“It’s businesses that are outside the traditional banking sector and don’t have traditional banking relationships,” Kildee stated. “What we’re seeing is that the PPP program just doesn’t necessarily get to that cohort of the very small businesses.”
The legislation has garnered backing from both sides of the aisle: Republican Reps. Fred Upton (Mich.) and Brian Fitzpatrick (Pa.) both are in support, as is Rep. Dwight Evans (D-Pa.). Similar legislation in the Senate, sponsored by Sens. Steve Daines (R-Mont.) and Cory Booker (D-N.J.), is being prepared.
The difficulties with the PPP were clear soon after the bill containing it, the CARES Act, became law in late March.
Not even two weeks later, the $349 billion in appropriations had essentially vanished, and dissenters spoke out that hundreds of companies that were publicly traded — businesses that could get money in other ways — took millions of dollars that were supposed to aid small businesses. (Facing the outcry, some of those businesses have given the loans back.)
