Coronavirus Relief - Pandemic Relief for Aviation Workers

 

The Payroll Support Program (PSP1), Payroll Support Program Extension (PSP2), and Third Payroll Support Program (PSP3) provided financial assistance to passenger air carriers, cargo air carriers, and certain aviation industry contractors to preserve employment in the aviation sector as a result of the COVID-19 pandemic. The financial assistance payments were required to be used exclusively for the continuation of payment of employee salaries, wages, and benefits. Division A, Title IV, Subtitle B of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, enacted on March 27, 2020, established the PSP1 to provide a total of up to $25 billion, $4 billion, and $3 billion for passenger air carriers, cargo air carriers, and certain contractors, respectively. The PSP2, authorized under Subtitle A of Title IV of Division N of the Consolidated Appropriations Act, 2021 (PSP Extension Law), enacted on December 27, 2020, provided a total of up to $15 billion for passenger air carriers and up to $1 billion for certain contractors. The PSP3, authorized under Title VII, Subtitle C, Section 7301 of the American Rescue Plan Act of 2021 (ARP), enacted on March 11, 2021, provided a total of up to $14 billion for passenger air carriers and up to $1 billion for certain contractors.

Active 21.018 Departmental Offices, Department of The Treasury C - Direct Payments For Specified Use Fiscal Year 2020 Payments will be made directly to passenger air carriers, cargo air carriers, and certain contractors to be used exclusively for the continuation of payment of employee salaries, wages, and benefits.
Fiscal Year 2023 Please visit the U.S. Department of the Treasury’s (Treasury) website at https://home.treasury.gov/policy-issues/coronavirus/assistance-for-american-industry/airline-and-national-security-relief-programs for a summary of the Payroll Support Program and accomplishments, including a list of program participants. PSP1, PSP2, and PSP3, Treasury awarded $59 billion in financial assistance to the domestic aviation industry for the continued payment of employee wages, salaries, and benefits. The largest recipients issued warrants to Treasury to purchase 58 million shares of common stock and continue to repay $15 billion in long-term debt issued as appropriate compensation for the provision of financial assistance. As of February 2023, approximately 700 large and small businesses in every state have received assistance under one or more of the three PSP rounds. Recipients reported using the assistance to fully or partially fund the salaries and benefits of more than 640,000 aviation employees during the COVID-19 pandemic, help maintain critical infrastructure capacity, and facilitate industry recovery. Additionally, recipients reported more than 360,000 aviation jobs being retained or created as a result of receiving assistance. Employment levels in the aviation industry have now surpassed 2019 levels. Public Law 116-136
The Coronavirus Aid, Relief, and Economic Security Act, Division A, Title IV, Subtitle B, Section 4112
Public Law 116-260
Consolidated Appropriations Act 2021, Division N, Title IV, Subtitle A, Section 402
Public Law 117-2
The American Rescue Plan Act of 2021, Title VII, Subtitle C, Section 7301 PSP1: Payments may be provided only to applicants that are eligible passenger air carriers, cargo air carriers, and contractors, as those terms are defined in the CARES Act and in the guidelines and application procedures for PSP1. Only an entity (whether in the form of a corporation, limited liability company, sole proprietorship, or otherwise) that is individually eligible for PSP1 may receive financial assistance. Eligible applicants must agree to the terms and conditions set out in the PSP1 Agreement and, if Treasury requires, provide certain financial instruments as appropriate taxpayer compensation for the provision of the financial assistance. PSP2: Payments may be provided only to applicants that are eligible passenger air carriers or contractors, as those terms are defined in the PSP Extension Law and in the guidelines and application procedures for PSP2. Only an entity (whether in the form of a corporation, limited liability company, sole proprietorship, or otherwise) that is individually eligible for PSP2 may receive financial assistance. If an applicant includes more than one affiliated entity in its application, Treasury will review each entity to determine whether it meets the criteria for an eligible passenger air carrier or contractor. Any entity that is not itself an eligible passenger air carrier or contractor should not be included on a PSP2 application. Eligible applicants must agree to the terms and conditions set out in the PSP2 Agreement. Passenger air carriers that receive over $100 million in financial assistance and contractors that receive over $37.5 million in financial assistance must provide certain financial instruments as appropriate taxpayer compensation for the provision of the financial assistance. PSP3: Under the ARP, Treasury has authority to provide financial assistance under PSP3 only to a passenger air carrier or contractor that (1) received assistance under PSP2; (2) provided air transportation or performed eligible contractor functions, as the case may be, as of March 31, 2021; and (3) has not conducted involuntary terminations or furloughs or reduced pay rates or benefits between March 31, 2021, and the date on which the passenger air carrier or contractor makes certain certifications that would be included in its PSP3 Agreement entered into with Treasury. Only an entity (whether in the form of a corporation, limited liability company, sole proprietorship, or otherwise) that is individually eligible for PSP3 may receive financial assistance. Not applicable. Not applicable. Preapplication coordination is not applicable. 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. PSP1: The application process is closed. PSP2: The application process is closed. PSP3: Application procedures are not applicable. Not Applicable. Treasury does not expect to issue new awards. Deadlines do not apply. Not applicable. Not applicable. Not applicable. Not applicable. The recipient must use the financial assistance exclusively for the continuation of payment of wages, salaries, and benefits to the employees of the recipient. Not applicable. The recipient and its affiliates will provide Treasury, the Treasury Inspector General, and such other entities as authorized by Treasury timely and unrestricted access to records related to the payroll support disbursed under the PSP1, PSP2 and PSP3 Agreements. This includes access to the recipient's and its affiliates' personnel for the purpose of interview and discussion related to such records. Recipients must comply with record-retention obligations specified in the PSP1, PSP2, and PSP3 Agreements. Generally, the recipient and its affiliates must retain all records pertinent to the receipt of financial assistance and compliance with the terms and conditions of the PSP1, PSP2, and PSP3 Agreement for a period of three years (subject to extension in certain circumstances) following the period of performance. Statutory formula is not applicable to this assistance listing.

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing. Not Applicable. Treasury does not expect to issue new awards. Not Applicable. Treasury does not expect to issue new awards. None/Not specified. United States Department of the Treasury Attn: Air Carrier Workers and Contractors Payroll Support Program
1500 Pennsylvania Avenue NW
Washington, DC 20220 USA
CARESActCompliance@treasury.gov
Phone: (202)622-2000 https://home.treasury.gov/policy-issues/coronavirus/assistance-for-american-industry/airline-and-national-security-relief-programs 20-0158-0-1-402 (Direct Payments for Specified Use) FY 22$48,518,473.00; FY 23 est $0.00; FY 24 est $0.00; FY 21$30,830,551,670.00; - Passenger(Direct Payments for Specified Use) FY 22$106,163.00; FY 23 est $0.00; FY 24 est $0.00; - Cargo(Direct Payments for Specified Use) FY 22$3,279,306.00; FY 23 est $0.00; FY 24 est $0.00; - Contractors Not Applicable. Treasury does not expect to issue new awards. Treasury has published guidelines and other information for PSP1, PSP2, and PSP3 on its website. Recipients must comply with the terms and conditions in the PSP1, PSP2, and PSP3 Agreements and with other laws applicable to the provision of the financial assistance. These include: 31 U.S.C. ? 1352, as amended, and 31 CFR Part 21, which generally pertain to the use of appropriated funds for lobbying. Not applicable.