Pandemic Darlings The pandemic economy, in original documents
Home Source documents S. 5026 (117th Congress) — Alternative covered period for loan forgiveness under the Paycheck Protection Program

S. 5026 (117th Congress) — Alternative covered period for loan forgiveness under the Paycheck Protection Program

Summary

Senate bill 5026, whose short title is the Low-Revenue Recipient Paycheck Protection Program Relief Act of 2022, is a bill to permit certain businesses to select an alternative covered period for loan forgiveness under the Paycheck Protection Program and provide certain businesses additional loan forgiveness. Gillibrand introduced it on September 29, 2022, and it was read twice and referred to the Committee on Small Business and Entrepreneurship. It adds subsection (m) to section 7A of the Small Business Act. A low-revenue recipient is an eligible recipient that received a covered loan not later than December 1, 2020, and was not in operation from April 1, 2020, to December 31, 2020, or had gross receipts of not more than 20 percent of the gross receipts during the corresponding period in 2019.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Issuer
Congressional materials
Document type
Bills Bills 117S5026Is Bills 117S5026Is
Case
Bills Bills 117S5026Is Bills 117S5026Is

Cite this document

“S. 5026 (117th Congress) — Alternative covered period for loan forgiveness under the Paycheck Protection Program.” Original at www.govinfo.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/bills-bills-117s5026is-bills-117s5026is/, SHA-256 49f444403bace6a9371eb507703ed033cb26934e225158d4e27970972c372de1.

Full text

                                                                                                                                                                          II




                                                                       117TH CONGRESS
                                                                          2D SESSION
                                                                                                               S. 5026
                                                                       To permit certain businesses to select an alternative covered period for loan
                                                                           forgiveness under the Paycheck Protection Program and provide certain
                                                                           businesses additional loan forgiveness, and for other purposes.




                                                                                   IN THE SENATE OF THE UNITED STATES
                                                                                                   SEPTEMBER 29, 2022
                                                                           Mrs. GILLIBRAND introduced the following bill; which was read twice and
                                                                             referred to the Committee on Small Business and Entrepreneurship




                                                                                                                 A BILL
                                                                       To permit certain businesses to select an alternative covered
                                                                          period for loan forgiveness under the Paycheck Protec-
                                                                          tion Program and provide certain businesses additional
                                                                          loan forgiveness, and for other purposes.

                                                                         1               Be it enacted by the Senate and House of Representa-
                                                                         2 tives of the United States of America in Congress assembled,
                                                                         3     SECTION 1. SHORT TITLE.

                                                                         4               This Act may be cited as the ‘‘Low-Revenue Recipi-
                                                                         5 ent Paycheck Protection Program Relief Act of 2022’’.
                                                                         6     SEC. 2. LOW-REVENUE RECIPIENT LOAN FORGIVENESS.




kjohnson on DSK79L0C42PROD with BILLS
                                                                         7               (a) IN GENERAL.—Section 7A of the Small Business
                                                                         8 Act (15 U.S.C. 636m) is amended—



                                        VerDate Sep 11 2014   00:34 Oct 14, 2022   Jkt 039200   PO 00000   Frm 00001   Fmt 6652   Sfmt 6201   E:\BILLS\S5026.IS   S5026
                                                                                                                                  2
                                                                         1                        (1) in subsection (i)—
                                                                         2                                 (A) in paragraph (1), by inserting ‘‘or
                                                                         3                        (m)(2)’’ after ‘‘subsection (b)’’; and
                                                                         4                                 (B) in paragraph (3)(B), by inserting ‘‘or
                                                                         5                        (m)(2)’’ after ‘‘subsection (b)’’; and
                                                                         6                        (2) by adding at the end the following:
                                                                         7               ‘‘(m) LOW-REVENUE RECIPIENTS LOAN FORGIVE-
                                                                         8     NESS.—

                                                                         9                        ‘‘(1) IN GENERAL.—With respect to a covered
                                                                       10                loan received by a low-revenue recipient not later
                                                                       11                than December 1, 2020, and for which the low-rev-
                                                                       12                enue recipient has received no loan forgiveness under
                                                                       13                this section, at the election of the low-revenue recipi-
                                                                       14                ent, the term ‘covered period’ shall, for the purposes
                                                                       15                of this section, mean the period—
                                                                       16                                  ‘‘(A) beginning on the earlier of—
                                                                       17                                          ‘‘(i) the date selected by the low-rev-
                                                                       18                                  enue recipient; or
                                                                       19                                          ‘‘(ii) September 1, 2021; and
                                                                       20                                  ‘‘(B) ending on a date selected by the eligi-
                                                                       21                         ble recipient of the covered loan that occurs
                                                                       22                         during the period—
                                                                       23                                          ‘‘(i) beginning on the date that is 8
                                                                       24                                  weeks after the start date of the covered



kjohnson on DSK79L0C42PROD with BILLS
                                                                       25                                  period specified in subparagraph (A); and


                                                                                    •S 5026 IS

                                        VerDate Sep 11 2014   00:34 Oct 14, 2022   Jkt 039200   PO 00000   Frm 00002   Fmt 6652   Sfmt 6201   E:\BILLS\S5026.IS   S5026
                                                                                                                                  3
                                                                         1                                         ‘‘(ii) ending on the date that is 24
                                                                         2                                 weeks after the start date of the covered
                                                                         3                                 period specified in subparagraph (A).
                                                                         4                        ‘‘(2) ADDITIONAL LOAN FORGIVENESS.—
                                                                         5                                 ‘‘(A) IN GENERAL.—A low-revenue recipi-
                                                                         6                        ent that received loan forgiveness under this
                                                                         7                        section for a covered loan received not later
                                                                         8                        than December 1, 2020, shall be eligible for ad-
                                                                         9                        ditional forgiveness of indebtedness on the cov-
                                                                       10                         ered loan in accordance with this paragraph.
                                                                       11                                  ‘‘(B) ADDITIONAL FORGIVENESS CALCULA-
                                                                       12                         TION.—The amount of forgiveness of indebted-

                                                                       13                         ness on a covered loan for which a low-revenue
                                                                       14                         recipient is eligible under this paragraph is the
                                                                       15                         amount equal to the difference between—
                                                                       16                                          ‘‘(i) the amount of forgiveness of in-
                                                                       17                                  debtedness on the covered loan that the
                                                                       18                                  low-revenue recipient would be eligible for
                                                                       19                                  under this section, as in effect on the date
                                                                       20                                  on which the low-revenue recipient applies
                                                                       21                                  for loan forgiveness under this paragraph,
                                                                       22                                  if—
                                                                       23                                                   ‘‘(I) the low-revenue recipient
                                                                       24                                          had not received any loan forgiveness



kjohnson on DSK79L0C42PROD with BILLS
                                                                                    •S 5026 IS

                                        VerDate Sep 11 2014   00:34 Oct 14, 2022   Jkt 039200   PO 00000   Frm 00003   Fmt 6652   Sfmt 6201   E:\BILLS\S5026.IS   S5026
                                                                                                                                  4
                                                                         1                                         for the covered loan under this sec-
                                                                         2                                         tion;
                                                                         3                                                  ‘‘(II) for the purposes of this sec-
                                                                         4                                         tion, the term ‘covered period’ meant
                                                                         5                                         the period described in paragraph (1);
                                                                         6                                         and
                                                                         7                                                  ‘‘(III) for the purposes of para-
                                                                         8                                         graphs (5) and (7) of subsection (d),
                                                                         9                                         the covered loan was made on or after
                                                                       10                                          the date of enactment of the Eco-
                                                                       11                                          nomic Aid to Hard-Hit Small Busi-
                                                                       12                                          nesses, Nonprofits, and Venues Act
                                                                       13                                          (Public Law 116–260; 134 Stat.
                                                                       14                                          1993); and
                                                                       15                                          ‘‘(ii) the amount of loan forgiveness
                                                                       16                                  for the covered loan that the low-revenue
                                                                       17                                  recipient received under this section.
                                                                       18                                  ‘‘(C) EXCESS PAYMENT REFUND.—If the
                                                                       19                         Administrator, pursuant to loan forgiveness
                                                                       20                         under this paragraph and in accordance with
                                                                       21                         subsection (c)(3), makes a remittance to a lend-
                                                                       22                         er in an amount exceeding the total outstanding
                                                                       23                         balance of the applicable covered loan, including
                                                                       24                         any accrued interest, the lender shall pay to the



kjohnson on DSK79L0C42PROD with BILLS
                                                                                    •S 5026 IS

                                        VerDate Sep 11 2014   00:34 Oct 14, 2022   Jkt 039200   PO 00000   Frm 00004   Fmt 6652   Sfmt 6201   E:\BILLS\S5026.IS   S5026
                                                                                                                                  5
                                                                         1                        low-revenue recipient an amount equal to that
                                                                         2                        excess.
                                                                         3                                 ‘‘(D) ADDITIONAL FORGIVENESS LIMIT.—
                                                                         4                        No low-revenue recipient may receive loan for-
                                                                         5                        giveness under this paragraph more than once.
                                                                         6                        ‘‘(3) LOW-REVENUE RECIPIENT DEFINED.—In
                                                                         7               this subsection, the term ‘low-revenue recipient’
                                                                         8               means an eligible recipient that received a covered
                                                                         9               loan not later than December 1, 2020, and—
                                                                       10                                  ‘‘(A) was not in operation during the pe-
                                                                       11                         riod beginning on April 1, 2020, and ending on
                                                                       12                         December 31, 2020; or
                                                                       13                                  ‘‘(B) during the period described in sub-
                                                                       14                         paragraph (A), had gross receipts of not more
                                                                       15                         than 20 percent of the gross receipts of the eli-
                                                                       16                         gible recipient during the corresponding period
                                                                       17                         in 2019.’’.
                                                                       18                (b) REGULATIONS.—Not later than 14 days after the
                                                                       19 date of enactment of this Act, the Administrator of the
                                                                       20 Small Business Administration shall issue regulations car-
                                                                       21 rying out subsection (m) of section 7A of the Small Busi-
                                                                       22 ness Act (15 U.S.C. 636m), as added by subsection (a).
                                                                                                                                  Æ




kjohnson on DSK79L0C42PROD with BILLS
                                                                                    •S 5026 IS

                                        VerDate Sep 11 2014   00:34 Oct 14, 2022   Jkt 039200   PO 00000   Frm 00005   Fmt 6652   Sfmt 6301   E:\BILLS\S5026.IS   S5026


File and source

File
BILLS_bills-117s5026is_bills-117s5026is.pdf
Size
235,402 bytes
SHA-256
49f444403bace6a9371eb507703ed033cb26934e225158d4e27970972c372de1
Our copy
BILLS_bills-117s5026is_bills-117s5026is.pdf
Original
www.govinfo.gov
Back to top