The National Retail Federation (NRF) has welcomed a $500-billion package set for a vote in the US senate that would raise funding for loans to small businesses and offer aid during the COVID-19 pandemic. The vote will be on the Paycheck Protection Program and Health Care Enhancement Act, which would provide an additional $300 billion for Small Business Administration (SBA) loans.
This is beyond the original $350 billion provided under the Coronavirus Aid, Relief, and Economic Security Act signed into law last month. Additional funds would go to hospitals, testing and other needs. The senate is expected to vote tomorrow and President Donald Trump has indicated his support for the measure, NRF said.
“The CARES Act was an important first step but funding for the Paycheck Protection Program has already been exhausted and additional relief is essential to keeping employees of small retailers on the payroll and contributing to the economy until we can get through this challenge. This assistance is too important to be given out on a first-come, first-served basis and limited to those who were the quickest to file their applications. This measure will ensure that those who need assistance the most will receive it. It should be passed and signed into law before this health crisis turns into any more of an economic crisis than it already is,” NRF president and chief executive officer Matthew Shay said in a statement.
Nearly 200,000 small retailers have taken part in the Paycheck Protection Program, receiving an average loan of $155,000 each for a total of $29 billion, but funds have run out and the SBA is no longer accepting fresh applications.
