In response to surging demand from small businesses, congressional leaders hope to allocate up to $250 billion more for the Small Business Administration’s Paycheck Protection Program this week. Senate Majority Leader Mitch McConnell (R-Ky.) said he would work with Senate Democrats to approve more funding as soon as Thursday using parliamentary procedures allowing the Senate to pass uncontroversial legislation.
American Bankers Association President and CEO Rob Nichols welcomed the news. “Despite early difficulties with this unprecedented SBA lending program, banks of all sizes are actively accepting PPP loan applications and trying their best to deliver these funds to small business customers as quickly as possible,” he said. “By approving additional funding right away, the administration and Congress can reassure more small businesses that they will be able to benefit from this financial lifeline.”
Senate Small Business Committee Chairman Marco Rubio (R-Fla.) estimated that the PPP will need $200-250 billion in the coming days. Rubio discussed a variety of issues related to the PPP—including program funding, liquidity and SBA system access—and heard feedback during a videoconference today with ABA’s board and state bankers association leaders.