PPP Extension Gains Support in SenateMarch 24, 2021
Following passage last week in the House of legislation, the PPP Extension Act of 2021, to extend the Paycheck Protection Program (PPP) through May 31, the Senate is now moving closer to passage on its bill (S. 723) later this week. The current PPP is set to expire on March 31.
Senate Majority Leader Chuck Schumer (D-N.Y.) has said his chamber needs to pass the bill by the end of the week, prior to the Senate’s scheduled recess next week. The bill currently has seven Republican cosponsors–just three shy of the needed 60 to override a filibuster. Sen. Susan Collins (R-Me.), who introduced the bill, is joined by Republican Sens. Thom Tillis (N.C.), Shelley Moore Capito (W.V.), Rob Portman (Ohio), Roger Marshall (Ks.), Lisa Murkowski (Ak.) and Dan Sullivan (Ak.).
Some banks providing loans under the PPP are already beginning to close down their application portals in order to process all the requests and clear government fraud checks in time by the end of the program.
Many businesses, as well as banks, are advocating for an expansion of the program beyond the end of March, arguing that struggling employers need more time to obtain the funds. The American Rescue Plan appropriates an additional $7.25 billion for the PPP and expands eligibility encompass 501(c) organization and internet news publishers, but it does not change the expiration date of the program.
Sen. Marco Rubio (R-Fla.) has offered his own legislation that would extend the PPP but puts stipulations on which applications the U.S. Small Business Administration can prioritize.
NSBA strongly supports this legislation and been outspoken on the need to extend the PPP. Please click here to complete our action alert on the bill.