Bipartisan senators introduce bill to make changes to the Paycheck Protection Program
Sens. Angus King (I-Maine) and Steve Daines (R-Mont.) introduced legislation to extend the time businesses have to use funds from the Paycheck Protection Program (PPP) and eliminate the limit on using funds for non-payroll expenses.
The Paycheck Protection Program Flexibility Act, introduced on Thursday, would allow businesses to extend the period, which is currently eight weeks, to 24 weeks. Treasury Secretary Steven Mnuchin said Monday that the administration is working on expanding this period but didn’t commit to 24 weeks.
The bill would also eliminate restrictions in the PPP that only 25 percent of the loan can go to non-payroll expenses and restrictions that limit loan terms to two years.
The U.S. Chamber of Commerce, International Franchise Association, American Hotel and Lodging Association, National Restaurant Association, and National Retail Association, among other groups, have voiced their support for the companion bill in the House, which was introduced by Reps. Dean Phillips (D-Minn.) and Chip Roy (R-Texas).
The organizations sent a letter to House leadership on Thursday urging the lower chamber to swiftly consider and pass it.
Sens. Tim Kaine (D-Va.), Thom Tillis (R-N.C.), Debbie Stabenow (D-Mich.) and Cory Gardner (R-Colo.) are original co-sponsors of the Senate bill.