Lawmakers in the House of Representatives on Thursday approved final passage of the federal relief legislation designed to aid small businesses, hospitals and farms.
The package is the latest one to be approved amid the ongoing coronavirus pandemic, which has devastated the national economy and thrown millions of people of out work.
Expected to be signed by President Donald Trump, the latest funding is designed to provide more support for small businesses and revised standards for what type of business can qualify for aid in order to prevent larger companies from capitalizing on the support.
Funding for the Paycheck Protection Program this month ran dry after large companies sought millions of dollars in relief.
The funding provides a loan to small businesses to cover expenses like payroll for more than a month, which can later be converted into a grant.
“After the PPP exhausted its funds last week, I called on Congress to act quickly to replenish it, and I am glad the bill before the House today allocates an additional $310 billion for the PPP, while also directing $60 billion in funds for the SBA’s economic injury disaster grant and loan program and $2.1 billion to support the SBA’s administration of these programs,” said Rep. John Katko, a Republican who represents central New York.
There is also an additional $75 billion included in the measure meant to aid hospitals, while $25 billion is being set aside to expand testing capacity — which is seen as key for any effort to reopen the economy.
“This bill also clarifies that our small farms are small businesses and ought to have access to the EIDL program,” said Rep. Antonio Delgado, a Democrat from the Hudson Valley. “There is much more work ahead, including ensuring we provide state and local funding in support of our counties and municipalities doing critical work to provide services across our communities here in upstate New York.”
Meanwhile the next fight is already brewing in Washington: How to help cash-strapped states.
Senate Majority Leader Mitch McConnell this week suggested states could declare bankruptcy, a statement that drew criticism from Governor Andrew Cuomo.
Cuomo is pushing for $500 billion for state governments who have responded to the virus. He believes New York should receive more than it has from the federal government given how the state so far has had more coronavirus hospitalizations and deaths.