White House Seeks More Funding for Paycheck Protection Program
Given the high demand for the Paycheck Protection Program (PPP), the White House is seeking to add an additional $251 billion of funding for the program. There would also be an additional $261.3 billion added for the SBA due to any costs associated with the increased funding for loan guarantees. If authorized, just the PPP would be funded at a total level of $600 billion. Press reports indicate that approximately $66 billion in loan applications have been accepted for the initial tranche of funding ($349 billion). The White House request can be found here.
The Senate may take up this proposal as early as Thursday, April 9 during its scheduled pro forma session, with expectations it would pass without a recorded vote by unanimous consent.
What form the aid package would take is not clear, though the Administration is not proposing to alter any of the terms of the PPP as it was enacted, such as its duration or program eligibility. Democratic leaders appeared to have been caught off guard about this development, and it was not clear if and when they would seek additional terms for relief; however, Senate Democrats did propose creating a Heroes Fund for front line COVID-19 workers that would be considered in the next relief package. A summary of the Senate Democrats’ proposal can be found here.