Along with the red flag raised by Democrats, trade groups were dissatisfied with Republicans’ proposed restrictions on small trade aid, and expressed the possibility that the legislation would see significant changes before arriving at a final deal.
Yet when it comes to some broad strokes in the small business plan, Republicans and Democrats appear close to agreement.
Senate Small Business Chairman Marco Rubio (R-Fla.), Who drafted the Republican proposal, and Sen. Ben Cardin (D-Md), the top Democrat on the panel, have aligned in the belief that applications for businesses to Congress Should be allowed to do. Second round of loan paycheck security program forgivable in the coming months. They both want to help more on the hardest hit small employers, including minority-owned businesses.
Cardin and other committee Democrats first proposed businesses to apply for a second loan last month. A similar scheme is included in Rubio’s new bill. Both would require businesses to show a 50 percent revenue loss to qualify but some details are different. Rubio’s bill would limit eligibility for businesses with 300 employees or less while Cardin’s bill would focus on businesses with more than 100 employees.
“There are a lot of similarities,” Cardin said in a Yahoo Finance interview on Tuesday. “We all want to do more for businesses that really need it.”
One of the biggest omissions by Democrats is the lack of new funding for the Small Business Administration’s economic injury settlement loan program.
Unlike the paycheck protection program, which disburses loans through banks, the disaster assistance program is administered directly by the SBA. Rosen and Sen. John Cornyn (R-Texas) have proposed another $ 180 billion for disaster program loans and grants, as well as a ban on the SBA’s ability to limit how much it can help businesses achieve. After committing, the agency applied its own cap by enforcing both business owners and lawmakers. The $ 3 trillion economic relief bill passed in May by the House Democrats included $ 10 billion in additional funding for the EIDL grant.
Rosen said, “We need to continue funding for the EIDL and EIDL Advance programs in this fourth Kovid relief package, so that our small businesses can get the necessary relief to stay away from this economic storm in the long run and relieve the weather Could. ” “Real bipartisan solutions are possible, and Senator Cornyn and I provided one. As negotiations continue, I will continue to push for the inclusion of this bipartisan bill into the Senate’s Kovid relief package.”
While Rubio proposes to target the next wave of small-business support in minority-owned businesses and set aside funding for community-focused lenders, Democrats will likely push for more – a priority that Biden’s The presidential campaign highlighted Tuesday in a new economic plan focused on racial equity.
Biden’s campaign said the broad proposal would “leverage more than $ 150 billion in new capital and opportunities for small businesses that have been structurally excluded for generations.” The former vice president called for funding for lending programs in the Black and Brown communities, with the support of community development financial institutions and minority depository institutions, as well as plans to attract “public-private venture capital” to entrepreneurs of color .
Biden’s campaign said it would reserve half of future small business relief, whether under a paycheck protection program or other efforts, for businesses with 50 employees or less.