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Congressional Record, May 28, 2020 — House

Summary

Pages of the Congressional Record for the House dated May 28, 2020, beginning at page H2332. The pages close debate on H.R. 6782, the TRUTH Act, which would require the Small Business Administration to publish information on recipients of CARES Act grants and loans; Mr. Chabot states he cannot support it, and Ms. Jackson Lee submits a statement in support. On the motion by Ms. Velázquez to suspend the rules and pass H.R. 6782, Mr. Roy demands the yeas and nays and further proceedings are postponed. Ms. Velázquez then moves to suspend the rules and pass H.R. 7010, the Paycheck Protection Program Flexibility Act of 2020, whose text would replace June 30, 2020 with December 31, 2020 and end the covered period at the earlier of 24 weeks after origination or December 31, 2020. The pages close with a statement on the five-year minimum maturity for PPP loans and part of a vote tally.

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                                              H2332                                             CONGRESSIONAL RECORD — HOUSE                                                              May 28, 2020
                                              debating my bill, the TRUTH Act,                                              b 1000                           able in an online, searchable, sortable, and
                                              which simply injects transparency and                      This data collection and trans-                     downloadable format within 30 days of pas-
                                              accountability into the very largest ex-                parency bill is a positive step in that                sage:
                                              penditure of taxpayer money in Amer-                    direction,         providing    much-needed                1. The identity of every recipient of a grant
                                              ican history.                                           transparency           and    accountability.          or loan that was funded by the CARES Act or
                                                That is it. There is no hidden agenda,                Knowledge is power and, with this bill,                the Payroll Protection Program and Health
                                              just a straightforward requirement for                  the public will finally have the knowl-                Care Enhancement Act;
                                              the Small Business Administration to                    edge on how these programs have been                       2. An explanation of the SBA’s decision-
                                              publish information about how Federal                   implemented, where the money has                       making process;
                                              relief dollars are flowing and where                    gone, who has gotten it and who hasn’t.                    3. The number of employees at the entity in
                                              they are going. And that truth should                      Not only will this empower the peo-                 question;
                                              be important to every American: busi-                   ple, it will empower Congress as we                        4. The date when the grant or loan was dis-
                                              ness owners and patrons, bankers and                    continue working to optimize the                       bursed;
                                              borrowers, Republicans and Democrats.                   CARES Act programs.                                        5. The identification number of the bank or
                                                We cannot accept a situation in                          The bill also clarifies the program                 lender that administered the grant or loan; and
                                                                                                      accounts for the Paycheck Protection                       6. The amount of assistance provided to
                                              which bigger businesses with access to
                                                                                                      Program and the 7(a) Loan Program                      small businesses owned by socially and eco-
                                              other sources of liquidity are pushing
                                                                                                      are wholly distinct, ensuring that the                 nomically disadvantaged individuals, women,
                                              to the front of the line at the expense
                                                                                                      SBA’s flagship lending program will                    and veterans.
                                              of those with the greatest need, par-                                                                              Mr. Speaker, the COVID–19 pandemic has
                                              ticularly minority-, women-, and vet-                   not shut down when the Paycheck Pro-
                                                                                                      tection Program appropriation lapses.                  challenged us in ways we could have scarcely
                                              eran-owned businesses that are strug-                                                                          imagined; it has claimed lives and destroyed
                                              gling the very most during the pan-                        As the small business economy be-
                                                                                                      gins to recover in the coming weeks                    livelihoods all across our nation.
                                              demic.                                                                                                             We are in this together and we will come
                                                I won’t accept it.                                    and months, small businesses need to
                                                                                                      be able to access affordable capital to                out stronger and better.
                                                I am on a mission to restore Ameri-                                                                              And we do that by caring for each other and
                                                                                                      rehire workers, restock their shelves,
                                              cans’ faith in their government. But                                                                           rendering equal, justice and fairness, whether
                                                                                                      and resume operations. This language
                                              trust is earned by action, not by words.                                                                       it is in the area of coronavirus testing, distribu-
                                                                                                      ensures the 7(a) program will be an op-
                                              So I ask my colleagues to join me in                                                                           tion of PPE, or economic assistance.
                                                                                                      tion for them in the next phase of re-
                                              supporting the TRUTH Act, in allowing                                                                              Our small businesses need help and they
                                                                                                      covery.
                                              the American people to see where their                     I urge my colleagues to support this                need the truth, which is why I urge my col-
                                              money is going and in ensuring that                     measure, and I yield back the balance                  leagues to join me in voting to pass H.R.
                                              businesses that need relief the most are                of my time.                                            6782, the TRUTH Act.
                                              getting it.                                                Ms. JACKSON LEE. Mr. Speaker, I rise in                 The SPEAKER pro tempore. The
                                                They say that sunlight is the best                    strong support of H.R. 6782, the Small Busi-           question is on the motion offered by
                                              disinfectant, and we could surely use                   ness Transparency and Reporting for the                the gentlewoman from New York (Ms.
                                              more of it here.                                        Underbanked and Taxpayers at Home Act or               VELÁZQUEZ) that the House suspend the
                                                Mr. CHABOT. Mr. Speaker, I yield                      TRUTH Act, which directs the Small Business            rules and pass the bill, H.R. 6782, as
                                              myself the balance of my time. I want                   Administration (SBA) to explain and justify all        amended.
                                              to thank the gentlewoman from New                       disbursements of coronavirus relief funds, en-             The question was taken.
                                              York (Ms. VELÁZQUEZ) on her leader-                    suring transparency and accountability from                The SPEAKER pro tempore. In the
                                              ship, and I regret that we cannot sup-                  this critical agency.                                  opinion of the Chair, two-thirds being
                                              port this particular piece of legisla-                     Together, the CARES Act and the Payroll             in the affirmative, the ayes have it.
                                              tion; however, I am certain that we                     Protection Program and Health Care Enhance-                Mr. ROY. Mr. Speaker, on that I de-
                                              will continue to work together in a bi-                 ment Act together allocated more than $2 tril-         mand the yeas and nays.
                                              partisan manner to address the needs                    lion to address the devastating coronavirus                The SPEAKER pro tempore. Pursu-
                                              of America’s small businesses.                          pandemic, the most expensive relief package            ant to section 3 of House Resolution
                                                I would note, just in response, brief-                ever authorized by Congress, and the largest           965, the yeas and nays are ordered.
                                              ly, to the gentleman’s mention that                     outlay of taxpayer funds in all human history.             Pursuant to clause 8 of rule XX, fur-
                                              this is called the TRUTH Act, just be-                     The stakes simply are too high to allow irre-       ther proceedings on this question are
                                              cause something is called the TRUTH                     sponsible stewardship, and those charged with          postponed.
                                              Act doesn’t necessarily mean that it is                 disbursing coronavirus relief funds must be                              f
                                              the truth, just like something called                   held to the highest standards and held to ac-          PAYCHECK PROTECTION PROGRAM
                                              the Affordable Care Act doesn’t nec-                    count for misfeasance or malfeasance.                        FLEXIBILITY ACT OF 2020
                                              essarily mean it is going to make                          Mr. Speaker, it is wholly unacceptable that
                                                                                                      the SBA has not to date provided full trans-             Ms. VELÁZQUEZ. Mr. Speaker, I
                                              healthcare more affordable.                                                                                    move to suspend the rules and pass the
                                                Mr. Speaker, I yield back the balance                 parency over its administration of the Payroll
                                                                                                      Protection Program (PPP) and Economic In-              bill (H.R. 7010) to amend the Small
                                              of my time.                                                                                                    Business Act and the CARES Act to
                                                                                                      jury Disaster Loan Program (EIDL).
                                                Ms. VELÁZQUEZ. Mr. Speaker, I                                                                               modify certain provisions related to
                                                                                                         PPP and EIDL were created by Congress to
                                              yield myself such time as I may con-                                                                           the forgiveness of loans under the pay-
                                                                                                      provide relief for small businesses affected by
                                              sume.                                                                                                          check protection program, to allow re-
                                                                                                      the pandemic, and more than $700 billion has
                                                Mr. Speaker, when this body spent                     been allocated in service of those goals.              cipients of loan forgiveness under the
                                              trillions of dollars to address the eco-                   However, in too many cases the programs             paycheck protection program to defer
                                              nomic downturn brought about by                         did not function as Congress intended, and             payroll taxes, and for other purposes,
                                              COVID–19, we included a special inspec-                 large organizations such as the Los Angeles            as amended.
                                              tor general to provide oversight over                   Lakers received funding while many of our                The Clerk read the title of the bill.
                                              the expenditure of these dollars. Unfor-                smallest and most vulnerable businesses were             The text of the bill is as follows:
                                              tunately, President Trump said the                      unable to secure assistance.                                               H.R. 7010
                                              special IG could not issue reports to                      In light of this mismanagement, it is impera-         Be it enacted by the Senate and House of Rep-
                                              Congress without Presidential super-                    tive that SBA be subject to an exhaustive              resentatives of the United States of America in
                                              vision and subsequently removed the                     audit of its handling of PPP and EIDL funding.         Congress assembled,




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                                              acting IG at the Pentagon and chair-                       The agency has refused to do so voluntarily,        SECTION 1. SHORT TITLE.
                                              man of the panel.                                       requiring Congress to mandate compliance                This Act may be cited as the ‘‘Paycheck
                                                So with the erosion of account-                                                                              Protection Program Flexibility Act of 2020’’.
                                                                                                      from the agency that exists to serve small
                                                                                                                                                             SEC. 2. MATURITY FOR LOANS WITH REMAINING
                                              ability, transparency is needed more                    business, the backbone of the American econ-                      BALANCE AFTER APPLICATION OF
                                              than ever. Congress needs to ensure                     omy.                                                              FORGIVENESS.
                                              that there is no waste, fraud, or abuse                    The TRUTH Act would require the SBA to                (a) IN GENERAL.—Section 7(a)(36)(K)(ii) of
                                              of taxpayers’ dollars.                                  make the following information publicly avail-         the Small Business Act (15 U.S.C. 636(a)(36))




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                                              May 28, 2020                                      CONGRESSIONAL RECORD — HOUSE                                                                  H2333
                                              is amended by inserting ‘‘minimum maturity              a covered loan before the date of enactment               Ms. VELÁZQUEZ. Mr. Speaker, I
                                              of 5 years and a’’ before ‘‘maximum matu-               of this subsection may elect for the covered           yield myself such time as I may con-
                                              rity’’.                                                 period applicable to such covered loan to end          sume.
                                                (b) EFFECTIVE DATE; APPLICABILITY.—The                on the date that is 8 weeks after the date of
                                              amendment made by this section shall take
                                                                                                                                                                I rise in support of the bipartisan bill
                                                                                                      the origination of such covered loan.’’.
                                              effect on the date of the enactment of this               (c) EXTENSION OF DEFERRAL PERIOD.—Sec-
                                                                                                                                                             before us today, H.R. 7010, the Pay-
                                              Act and shall apply to any loan made pursu-             tion 7(a)(36)(M) of the Small Business Act (15         check Protection Program Flexibility
                                              ant to section 7(a)(36) of the Small Business           U.S.C. 636(a)(36)(M)) is amended—                      Act of 2020.
                                              Act (15 U.S.C. 636(a)(36)) on or after such               (1) in clause (ii)(II), by striking ‘‘for a pe-         We all knew the rollout of the Pay-
                                              date. Nothing in this Act, the CARES Act                riod of not less than 6 months, including              check Protection Program was going
                                              (Public Law 116–136), or the Paycheck Pro-              payment of principal, interest, and fees, and          to be rocky, given the size of the pro-
                                              tection Program and Health Care Enhance-                not more than 1 year.’’ and inserting the fol-         gram and the speed with which it was
                                              ment Act (Public Law 116–139) shall be con-             lowing: ‘‘, including payment of principal, in-        stood up.
                                              strued to prohibit lenders and borrowers                terest, and fees, until the date on which the             We are thankful for the staff at SBA
                                              from mutually agreeing to modify the matu-              amount of forgiveness determined under sec-
                                              rity terms of a covered loan described in sub-                                                                 for their hard work assisting small
                                                                                                      tion 1106 of the CARES Act is remitted to
                                              paragraph (K) of such section to conform                                                                       businesses during this dire time. This
                                                                                                      the lender.’’;
                                              with requirements of this section.                        (2) in clause (iii), by striking ‘‘for a period      is, undoubtedly, the most enormous
                                              SEC. 3. AMENDMENTS TO PAYCHECK PROTEC-                  of not less than 6 months, including payment           undertaking the agency has ever per-
                                                         TION PROGRAM LOAN FORGIVE-                   of principal, interest, and fees, and not more         formed. They have done so under dif-
                                                         NESS.
                                                                                                      than 1 year.’’ and inserting the following: ‘‘,        ficult circumstances and remarkably
                                                (a) EXTENSION OF COVERED PERIOD.—Sec-
                                              tion 7(a)(36)(A)(iii) of the Small Business Act
                                                                                                      including payment of principal, interest, and          quickly.
                                              (15 U.S.C. 636(a)(36)(A)(iii)) is amended by
                                                                                                      fees, until the date on which the amount of               With that said, my colleagues and I
                                                                                                      forgiveness determined under section 1106 of           have been hearing from Main Street
                                              striking ‘‘June 30, 2020’’ and inserting ‘‘De-
                                                                                                      the CARES Act is remitted to the lender.’’;            small businesses that they need
                                              cember 31, 2020’’.
                                                (b) FORGIVENESS.—Section 1106 of the                  and                                                    changes to make the program work for
                                              CARES Act (Public Law 116–136) is amend-                  (3) by adding at the end the following new
                                                                                                      clause:
                                                                                                                                                             them.
                                              ed—                                                                                                               I think we can all agree the economic
                                                (1) in subsection (a), by striking paragraph            ‘‘(v) RULE OF CONSTRUCTION.—If an eligible
                                                                                                      recipient fails to apply for forgiveness of a          crisis brought on by COVID–19 has
                                              (3) and inserting the following:                                                                               proven more severe and drawn out than
                                                ‘‘(3) the term ‘covered period’ means, sub-           covered loan within 10 months after the last
                                                                                                      day of the covered period defined in section           many anticipated. In some cases, State
                                              ject to subsection (l), the period beginning
                                              on the date of the origination of a covered             1106(a) of the CARES Act, such eligible re-            and local governments have extended
                                              loan and ending the earlier of—                         cipient shall make payments of principal, in-          shutdowns and stay-at-home orders.
                                                ‘‘(A) the date that is 24 weeks after such            terest, and fees on such covered loan begin-           Many localities are only now allowing
                                              date of origination; or                                 ning on the day that is not earlier than the           small businesses to reopen, very gradu-
                                                                                                      date that is 10 months after the last day of
                                                ‘‘(B) December 31, 2020;’’;                                                                                  ally, in phases.
                                                                                                      such covered period.’’.
                                                (2) in subsection (d)—
                                                                                                        (d) EFFECTIVE DATE; APPLICABILITY.—The
                                                                                                                                                                In other instances, small business
                                                (A) in paragraph (5)(B), by striking ‘‘June                                                                  owners have reported concerns that the
                                                                                                      amendments made by this section shall be
                                              30, 2020’’ each place it appears and inserting                                                                 economy will not fully recover until
                                                                                                      effective as if included in the CARES Act
                                              ‘‘December 31, 2020’’; and                                                                                     there is an affordable, widely acces-
                                                                                                      (Public Law 116–136) and shall apply to any
                                                (B) by adding at the end the following new
                                              paragraphs:
                                                                                                      loan made pursuant to section 7(a)(36) of the          sible COVID–19 vaccine.
                                                ‘‘(7) EXEMPTION BASED ON EMPLOYEE AVAIL-
                                                                                                      Small Business Act (15 U.S.C. 636(a)(36)) or              Regardless, the extended nature of
                                                                                                      section 1109 of the CARES Act.                         the economic downturn has made it
                                              ABILITY.—During the period beginning on
                                                                                                      SEC. 4. DELAY OF PAYMENT OF EMPLOYER PAY-              necessary to enact certain legislative
                                              February 15, 2020, and ending on December
                                                                                                                  ROLL TAXES.
                                              31, 2020, the amount of loan forgiveness                                                                       reforms to the program.
                                                                                                        (a) IN GENERAL.—Section 2302(a) of the                  First, we need to give borrowers
                                              under this section shall be determined with-
                                                                                                      CARES Act (Public Law 116–136) is amended
                                              out regard to a proportional reduction in the
                                                                                                      by striking paragraph (3).
                                                                                                                                                             more than 8 weeks to use the funds in
                                              number of full-time equivalent employees if                                                                    order to qualify for loan forgiveness.
                                                                                                        (b) EFFECTIVE DATE; APPLICABILITY.—The
                                              an eligible recipient, in good faith—                                                                          Borrowers who took out PPP loans
                                                                                                      amendments made by this section shall be
                                                ‘‘(A) is able to document—                                                                                   early in the program are about to
                                                                                                      effective as if included in the CARES Act
                                                ‘‘(i) an inability to rehire individuals who
                                              were employees of the eligible recipient on
                                                                                                      (Public Law 116–136) and shall apply to any            reach the end of their 8-week period
                                                                                                      loan made pursuant to section 7(a)(36) of the          governing forgiveness. However, mil-
                                              February 15, 2020; and
                                                                                                      Small Business Act (15 U.S.C. 636(a)(36)) or           lions of small businesses across the Na-
                                                ‘‘(ii) an inability to hire similarly qualified
                                                                                                      section 1109 of the CARES Act.
                                              employees for unfilled positions on or before                                                                  tion are still facing forced closures.
                                                                                                      SEC. 5. EMERGENCY DESIGNATION.
                                              December 31, 2020; or                                                                                             Those that are reopening are re-
                                                                                                        (a) IN GENERAL.—This Act is designated as
                                                ‘‘(B) is able to document an inability to re-                                                                quired to do so in an extremely limited
                                              turn to the same level of business activity as          an emergency requirement pursuant to sec-
                                                                                                      tion 4(g) of the Statutory Pay-As-You-Go               manner, with only outdoor dining or
                                              such business was operating at before Feb-                                                                     curbside-only pickup at retail stores.
                                              ruary 15, 2020, due to compliance with re-              Act of 2010 (2 U.S.C. 933(g)).
                                                                                                        (b) DESIGNATION IN SENATE.—In the Senate,            Those restrictions mean small busi-
                                              quirements established or guidance issued by
                                              the Secretary of Health and Human Services,
                                                                                                      this Act is designated as an emergency re-             nesses continue to have a tough road
                                                                                                      quirement pursuant to section 4112(a) of H.            ahead, and they need flexibility in how
                                              the Director of the Centers for Disease Con-
                                                                                                      Con. Res. 71 (115th Congress), the concurrent          they use this emergency capital. This
                                              trol and Prevention, or the Occupational
                                                                                                      resolution on the budget for fiscal year 2018.         provision will give them that.
                                              Safety and Health Administration during the
                                              period beginning on March 1, 2020, and end-               The SPEAKER pro tempore. Pursu-                         The bill triples the current 8-week
                                              ing December 31, 2020, related to the mainte-           ant to the rule, the gentlewoman from                  period in which businesses must use
                                              nance of standards for sanitation, social               New York (Ms. VELÁZQUEZ) and the                      funds to be eligible for forgiveness to 24
                                              distancing, or any other worker or customer             gentleman from Ohio (Mr. CHABOT)                       weeks. That will help ensure businesses
                                              safety requirement related to COVID–19.                 each will control 20 minutes.                          have more room to breathe, even in
                                                ‘‘(8) LIMITATION ON FORGIVENESS.—To re-                 The Chair recognizes the gentle-
                                              ceive loan forgiveness under this section, an                                                                  places where reopening of the economy
                                              eligible recipient shall use at least 60 percent
                                                                                                      woman from New York.                                   happens more slowly.
                                              of the covered loan amount for payroll costs,                             GENERAL LEAVE                           Second, we must extend the program
                                              and may use up to 40 percent of such amount               Ms. VELÁZQUEZ. Mr. Speaker, I ask                   through the end of the year. The unpre-
                                              for any payment of interest on any covered              unanimous consent that all Members                     dictable spread of the virus, shortage of
                                              mortgage obligation (which shall not include            may have 5 legislative days in which to                widespread testing, and lack of a vac-




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                                              any prepayment of or payment of principal               revise and extend their remarks and in-                cine mean that we do not know exactly
                                              on a covered mortgage obligation), any pay-             clude extraneous material on the meas-                 when the small business sector will
                                              ment on any covered rent obligation, or any
                                                                                                      ure under consideration.                               fully reopen and, when it does, how the
                                              covered utility payment.’’; and
                                                (3) by adding at the end the following new              The SPEAKER pro tempore. Is there                    ‘‘new normal’’ will look.
                                              subsection:                                             objection to the request of the gentle-                   The bill addresses a challenge that
                                                ‘‘(l) APPLICATION TO CERTAIN ELIGIBLE RE-             woman from New York?                                   was created when the first set of guide-
                                              CIPIENTS.—An eligible recipient that received             There was no objection.                              lines were issued. We have heard you



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                                              H2334                                             CONGRESSIONAL RECORD — HOUSE                                                         May 28, 2020
                                              loud and clear. Today’s legislation                     days. That is why we are here today, to                  Fifth, the bill also codifies the rehire
                                              strikes a balance between protecting                    fix some of the unintended con-                        flexibility provision. So as long as a
                                              workers by guaranteeing loans are used                  sequences.                                             good-faith offer to return to work is
                                              for payroll, with the need to recognize                   For example, when we crafted the                     provided to a recently laid off worker,
                                              that many independent restaurants                       original CARES Act back in March, the                  the business will satisfy the head count
                                              face difficulty paying rent and utili-                  covered period was defined as 8 weeks.                 requirements.
                                              ties.                                                   The true emergency period has evolved                    This safe harbor provision attempts
                                                 The new 60/40 ratio makes certain a                  over time. This bill begins to address                 to address the challenges many small
                                              business can remain open, weather the                   that.                                                  businesses have had getting some em-
                                              crisis, continue employing workers,                       To fix the miscalculation in how long                ployees to return to work with the $600
                                              and keep serving their local commu-                     this pandemic would last, this bill ex-                Federal unemployment check per week
                                              nities. Congress must revamp this pro-                  tends the 8-week original covered pe-                  on top of the State unemployment
                                              gram to make it more accessible for                     riod to 24 weeks and creates an option                 checks which they are also receiving.
                                              small employers to weather the uncer-                   allowing businesses that want to stay                    Finally, the bill establishes a new
                                              tainty ahead.                                           within the original 8-week window to                   safe harbor to account for businesses
                                                 We simply do not know if there will                  do so. This promotes greater flexibility               that are required by civil authority to
                                              be another wave of infections or addi-                  for small businesses to decide when it                 open only at 50 percent capacity. This
                                              tional lockdowns. This bill provides                    is best to start spending their PPP                    ensures that businesses that have no
                                              certainty to employers afraid to use                    loan.                                                  choice but to run at half capacity are
                                              their loan proceeds or reluctant to                       It is important to remember that                     not left behind by their counterparts
                                              apply to the program by providing                       this change isn’t as simple as moving a                who have the ability to operate fully.
                                              much-needed flexibility.                                few dates around. There are a lot of un-               So it is a fairness issue.
                                                 I applaud my colleagues, Mr. PHIL-                   intended consequences that we need to                    Mr. Speaker, I urge my colleagues to
                                              LIPS and Mr. ROY, for working together                  account for because more than 4 mil-                   support this much-needed bipartisan
                                              in a bipartisan manner to craft com-                    lion loans have already gone through                   bill that provides real solutions to
                                              monsense solutions for America’s small                  the program in the amount of half a                    American small businesses facing this
                                              businesses. I thank Ranking Member                      trillion dollars.                                      very difficult situation.
                                              CHABOT for his assistance in crafting                     First, the original CARES Act allows                                   b 1015
                                              this bipartisan measure.                                principal, interest, and fees to be de-                  Mr. Speaker, I again want to thank
                                                 I urge all my colleagues to vote                     ferred for between 6 and 12 months. The                the chairwoman for working on this on
                                              ‘‘yes,’’ and I reserve the balance of my                administration adjusted this deferment                 a bipartisan basis.
                                              time.                                                   period to just 6 months through guid-                    This flexibility allows America’s
                                                 Mr. CHABOT. Mr. Speaker, I yield                     ance.                                                  small businesses to go a long way to
                                              myself such time as I may consume.                        This deferment time period needed to                 addressing many of the concerns that
                                                 Unlike the previous bill, I am happy                 be shifted to ensure a business knows                  we heard time and time again from
                                              to say that I agree with the chair-                     its loan forgiveness amount before its                 small businesses all across the country.
                                              woman, and I rise in strong support of                  deferment period concludes. This bill                  They need to have the flexibility to
                                              H.R. 7010, the Paycheck Protection                      accomplishes that by extending the                     spend the money most efficiently so
                                              Program Flexibility Act of 2020, as                     deferment window to end once the SBA                   that the businesses can actually stay
                                              amended.                                                makes the forgiveness payment to the                   afloat, make it through this pandemic,
                                                 I would, again, like to thank Chair-                 lender on the borrower’s behalf.                       and, most importantly, be able to keep
                                              woman VELÁZQUEZ for conducting this                      Second, the bill amends the 75/25 rule               as many of their employees on the pay-
                                              process in such a bipartisan manner. It                 which was inserted into the PPP by the                 roll so that they are able to support
                                              is more important than ever to main-                    administration through guidance to re-                 their families as possible.
                                              tain our strong bilateral negotiations                  quire 75 percent of the loan to be used                  Mr. Speaker, I strongly urge my col-
                                              as we continue to combat the spread of                  on payroll costs and 25 percent to be                  leagues to support this legislation on
                                              COVID–19 and its devastating, abso-                     used on mortgage interest, rent, and                   both sides of the aisle, and I reserve
                                              lutely devastating, effect on our econ-                 utilities. So that is what the previous                the balance of my time.
                                              omy, especially our small businesses in                 rule called for, 75/25.                                  Ms. VELÁZQUEZ. Mr. Speaker, I
                                              that economy.                                             This bill replaced that with a 60/40                 yield 4 minutes to the gentleman from
                                                 Over the past 3 months, I have been                  split to, again, give small businesses                 Minnesota (Mr. PHILLIPS).
                                              in contact with literally thousands of                  greater flexibility as to how to best                    Mr. PHILLIPS. Mr. Speaker, I thank
                                              small businesses, not only in my home-                  utilize their PPP funds.                               Representative VELÁZQUEZ; Ranking
                                              town of Cincinnati, but across the                        Third, the bill extends the 2-year ma-               Member CHABOT; my colleague, Mr.
                                              country. I have joined dozens of con-                   turity of the loan to a 5-year maturity                ROY from Texas, who has spent a lot of
                                              ference calls with my congressional                     for new loans to help small businesses                 time in the political foxhole with me
                                              colleagues and with their constituents                  struggling to make their payments in a                 from the very beginning of this initia-
                                              and mine all the way from the State of                  weakened economy. Loans already                        tive; and all who have helped get the
                                              Washington to the State of Florida,                     processed remain at the 2-year matu-                   Paycheck Protection Program Flexi-
                                              and just about everywhere in between.                   rity rate so that there is no retro-                   bility Act to the floor.
                                                 There has been broad consensus dur-                  activity in this provision.                              But I want to spend my time today
                                              ing those interactions that the PPP                       The bill makes clear that small busi-                letting my constituents speak for
                                              program has served as a lifeline for                    nesses and lenders are free to negotiate               themselves. For more than 43 years,
                                              small businesses and their employees,                   modifications in the maturity terms if                 Minnesotans have celebrated birthdays
                                              many of whom have been shut down                        they both agree. Again, both have to                   and Little League wins over burgers
                                              through no fault of their own.                          agree, both the borrower or the small                  and cheese curds at Lions Tap, a fam-
                                                 By and large, it would be hard to                    business and the lender.                               ily-owned restaurant in Eden Prairie,
                                              argue against the fact that the PPP                       Fourth, the bill allows businesses                   Minnesota, until COVID–19 changed ev-
                                              program has, for the most part, been                    that receive PPP loan forgiveness to                   erything. My team spoke with Bert,
                                              successful. Over 4 million small busi-                  also receive their employer payroll tax                owner of Lions Tap, and when we asked
                                              nesses have received a PPP loan thus                    deferment.                                             for feedback about his experience with




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                                              far, allowing them to hang on as the                      And that was a big issue. Many of the                the Payroll Protection Program, he
                                              COVID–19 pandemic spread across our                     small businesses were concerned that                   said this: ‘‘We definitely need the PPP.
                                              Nation.                                                 they were losing one of the advantages                 The problem is that because our busi-
                                                 Of course, there have been some                      that was in the original PPP program                   ness is a restaurant, we are not able to
                                              shortcomings, some unintended con-                      in the CARES Act. So this is back in.                  open it up fully where we could hire
                                              sequences. That will happen when you                    They will be able to take that business                our entire staff back under the condi-
                                              do 6 months of legislative work in 6                    deduction from their taxes.                            tions of the loan. It is imperative that



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                                              May 28, 2020                                      CONGRESSIONAL RECORD — HOUSE                                                                H2335
                                              we are allowed forgiveness for expenses                 taurant employees. Or just take it                     talking about the barbershops, the hair
                                              beyond the original 8-week period. We                   from Bert, the owner of Lions Tap, who                 salons, the live music venues, and the
                                              also need to loosen up the restrictions                 said that the heartbeat of America is                  hotels that are struggling.
                                              of nonpayroll expenses beyond the 25                    small business, and we need your help                    I just talked to a hotel operator an
                                              percent. The complexities of balancing                  to survive.                                            hour ago, just before coming down here
                                              staying open or closing will be deter-                    Mr. CHABOT. Mr. Speaker, I want to                   to the floor, who is struggling and said:
                                              mined by what the government will be                    commend and thank the gentleman                        Look, I can’t make it 8 weeks. I can’t
                                              able to change on the PPP in this bill.’’               from Texas (Mr. ROY) and the gen-                      stay alive. I don’t have enough heads
                                                Bert is not alone. On a Zoom call last                tleman from Minnesota (Mr. PHILLIPS)                   on the pillows. We are working toward
                                              month, a barber who rents a chair in a                  for working together in a bipartisan                   reopening.
                                              Brooklyn Park barber salon told me                      manner on this legislation.                              These are real businesses with real
                                              exactly the same thing. I also talked                     Mr. Speaker, I yield 3 minutes to the                employees and real lives tied up into
                                              with Mike, who owns a few hotels in                     gentleman from Texas (Mr. ROY).                        this who are struggling.
                                              Minnesota and is being forced to make                     Mr. ROY. Mr. Speaker, I thank the                      The thing is, the PPP program has
                                              lose-lose decisions about how to pay                    chairwoman and the ranking member                      been a great success in getting $650 bil-
                                              his employees and his mortgage while                    for their leadership. I really want to                 lion out the door in a matter of weeks
                                              their rooms sit empty.                                  give a strong statement of support and                 to help almost 4 million businesses, as
                                                Mike said this: ‘‘The government                      thanks to my colleague, DEAN PHIL-                     has been noted on the floor, and that is
                                              stepped in with the Paycheck Protec-                    LIPS, for the way in which our offices                 awesome. That is fantastic. We should
                                              tion Program, but it was a one-size-                    have worked together and in which he                   be proud of that. But as we work to get
                                              fits-all approach that didn’t really help               and I have worked together on this. I                  America open again, we have to be
                                              industries like hospitality. We could                   have nothing but positive things to say                mindful of the fact that times are con-
                                              pay our employees but not our mort-                     about him, and I look forward to work-                 tinuing to move on. These businesses
                                              gages. The Paycheck Protection Flexi-                   ing on other measures to get, frankly,                 are struggling, and they can’t meet
                                              bility Act will do for small businesses                 this body back to the work of the                      some of these restrictions and dead-
                                              what the PPP could not.’’                               American people and to make Congress                   lines.
                                                John from Maple Grove, who owns a                     work again, to use a phrase that might                   I will note a little moment of par-
                                              handful of beloved wood-fired pizza                     be interesting. But we need to make                    tisanship perhaps, in that I believe the
                                              joints in Minnesota, is also feeling the                Congress work again for the American                   unemployment       insurance   provision
                                              heat from a lengthening crisis. He told                 people.                                                that was adopted is actually the root of
                                              me: ‘‘We are very appreciative of the                     This is a simple bill. It is a seven-                the problem because you can’t pay peo-
                                              PPP loan we received but would have                     page bill. We need more of that, more                  ple more not to work than to work and
                                              no way to qualify for any material for-                 single-subject bills that we can wrap                  then expect businesses to go back and
                                              giveness given the impossibility of re-                 our hands around and move through                      rehire people to meet the requirements
                                              hiring our entire workforce while our                   the Chamber in ways that will impact                   we put in the bill to meet and hold peo-
                                              stores are closed. If the loan is not for-              American people’s lives without things                 ple in employment in the businesses.
                                              given, we do not foresee our business                   being decided by a handful of people in                We need to address that. I hope that as
                                              returning to any meaningful positive                    back rooms that cost trillions of dol-                 a body we will not extend that when it
                                              cash flow until a vaccine is developed                  lars and have 2,000 and 3,000 pages.                   expires in July. This is something I
                                              or the virus impact weakens and would                     That is a statement, frankly, on both                think is fundamentally important.
                                              likely not have funds to repay any loan                 sides of the aisle. We need to find a way                The SPEAKER pro tempore. The
                                              principal in that time.’’                               to work together, to have simple ap-                   time of the gentleman has expired.
                                                Justin, who has a small gym in                        proaches to do the work of the Amer-                     Mr. CHABOT. Mr. Speaker, I yield
                                              Chanhassen, and Ryan, who owns                          ican people.                                           the gentleman from Texas an addi-
                                              Frenchies nail salon, are reporting the                   This piece of legislation, in par-                   tional 30 seconds.
                                              exact same problems. The outpouring                     ticular, is important to me because I                    Mr. ROY. Mr. Speaker, one thing I
                                              of feedback has been as clear as it has                 represent about 2,300 restaurants and                  want to point out here is that the
                                              been enormous.                                          about 53,000 employees who work there                  ranking member and the chair have
                                                Mr. Speaker, today is not about us. It                in central Texas. It is the most in                    gone through the provisions in the bill.
                                              is not about which side secures the big-                Texas. It has to be pretty high up na-                 This is an important vote because we
                                              gest win or who gets the credit. It is                  tionwide. Austin, Texas, and San Anto-                 have to do this to help small busi-
                                              about delivering the relief that small                  nio, Texas, both have a great number                   nesses, but it is an important vote be-
                                              business owners across Minnesota and                    of live music venues, as they are fa-                  cause I think it gets back to the heart
                                              this Nation are asking for. It is about                 mously known, and my wife and I have                   of simple legislating and working to-
                                              doing our job.                                          availed ourselves of them over our                     gether to accomplish things.
                                                At its core, representation begins                    lives.                                                   Let’s provide the flexibility for busi-
                                              with listening, and these stories paint                   In fact, my courtship of my wife                     nesses. Let’s make sure that we let
                                              a very clear picture. Our small business                began in a lot of these places. Our first              America open. But let’s work together
                                              owners, the institutions of our Main                    date was at Stubb’s Bar-B-Q in Austin,                 to solve the problems of the American
                                              Streets and the glue of our commu-                      Texas, a great institution for a Willie                people together, like Mr. PHILLIPS and
                                              nities, are asking us to take action to                 Nelson     concert.     We     were    at              I did. I am proud to cosponsor this with
                                              solve problems and to engage in some                    Threadgill’s for our rehearsal dinner in               him.
                                              good old-fashioned teamwork.                            South Austin, Texas, with live music.                    Mr. Speaker, I hope the Senate will
                                                I am grateful to my colleague, Mr.                      I represent the Broken Spoke. I rep-                 take this up and move it expeditiously
                                              CHIP ROY from Texas, for joining me in                  resent Luckenbach, Texas, if you re-                   so that we can help businesses this
                                              that very spirit as the coauthor of this                member the famous song. I represent a                  week. There is no reason to delay that.
                                              bill and to the growing coalition of                    number of great restaurants in San An-                   Ms. VELÁZQUEZ. Mr. Speaker, I
                                              support that we built around the Pay-                   tonio. The Cortez family has a bunch of                would like to inquire of the Chair how
                                              check Protection Flexibility Act. This                  restaurants in San Antonio. Many of                    much time is remaining on each side.
                                              bill will help people in the ways that                  you, if you have been on the River                       The SPEAKER pro tempore. The gen-
                                              they need, and we have not a moment                     Walk or have been in downtown San                      tlewoman from New York has 111⁄2 min-




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                                              to lose.                                                Antonio, would have experienced these                  utes remaining. The gentleman from
                                                Mr. Speaker, if you don’t want to                     places. They are a part of the culture                 Ohio has 10 minutes remaining.
                                              take my word for it, just listen to the                 of our lives, our fabric of what we do                   Ms. VELÁZQUEZ. Mr. Speaker, I
                                              millions of our country’s shopkeepers,                  every day when we visit with our fami-                 yield 2 minutes to the gentleman from
                                              innovators, entrepreneurs, and small                    lies and our communities.                              New Hampshire (Mr. PAPPAS).
                                              business owners all around the coun-                      We need to save these great institu-                   Mr. PAPPAS. Mr. Speaker, I thank
                                              try. Or listen to our 11 million res-                   tions and not just restaurants. I am                   the chairwoman for yielding.



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                                              H2336                                             CONGRESSIONAL RECORD — HOUSE                                                         May 28, 2020
                                                 Mr. Speaker, while the Paycheck                      to the very bottom. We can’t let that                  Protection Program, in helping to per-
                                              Protection Program has provided a                       happen, no way.                                        fect this program that is an incredible
                                              lifeline to small businesses, funda-                      The bipartisan Problem Solvers Cau-                  lifeline to small businesses and, impor-
                                              mental changes must be made to meet                     cus endorsed this flexibility bill. It is              tantly, Mr. Speaker, to the employees.
                                              the ongoing needs of our Main Street                    one that we need to get done. I hope                      Millions and millions of businesses,
                                              economy.                                                that the Senate can take what we do                    billions of dollars in loans in a program
                                                 I am thankful to have heard from                     today and pass it before the end of the                that didn’t even exist. Within 1 week,
                                              hundreds of local business leaders in                   week. We need to provide that relief to                they stood this program up, and within
                                              my district who have helped identify                    our small businesses and the millions                  2 weeks, Mr. Speaker, handed out more
                                              critical shortcomings in the PPP.                       of employees that it impacts.                          money than the SBA had done over the
                                                 RoseAnn in Laconia tells us her res-                   Ms. VELÁZQUEZ. Mr. Speaker, I                       previous 14 years. It is absolutely re-
                                              taurant’s sales are down 90 percent,                    yield 2 minutes to the gentleman from                  markable what Treasury and SBA have
                                              and she needs more time than 8 weeks                    Colorado (Mr. NEGUSE).                                 done with this program.
                                              to ramp up safely.                                        Mr. NEGUSE. Mr. Speaker, I rise                         And, as I said, the work that Mr. ROY
                                                 David from Portsmouth says his                       today in support of the bills before the               and Mr. PHILLIPS have done to come to-
                                              overhead costs are much higher than                     House.                                                 gether on a bipartisan basis to help to
                                              the payroll at his new business, and he                   In Colorado, our small businesses are                fix, to provide flexibility to businesses,
                                              needs more flexibility in how he can                    struggling under these unprecedented                   to give them more time, to give them
                                              spend down the loan.                                    economic circumstances. From the                       more flexibility on the use of funds, to
                                                 Hillary from Goffstown won’t begin                   mom-and-pop taverns in Gilpin County                   ensure that these businesses aren’t just
                                              to make up for lost sales in her wed-                   and Winter Park; the restaurants in                    open for 8 weeks but are truly sustain-
                                              ding business until next year. A longer                 Loveland, Fort Collins, and Boulder;                   able businesses that can continue pro-
                                              term will give her a more stable finan-                 Main Street businesses in Nederland                    viding employment to millions and
                                              cial footing.                                           and Breckenridge; and the many Colo-                   millions of Americans for years to
                                                 There are millions of stories like                   rado businesses that rely on outdoor                   come.
                                              these across the country.                               recreation and ski season, in par-                        Now, Mr. Speaker, I want to pivot.
                                                 I want to thank my colleagues for                                                                           The other legislation, the TRUTH Act,
                                                                                                      ticular, they never could have planned
                                              coming together on a bipartisan basis                                                                          Mr. Speaker, looking at the compari-
                                                                                                      for this pandemic. We cannot expect
                                              to understand the need that is out                                                                             son of numbers, here we are giving out
                                                                                                      them to weather this crisis alone.
                                              there and helping to meet it with this                                                                         billions of dollars and millions of
                                                                                                        The Payroll Protection Program has
                                              comprehensive bill that is going to pro-                                                                       loans, looking at the Economic Injury
                                                                                                      provided critical funds to keep many of
                                              vide a lifeline to our local businesses.                                                                       Disaster Loan Program, the EIDL loan
                                                                                                      these businesses afloat and workers
                                              The fixes in this Paycheck Protection                                                                          program. This program is a complete
                                                                                                      employed. But as we have heard from
                                              Flexibility Act will allow our small                                                                           disaster itself. The program is not get-
                                                                                                      both sides of the aisle today, many
                                              businesses and their dedicated employ-                                                                         ting money out the door. Whoever is
                                                                                                      fixes are needed, and that is what we
                                              ees to continue to survive. Let’s pass                                                                         running this program needs to be re-
                                                                                                      are here today to do.
                                              this bipartisan bill today for our work-                                                                       placed.
                                                                                                        We must ensure that loan forgiveness                    Look at the statistics. They brought
                                              ers, for our small businesses, and cer-                 periods are extended so that small                     in an outside contractor to do the ad-
                                              tainly for our future.                                  businesses are not on the hook for this                vances. The advances are taking off,
                                                 Mr. CHABOT. Mr. Speaker, I yield 2                   money while their doors remain shut.                   but the loans, themselves, are not. We
                                              minutes to the gentleman from Michi-                    We must extend the program past June                   are not offering operating expenses and
                                              gan (Mr. UPTON).                                        30 as so many of our businesses face in-               other needed loans to these small busi-
                                                 Mr. UPTON. Mr. Speaker, I want to                    creased uncertainty and as our country                 nesses.
                                              particularly thank Mr. PHILLIPS and                     faces uncertainty about what the fu-                      This bill doesn’t fix a single problem
                                              Mr. ROY for working together on this                    ture holds in the coming months. We                    that is out there that is delaying, that
                                              important legislation.                                  must expand access and transparency                    is preventing this program from actu-
                                                 When the President signed the Pay-                   and prioritize our veteran-owned and                   ally providing operating expense assist-
                                              check Protection Program nearly 2                       economically      disadvantaged     busi-              ance to these small businesses.
                                              months ago, it provided a real lifeline                 nesses.                                                   Mr. Speaker, this bill is a complete
                                              to our small businesses, without a                        At the end of the day, we must con-                  whiff. I urge that we pull back the
                                              doubt. We have had some pretty rough                    tinue to support our local small busi-                 TRUTH Act. Rescind it. Let’s sit back
                                              seas, a typhoon. But at the end of the                  nesses because they are the lifeblood of               down again and work together on a bi-
                                              day, after 8 weeks, Mr. Speaker, if you                 our communities, for the sake of our                   partisan basis, as we have done on this
                                              were a small business and you allo-                     families, our local economies, and our                 bill, on the PPP Flex bill, and provide
                                              cated 75 percent of the money that you                  future.                                                true solutions to where the Economic
                                              received as that loan for employees’                      Mr. Speaker, I thank the chairwoman                  Injury Disaster Loan Program can help
                                              salaries, healthcare, et cetera, that                   for her strong leadership over the                     these small businesses, can truly pro-
                                              loan would become a grant; and the re-                  course of this pandemic and my fresh-                  vide a hand up.
                                              sponse was overwhelming. A $250 bil-                    man colleague, Representative PHIL-                       Mr. Speaker, I urge rejection of that
                                              lion program was exhausted after 10                     LIPS, for his leadership in bringing this              bill.
                                              days.                                                   bill forward. I am proud to support it.                   Ms. VELÁZQUEZ. Mr. Speaker, I
                                                 After we came back and did another                   Let’s get this done for small businesses               yield 1 minute to the gentleman from
                                              job, we doubled down. We gave it an-                    in Colorado and across America.                        New Jersey (Mr. GOTTHEIMER).
                                              other $310 billion on top of that. Unbe-                                                                          Mr. GOTTHEIMER. Mr. Speaker, I
                                              lievable.                                                                b 1030                                thank the chairwoman for her excel-
                                                 As much as all of us wanted this                       Mr. CHABOT. Mr. Speaker, I yield 2                   lent leadership. I thank Mr. ROY for his
                                              nightmare to end by Easter, we are                      minutes to the gentleman from Lou-                     great bipartisan work and my dear
                                              now past Memorial Day, and those                        isiana (Mr. GRAVES).                                   friend, colleague, and fellow problem
                                              small businesses are still not open.                      Mr. GRAVES of Louisiana. Mr.                         solver, DEAN PHILLIPS, for his remark-
                                              Many of them are still shuttered, and                   Speaker, I thank the gentleman from                    able leadership on this important piece
                                              they can’t possibly meet that 75 per-                   Ohio (Mr. CHABOT) for his hard work;                   of legislation. He did it the way he be-




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                                              cent standard that their lender, their                  and I thank the chairwoman, as well,                   lieves we all should govern, and that is
                                              community bank, or their credit union                   for working together in a bipartisan                   working across the aisle. I am grateful
                                              offered them to be able to convert that                 manner.                                                for what he did on the Paycheck Pro-
                                              loan to a grant.                                          But most importantly, I thank the                    tection Flexibility Act, which was sup-
                                                 So, without the changes in this bi-                  gentleman from Texas (Mr. ROY), my                     ported by the Problem Solvers Caucus,
                                              partisan bill, that program instead will                friend, for working together, for identi-              50 strong—25 Democrats and 25 Repub-
                                              be an anchor that will take them down                   fying the problems with the Paycheck                   licans.



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                                              May 28, 2020                                      CONGRESSIONAL RECORD — HOUSE                                                                 H2337
                                                Mr. Speaker, I have heard over and                    woman VELÁZQUEZ and the ranking                       ents—that many businesses have not
                                              over again from businesses in my com-                   member, and I thank them for their                     been able to reopen or access the loans
                                              munity in northern New Jersey that                      leadership.                                            amidst many various State govern-
                                              they are so grateful for the PPP Loan                      Ms. VELÁZQUEZ. Mr. Speaker, I                      ment-mandated shutdowns, so addi-
                                              Forgiveness Program and all of the                      yield 1 minute to the gentlewoman                      tional time and flexibility to use the
                                              jobs and businesses it helps protect.                   from Texas (Ms. JACKSON LEE).                          PPP funds will help them meet payroll
                                              But they need more flexibility with the                    Ms. JACKSON LEE. Mr. Speaker, I                     and remain in operation as we safely
                                              formula and timeframe. They need                        thank the chairwoman for her leader-                   and responsibly reopen our economy.
                                              more time with the loan and more                        ship with the ranking member, Mr.                        Today’s Paycheck Protection Pro-
                                              flexibility on how to spend it, from sal-               PHILLIPS and Mr. ROY.                                  gram Flexibility Act will enact effec-
                                              aries to rent.                                             Mr. Speaker, I stand in strong sup-                 tive reforms which were created with
                                                Mr. Speaker, I am proud that this bi-                 port because 100,000 people are dead.                  input from small businesses. Again, I
                                              partisan legislation does exactly that:                 Small businesses are living in the                     strongly commend the bill’s sponsors
                                              helps the 131,000 small businesses in                   midst of those communities of devasta-                 for engaging in this way.
                                              New Jersey that have been helped by                     tion, but they are trying to keep their                  Mr. Speaker, families are the heart of
                                              the PPP Loan Forgiveness Program.                       doors open so they can help their fel-                 our communities. Small businesses are
                                                And I am equally grateful for the bi-                 low citizens.                                          the backbones of our economy. Our
                                              partisan TRUTH Act, which demands                          I am grateful that we will allow an                 families and our small businesses, with
                                              more transparency and accountability                    extended period of time, 24 weeks, for                 our support, will make it through this
                                              for every single dollar that is loaned                  allowing for forgiveness. I am very                    crisis and drive the next great Amer-
                                              out from the Small Business Adminis-                    grateful we have extended the date, for                ican comeback.
                                              tration to our businesses. I am glad                    extending the program to December 31,                    Mr. Speaker, I strongly urge a ‘‘yes’’
                                              that that legislation will pass here                    and, of course, the payment, the loan                  vote on this very important bill.
                                              later today and that we will know                       period to 5 years.                                       Mr. CHABOT. Mr. Speaker, may I in-
                                              where all the loans have gone.                             I know the mom-and-pop barbershops                  quire how much time is remaining.
                                                Mr. Speaker, New Jersey’s economy,                    and cosmetology shops and nail shops                     The SPEAKER pro tempore. The gen-
                                              including all of our small businesses,                  and restaurants; they are crying out to                tleman from Ohio has 3 minutes re-
                                              want to make sure their businesses can                  survive. Some of their very workers                    maining.
                                              stay open at the end of this pandemic.                  have died. They are taking care of fam-                  Mr. CHABOT. Mr. Speaker, I yield
                                              They want to keep their workers. They                   ilies. And so to ensure the full access                myself such time as I may consume.
                                              want to keep giving back to our com-                    to payroll tax deferment for business                    Mr. Speaker, I thank the gentle-
                                              munities. They want to grow their                       tax, that takes PPP loans.                             woman       from     New     York     (Ms.
                                              businesses and give back to our great                      In addition, I support the TRUTH Act                VELÁZQUEZ) for her cooperation and
                                              State. But they need our help. This bill                because the money that we give must                    Mr. ROY and Mr. PHILLIPS, as well, for
                                              does that, and I am hoping the Senate                   be used right, and transparency on who                 working together in a bipartisan man-
                                              acts quickly to take it up.                             gets the loans is important.                           ner on this important legislation.
                                                                                                         Mr. Speaker, this further relief for                  COVID–19, the coronavirus, has had a
                                                Mr. CHABOT. Mr. Speaker, I yield 2
                                                                                                      small businesses is well placed because                tremendous impact, an adverse impact
                                              minutes to the gentleman from Ten-
                                                                                                      they are the anchor of the economy.                    on our Nation, particularly on our Na-
                                              nessee (Mr. BURCHETT), a very impor-
                                                                                                         I say to Houston small businesses:
                                              tant member of the Committee on                                                                                tion’s economy, particularly on Amer-
                                                                                                      We are coming to help you. We will be
                                              Small Business.                                                                                                ica’s small businesses. Many of them,
                                                                                                      speaking to you this week.
                                                Mr. BURCHETT. Mr. Speaker, I                                                                                 unfortunately, have had to shut down
                                                                                                         Mr. Speaker, I support this bill, and
                                              thank the gentleman for yielding.                                                                              during this time.
                                                                                                      we should move this forward as quickly
                                                Mr. Speaker, I rise today to encour-                                                                           When we originally passed the
                                                                                                      as possible. They are the anchor of the
                                              age my colleagues to vote in favor of                                                                          CARES Act, which included the Pay-
                                                                                                      economy of this Nation.
                                              the H.R. 7010, the Paycheck Protection                     Mr. CHABOT. Mr. Speaker, I yield 2                  check Protection Program—or now it
                                              Program Flexibility Act.                                minutes to the gentleman from Penn-                    has become so popular, now it is PPP.
                                                America’s economic recovery from                      sylvania (Mr. MEUSER).                                 It is known by that by millions of
                                              the coronavirus pandemic depends on                        Mr. MEUSER. Mr. Speaker, I thank                    small businesses all across the country.
                                              getting individuals comfortable with                    the gentleman from Ohio very much.                       We didn’t know exactly how long the
                                              safely going back to workplaces, shops,                    Mr. Speaker, the Paycheck Protec-                   pandemic would last. We still don’t
                                              and restaurants. H.R. 7010 represents a                 tion Program, as we have been hearing,                 know, for that matter. So 8 weeks, for
                                              continued commitment to providing                       has provided critical support to small                 example, was the period of time that
                                              economic assistance to America’s                        businesses across the country during                   determined the payouts and whether
                                              small businesses while our economy                      this crisis.                                           the loan would be forgiven or not,
                                              works towards this goal.                                   The intent of the PPP was to prevent                whether in fact it would be a grant,
                                                Throughout east Tennessee, the Pay-                   layoffs, maintain certainty for work-                  whether these small businesses would
                                              check Protection Program is ensuring                    ers, and help businesses weather the                   have to pay it back.
                                              employers can pay their workers and                     challenges posed by the coronavirus                      As it turned out, 8 weeks, alone, isn’t
                                              cover operating expenses. H.R. 7010 will                pandemic.       Thanks     to     President            a sufficient period of time for many
                                              allow greater flexibility for this relief               Trump’s Treasury Department and                        small businesses. This legislation ex-
                                              by extending the PPP loan forgiveness                   other leaders in this body, whom I                     tends that to 24 weeks, at the option of
                                              period from 8 to 24 weeks, eliminating                  commend, the program’s results were                    the borrower. So this will allow many
                                              duplicative program requirements, and                   in line with the program’s intent.                     small businesses all across the country
                                              providing small businesses with addi-                      Thanks, as well, to the SBA and                     to see what benefits them the most so
                                              tional time to pay back loans as they                   many community banks. Over 4.5 mil-                    they can survive, so they can keep
                                              get back on their feet.                                 lion small businesses have been ap-                    their employees employed so they can
                                                Members of the Committee on Small                     proved for loans through the PPP, and                  support their families. So that is an
                                              Business have a strong reputation of                    over $600 billion in loans have been                   important item that is in this legisla-
                                              reaching across the aisle to work to-                   processed.                                             tion.
                                              gether, and I applaud the efforts of Mr.                   The PPP has administered over                         In addition, changing the 75/25 rule to




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                                              ROY and Mr. PHILLIPS to craft clean                     155,000 loans, totaling $25 billion in                 60/40, again, is going to give these busi-
                                              legislation that meets the needs of                     Pennsylvania alone. Nationwide, near-                  nesses the flexibility that they need.
                                              small businesses.                                       ly 65 percent of these loans have been                   How long do small businesses have to
                                                Mr. Speaker, I am proud to support                    under $50,000—remarkable to see re-                    pay it back? Well, those who have al-
                                              this bill that delivers results for Amer-               sults of a bill in line with its intent.               ready taken out the loans, 2 years. For
                                              ica’s small businesses during this dif-                    However, we all do know—and we                      new loans taken out from here on—and
                                              ficult time. It is great to see Chair-                  have been hearing from our constitu-                   there is over $100 billion left in the



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                                              H2338                                             CONGRESSIONAL RECORD — HOUSE                                                               May 28, 2020
                                              fund, so there will be many small busi-                 bipartisan manner. I always say, when                  continue to call for the minimum maturity on
                                              nesses that still get loans—the period                  we deal with small business issues,                    Paycheck Protection Program loans to be ex-
                                              will be 24 weeks. Now, by the time the                  there is no Democratic or Republican                   tended for all Paycheck Protection Program
                                              Senate gets ahold of this, it is always                 approach. Those are American issues,                   borrowers.
                                              possible that that may be com-                          particularly as they relate to our econ-                 The SPEAKER pro tempore. The
                                              promised, but at this point, it is 24                   omy.                                                   question is on the motion offered by
                                              weeks in this particular piece of legis-                   Mr. Speaker, in that vein, I also                   the gentlewoman from New York (Ms.
                                              lation.                                                 thank the gentleman from Texas (Mr.                    VELÁZQUEZ) that the House suspend the
                                                But I think one of the important                      ROY) and the gentleman from Min-                       rules and pass the bill, H.R. 7010, as
                                              things to remember is that the bor-                     nesota (Mr. PHILLIPS) for the great                    amended.
                                              rower and the lender can get together                   work that they did and for the bipar-                    The question was taken.
                                              and mutually agree, if they want to                     tisan spirit in which they brought this                  The SPEAKER pro tempore. In the
                                              agree, if they don’t necessarily fall into              bill to the floor.                                     opinion of the Chair, two-thirds being
                                              the two categories that I just men-                        Mr. Speaker, I strongly urge a vote                 in the affirmative, the ayes have it.
                                              tioned. So there is some flexibility for                in support of the legislation, and I                     Ms. VELÁZQUEZ. Mr. Speaker, on
                                              them to negotiate there as well. And                    yield back the balance of my time.                     that I demand the yeas and nays.
                                              there are other items, as we have al-                      Mr. NADLER. Mr. Speaker, I rise today in              The SPEAKER pro tempore. Pursu-
                                              ready discussed.                                        support of this legislation to provide a critical      ant to section 3 of House Resolution
                                                But the important thing is this will                  source of aid to small businesses and non-             965, the yeas and nays are ordered.
                                              give America’s small businesses the                     profits during the COVID–19 pandemic. While              Pursuant to clause 8 of rule XX, fur-
                                              flexibility to ensure that they at least                the Paycheck Protection Program was estab-             ther proceedings on this question will
                                              have a chance to survive. And I know                    lished as an eight-week program, it was clear          be postponed.
                                              in my district in Cincinnati, and dis-                  from the start that the economic impact of the
                                                                                                      pandemic would last far longer. I am proud                               f
                                              tricts all over the country, their very
                                              survival is at issue here.                              that the House addressed this issue by ex-                                  b 1045
                                                The PPP program—and it is a lot of                    panding the covered period to 24 weeks in the
                                              money, as was mentioned: $350 billion                   Heroes Act earlier this month, and I am glad           SMALL BUSINESS TRANSPARENCY
                                              and another $310 billion, so around $660                this bill also includes a 24-week extension.             AND      REPORTING         FOR     THE
                                              billion in this program going out all                   The extended timeline will give borrowers the            UNDERBANKED AND TAXPAYERS
                                              over the country to these small busi-                   flexibility to spread out the loan proceeds over         AT HOME ACT
                                              nesses that are the backbone of the                     the full course of the crisis, and in a manner           The SPEAKER pro tempore. Pursu-
                                              American economy. About half the                        that is best for their small business or non-          ant to clause 8 of rule XX, further pro-
                                              people who work in America work for                     profit.                                                ceedings will resume on the motion to
                                              one of these small businesses. So this                     The legislation also takes action to change         suspend the rules and pass the bill
                                              will help them to survive.                              the harmful ‘‘75/25’’ percent rule that the Small      (H.R. 6782) to require the Adminis-
                                                Thank goodness the House of Rep-                      Business Administration established to limit           trator of the Small Business Adminis-
                                              resentatives was able to work together                  the use of Paycheck Protection Program loan            tration to submit a report on recipi-
                                              in a bipartisan manner to come to this                  proceeds for nonpayroll expenses to 25 per-            ents of assistance under the paycheck
                                              point today where this legislation will                 cent. While increasing the current limitation on       protection program and the economic
                                              likely pass in a few minutes.                           the use of loan proceeds for nonpayroll ex-            injury disaster loan program, and for
                                                Mr. Speaker, I again thank the chair-                 penses from 25 percent to 40 percent will              other purposes, as amended, on which
                                              woman, and I yield back the balance of                  allow many small businesses to apply for the           the yeas and nays were ordered.
                                              my time.                                                program, I am disappointed that this legislation         The Clerk read the title of the bill.
                                                Ms. VELÁZQUEZ. Mr. Speaker, I                        falls short of the Heroes Act and fails to elimi-        The SPEAKER pro tempore. The
                                              yield myself such time as I may con-                    nate the rule. Congress intended for the Pay-          question is on the motion offered by
                                              sume.                                                   check Protection Program to be a critical re-          the gentlewoman from New York (Ms.
                                                Mr. Speaker, I continuously hear                      source for all small businesses impacted by            VELÁZQUEZ) that the House suspend the
                                              from small businesses across the coun-                  the pandemic. We must make sure that the               rules and pass the bill, as amended.
                                              try about the uncertainty they are fac-                 program will be there and workable for micro-            The vote was taken by electronic de-
                                              ing and when they will be able to fully                 businesses in high rent areas like New York            vice, and there were—yeas 269, nays
                                              reopen. In the face of that uncertainty,                City. Microbusinesses—such as ‘‘mom and                147, not voting 15, as follows:
                                              small businesses need flexibility with                  pop’’ shops and corner stores—are the life-                              [Roll No. 113]
                                              these loans.                                            blood of our communities. I will continue work-
                                                                                                                                                                                YEAS—269
                                                This bill takes an important step in                  ing to ensure that the small business assist-
                                                                                                                                                             Adams             Castro (TX)       Demings
                                              providing that flexibility and making                   ance programs created in the CARES Act are             Aguilar           Chu, Judy         DeSaulnier
                                              the Paycheck Protection Program                         accessible and viable for the most vulnerable          Allred            Cicilline         Deutch
                                              work better for the millions of small                   small businesses.                                      Axne              Cisneros          Diaz-Balart
                                              businesses across the country that are                     I am also disappointed that this legislation        Bacon             Clark (MA)        Dingell
                                                                                                                                                             Barragán         Clarke (NY)       Doggett
                                              trying to weather this storm. And                       was amended to remove language to retro-               Bass              Clay              Doyle, Michael
                                              since we do not know how long this                      actively establish a five-year minimum maturity        Beatty            Cleaver             F.
                                              storm will last, we must ensure small                   on Paycheck Protection Program loans for               Bera              Clyburn           Engel
                                                                                                      amounts not forgiven. While the CARES Act              Beyer             Cohen             Escobar
                                              businesses are able to take advantage                                                                          Bishop (GA)       Connolly          Eshoo
                                              of the program through the end of the                   allowed a maximum maturity of up to ten                Blumenauer        Cooper            Espaillat
                                              calendar year and to use the loan over                  years from when the borrower applied for the           Blunt Rochester   Correa            Evans
                                              the course of 24 weeks. This program is                 loan, the Small Business Administration limited        Bonamici          Costa             Finkenauer
                                                                                                                                                             Boyle, Brendan    Courtney          Fitzpatrick
                                              now a stronger onramp to full employ-                   the minimum maturity of the loans to two                 F.              Cox (CA)          Fletcher
                                              ment for small employers to weather                     years just hours before financial institutions         Brindisi          Craig             Fortenberry
                                              this unprecedented economic and pub-                    began accepting Paycheck Protection Pro-               Brooks (AL)       Crenshaw          Foster
                                                                                                      gram loans. To address this issue, the Heroes          Brown (MD)        Crist             Frankel
                                              lic health crisis.                                                                                             Brownley (CA)     Crow              Fudge
                                                I commend the Committee on Small                      Act established a minimum maturity on PPP              Burchett          Cuellar           Gabbard
                                              Business staff on both sides of the aisle               loans of five years to enable borrowers to am-         Bustos            Cunningham        Gaetz




SSpencer on DSK126QN23PROD with HOUSE
                                              for their dedication and hard work over                 ortize loans over a longer period of time, de-         Butterfield       Davids (KS)       Gallagher
                                                                                                                                                             Calvert           Davis (CA)        Gallego
                                              these last few months. I thank them                     creasing their monthly payments on any por-            Carbajal          Davis, Danny K.   Garamendi
                                              for their commitment to our Nation’s                    tion that is not forgiven. While this legislation      Cárdenas         Dean              Garcı́a (IL)
                                              small employers and their workers.                      also establishes a five-year minimum maturity          Carson (IN)       DeFazio           Garcia (TX)
                                                And I thank the ranking member, be-                   on Paycheck Protection Program loans, it fails         Cartwright        DeGette           Golden
                                                                                                                                                             Case              DeLauro           Gomez
                                              cause we have always, throughout the                    to make the change retroactive for the millions        Casten (IL)       DelBene           Gonzalez (TX)
                                              history of the committee, worked in a                   that have already received their loans. I will         Castor (FL)       Delgado           Gottheimer




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