Amid Legislative Impasse, CBA Calls on Congress to Pass Standalone Streamlined PPP Forgiveness Legislation

October 20, 2020
Nick Simpson

Amid Legislative Impasse, CBA Calls on Congress to Pass Standalone Streamlined PPP Forgiveness Legislation

 

WASHINGTON – Consumer Bankers Association President and CEO Richard Hunt issued the following statement after the Senate held procedural votes on COVID-19 stimulus and Paycheck Protection Program legislation:

 

“While a bipartisan agreement remains elusive for Congress, small businesses are facing an uncertain economic future. The lifelines they received through PPP loans are becoming a knot of red tape and costly paperwork – forcing businesses to use limited savings to complete a complex forgiveness process instead of working to keep employees on payroll and local economies running.

 

“Congress should not leave town without passing bipartisan streamlined forgiveness legislation supported by nearly a third of both the Senate and House. This common-sense approach would amount to a $7 billion injection into our economy and provide immediate assistance to mom-and-pop businesses in every community across the country.”

 

NOTE: Sens. Kevin Cramer (R-N.D.), Bob Menendez (D-N.J.), Thom Tillis (R-N.C.) and Kyrsten Sinema (D-Ariz.) and Reps. Chrissy Houlahan (D-Penn.) and Fred Upton (R-Mich.) have introduced legislation S. 4117 and H.R. 7777 streamlining forgiveness of PPP loans less than $150,000 if the borrower answers a simple, one-question attestation the funds were used in accordance to PPP guidelines to retain employees. Nothing in the legislation prevents the audit of PPP loans less than $150,000 for fraud. According to independent analysis by AQN Strategies, simplified or automatic forgiveness could collectively save the smallest small businesses owners more than $7 billion dollars and hours of paperwork.

 

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About the Consumer Bankers Association:

The Consumer Bankers Association represents America’s leading retail banks. We promote policies to create a stronger industry and economy. Established in 1919, CBA’s corporate member institutions account for 1.7 million jobs in America, extend roughly $4 trillion in consumer loans and provide $275 billion in small business loans annually. Follow us on Twitter @consumerbankers.