October 5, 2020
The PA Chamber signed a coalition letter last week with organizations representing banking institutions, contractors and the restaurant and lodging industries urging Congress to expand the federal Paycheck Protection Program. PPP offers a financial lifeline to small businesses that employ tens of millions nationwide – the program helped more than 5 million small businesses since the start of the pandemic and its subsequent economic shutdown. Unfortunately, COVID remains a somber reality and businesses will need additional resources to stay open, keep people employed and reduce the strain on our nation’s overstressed unemployment compensation system.
The group wrote that at the moment, millions of small businesses are entering the “forgiveness” phase of the PPP where their loan may be converted to a grant – however, to qualify they must undergo a complicated SBA-designed forgiveness process that could lead to further debt if not completed correctly. They also advocated in support of legislation that would help to simplify this process, saying it would provide additional relief by eliminating the requirement to spend hours dealing with onerous paperwork or paying someone to do it for them.
“Throughout the pandemic, helping small businesses has consistently been bipartisan. As those who support our Commonwealth’s businesses, we strongly urge members of the Senate and House to continue your bipartisan efforts by quickly supporting an extension of PPP funding and a simpler forgiveness process that will make converting loans into grants easier and less technical for millions of small business borrowers that have PPP loans,” they concluded.
The full letter is available here.
Founded in 1916, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association, with its membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of BusinessTM.