Legislature Plans Tax-Deadline Delay, Mirroring IRS

Fuente del artículo: State House News Service

Autor: Colin A. Young

 

[Coverage Developing] With the Internal Revenue Service moving the federal tax filing deadline back about a month, the Legislature plans to fold a matching extension for the state tax deadline into the unemployment insurance, paid leave and tax relief bill that’s expected to pass the Senate on Thursday. The U.S. Treasury and IRS announced Wednesday that the federal income tax filing due date for individuals for the 2020 tax year would be automatically extended from April 15 to May 17. Senate President Karen Spilka and House Speaker Ronald Mariano announced Thursday morning that “the Senate and House will act immediately to align our state deadlines accordingly.” “The Senate and the House expect to include this in already moving legislation that addresses emergency paid leave, unemployment insurance, and tax relief on forgiven PPP loans,” the legislative leaders said in a joint statement. “This tax flexibility, which was also authorized last year by the Legislature, will provide stability and ensure residents have time to prepare and file as we continue to weather the impacts of the pandemic.” Last year, the state tax filing deadline was moved from April to July, meaning that some fiscal year 2020 revenue was not collected until the early months of fiscal year 2021, a shift that required legislation to authorize bridge borrowing. It is unclear whether the same will be true this year given that the deadline would not be pushed into next fiscal year.

Weekly Download: We’re Retiring Later Than Ever, Which Is Good for Companies

The retirement age was long believed to be 65. Thus, the moment most individuals clocked 65, they tapped out of the employment sector and went home to start drawing on their Social Security benefits. Our community is experiencing a major shift as more and more workers are opting to stay on, later than 65, some even going beyond 70, which is good news for our local companies.

When people retire early or the slated 65, workers with vital experience take all that knowledge with them and this leaves our firms with knowledge gaps worth decades. While new blood is essential for the companies’ perfect running and catching up with the new status quo, knowledgeable, and technical know-how, it is worth noting that expertise gathered over decades is simply priceless, you can never put a price tag on that. Therefore, it is a good thing that people who have been around as businesses were formed, are in touch with their policies, watched them evolve, and have a clear sense of direction are staying on to keep growing these companies.

Why Are People Opting to Retire Later?

Some have had to retire earlier than they would have wished. We are ambitious people, but circumstances such as ill-health, accidents, or debilitations of all kinds may come between us and our visions for the firms we work in.

Those who stay longer might do so because the age for accessing the Social Security benefits has increased to 67 from 65, which applies to people born later than 1960. We, therefore, have to stay longer to be liable to these benefits.

We all deserve to lead a dignified life after a life spent building our local and country’s economy. Retiring later comes with the added benefit of boosting our income substantially, as the full benefits set on when you clock 70 and a half. People who feel their finances are not in order at the time of retiring might want to work a few more years to improve them. This is partly informed by the fact that the practice of paying pension is quickly losing ground.

A study has found that 61% of Americans fear going broke more than they fear death itself. Just the prospect of going broke has them putting in more hours only to live a better quality of life after retirement. At the same time, most want to stay active and do not prefer the inactive, no-routine experience that comes after retirement.

How Can Companies Gain from Late Retirement?

Regardless of their inspiration to stay longer, companies stand to benefit when we retire later, compared to when we seek early retirement. They have a bigger pool of experienced workers who are in touch with the company’s vision. What’s more, when new workers come in, they can find mentors in workers who have opted to retire much later.

Companies dedicate a lot of resources to training recruits and after all that training, most leave to seek better employment experiences. Older workers tend to stay longer at the firms they work rein. While they may not sit in active job spaces, they can hold consultative positions within the firm, which require a great deal of experience.

Better still, delayed retirement results in a higher GDP of our locale. As long as they keep working, they pay income tax, which goes a long way in improving service delivery in our community.

Chamber Member Spotlight: Framingham State University’s Graduate Program Flourishing During Difficult Times

Remote learning has not been ideal for many students, but it has been popular with one group – those taking graduate and continuing education classes at Framingham State University.

The COVID-19 pandemic forced the state university into online-only classes in March 2020, and as it turns out, many students have been happy with the change.

Michael Merriam, assistant dean/director of Graduate and Continuing Education Recruitment, said it was a challenging transition a year ago when in-person learning abruptly shut down. But it also forced the university to adapt and allowed students to continue learning. Not only have the graduate and continuing education programs continued but several course areas have seen a boost in enrollment, Merriam said.

“We have seen increases in enrollment throughout the course of the pandemic,’’ he said. “We haven’t had any worries about cancelling classes or shutting down programs.’’

Merriam said there have been increases in areas where careers are in high demand or where students see a need for professional development.

In education for example, many teachers who lost their jobs are taking this time to beef up their skills.

“I believe that students are trying to pad their resumes and get additional licensures to make them more marketable,’’ he said. “School districts are saying you may have an elementary certification, but we may need a reading specialist.’’

He said all 13 concentrations in education had increases with the two most popular being special education and literacy and language, which is needed for a reading specialist.

Framingham State offers a range of continuing education courses including graduate degree programs and certificate programs. Many classes focus on the business, education, and health care fields.

Health care is one area that has been growing for a couple of years, he said.

Merriam said the university typically serves students within a 30-mile radius of its campus. But since going remote, students from as far away as Western Massachusetts have signed up for classes.

Merriam said continuing education and graduate classes have been remote since March 2020 and will continue to be throughout the spring and summer. But even when in-person learning resumes, he said the university plans to continue utilizing technology to reach continuing education students.

“The mindset has changed and that’s going to continue,’’ he said. “We’ve been successful remotely. Typical adult learners don’t want to see the campus, they don’t care about sports and clubs. They just want to know what classes there are.’’

Framingham State University offers 60 undergraduate and graduate programs in the arts and humanities, behavioral and social sciences, and professional fields.

Located on Route 9 in the heart of the MetroWest area, Framingham State University has over 35 Master’s Degrees, Graduate Certificates, and Post-Baccalaureate Programs specifically designed and scheduled for working adults.

Framingham State University can be reached at 508-620-1220 or by visiting https://www.framingham.edu/.

Baker-Polito Administration Announces Transition to Phase IV of Reopening Plan

Massachusetts will advance to Step 1 of Phase IV on March 22; Replaces Travel Order with Travel Advisory

 

BOSTON — Today, the Baker-Polito Administration announced that Massachusetts will advance to Step 1 of Phase IV of the Commonwealth’s reopening plan on Monday, March 22. The Administration continues to take steps to reopen the Commonwealth’s economy with public health metrics continuing to trend in a positive direction. This includes drops in average daily COVID cases and hospitalizations. Massachusetts also continues to be a national leader in vaccination rates. The Administration also replaced the Massachusetts Travel Order originally issued in July 2020 with a Travel Advisory, effective March 22. 

In addition, the Administration also announced nearly $31 million in awards to 710 additional small businesses in the tenth round of COVID-19 relief grants administered by the Massachusetts Growth Capital Corporation (MGCC). 

Phase IV, Step 1 and Gathering Changes: 

On March 1, Massachusetts loosened capacity restrictions for several industries and advanced to Step 2 of Phase III of the reopening plan. Since then, hospitalizations dropped by 20% and deaths dropped by 24%. The seven day average of new cases in long-term care facilities dropped by 53%. The positive test rate remains below 2% and has been for several weeks now. The seven day average of new cases is also down over this time by 7%. 

Effective Monday, March 22, all communities in Massachusetts will move into Step 1 of Phase IV of the state’s reopening plan. This will open a range of previously closed business sectors under tight capacity restrictions that are expected to be adjusted over time if favorable trends in the public health data continue. Effective on the planned advancement to Step 1 of Phase IV, the following large capacity sports and entertainment venues will be permitted to operate at a strict 12% capacity limit after submitting a plan to the Department of Public Health (DPH):

  • Indoor and outdoor stadiums
  • Arenas
  • Ballparks

Also effective on March 22, gathering limits for event venues and in public settings will increase to 100 people indoors and 150 people outdoors. Outdoor gatherings at private residences and in private backyards will remain at a maximum of 25 people, with indoor house gatherings remaining at 10 people.

Additionally, dance floors will be permitted at weddings and other events only, and overnight summer camps will be allowed to operate this coming summer. Exhibition and convention halls may also begin to operate, following gatherings limits and event protocols. Other Phase IV sectors must continue to remain closed.

 

Travel Order: 

Effective Monday, March 22, the Massachusetts Travel Order will be replaced with a Travel Advisory. 

The new travel advisory will urge all persons entering Massachusetts, including returning residents, are advised to quarantine for 10 days upon their arrival if they have been out of the state for 24 hours or more. 

The advisory does not apply to anyone in the following categories:

  • Anyone who is returning to Massachusetts after an absence of fewer than 24 hours. 
  • Travelers who have a negative COVID-19 test result that has been administered up to 72 hours prior to their arrival in Massachusetts. 
  • Workers who enter Massachusetts to perform critical infrastructure functions (as specified by the Federal Cybersecurity and Infrastructure Security Agency) while they are commuting to or from or while at work.
  • Travelers who are fully vaccinated (i.e. who have received two doses of either the Moderna or Pfizer COVID-19 vaccines OR who have received a single dose of the Johnson & Johnson vaccine, 14 days or more ago and who do not have symptoms). 

Travelers are additionally encouraged to consult and follow the CDC’s guidelines and requirements for travel. 

 

COVID-19 Business Relief Grants:

Today, the Baker-Polito Administration announced approximately $31 million in awards for 710 additional businesses in the tenth round of COVID relief grants administered by the Massachusetts Growth Capital Corporation (MGCC). As in prior rounds, each grant recipient meets sector or demographic priorities set for the grant programs administered by MGCC. 

With the addition of this round of grants, the Administration has awarded over $633 million in direct financial support to 14,056 businesses across the Commonwealth.
Grants for this round were awarded to 327 minority-owned, and 293 women-owned, businesses; 240 recipients are located in Gateway Cities, and 245 businesses awarded grants have not received any prior aid.

Additionally, MGCC will soon be announcing the availability of funding to support small business technical assistance and community development financial institutions.

Baker Plans to Fully Open Vaccine Eligibility April 19

Fuente del artículo: State House News Service

Author: Colin A. Young and Michael P. Norton

 

[Coverage Developing] All Massachusetts residents ages 16 or older will become eligible for a COVID-19 vaccine by April 19, the Baker administration announced Wednesday morning. Residents 60 or older and certain workers become eligible March 22. Residents 55 or older and those with one qualifying health condition will become eligible April 5 and the general public will become eligible April 19. “The Administration has received assurances from the federal government that an increased vaccine supply will be available to states soon,” Baker’s office wrote in a press release. “Depending on supply, it could take weeks for people to be notified that an appointment is available at a mass vaccination site.” Baker is due to tour a vaccination site at The Shaw’s Center in Brockton at 10:30 a.m. and planned to discuss the timeline for getting the remaining adult population of Massachusetts vaccinated during a press conference to follow the tour. President Joe Biden said last week that he was directing all states to make all adults eligible to be vaccinated no later than May 1. Baker’s administration had planned to make the general public eligible for vaccine doses sometime in its final rollout phase, which has long been scheduled to begin in April. Baker’s office also announced a new $24.7 million investment in its Vaccine Equity Initiative meant to “increase trust, vaccine acceptance and administration rates … and to meet the needs of priority populations.”

North Central Massachusetts Chamber Looks to the Future of the Economy at Annual Economic Forecast Program

(North Central, MA) – Community and business leaders will look to the future of the economy in North Central Massachusetts at the Annual Economic Forecast program scheduled for Friday, March 26, 2021 from 8:00 a.m. to 9:00 a.m. This year’s program will be held online due to the COVID-19 pandemic and will include presentations intended to help business leaders make sense of the economic climate created from the COVID-19 pandemic and potential future trends in our local and global economies.

The Chamber is excited to announce that this year’s featured speakers are Dr. Bo Zhao, Senior Economist at the Federal Reserve Bank of Boston and Simon Anderson, a nationally recognized futurist and author.

Bo Zhao is a senior economist at the New England Public Policy Center in the Federal Reserve Bank of Boston Research Department. He specializes in public finance and urban and regional economics. In 2013, he received the Boston Fed’s President’s Award. Zhao earned his PhD in economics and his MS in applied statistics from Syracuse University. He joined the Boston Fed in 2005 and served on the Municipal Aid Subcommittee of the Massachusetts Municipal Finance Task Force from 2006 to 2007. Zhao was selected by the Ewing Marion Kauffman Foundation as one of 20 young scholars nationwide to participate in the 2005 Entrepreneurship Research Boot Camp.

Simon J. Anderson is a strategic foresight speaker, author and consultant. He helps leaders and organizations be more future resilient and has shared his compelling message with thousands of senior executives and other leaders in a variety of industries from coast to coast in the United States, as well as internationally. In 2013, he founded Venture Foresight, a company dedicated to helping leaders recognize opportunities in emerging technologies and trends. Mr. Anderson is also co-author of the 2014 Bellwether Award winning book Foresight 20/20: A Futurist Ex-plores the Trends Transforming Tomorrow with fellow global futurist Jack Uldrich. As a key member of the international organization Communities of the Future, Mr. Anderson works to promote and facilitate “future’s thinking’ in communities around the world. His work as a futur-ist also informed his roles as an advisor to several technology startups and a multinational educa-tion non-profit organization.

The cost is just $20 for Chamber members/$30 for non-members. Pre-registration is required. For more information or to register, please contact the Chamber at 978.353.7600 ext. 235 or visit www.NorthCentralMass.com.

State House News Service Weekly Roundup: One and Done?

Fuente del artículo: State House News Service

Author: Katie Lannan

 

MARCH 12, 2021….Yesterday was March 11, the first day mass vaccination site signups opened to Massachusetts teachers, the last day — before a pre-registration system went live Friday — that thousands of appointments at those sites would be released all at once and swiftly snatched up in a stressful scramble, and the day President Biden said there’d be enough COVID-19 vaccine doses for all American adults by the end of May.

Here in the infinite time loop that is daily life in a yearlong (so far) global pandemic, where the length of days and months can seem completely arbitrary and divorced from any traditional structure, yesterday also feels like it could have been March 11, 2020, the day President Trump restricted travel from Europe, the World Health Organization officially called it a pandemic, the NBA suspended its season and Tom Hanks and Rita Wilson announced they’d contracted the coronavirus.

It was a day earlier that, in Massachusetts, Gov. Charlie Baker declared the state of emergency that still influences most activity.

“I have to say — well, first of all, I wasn’t expecting this,” an emotional Baker said, marking the order’s anniversary during a press conference Wednesday at an N-95 mask manufacturing facility.

Reflections on the past year pervaded the week for many who recalled their pre-pandemic “last” — day in the office or at school, night out with friends, live concert, restaurant meal, trip on an airplane or public transit.

Despite the disorienting feeling of living in two years at once, in some ways, the month is marching on in a modified version of normal. Baker is sporting his annual charity buzz cut, part of Granite Telecommunications’ “Saving by Shaving” fundraiser, and Sen. Nick Collins is still planning to host Boston’s St. Patrick’s Day breakfast next weekend, albeit virtually.

And as the sun comes out and temperatures rise, there’s also been a springtime stirring in the Legislature.

The House and Senate on Thursday sent Baker a bill that would allow the more than 200 towns with municipal elections this spring to again offer the early mail-in and in-person voting options adopted last year.

As Biden signed a $1.9 trillion stimulus-and-more spending bill into law, the Massachusetts House approved a state-level relief package that aims to buoy businesses, workers and the state’s strained unemployment trust fund all.

Top House and Senate Democrats announced that plan together. Quick passage is expected in the Senate, where Republicans say exempting forgiven Paycheck Protection Program loans to small businesses from state taxes — one component of the bill — should be the body’s top priority as a March 15 tax-filing deadline looms.

After sending Senate President Karen Spilka a note Thursday morning saying he and the other two members of his caucus would be ready to block any legislation that wasn’t PPP tax-related, Minority Leader Bruce Tarr did just that, using a parliamentary move to keep the Senate from taking up a climate policy bill that would lock the state into its goal of net-zero carbon emissions by 2050.

It’s just the latest roadblock for the so-called climate roadmap bill, which has been floating around the Legislature in various forms since the pre-COVID days of February 2020.

Tarr objected to the fact that the latest version of the bill, a redraft by the Senate’s Committee on Bills in Third Reading that incorporates some of the amendments Baker wanted, emerged for review after 10 p.m. Wednesday ahead of an expected Thursday vote.

Baker’s amendments had been sitting before the committee for a month before suddenly reaching the floor, and senators said there have been talks underway with environmental advocates and the business communities. None of those discussions have been in the form of a public hearing.

Democrats said the bill’s provisions had been vetted — and in many cases, already voted upon — over the course of the past year.

Sen. Marc Pacheco, among the senators to voice dismay at the delay and to describe an urgent need for action, also brought up what he said was some exciting news on the renewable energy front: a completed federal review of the Vineyard Wind I offshore wind farm.

While the Biden-era Department of Interior made quick work of its Vineyard Wind analysis, the Department of Labor is still waiting for a confirmation vote on its new secretary, more than two months after Biden nominated Boston Mayor Marty Walsh for the post.

Two weeks ago, Baker signed a new law canceling the special mayoral election that Boston would have been required to hold if Walsh resigned before March 5. That law is now moot, with Walsh still on the job and future acting Mayor Kim Janey waiting in the wings of the Eagle Room.

If the secretary-designee were looking for labor pools close to home to dip a toe in while waiting to join his already-migrated chief of staff in Washington, there’s no shortage of issues on that front to wade into.

Nurses at Worcester’s St. Vincent Hospital, still at odds with Tenet Healthcare over staffing levels, launched a strike on Monday. While state officials are considering what work might look like post-COVID, they’re also estimating that about 250,000 of the jobs lost here will stay gone, permanently. Behind in their road-maintenance efforts after one pandemic spring, municipal officials (who would still like to see the state pass a multi-year road repair funding bill, with more money) are facing high labor costs as they compete with housing developers for contractors.

Then there’s the teachers unions.

Baker and teachers unions have been at odds for a while, disagreeing on the best approach to school reopenings, educator vaccinations and this year’s MCAS exams, to name a few.

The latest spark ignited Tuesday when Education Commissioner Jeff Riley exercised his new authority to decide when schools and districts can no longer teach students through hybrid or remote instruction, setting an April 5 deadline to have elementary schoolers back in classrooms full-time, followed by an April 28 return for middle schoolers.

The state has set aside four days when its seven mass-vaccination sites will only offer first doses appointments for K-12 and early educators and school staff — March 27, April 3, April 10 and April 11.

Massachusetts Teachers Association President Merrie Najimy called the plans for repopulating classrooms “poorly timed,” saying many educators would not be vaccinated by April 5. She reiterated her union’s call for the administration to support local vaccine clinics over the mass sites and to allow first responders to immunize teachers in schools.

A rebuke followed from Baker senior advisor Tim Buckley, who accused the teachers unions of demanding the state “take hundreds of thousands of vaccines away from the sickest, oldest and most vulnerable residents in Massachusetts and divert them to the unions’ members, 95% of which are under age 65.”

Najimy and fellow union heads Beth Kontos and Jessica Tang fired back, calling it “sad, and frankly, reckless that on the one-year anniversary of the COVID-19 pandemic shutting down our state, Governor Charlie Baker is pitting one vulnerable group against another.”

The rising tensions come as legislative budget writers are gearing up to delve into the education spending proposals contained in Baker’s $45.6 billion budget for fiscal 2022 at a Tuesday hearing. On that front, the teachers unions and administration don’t even agree what year it is — Baker’s plan would implement the first year of the school finance law known as the Student Opportunity Act, but groups like the MTA argue that after putting the reforms on hold in fiscal 2021, next year’s budget should have two years’ worth of phased-in new funding to stay on the law’s seven-year schedule.

How the House and Senate will handle school aid in their budgets remains to be seen. In the vaccine spat at least, House Speaker Ronald Mariano — who, by the way, has gotten his first dose, as has Spilka, because both are age-eligible — sided with the teachers.

“If the goal is to have our kids back in public school, a time certain should have been picked at the very beginning and we should work toward that,” the former teacher and one-time Quincy School Committee member said on Bloomberg radio. “The administration, in its wisdom, decided to come up with a date certain and then has done little to meet that deadline.”

Wherever teachers ultimately get their shots, once they’ve received both Pfizer or Moderna doses or the one-and-done Johnson & Johnson version, new doors will open up for them 14 days later, as they will for all who are fully vaccinated.

While the virus and its variants are still spreading, new CDC guidance this week said it’s OK for fully vaccinated individuals to gather indoors, without masks or distancing, and for them to similarly visit indoors with unvaccinated members of one other household who are at low risk for COVID-19. And an update to the state’s travel order allows fully vaccinated travelers to skip the quarantine-or-test-negative requirements.

After a very long year, those revisions — combined with a string of sunny days and Biden’s Thursday night forecast that if everyone keeps up their precautions and gets vaccinated when they can, this Fourth of July could “begin to mark our independence from this virus” — are enough to have visions of backyard barbecues dancing in your head.

House Aid Bill Addresses Solvency of Unemployment Fund

Article source: State House News Service

Autor: Chris Lisinski

MARCH 11, 2021…..The Massachusetts House unanimously approved a wide-ranging tax relief, paid emergency sick leave and unemployment system funding bill Thursday that would soften jobless aid insurance premium hikes set to hit businesses in the coming weeks.

Both laid-off workers and employers stand to gain access to tax breaks under the bill (H 89), which is built on a Gov. Charlie Baker proposal aimed at stabilizing the state’s unemployment system and also includes provisions such as creation of a paid sick leave program for employees who are affected by COVID-19 and tax breaks on any forgiven Paycheck Protection Program loans from 2020.

The bill would freeze a rate schedule, thereby imposing smaller increases in unemployment taxes businesses pay in 2021 and 2022. It would also authorize $7 billion of borrowing to keep the depleted unemployment fund solvent and pay back federal loans, plus impose a separate surcharge on businesses to cover federal interest.

House Speaker Ron Mariano told reporters after the bill’s passage that “the thrust of the bill is always about getting people back to work.”

“We’re trying to help small businesses get back on their feet,” Mariano said. “The more money we can keep in and under the control of the small business owners, the better off we’re all going to be. It allows them to hire more people with the freeze in the rate, the forgiveness of the PPP stuff allows them to retain capital. All of this goes into the hiring back of employees.”

The House voted 155-0 in favor of the bill. Four lawmakers — Republican Reps. F. Jay Barrows of Mansfield, Angelo D’Emilia of Bridgewater, and Donald Wong of Saugus as well as independent Rep. Susannah Whipps of Athol — voted present.

Senate leaders expect to take the bill up next week and have already indicated their support.

The state’s unemployment system is funded by contributions from businesses, which can scale up depending on how often an employer’s workers seek the aid.

COVID-19 and the widespread changes to public life it wrought created a tidal wave of joblessness, spiking at a 17.7 percent statewide unemployment rate last June. The demand wiped out the unemployment insurance trust fund, which cratered from a balance of $1.6 billion in February 2020 to $2.2 billion in the red by year’s end.

In its most recent monthly report, the state Department of Unemployment Assistance projected the trust fund will post year-end deficits of $4.7 billion in 2021, nearly $5 billion in 2022, $4 billion in 2023, and $2.9 billion in 2024.

That dire outlook is set to trigger a shift in the tax rate schedule that, without action, would push the average per-employee cost on businesses from $544 in 2020 to $866 in 2021, a nearly 60 percent jump.

The legislation would freeze the rate schedule in 2021 and 2022, settling the average per-employee cost at $635 in 2021 and $665 in 2022, according to the Associated Industries of Massachusetts.

It would also authorize the state to bond up to $7 billion to keep benefits flowing and pay back the more than $2.2 billion the state has borrowed from the federal government for unemployment so far.

Interest rates on municipal bonds are lower than the 2.27 percent rate that will be due on the federal loans, and supporters say the step will allow Massachusetts to save money in the long run.

“While unemployment has been coming down, certainly compared to where it was back in June of last year, we still definitely have some challenges ahead of us, and bonding that money is going to give us some flexibility of not putting it all on businesses immediately,” said House Ways and Means Committee Chair Rep. Aaron Michlewitz.

Businesses would also face a new surcharge, in the form of an excise tax on employee wages, through December 2022 to help repay interest due in September on the federal loans. Rep. Josh Cutler, co-chair of the Labor and Workforce Development Committee, told the News Service the surcharge would result in an average cost of $57 per employee in 2021 and $66 per employee in 2022.

“Even with this additional employer surcharge, businesses in Massachusetts will save money as a result of our action today,” Cutler, a Duxbury Democrat, said on the House floor.

The bill also includes several other major sections.

It would create a tax credit available to those who received unemployment benefits and have household incomes below 200 percent of the federal poverty level, and waive penalties for any missed tax payments on those benefits last year. The total tax credit is worth $30 million for the 2020 tax year and $20 million for 2021.

Businesses would also be exempt from needing to pay state taxes on forgiven federal Paycheck Protection Program loans, a step that Republican lawmakers have highlighted in recent weeks as important relief.

“When a lot of the businesses were requesting PPP loans, they were in the midst of surviving. They weren’t thinking about next year,” Michlewitz, a North End Democrat, told reporters. “They weren’t thinking about what tax decision they’d have to make in the future. They were thinking about how they’d stay open in the midst of an economic shutdown. In order to protect these small businesses and allow them to get back to where they were, short-term and long-term, the loan forgiveness here and tax forgiveness here is an appropriate step to be taking.”

A year into the pandemic, the House included language creating an emergency COVID-19 paid sick leave program in the bill making benefits available to employees who contract COVID-19, need to quarantine, or must care for a family member affected by the illness.

Full-time workers could access 40 hours of paid time off, while leave for part-time workers would vary based on their schedules. Employers with fewer than 500 workers can access federal tax credits to help cover the costs.

Before approving the bill, the House rejected a proposed amendment from Rep. Erika Uyterhoeven of Somerville that would have offered two weeks of COVID-19 leave to affected employees.

Members also voted 152-4 to shoot down another Uyterhoeven amendment aimed at what she described as preventing “double-dip” tax breaks for businesses that received PPP loans.

Baker first filed a version of the bill including only the UI changes in December, then re-filed his proposal in January with the start of the new session. Major business groups such as AIM and the National Federation of Independent Businesses supported that measure.

“By passing this legislation, we will have the ability to use a much less expensive financing mechanism to borrow money and pay back the fund,” Baker said about the bill Wednesday.

The Republican governor has not taken a public stance on sections that Democratic leaders added into the package, such as the COVID-19 emergency paid sick leave or the tax credits for unemployed workers.

The House vote came after Senate Republicans delayed action on a revamped climate bill, saying that passage of the relief bill to prevent PPP loans from being taxed should “take place immediately” before other matters.

“Absent action by the legislature, these businesses will be forced to pay substantial amounts in additional taxes through tax returns now due on March 15, rather than putting these dollars to work in their struggle to survive and continue to employ the thousands of Massachusetts residents the Payroll Protection Program was designed to protect,” Sens. Bruce Tarr of Gloucester, Ryan Fattman of Sutton, and Patrick O’Connor of Weymouth wrote. “Failure to act in a timely way will cause incalculable hardships for employers and employees in Massachusetts.”

Volatility Can Give You a Business Advantage

Main street businesses are struggling, but that doesn’t mean your business has to suffer, too. Throughout history, many great business stories have begun in an economic downturn. You’re probably as tired of “the pivot” as we are, but these adjustments can make your business more resilient.

Explore Emerging Opportunities

The pandemic has ushered in massive changes and lost revenue for most small businesses in our community. However, within the disruptions and changing market lies opportunities that can help you stay afloat. It takes comprehensive analysis and review of the business to identify and explore viable opportunities, which exist in all industries.

Digital sales soared as governments advised people to stay home to prevent new infections. However, a significant percentage of the sales were discretionary and non-essential items. As time went by, people became comfortable with ordering groceries and other day-to-day supplies online. If you were yet to explore the online market, there couldn’t be a better time to evaluate your opportunities.

For instance, if your business only served walk-in customers, migrating part or all of your operations to the online delivery model can help you maintain sales and customer engagement. Whitespaces are bound to emerge in any business model, although not all are worth exploring. We recommend a comprehensive evaluation of your business to identify the best opportunities arising out of the economic chaos.

Consider Hybrid Models

Many businesses, such as restaurants and retail stores, that depended on walk-in customers for their revenue were dealt big blows following social distancing restrictions. A significant number closed their doors after losing more than 60% of their income. However, some took the chance to diversify the business and explore other sources of revenue.

For instance, restaurants and hotels rely on guests coming to the facility and while some still cater to their walk-in guests, the turnover has dropped significantly. Some restaurant owners have expanded their model to accommodate ghost kitchens, online dishes and food trucks to compensate for the revenue loss.

Hybrid business models can work in any industry but require drastic changes and investment. You will need various third-party software applications, security solutions, service delivery frameworks and shipping. Nonetheless, with digital sales soaring, you can expect to recover your investment sooner. The business will also serve its primary customers while garnering new ones that are looking for safer shopping experiences.

Make Long-Term Strategies

The effects of the pandemic will remain for several months, so it is vital to think long-term. Consumer behavior has changed drastically, but there are many positives to take from the new opportunities and experiences. Businesses should develop strategies and roadmaps that extend beyond six months to guarantee smooth transition and continuity.

It is a new world for entrepreneurs who now must rely heavily on digital engagements to spark sales. In the past, finding the perfect physical location was essential to success. However, with less traffic in the streets, businesses are shifting focus to develop a strong online presence. This might imply redirecting funds meant for facility expansion to digital platform optimization. Ultimately, the goal is to understand what changes will last and how you can adapt to guarantee business continuity.

Thinking long-term is vital even in the absence of a pandemic. Although things will eventually return to normal, many of the changes are poised to stick around. The new normal is something all entrepreneurs must adapt to if they are to stay in business. Fortunately, there are many tools companies can use to predict the future and implement long-term plans that will outlast the pandemic.

Chamber Member Spotlight: Ethos Cannabis Looking to the Future

Ethos Cannabis opened its Fitchburg location on Halloween day in 2020 and is already looking to expand.

The location is ideal, business is strong and the overall cannabis market is growing, said Alex Hardy, president of the Ethos Massachusetts market.

“Sales are building every day,’’ he said. “Word is getting out. Our reputation as a quality cultivator and knowledgeable staff is getting out there.’’

Ethos Cannabis has locations in Massachusetts, Maryland and Pennsylvania.

The Fitchburg site, located on Route 31 just off Route 2, is an adult-use dispensary, meaning it is open to anyone 21 and older. It’s also a cultivation, processing and cultivation site. Hardy said they are looking to add a medical license to Fitchburg location as well.

Ethos currently sells products from a number of different cultivators throughout Massachusetts and its own product line. Its own product line – flower strains and pre-rolls, is only available at the Ethos locations.

Hardy said business is booming as the stigma of cannabis is going away, particularly in Massachusetts.

“Massachusetts has been one of the leading markets and most progressive markets on the East Coast,’’ Hardy said. “Massachusetts in a lot of ways has led the way.’’

In Massachusetts, medical purchase was approved in 2012 and adult-use in 2016.

“Things are really changing very rapidly,’’ he said. “The stigma that used to surround cannabis as a product is really disappearing so fast. People of all ages use cannabis for a variety of reasons.’’

Ethos also carries concentrates, edible, vaporizers, tinctures and topicals.

“There is a wide variety of products that can be made using cannabis. People still prefer smoke-able flower above anything else,’’ he said. “And that’s where the quality of our strains shine through.’’

Because cannabis is a federally-illegal substance, every product sold in Massachusetts is produced in Massachusetts. After it’s produced, it goes out for testing by an independent lab. The products are tested for contaminants, bacteria, potency, chemical compounds and terpenes.

“There is also a series of terpenes produced and they affect the flavor, aroma and smoking experience,’’ Hardy said. “It does a lot to dictate flavor profile. It’s really a critical factor that helps consumers as they become more sophisticated.’’

So who are their customers?

“There are certainly plenty who use it recreationally for fun,’’ Hardy said. “It’s a great experience but even an adult use location such as ours, a relatively large portion of our customer base uses it for medical purposes – anxiety, stress, pain. We’re happy to talk them through what products are good for them depending on what they’re looking for and why they are doing it.’’

The Fitchburg location has 40 employees and they are still hiring. A property expansion is also being planned.

Hardy said next year, they are looking to add capacity and product lines to start making edibles and concentrates of their own products.

Ethos is located at 20 Authority Drive in Fitchburg. It can be reached at 978-614-0070 or by visiting https://ethoscannabis.com/dispensary-locations/ma/fitchburg/.