Guide to Pennsylvania’s Reopening
and the New Normal for Businesses 

May 13, 2020
Over the past several weeks, Governor Wolf released details of the “Red-Yellow-Green” phases for restarting business activity across the Commonwealth of Pennsylvania. Under these plans, the Governor will make county-by-county determinations based on certain criteria regarding active COVID-19 infections, testing and hospital resources to move counties through the various phases. 

Red Phase : Effective April 1, 2020, the Governor’s stay-at-home order applied to all 67 counties in Pennsylvania. Under the Red Phase, only those businesses designated as “life sustaining” are permitted to continue operations, large gatherings are prohibited, restaurants and bars are limited to carry-out and delivery service only and travel only for life-sustaining purposes is encouraged. Notwithstanding these limitations, some industries received exemptions to restart activity, most notably the construction industry (Link: Pennsylvania Construction Permitted to Resume May 1st ) as well as limited operations involving automobile sales and real estate.   

As of May 11, 2020, most of Pennsylvania remains in Red Phase. Only certain counties in northwestern Pennsylvania were moved to Yellow Phase as of May 8, 2020 and additional counties in southwestern Pennsylvania are moving to Yellow Phase on May 15, 2020. Except for the counties identified as moving to Yellow Phase, the remainder of Pennsylvania remains in Red Phase through June 4, 2020. 

In order to move from Red to Yellow Phase, Governor Wolf’s administration identified the following criteria for counties to achieve:

  • Fewer than 50 new confirmed cases per 100,000 population over the prior 14-day period. For example, Philadelphia County’s population is approximately 1,500,000 residents, which means that Philadelphia needs to see a total of no more than 750 new cases over the 14-day period 

  • Enough testing available for individuals with symptoms and target populations such as those at high risk, health care personnel and first responders

  • Robust case investigation and contact tracing infrastructure in place

  • Adequate safeguards in place for high-risk settings including correctional institutions, personal care homes, skilled nursing facilities, and other congregate care settings

Yellow Phase : Once a county is moved into Yellow Phase, many workplaces will be permitted to reopen but must follow operating guidance relating to health and safety as well as other restrictions. During the Yellow Phase:

  • The stay-at-home order is lifted

  • Many businesses may reopen, but indoor recreation, health and wellness facilities and personal care services (such as gyms, spas, hair salons, nail salons and other entities that provide massage therapy), and all entertainment (such as casinos, theaters) remain closed
  • However, telework must continue where feasible
  • In-person retail is permissible, but curbside and delivery service is preferable
  • Restaurants and bars must continue to be limited to carry-out and delivery only

  • Schools remain closed

  • Large gatherings of more than 25 are prohibited

  • Restrictions on congregate care and correctional institutions remains in place

Health and Safety Requirements for Operating Businesses

Pennsylvania set forth detailed Guidance for Businesses Permitted to Operate that applies to all businesses operating in Yellow Phase, unless industry-specific guidance exists (i.e., health care, construction, etc.). Any business planning to resume or continue in-person operations during Yellow Phase is urged to carefully review the Guidance to ensure compliance with the health and safety regulations. The Guidance includes the following general requirements for in-person operations:

  • Clean and disinfect high-touch areas frequently and continue to regularly clean all other areas of the building(s)

  • Establish and implement a plan in case the business is exposed to a probable or confirmed case of COVID-19 (full details for such plans set forth in the Guidance)

  • Prevent large groups from entering or leaving the building by staggering work start and stop times

  • Limit the number of people in employee common areas, like locker rooms or break rooms, and ensure these areas are cleaned frequently

  • Conduct meetings and trainings virtually.  If a meeting needs to be held in person, limit the number of employees to 10 and maintain a social distance of six feet

  • Make sure employees have access to soap and water to wash their hands, hand sanitizer and disinfectant wipes

  • Provide non-medical masks for employees to wear at all times and make it mandatory to wear masks while on the work site.  Employers may approve masks obtained or made by employees according to Department of Health policies

  • Make sure the facility has enough employees as applicable to follow these protocols and conduct business effectively and safely

  • Discourage non-essential visitors from entering the business premises

  • Communicate these procedures to all employees to ensure that everyone knows how to be safe 

Businesses are encouraged to promptly prepare policies and procedures necessary to implement the Guidance as well as obtain necessary supplies and equipment, including, but not limited to, masks, hand sanitizer, soap and cleaning supplies, to ensure that they are ready to open once their county is moved into Yellow Phase. Acknowledging that it may be difficult to obtain these necessary supplies, Pennsylvania is directing businesses to the Department of Community and Economic Development’s Business2Business Interchange for assistance in sourcing such items.

Added Requirements for Retail and Public-Facing Businesses

The Guidance sets forth additional requirements for any business that serves the public inside a building or other defined area:

  • Conduct business with the public by appointment only, whenever possible

  • If appointment-only service is not feasible, limit the number of people inside the building to no more than 50% of the total maximum occupancy

  • Modify the hours of business so that there is enough time to clean and restock

  • Install shields or other barriers at registers and check-out areas to physically separate cashiers and customers, or take other measures to maintain social distancing between customers and employees

  • Encourage customers to use online ordering by providing delivery or pick-up options

  • Designate a specific time for people at high risk, including those over the age of 65, to use the business at least once a week

  • Require all customers to wear masks while on the premises.  Businesses that provide medication, medical supplies or groceries must provide an alternate, no contact, means of delivering goods for customers who cannot wear a mask
  • However, individuals who cannot wear a mask due to a medical condition (including children under the age of 2 years per CDC guidance) may enter the premises and are not required to provide documentation of such medical condition

  • In businesses with multiple check-out lanes, limit use to every other register.  After every hour, rotate customers and employees to the previously closed registers and clean the previously open registers and the surrounding areas

  • Schedule handwashing breaks for employees at least every hour

  • Assign an employee to wipe down carts and handbaskets before the customer uses it

Green Phase : Following a county’s designation into Green Phase, all businesses are permitted to operate but must continue to follow the guidelines set forth by the Pennsylvania Department of Health and the CDC. 

Additional Recommendations for Businesses during Reopening Phases
 
As businesses plan to reopen or return to greater levels of activity, they should also assess needs and requirements related to any applicable COVID-19 programs, deferrals or modified arrangements and stay informed with additional state and local regulations. 

Paycheck Protection Program (PPP) Loans : Recipients of PPP loans should continue to carefully track expenditures and ensure compliance with applicable deadlines, including the eight-week spend period and the June 30, 2020 deadline to restore employee headcount and salary. Borrowers are also encouraged to communicate with their lender to apply for loan forgiveness as soon as possible following the eight-week spend period. 

Payments (Loans, Lease, Taxes, Suppliers, etc.) : Many businesses entered into deferrals, forbearances or other modifications of normally recurring expenses over the initial months of the pandemic. Businesses should take caution in complying with any such agreement in order to prevent adverse action or penalties. 

Stay Prepared : Businesses should consider that conditions may change over the course of the next several months. Even after a county is moved into Yellow Phase, should there be a rise in infections, it is likely that the county will be moved back into Red Phase. Businesses should be prepared for this possibility and have any necessary plans in place. 
If you have any questions, please contact:
Gary Zlotnick
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