CONGRESSWOMAN ANGIE CRAIG AUTHORS BILL GIVING SMALL BUSINESSES SECOND CHANCE FOR PAYCHECK PROTECTION PROGRAM FUNDING
Today, U.S. Rep. Angie Craig, a member of the House Small Business Committee, introduced key legislation that would allow small businesses who have received Paycheck Protection Program (PPP) loans to apply for a second round of PPP funding to keep their small businesses going.
The Prioritized Paycheck Protection Program Act would allow smaller PPP recipients, with significant losses due to COVID-19, to receive a second PPP loan. The borrowers must be self-employed or have 100 or fewer employees, and have suffered more than a 50 percent loss in revenues compared to a quarter in the previous year or another relevant period. They must have exhausted, or be on pace to exhaust, their first PPP loan and certify they need the funding to support ongoing operations for payroll and eligible non-payroll costs.
“This global pandemic has had devastating impacts on the small businesses that keep our Main Streets thriving and build memories in our communities. That’s why I’m introducing a bill that gives small businesses an opportunity to secure an additional PPP forgivable loans,” said Rep. Craig “I urge my colleagues on both sides of the aisle and in both chambers to set partisan politics aside and work together to swiftly pass this real solution for every small business across the county.”
“From the beginning of the COVID-19 pandemic, I’ve heard from small businesses across NY-19 that have used the Paycheck Protection Program and are still struggling to recover from losses,” said Rep. Delgado. “I’m proud to introduce the Prioritized Paycheck Protection Program Act to allow small businesses with under 100 employees to access additional PPP funds to close revenue gaps and remain operational. With funding still available through PPP, Congress must do all we can to help the businesses who need it most. I urge the committee and House leadership to take up this legislation as soon as possible to get more upstate small businesses back on their feet.”
The Prioritized Paycheck Protection Program Act was also introduced in the Senate today by Sens. Ben Cardin, Chris Coons and Jeanne Shaheen.
Rep. Craig remains a steadfast champion for small businesses. In March, she brought the needs of small businesses to the table by introducing the Small Business Relief Guaranteed Loan Program Act of 2020 which introduced the idea of interest-free, forgivable loans in response to COVID-19. The CARES Act included this concept to create the Paycheck Protection Program. She has taken several steps to improve these loans, including:
- Making sure the program was funded by requesting and securing funds to replenish the SBA loan programs in the CARES Act.
- Urging for flexibility by pushing leadership while they were crafting the Heroes Act to include PPP flexibility by way of extending the June 30th deadline to use loan funds, elimination of the 75/25 rule and extension of the loan repayment window, all of which were included in the Heroes Act.
- Calling for more transparency on whose PPP loans were getting approved and whose weren’t, where the loans were going and how many of the recipients are minority, women or veteran-owned businesses in her co-sponsorship of the PPP Data Diversity and Accountability Act of 2020. Rep. Craig continues to push on making sure the Congressional small business relief programs are reaching mom and pop shops.
- Recognizing the unique needs of each business, including the need for some businesses to purchase supplies and goods, which were previously tax exempted and began to be taxed for recipients of the PPP loan, Rep. Craig cosponsored the Protecting the Paycheck Protection Program Act of 2020, which would correct this and was included in the Heroes Act.
- Continuously pushing for answers from The Department of Treasury and the Small Business Administration on PPP to hold the agencies accountable for the program.
As a member of the Small Business Committee, Rep. Craig will continue her championing of small businesses and keeping the American dream alive.