Chairwoman Velázquez on Bipartisan Deal to Fund Small Business Relief Programs, Set-Aside Funding for Community Lenders
Washington, April 22, 2020
Washington, D.C.— House Small Business Committee Chairwoman Nydia M. Velázquez (D-NY) issued the following statement in response to the bipartisan deal struck on the Paycheck Protection Program and Health Care Enhancement Act:
“I want to thank House Speaker Nancy Pelosi, Senate Democratic Leader Chuck Schumer, and House Financial Services Committee Chair Maxine Waters for their tireless efforts to make the small business relief programs more inclusive and accessible to American small businesses.
“This legislation is an important next step in not only increasing funding for the Paycheck Protection Program but ensuring that resources will reach America’s most underserved and hardest hit communities. By setting aside funds for community mission-based lenders, this bill provides access to the PPP program for those who have been traditionally left behind by the big banking system.
“In addition to funding PPP, we have secured an additional $50 billion for the Economic Injury Disaster Loans program and $10 billion for grants, a crucial step that will leverage over $350 billion in loans and improve the flow of quick capital to small businesses in need.
“In implementing these newly approved funds, the Treasury Department must provide detailed and timely guidance to ensure community lenders have the tools they need to make loans in accordance with the law.
“While this bill is a step in the right direction, Congress should immediately get to work on the next relief package, which must include additional guardrails and improvements to the PPP program. We must continue to work to fix loopholes that allow for corporate interests to take advantage of the program, adjust program flexibility and timing to accommodate the reality of stay-at-home orders and social distancing, and conduct oversight of the Administration’s implementation of these programs.”