GENERAL DEVELOPMENTS The Consolidated Appropriations Act of 2021 Impact on Employer-Sponsored Health and Retirement Plans On December 27, 2020, President Trump signed into law the Consolidated Appropriations Act of 2021 (CAA). The CAA represents the federal government’s latest attempt to provide relief from the ongoing COVID‑19 pandemic and it includes numerous provisions affecting both health and welfare as well as qualified retirement plans. Additional details on the health and welfare plan provisions and the qualified retirement plan provisions are available in the preceding links, but generally, the CAA impacts employers and plan sponsors as follows: Health and Welfare Flexible Spending…

On January 14, 2021, the U.S. Supreme Court unanimously held that the City of Chicago did not violate section 362(a)(3) of the Bankruptcy Code, one of the many “automatic stay” provisions designed to protect debtors in bankruptcy, when it retained and refused to return the debtors’ impounded motor vehicles following their bankruptcy filings. The Supreme Court’s decision reversed a decision by the U.S. Court of Appeals for the Seventh Circuit, and resolved a long-standing circuit split on the issue. The Court of Appeals held that the City of Chicago’s practice of withholding debtors’ impounded motor vehicles was an “exercise” of…

Among its many provisions, the Consolidated Appropriations Act, 2021 (the CAA) provides greater flexibility for employees who were enrolled in health and dependent care flexible spending arrangements (FSAs) in 2020, or are enrolled in 2021. The CAA provides for the following optional relief for health and dependent care FSAs: Carryovers from 2020 to 2021 and 2021 to 2022 Participants may carry over unused health FSA or dependent care FSA funds from the plan year ending in 2020 to the plan year ending in 2021, and from the plan year ending in 2021 to the plan year ending in 2022. Unlike…

On December 27, 2020, President Trump signed into law another COVID-19 aid package, the COVID-related Tax Relief Act of 2020 (the Act). The Act includes several key tax provisions that are intended to provide relief and stimulate the economy. The Act includes aid for individuals in the form of direct payments, jobless aid and rental assistance as well as aid to airlines, small lenders, entertainment venues, farmers, Amtrak and small businesses. The key tax provisions included: Paycheck Protection Program (PPP) Expansion and Modifications Temporarily allows a 100 percent deduction for business meals Extends deadlines for CARES Act payroll and leave…

On November 2, 2020, the U.S. Securities and Exchange Commission (SEC) adopted amendments to its rules to facilitate capital raising in exempt offerings under the Securities Act of 1933 (the Securities Act). These amendments increase clarity and flexibility in the conduct of offerings, harmonize disclosure requirements and expand some exemptions. These amended rules take effect 60 days after publication in the Federal Register. The main areas addressed by the amendments include: Integration principles and application. Integration doctrine seeks to prevent an issuer from avoiding registration by artificially dividing a single offering into multiple offerings. The amendments increase the flexibility for…

Signed into law on December 27, 2020, the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (the Act) aims to address the continuing challenges posed by the coronavirus pandemic for small businesses. The Act aims to achieve this in part by extending the Paycheck Protection Program (PPP), allocating more than $284 billion for new PPP loans. The Act (along with recent SBA guidance) revives traditional PPP loans (now referred to as PPP “first draw” loans) (PPP1) and creates a new variety of PPP loans (referred to as PPP “second draw” loans) (PPP2). PPP1 loans are available to qualified…

The City of Milwaukee recently distributed property tax bills for the 2020 assessment, payable in 2021. However, due to the COVID-19 pandemic, the payment options have changed.  The following payment options apply for the City of Milwaukee only: Pay Online Visit www.milwaukee.gov/treasurer to pay by credit or debit card. While there is typically a 2.75% convenience fee to pay with a credit or debit card, the City is waiving the convenience fees for such payments during the period of December 21, 2020 through December 31, 2020. The 2.75% convenience fee will be applied to credit or debit card payments after December 31, 2020. Pay by Phone Call (414) 286-2240…

On December 16, 2020, the Equal Employment Opportunity Commission (EEOC) issued a guidance pertaining to COVID-19 vaccination in the workplace. This guidance focuses on the interplay between mandatory vaccination programs and the Americans with Disabilities Act (ADA) and Title VII of the Civil Rights Act (Title VII). Following are the key takeaways for employers: Pre-Vaccination Screenings are “Disability-Related Inquiries” that May Disclose Information about a Disability Employers that require employees to receive a COVID-19 vaccination from the employer, or through a third-party contactor, must treat pre-vaccine screening questions as “disability-related inquiries” under the ADA as the questions are likely to…