U.S. Sen. Thom Tillis (R-NC) on May 21 joined several colleagues in introducing a bipartisan bill to extend federal COVID-19 relief loans over a longer period of time and allow for some flexibility in where the funds may go for small businesses facing high commercial rent rates.
Sen. Tillis signed on as an original cosponsor of the Paycheck Protection Flexibility Act, S. 3833, with bill sponsor U.S. Sen. Marco Rubio (R-FL) to adjust Paycheck Protection Plan (PPP) rules authorized under the Coronavirus Aid, Relief, and Economic Security (CARES) Act in the next coronavirus emergency funding package.
Among the eight members who joined Sen. Tillis as an original cosponsor were U.S. Sens. Susan Collins (R-ME), Cory Gardner (R-CO), Steve Daines (R-MT), Marsha Blackburn (R-TN), and Ben Cardin (D-MD).
“I’m proud to work with my colleagues on a bipartisan solution to protect North Carolina jobs and our small businesses,” Sen. Tillis said. “From my countless conversations with North Carolina’s small businesses, it’s clear that the Paycheck Protection Program needs reforms in order to provide more flexibility to keep small businesses open and protect the jobs of workers.”
According to a summary provided by the senator’s office, S. 3833 would allow forgiveness for expenses beyond the eight-week covered period; eliminate restrictions limiting non-payroll expenses to 25 percent of loan proceeds; eliminate restrictions that limit loan terms to two years; ensure full access to payroll tax deferment for businesses that take PPP loans; extend the rehiring deadline to offset the effect of enhanced unemployment insurance; and adjust the program’s standards to account for economic realities following the coronavirus pandemic.
The bill is supported by the International Franchise Association, the American Hotel and Lodging Association, the National Federation of Independent Business, the National Restaurant Association, the U.S. Hispanic Chamber of Commerce, and the National Small Business Association, among others.
“I’ll continue to work across the aisle to get these commonsense, bipartisan solutions turned into law to provide more relief to small businesses and their employees,” said Sen. Tillis.