UPDATE: CARES Act | Coronavirus Distribution Program

Alaska Department of Administration sent this bulletin at 06/26/2020 03:30 PM AKDT

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UPDATE:
CARES Act | Coronavirus Distribution Program

June 26, 2020 (Juneau, AK) — The Internal Revenue Service (IRS) has expanded the qualifying factors for the CARES Act distributions.

As authorized under the CARES Act, Notice 2020-50 expands the definition of who is a qualified individual. It now takes into account additional factors, such as an individual’s reduction in pay, rescissions of job offers, and delayed start dates.

It also considers adverse financial consequences to an individual arising from the impact of the COVID-19 coronavirus on the individual’s spouse or household member. As expanded under Notice 2020-50, a qualified individual is anyone who:

  • is diagnosed, or whose spouse or dependent is diagnosed, with the virus SARS-CoV-2 or the coronavirus disease 2019 (collectively, “COVID-19”) by a test approved by the Centers for Disease Control and Prevention (CDC) (including a test authorized under the Federal Food, Drug, and Cosmetic Act); or
  • experiences adverse financial consequences as a result of the individual, the individual’s spouse, or a member of the individual’s household (that is, someone who shares the individual’s principal residence):
    • being quarantined, being furloughed or laid off, or having work hours reduced due to COVID-19;
    • being unable to work due to lack of childcare due to COVID-19;
    • closing or reducing hours of a business that they own or operate due to COVID-19;
    • having pay or self-employment income reduced due to COVID-19; or
    • having a job offer rescinded or start date for a job delayed due to COVID-19.

Under provisions of the CARES Act, the Department of Administration, Division of Retirement and Benefits (Division), in coordination with Empower Retirement, launched a coronavirus-related distribution program for members of the Alaska Supplemental Annuity Plan (SBS-AP) and the Alaska Deferred Compensation Plan (DCP), effective June 3, 2020. A coronavirus-related withdrawal must be processed before December 31, 2020.

For more information on coronavirus-related distribution, contact the Division of Retirement and Benefits toll-free at (800) 821-2251 or in Juneau at (907) 465-4460, visit the Division website at Alaska.gov/drb, or visit our CARES Act webpage at Alaska.gov/drb/headlines/2020/03/coronavirus/CARES-Act