Rep. Jack Bergman (MI-01) led a bipartisan letter with Rep. Xochitl Torres Small (NM-02) and 13 additional Members of Congress asking the U.S. Small Business Administration (SBA) and the U.S. Department of the Treasury to continue accepting new loan applications and approving new lenders in anticipation of renewed funding for the Paycheck Protection Program (PPP).
The PPP has provided more than 1.6 million Coronavirus-impacted small businesses with payroll assistance.
However, the program used all available funds by April 15.
Rep. Bergman stated, “Millions of lenders and borrowers were not able to participate in the first round of PPP due to high demand. As I urge my colleagues to overcome partisan gridlock and replenish this critical Coronavirus relief program, it is important PPP remain prepared and keep its doors open to our hardworking small businesses and lenders.”
You can read the full letter HERE and below:
Dear Secretary Mnuchin and Administrator Carranza,
We are grateful for your work in recent weeks to implement the Paycheck Protection Program (PPP) and deliver relief directly to millions of small businesses and their employees.
Today, we write on behalf the millions more still in need of assistance through this SBA lifeline and ask that you consider continuing administrative processes to accept loan applications and approve new lenders in anticipation of a congressional replenishment to PPP.
As of April 15th, the PPP has expended its full $349 billion for loans authorized by the Coronavirus Aid, Relief, and Economic Stimulus (CARES) Act, and SBA has announced it will no longer accept applications for new loans.
We have heard many concerns from small businesses and lenders in our districts who were cut out of the PPP when the funding was exhausted due to high demand and partisan gridlock, especially as some lenders are still trying or only recently gained access to the E-tran system to submit PPP applications.
The SBA and Treasury should maintain operations within the program which will ultimately help current and prospective program participants.
Specifically, we request you continue accepting new applications and expanding the list of SBA-approved lenders to prepare for the next round of appropriated funds.
Through this continuity, we can keep the gears turning for impacted businesses, limit the need for application resubmissions, and further our ability to identify and address any technical flaws.
In the face of the coronavirus pandemic, we must prime PPP for when its doors are reopened to our nation’s small businesses.
Partisan gridlock is once again failing the American people, but maintaining certain PPP processes will put additional pressure on Congress to swiftly replenish this program.
To the extent possible, SBA should consider issuing periodic reports to Congress and the public on the amount of PPP applications received during this lapse in funding in order to emphasize the urgent need.
We are committed to overcoming this needless delay in Congress, and we know that SBA and Treasury will not rest either. Thank you for considering this request and for your tireless work to expedite relief to the hardworking small businesses which drive our nation.