California Coronavirus Weekly Update

by | Jan 31, 2022 | C.A.R., TSBOR, TSMLS | 0 comments

Welcome to the 98th issue of the California Coronavirus Weekly Recap newsletter.  

​​​​​​In This Issue:

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The Economy & Your Finances: EDD requiring proof of self-employment; CA mortgage relief fund is open; national and state unemployment riseThe deadline for filing documentation to substantiate claims for the Pandemic Unemployment Assistance (PUA) benefits is approaching on Feb. 10. Although PUA benefits have ended and were only granted for weeks through Sept. 4, 2021, and although the last day to apply for a claim for weeks prior to Sept. 4 was Oct. 6, the Employment Development Department (EDD) is in some cases requesting PUA recipients provide documentation to prove that they were self-employed during the calendar year before and up to the start of their PUA claim. You may have to submit proof of self-employment even though PUA benefits have ended. C.A.R. is providing a sample letter/email and template to use as the basis for your self-employment documentation and affidavit. You can upload the required documentation through the “Upload Employment Document” section on your UI Online homepage. Acceptable documents include state or federal tax identification numbers, business licenses, tax returns, business receipts or invoices, signed affidavits verifying self-employment status, contract agreements and bank statements from a business account showing self-employment. Providing more than one document may help support review of your proof of self-employment. You may be able to request more time if you have good cause, but if you don’t provide the required documentation, you may be required to repay any benefits determined to be an overpayment.

The online portal for the California Mortgage Relief Grant Program is live. The program will fully cover up to $80,000 per household for those approved, paid directly to the loan servicer. Those eligible for assistance include California homeowners who faced pandemic-related financial hardship after Jan. 21, 2020, and could not pay their mortgages, if those residents are also at or below 100 percent of their county’s Area Median Income; own a single-family residence, condominium or permanently affixed manufactured home; and meet one of the following qualifications: are receiving public assistance, are severely housing burdened, or have no alternative mortgage workout options through their mortgage servicer. 

Nationwide unemployment jumped to its highest rate in three months last week, at 286,000 claims (an increase of 55,000 from the prior week) as the wave of Omicron-fueled infections disrupted business activity. Economists had predicted 220,000 claims. The U.S. Census Bureau’s Household Pulse Survey on Wednesday showed 8.8 million people reported not being at work because of coronavirus-related reasons between Dec. 29 and Jan. 10. That was up 3 million compared to Dec. 1 to Dec. 13, 2021. The bureau’s Small Business Survey released on Thursday showed that organizations and companies involved in food services, accommodations, education, arts, entertainment and recreation reported large negative impacts from the pandemic. However, the setback in the labor market is not likely to deter the Federal Reserve from raising interest rates in March to tackle high inflation, because the overall unemployment rate is still low, at 3.9%.

Initial unemployment claims in California rose to 67,500 for the week ending in Jan. 15, an increase of 6,100 from the prior week, according to the California State Employment Development Dept (EDD). This is the third week of rising claims, but only half the increase of the prior week.

​Sources: EDD, CA Mortgage Relief, Reuters, Mercury News 
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The Market & Industry: Interest rates rising; mortgage applications increase; market faces challenges 

Interest rates continue to rise this week, hitting the highest point since early 2020. The average 30-year fixed rate mortgage rose to 3.68 percent, up 16 basis points, while the 15-year fixed rate mortgage increased to 3.01 percent. The 5/1 adjustable rate mortgage is at 3.69 percent, up 18 basis points from last week. The daily average mortgage rates tracked by Mortgage News Daily suggest that further increases will follow in the coming week. Rates have been rising sharply since the end of last year and were just about to come back down until the latest inflation news pushed them back up. The prospect of a faster than anticipated tightening of monetary policy triggered by inflation that remains stubbornly high could keep rates elevated in the short term. Despite the current rising trend, mortgage rates are still low by historical standards, and the average 30-Year FRM will likely remain near or below 4% by the end of the year. 

Mortgage applications recorded in the week ending January 7, 2022, increased 1.4% from the prior week, according to the latest survey released by the Mortgage Bankers Association (MBA). Purchased applications increased 2% from a week earlier, and the unadjusted purchased application number was 17% lower than a year ago. Despite recent increases in rates, both conventional and government purchase applications showed increases, with FHA purchase applications increasing almost 9%. While it is too soon to tell the effect of the current surge in rates, housing demand is expected to be solid as demographic drivers and the ongoing economic recovery will continue to provide support to the market.   

Despite the abundance of positive news last week, the market does face significant headwinds to maintaining its current level of home sales in 2022. Interest rates rose to 3.56 percent in the latest Freddie Mac survey. In addition, consumer inflation, driven primarily by surging vehicle prices, continues to run hot, which will likely spur the Federal Reserve to take an aggressive stance on interest rates this year, meaning further rate increases are coming. This is already helping to subdue mortgage applications, which continue to fall from 2021 levels, though they remain robust by pre-crisis standards.
 
Sources: CNET, C.A.R., Mortgage Bankers Association, Freddie Mac ​​​​​​
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Around the State: State may again mandate paid sick leave for COVID; new Omicron variant appears; Omicron causing more deaths; where to schedule a testing appointment 

Gov. Gavin Newsom reached an agreement on Tuesday with state lawmakers to again require employers to provide workers with up to two weeks of supplemental paid sick leave to recover from COVID-19 or to care for a family member with the virus. If passed, the requirement would apply to all businesses with 26 or more employees. The agreement would restore tax credits that were suspended and capped two years ago. Full-time employees would be guaranteed up to 40 hours of flexible paid leave, and an additional 40 hours of paid leave with proof of a positive COVID test. Part-time workers would be eligible for sick leave equal to the number of hours they typically work in a week, or twice that amount with a positive test. If the bill passes, the sick leave would be retroactive to cover absences since Jan. 1, 2022, and extended until Sept. 30. 

Eleven cases of a new subvariant of the Omicron virus, called BA.2 (the original Omicron variant is BA.1), have been found in California as of Monday, according to state health officials. BA.2 is a new subvariant of the Omicron variant that was recently identified. It is very similar to Omicron variant BA.1, with just a few differences in its genome. It is not yet known whether the new variant BA.2 is more transmissible or virulent than Omicron BA.1, but it has begun to appear in several places in California, the U.S. and around the world. The World Health Organization said that BA.2 seems to be increasing in 40 countries, including India, South Africa, Norway, the United Kingdom and Denmark. Researchers are calling this variant “stealth Omicron” because while BA.1 is easy to identify with PCR tests because of a specific section of DNA that it is missing, the BA.2 variant is not missing that section of DNA, so it requires a complete genome sequencing test to identify it. All COVID-19 tests will still show positive for COVID-19 no matter which version one is infected with, but the different genetics makes BA.2 harder to distinguish from other variants. 

Although the Omicron variant is in general far less lethal than prior variants, the exploding number of infections has resulted in higher numbers of deaths. Deaths from COVID-19 in Los Angeles County have risen greatly over the last week — reaching more than 100 per day — due to the Omicron variant. L.A. County Public Health Director Barbara Ferrer told reporters that people who are dying from the Omicron variant are deteriorating much more quickly than those infected by earlier variants. Whereas someone infected with the Delta variant might endure severe illness for four to five weeks before dying, those who pass from Omicron experience symptoms for only three weeks, on average. However, hospitalizations are slowing statewide.

As of 1:26 p.m. yesterday, there had been 7,929,350 reported cases of COVID-19 in the state, for a daily average of 95,778. This is 7.6 percent lower than two weeks prior. Hospitalizations statewide are still rising, at 15,248, but at a slower rate of 4.1 percent over the last week. ICU usage has also increased. Statewide, only 17.8 percent of ICU beds are available. California has administered 67,629,611 doses of the vaccine, and 76.9 percent of residents have received at least one dose. Over the last seven days, an average of 117,565 vaccine doses have been given per day. Among all Californians, 69 percent are fully vaccinated. 

To find a COVID-19 testing site near you and learn more about testing, go to the California state health dept.’s website on testing. To find a testing site near you, click here to search by address, city, county or ZIP code, or go to your local testing site such as your county health department. For information about county testing programs, search for “[your] county COVID testing.” Some COVID-19 testing information sites: San Diego County, Orange County, Los Angeles County, San Bernadino County, Riverside County, Santa Clara County, Alameda County, Sacramento County, Contra Costa County, Fresno County, San Francisco County. While instant tests are useful for gauging risk immediately before gathering with others, they are currently in high demand and often hard to find. The free PCR tests offered by the state are more accurate and reliable than instant tests and usually return results in 1-2 days.

Sources: Los Angeles Times, Washington Post, Mercury News, The Hill, Times of Israel, L.A. County Dept. of Public Health, San Diego County Health and Human Services Agency, Orange County Health Care Agency, San Bernadino County Dept. of Public Health, Riverside University Health System, County of Santa Clara Public Health Dept., Alameda County Health Care Services Agency Public Health Dept., Sacramento County Dept. of Health Services, Contra Costa Health Services, Fresno County Dept. of Public Health, San Francisco Dept. of Public Health
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Health Check-Up: Cases finally slowing; free N95 masks coming; how long to use N95s; FDA halts use of two antibody drugs; vaccine does not impair fertility; post-COVID brain fog is real; where to schedule your booster appointment 

For the first time in a month, U.S. average daily coronavirus infections have dipped, suggesting that the wave of Omicron infection may be near its peak, or may even have passed. Across the U.S., cases have crested and begun dropping rapidly, following a pattern seen in Britain, France, and South Africa. Experts in Europe predict a period of low transmission by the end of March. In the U.S., places where Omicron first struck are seeing the sharpest declines, including the Northeast corridor. Other states, such as Arizona, Texas, Oregon and North Dakota, are still waiting for relief. Nationwide, new daily cases are still extraordinarily high at 680,000 a day, but this is down from more than 800,000 a week ago. A model by the Institute for Health Metrics and Evaluation estimates that 57 percent of the world’s population has been infected with COVID-19 at least once. Another research group that combines several models and shares the projects of the White House, predicts a strong decline in U.S. infections by April unless a new variant emerges that can sidestep growing levels of immunity. 

The Biden administration is releasing more than 400 million N95 masks to the public for free, and individuals will be able to pick up three masks each from major pharmacy chains and community health clinics in the coming days. The first masks will be available at the end of this week. The masks are approved by the National Institute for Occupational Safety and Health, and they are being released from the Department of Health and Human Services Strategic National Stockpile. Pharmacies including Walgreens, CVS, Albertsons, Safeway, and others will have masks to hand out to customers on a rolling basis. 

How long to keep reusing the same N95 mask? Now that the CDC has recommended that people stop using cloth masks and upgrade to N95 masks, it is harder to know how long one can keep using it. N95s give better filtration of airborne particles and thus protection against infection, but they are also costlier than cloth masks or cheaper disposable masks. Matt Carlson, safety officer for UCSF Health, recommends checking the mask regularly to see whether layers are visibly wet, soiled or dirty, or the outer edge no longer seals tightly around your face. “If the respirator is not compromised, you can safely reuse it,” he said. When in doubt, though, dispose of the old one and use a new one. Some experts say that the same mask can be used five to seven days if it is handled properly. However, if you wear it in a high-risk setting such as a health-care facility, discard it after one day.  

The U.S. Food and Drug Administration (FDA) has halted the use of two leading, monoclonal antibody medicines that do not work against the Omicron variant of COVID-19. On Monday, the agency revoked emergency authorization for two drugs, one from Regeneron (that was used to treat President Trump when he tested positive for the coronavirus) and the other from Eli Lilly. The FDA noted in its decision that Omicron now accounts for more than 99 percent of U.S. infections, making it “highly unlikely” that the antibody medicines would help people now seeking treatment. If the drugs prove effective against future variants, the FDA could reauthorize their use. Both Regeneron and Eli Lilly are working on new antibody medications to target the Omicron variant. 

A new study shows that the COVID vaccine does not impact fertility, though getting COVID-19 might cause issues conceiving. The research, published in the American Journal of Epidemiology, followed 2,126 American and Canadian couples who were trying to have a baby spontaneously (without reproductive therapies), between December 2020 and November 2021. Vaccination did not appear to impact fertility in either male or female partners. Infection with COVID-19 did reduce male fertility for a few months. 

Studies at UCSF have shown that people who develop “brain fog” after being infected with COVID-19 have abnormalities in the clear liquid surrounding the brain and spinal cord. The discovery of elevated proteins in the cerebrospinal fluid suggests the presence of inflammation, while unexpected antibodies may reveal an abnormally activated immune system. The small study was led by researchers at UCSF and published in the peer-reviewed journal, Annals of Clinical and Translational Neurology. 

Last Friday, the Biden administration launched a toll-free telephone number where people can order free at-home COVID-19 tests. Now people without internet access, or who prefer to use the telephone, can call to place an order for one package of four rapid antigen tests per residence. The hotline is: 1-800-232-0233 (TTY 1-888-720-7498, for the hearing impaired). It will operate from 5 a.m. to 9 p.m. Pacific time (8 a.m. to midnight Eastern time). Alternatively, one can order from either of two websites: covidtests.gov or the U.S. Post Office site. Orders will start shipping in late January, should take approximately 7-12 days to ship, and both the tests and the shipping are free. Generally, rapid antigen tests can be stored prior to use between a few months and a year. Check the expiration date on the box and do not use tests after they have expired because they will not work. Also, check the storage instructions on the box, as some need to be stored in the refrigerator while others can be stored at room temperature. 

To get vaccinated or boosted, visit California’s vaccination website, myturn.ca.gov, which is offering appointments for people aged 5 and up. Vaccinations are also available at walk-in clinics, doctors’ offices and pharmacies. Some counties have their own vaccine scheduling or information websites, such as L.A. County’s scheduling site, San Francisco’s scheduling site, San Diego County’s information site, Orange County’s information site, and Sacramento County’s information site.

Sources:  Los Angeles Times, NPR, KCRA, San Francisco Chronicle, Health.com, CDC, Self, UCSF, Mercury News, Very Well Health, USPS, MyTurn.gov, L.A. County Dept. of Public Health, SF.gov, San Diego County, Orange County, Sacramento County Dept. of Public Health