SAN FRANCISCO - Last week's U.S. bailout contained plenty of cash, but not enough government staffing. The Treasury Department has about two dozen senior leaders to funnel the $2.2 trillion in aid, while key positions are vacant. Goldman Sachs, which provided government recruits in the 2008 financial crisis, has about 410 partners overseeing $1.9 trillion in assets. Bankers may fill the gap again.

In the executive branch, Treasury Secretary Steven Mnuchin and his top aides have shouldered the burden of the economic response so far. Deputy Secretary Justin Muzinich, a former banker and hedge fund executive, and Under Secretary for International Affairs Brent McIntosh, who worked in the George W. Bush White House, have played key roles. The agency has arguably fielded the most effective team in government besides the Federal Reserve.

But staff are stretched. Muzinich was already filling in as under secretary for domestic finance, and doing a similar job in the department fighting illicit financing. Congress has been an obstacle to filling positions. Muzinich will now probably oversee the $500 billion in loans for companies, states and municipalities as part of the emergency relief.

Treasury is expecting a deluge of requests from companies wanting help. On Monday, the department issued guidelines on how the airline and cargo industry could apply for grants and loans worth nearly $80 billion. The already short-staffed Internal Revenue Service is also preparing to send checks to millions of Americans eligible for payments of up to $1,200 each.

Dollar for dollar, the few top Treasury honchos have about 20 times as much to handle per head as Goldman’s partners. That’s simplistic, but they need help. Hiring financial advisers is one step. Treasury will get about $100 million to tap banks to administer loans and provide other advice.

After the 2008 financial crisis, the government hired Lazard to advise on the initial public offering of General Motors after its bankruptcy, earning the bank $500,000 a month. But Treasury also expanded its in-house team then, bringing in ex-bankers like Edward Forst and Steven Rattner, some of whom were temporary contractors.

With Congress considering potentially more bailouts, Treasury’s workload could increase again. The Small Business Administration, in charge of administering $350 billion in new loans, is also overwhelmed. The stimulus needs more managers.

CONTEXT NEWS

- U.S. passenger airlines should apply for $25 billion in grants to help cover payroll by April 3 to receive funds as soon as possible, according to guidelines issued by the Treasury Department on March 30. The companies also have to identify financial instruments such as warrants, options or preferred stock to provide “appropriate compensation” to the government. The funds, which are part of a $2.2 trillion emergency relief bill approved by Congress, can only be used to pay wages or provide benefits.

(Editing by Richard Beales and Amanda Gomez)

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