U.S. Sen. Susan Collins (R-ME) recently unveiled legislation aimed at propping up America’s small businesses for another year as they continue to address economic challenges associated with the COVID-19 pandemic.
“Small businesses are the engine of our economy, but the COVID-19 pandemic is tragically forcing many families to close the doors to their small businesses that they have spent years or even generations to build,” Sen. Collins, a member of the Small Business Task Force, said on Nov. 4.
Sen. Collins last month signed on as an original cosponsor of the Small Business Access to Recovery Capital Act, S. 4817, with bill sponsor U.S. Sen. Marco Rubio (R-FL) and two other Republican cosponsors. The measure would provide expanded relief measures to the 7(a) Loan Guaranty program for one year to help small businesses.
If enacted, S. 4817 would extend additional assistance to small businesses that may have received funds through the Paycheck Protection Program (PPP), which Sen. Collins co-authored to support small businesses. The legislation would allow qualifying small businesses to be eligible for a second PPP forgivable loan, according to a bill summary provided by the senator’s office.
“As the co-author of the Paycheck Protection Program, I have worked to help small businesses stay afloat and continue paying their employees,” said Sen. Collins. “This bill would complement the PPP by providing expanded relief under [the Small Business Administration’s] 7(a) loan program to help small businesses weather this public health and economic crisis.”
The bill would expand small businesses’ access to the 7(a) Loan Guaranty program for one year by waiving borrower and lender fees; increasing the government guarantee to 95 percent; raising the maximum loan value from $5 million to $10 million; and forgiving debt repayment of principal, interest and fees for any new loans made under the 7(a) program for one year, according to the bill summary.
For her continued efforts on behalf of America’s small businesses, Sen. Collins in October received the Guardian of Small Business Award from the National Federation of Independent Business (NFIB), the nation’s largest small business association. “Throughout my Senate service, I have championed small businesses, the job-creating engines that power our economy,” Sen. Collins said last month.