House Passes Legislation That Tweaks Small-Business Loan Requirements To Help Struggling Owners
The bill, which passed 417-1, has wide bipartisan support and lawmakers are hoping the Senate will quickly pass the legislation. The changes made to the Paycheck Protection Program will help providers that employ highly compensated physicians and will help practices that have considered shutting down because of the pandemic.
The Wall Street Journal:
House Passes Bill Loosening Rules On PPP Small-Business Loans
The House approved a bipartisan bill that would loosen requirements on hundreds of billions of dollars in small-business loans, responding to concerns from employers struggling to stay open during the coronavirus pandemic. The House bill reduces the level of Paycheck Protection Program funds that must be used for payroll to 60% from 75%. The bill also gives borrowers up to 24 weeks to use the funds, up from the eight set in the initial bill passed in March, and extends the deadline to rehire workers to Dec. 31. The bill passed 417-1 on Thursday, with many of the Democratic votes read into the record by their assigned proxy, taking advantage of a rule change this week that allows remote voting for the first time. (Andrews and Omeokwe, 5/28)
The Washington Post:
House Passes Bill To Ease Access To Small-Business Loans In Pandemic, But Impasse With Senate Remains
The vote came as the Labor Department reported that an additional 2.1 million Americans filed jobless claims last week, bringing the 10-week total to more than 40 million applications. The Paycheck Protection Program (PPP) has emerged as one of the most visible elements of the $2 trillion Cares Act, which passed Congress in March and was meant to blunt the economic fallout from the pandemic. As of Saturday, more than 4.4 million loans had been issued under the program, with a total valuation of more than $500 billion. (Werner, 5/28)
The Hill:
House Passes Bill To Grant Flexibility For Small Business Aid Program
Lawmakers say that additional changes to the program are needed following complaints from small businesses that they’re not able to take advantage of the loans under the current terms. Restaurants and hair salons, for instance, largely still face coronavirus-imposed safety restrictions and aren’t in a position to rehire all their employees in the time currently required to qualify for loan forgiveness. (Marcos, 5/28)
Modern Healthcare:
House Passes Small Business Loan Tweaks That Would Help Healthcare Providers
The House legislation's payroll tax deferral would also be a help to providers that employ highly compensated physicians, Willey said. Proskauer Rose partner Rick Zall said the extension of the time frame from eight to 24 weeks to spend PPP funds would be especially useful to physician practices that had to nearly or completely shut down due to the pandemic. "They are looking at the PPP as a bridge to be able to maintain staff and reopen promptly," Zall said. (Cohrs, 5/28)
In other news from Capitol Hill —
The Hill:
Schumer: GOP Should 'Stop Sitting On Their Hands' On Coronavirus Bill
Senate Minority Leader Charles Schumer (D-N.Y.) said on Thursday that Republicans should "stop sitting on their hands," after new figures put the number of unemployment claims since late March at 40 million. "The cost of Republican inaction grows every day. ... Senate Republicans ought to stop sitting on their hands and work in a bipartisan way to provide the immediate help workers and families need," Schumer said. (Carney, 5/28)
Politico:
Pelosi Has Not Been Tested For Coronavirus
Speaker Nancy Pelosi said Thursday that she has never been tested for the coronavirus, offering a contrast to the daily tests taken by both President Donald Trump and Vice President Mike Pence. The California Democrat — who is second in line to the presidency — has spent much of her time in the U.S. Capitol in recent weeks, where several cases have been reported among lawmakers, aides and other employees. Pelosi herself had once been in the same room with another member who was later diagnosed with a presumed case of the virus. (Ferris, 5/28)
ABC News:
House Democrats Question Trump's Deal On Russian Ventilators
Senior House Democrats are demanding more information on what they say is a bad deal for U.S. taxpayers struck by President Donald Trump and Russian President Vladimir Putin involving ventilators. In a letter to Secretary of State Mike Pompeo, the Democratic chairs said they have "grave concerns" that Trump recently agreed to provide 200 ventilators to Russia for free -- after paying $659,283 to Moscow for a separate Russian aid shipment that included 45 ventilators later deemed unusable. (Flaherty and Finnegan, 5/28)
Kaiser Health News:
KHN’s ‘What The Health?’: Still Seeking A Federal Coronavirus Strategy
The Trump administration sent its COVID-19 testing strategy plan to Congress, formalizing its policy that most testing responsibilities should remain with individual states. Democrats in Congress complained that the U.S. needs a national strategy, but so far none has emerged. Meanwhile, President Donald Trump, noticing that his popularity among seniors has been falling since the pandemic began, unveiled a plan to lower the cost of insulin for Medicare beneficiaries. However, while diabetes is a major problem for seniors in general and for Medicare’s budget, only a small minority takes insulin. (5/28)
