Deal tops $480 billion
Tuesday, lawmakers reached a deal to replenish the empty Paycheck Protection Program, which has already run out of cash. The program originally received $350 billion to be dished out to small businesses who were struggling in the economic shutdown created in response to COVID-19.
House and Senate Democrats have held up the replenishment of the fund in order to fund their pet projects. Again.
First, here’s a breakdown of what the deal entails:
NEWS, as I just reported on @CNBC:
Breakdown of deal reached to expand small biz funding —
– $250B for PPP
– $60B for banks with <$50B in assets
– $60B SBA disaster relief
– $2.1B for admin of SBA programs
– $75B for hospitals
– $25B for testing, incl. $11B for states
— Kayla Tausche (@kaylatausche) April 21, 2020
Further explained here:
JUST IN: Deal to expand virus aid includes $250B+ for the PPP program, $60B more for small lenders, $60B in disaster relief loans, $75B+ for hospitals, and $25B for testing – sources (via @KaylaTausche) https://t.co/yFFst2rZCs pic.twitter.com/ghk8UnpdXm
— CNBC Now (@CNBCnow) April 21, 2020
On the politics of the deal, Sen. Rubio explains:
PPP wasn’t designed to be a Hunger Games battle for limited $
EVERYONE agreed that once it got going we would need more funds
Then Democrat leadership turned the funding into leverage pic.twitter.com/CywQLViRDV
— Marco Rubio (@marcorubio) April 21, 2020
More from The Hill:
The package does not include the tens of billions of dollars that Democratic leaders demanded in new money for a state stabilization fund included in last month’s $2.2 trillion CARES Act.
Schumer vowed to include more money for states in the next coronavirus relief package passed by Congress, which may rival the CARES Act in size.
“Democrats are disappointed that the administration has not agreed to more funding for state, tribal and local governments on the front lines of this crisis who desperately need an infusion of funds to pay the essential workers who keep us safe,” Schumer and Pelosi said in a joint statement.
“However, we are pleased that the president has committed to addressing this critical priority in CARES 2 and will work with urgency to see that this commitment is fulfilled,” they said.
President Trump is urging Congress to quickly re-up the PP:
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