With time running out before Congress adjourns ahead of the November elections, the American Bankers Association joined nine financial trade associations in a letter urging congressional leaders to immediately pass standalone legislation that would allow for additional funding for the Paycheck Protection Program and streamline the forgiveness process for PPP borrowers.
“The PPP provided over five million small businesses the financial lifeline they desperately needed to weather the start of the pandemic and the economic shutdown that followed,” the groups wrote. “As these businesses continue to recover, they will need additional resources to maintain business operations, and the PPP remains the most efficient and effective means to assist them through this challenging period.”
With regard to forgiveness, the groups wrote in support of two bipartisan bills, S. 4117, sponsored by Sens. Kevin Cramer (R-N.D.), Bob Menendez (D-N.J.), Thom Tillis (R-N.C.) and Kyrsten Sinema (D-Ariz.), and H.R. 7777, a House companion bill sponsored by Reps. Chrissy Houlahan (D-Pa.) and Fred Upton (R-Mich.). Both bills would forgive PPP loans of less than $150,000 upon the borrower’s completion of a one-page document.
“Throughout the pandemic, helping small businesses has consistently been bipartisan,” the groups wrote. “As lenders that support our nation’s small businesses and stepped up to help deliver the critical relief the Paycheck Protection Program provided, we strongly urge members of the Senate and House to continue these bipartisan efforts by quickly supporting an extension of PPP funding and a simpler forgiveness process that will make converting loans into grants easier and less technical for millions of small business borrowers that have PPP loans.”
