By a strong bipartisan vote this evening, the House cleared legislation providing more than $320 billion in new funding for the Small Business Administration’s Paycheck Protection Program. The Senate passed the bill earlier this week, and President Trump is expected to sign it shortly.
Of the more than $320 billion appropriated for PPP loans, a minimum of $30 billion will be set aside for community development financial institutions, banks and credit unions with less than $10 billion in assets. Another $30 billion at least will go to banks and credit unions with assets between $10 billion and $50 billion. (Institutions in these categories may originate PPP loans above these levels.) The bill also includes an additional $60 billion in funding for the SBA’s Economic Injury Disaster Loan program and provides long-sought clarity that agricultural businesses may apply for EIDL funds.
The American Bankers Association has been urging lawmakers to approve additional funding for the PPP since the program first ran out of funding on April 16, and President and CEO Rob Nichols welcomed this much-needed action by the House.
Pleased to see the strong bipartisan vote in the House in support of restarting @SBAGov‘s #PPPLoan program. #AmericasBanks are ready to help as many small businesses as possible access this financial lifeline.
— Rob Nichols (@BankersPrez) April 23, 2020