott Walker.

“There is broad support for the temporary suspension of the one-week waiting period for unemployment,” Vos said. “We want to make sure that people have access to those benefits.”

Fitzgerald said the change would likely be retroactive for people who had already applied for unemployment when the federal government increased benefits.

“Absolutely, I would support that,” Fitzgerald said.

Vos said discussions were ongoing about the cutoff date for the retroactive funding.

Yesterday, Governor Tony Evers sent a letter to the Federal Emergency Management Agency (FEMA) requesting that the President issue a major disaster declaration for the entire state of Wisconsin, as a result the COVID-19 pandemic. The request covers all 72 counties and the state’s federally recognized tribes.

“The response to this virus has required a tremendous response from the state and all of its communities that far exceeds the resources currently available to us,” Gov. Evers said. “By seeking this declaration, we are hopeful the state will be able to access critical programs that are needed to deal with the pandemic now, and with the recovery that will be taking place down the road.”

Having determined that Wisconsin met all of the criteria required to receive a major disaster declaration, Governor Evers in his letter requested that the federal government provide the following programs to support the state’s response: Public Assistance, Direct Assistance, Hazard Mitigation (statewide), and certain Individual Assistance programs; Crisis Counseling, Community Disaster Loans and the Disaster Supplemental Nutrition Program.

The Department of Workforce Development (DWD) is continuing to urge people to file for unemployment benefits on DWD’s website at dwd.wisconsin.gov/uiben/apply/. The online application process is faster and easier than applying over the phone. Over 98% of the people who have applied through the DWD website have been able to successfully start, complete, and file their claim for unemployment benefits.

DWD is encouraging people to apply online so that the phone lines are open for people who have been specifically instructed to call DWD or for those people who do not have access to a computer or internet.

During the week of March 22, 2020, DWD’s Unemployment Insurance Division (UI) received more than 1.5 million calls, an increase of 6,208% over the busiest weekly call volume. Last Thursday alone, UI received 400,000 calls between 6 a.m. to 10 a.m., at times receiving 160 calls per second. The unprecedented number of calls overloaded the system as it was not built to handle this type of call volume.

DWD is diligently working to increase both staff and technology capacity. The department has increased the number of calls UI is able to send and receive, allowing for 690 simultaneous calls, which is up from the 450 simultaneous calls it was previously able to handle.

Additionally, DWD has increased its staff at the UI call center. Prior to the COVID-19 pandemic, UI call center consisted of 57 employees. Last week, DWD has temporarily added 35 staff members to help with the call volume, totaling 92 call center workers. DWD has now pulled, and is currently training, 40 staff members from other DWD divisions to assist the call center, and DWD would like to hire an additional 80 staff workers to triage calls for unemployment.

DWD wants to remind the public that the week a person becomes unemployed, that person should file an application for unemployment benefits online. For more information, instructional videos, and to apply, please visit https://dwd.wisconsin.gov/uiben/apply/.

Wisconsin state and local governments could receive more than $2.2 billion from the federal government as part of the $2 trillion stimulus package signed Friday to address the economic fallout caused by the new coronavirus.

The estimate was provided by the Legislature’s nonpartisan budget office Friday, the same day the U.S. House passed and President Donald Trump signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Part of the act sets aside $150 billion in direct aid payments to state and local governments.

According to the Legislative Fiscal Bureau, Wisconsin could receive about $2.26 billion of that funding based on its population. About $1.9 billion would go directly to state government, according to the Fiscal Bureau.

The rest of Wisconsin’s direct aid payments would go to local governments with populations greater than a half-million people. They include the city of Milwaukee ($102.7 million), Milwaukee County ($164.5 million) and Dane County ($93.4 million).

The Fiscal Bureau memo suggested it was unclear whether states could use the funding to fill budget shortfalls that result from the coronavirus pandemic. Other outstanding questions include whether the state could use the funding to help cities and counties with populations smaller than a half-million people.

The memo was prepared at the request of Assembly Speaker Robin Vos, R-Rochester, and Sen. Majority Leader Scott Fitzgerald, R-Juneau. In a statement released Friday night, Vos said the funding should focus on emergency health care.

The $2 trillion stimulus package passed late Wednesday promises to deliver some help to small businesses devastated by Covid-19.

For small business, one of the more important sections of H.R. 748 is the Paycheck Protection Program. This program gives the SBA the ability to guarantee $350 billion in loans to small businesses via a network of more than 800 banks. The Paycheck program provides eight weeks of cash-flow assistance to small businesses with 500 employees or fewer.

The low-interest loans are meant to cover payroll costs, paid sick leave, supply-chain disruptions, employee salaries, health-insurance premiums, and mortgage payments. The maximum loan amount is $10 million while the interest rate on the loans can’t surpass 4%.

If the employers maintain their payrolls until June, the portion of the loans usedfor payroll costs, interest on mortgage obligations, rent, and utilities would be forgiven.

Self-employed individuals, or those part of the “gig economy,” can access Paycheck loans, as can certain nonprofits, including 501(c)(3) organizations and 501(c)(19) veteran organizations.

The SBA would administer the program once its passed and signed into law.