Small Business Loan Funds Running Out With Congress Stalled
The $349 billion Paycheck Protection Program may run out by Thursday as the move to replenish funds has hit a snag in Congress.
As of Tuesday, the program had already approved about 1.1 million applications for more than $257 billion, according to Bloomberg. While there is a consensus in Congress to add $250 billion to the program, Democrats have been holding up the expansion in an effort to include another $250 billion in relief for state and local governments and hospitals. Democratic leadership also wants to make sure approved lenders extend beyond big banks.
“At the present run-rate, we’re going to be out of money,” Larry Kudlow, President Donald Trump’s chief economic adviser, said Tuesday on Fox Business Network.
The Senate could pass a bill for the funding by unanimous consent on Thursday, but only if no lawmaker objects — the House would have to do the same. Sen. Majority Leader Mitch McConnell stated he won’t consider any additional funding beyond the $250 billion for the small business loan program.