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PPP Is Already Saving Small Business Jobs, But Democrats Object To Extending That Lifeline

As Millions Are Laid Off, Speaker Pelosi Sees ‘No Data’ As To Why The Payroll Protection Program Immediately Needs $250 Billion More For Small Businesses, Despite Widespread Interest And Reports From Across The Country Of Businesses And Paychecks Already Being Saved

 

SENATE MAJORITY LEADER MITCH McCONNELL (R-KY): “Senate Democrats just blocked urgent money for a popular, bipartisan job-saving program which they themselves literally coauthored with us two weeks ago. I complimented both sides and asked to increase the dollar amount without changing anything else. But they blocked it.” (Leader McConnell, @senatemajldr, Twitter, 4/9/2020)

 

  • LEADER McCONNELL: “We just found out that 16 million Americans have been laid off in three weeks. A staggering 10% of the labor force is now out of work. This is a crisis. No time for partisan maneuvering or politics as usual. I hope Democrats reverse course & let us increase paycheck support soon.” (Leader McConnell, @senatemajldr, Twitter, 4/9/2020)

 

Speaker Pelosi Exposes How Out Of Touch She Is By Denying The Need For More PPP Funding Quickly

 

HOUSE SPEAKER NANCY PELOSI (D-CA): “This morning, Leader McConnell honored that request–I say honor, really, dishonored the needs that we have with the stunt on the floor of the Senate requesting that $250 billion, No data as to why we need it and the rest when there are outstanding needs.…” (Speaker Pelosi, Press Conference, 4/09/2020)

 

In March, Layoffs Among Small Business Spiked 1,021%’ ‘Half Of All Small Businesses Said They Will Not Be Able Operate Beyond Three Months Without Relief Aid’ ‘The Key Is To Get Those [Stimulus] Dollars In The Hands Of Small Businesses’

 

“As the economy craters, small businesses are among the hardest hit. When unemployment claims began to jump nationwide in March, layoffs among small business spiked 1,021% compared to the month before, according to exclusive data compiled by human resource provider Gusto, based on more than 100,000 small businesses nationwide.” (“Small Business Layoffs Jump 1,000% In March,” CNBC, 4/10/2020)

 

  • “Overall, small businesses employ roughly 59 million people in the U.S., according to the Small Business Administration. However, few have much in the way of a financial cushion in case of emergency. Now, half of all small businesses said they will not be able operate beyond three months without relief aid, according to a recent survey by Goldman Sachs.” (“Small Business Layoffs Jump 1,000% In March,” CNBC, 4/10/2020)

 

 

“Jobless rolls continued to swell due to the coronavirus shutdown, with 6.6 million Americans filing first-time unemployment claims last week, the Labor Department reported Thursday. That brings the total claims over the past three weeks to more than 16 million. If you compare those claims to the 151 million people on payrolls in the last monthly employment report, that means the U.S. has lost 10% of the workforce in three weeks.” (“US Weekly Jobless Claims Jump By 6.6 Million And We’ve Now Lost 10% Of Workforce In Three Weeks,” CNBC, 4/9/2020)

 

Leader McConnell’s Bill ‘Was Narrow And Should Have Been Uncontroversial. Instead Congress Is Back To Stalemate’

 

THE WALL STREET JOURNAL EDITORIAL BOARD: “As of Wednesday, less than a week after launching, [the Paycheck Protection Program] had claims on $98 billion in forgivable business loans, out of about $350 billion available. The White House has asked for a $250 billion refill, as figures show that 6.6 million more Americans applied for jobless benefits last week. Senate Majority Leader Mitch McConnell on Thursday tried to pass, by unanimous consent, a bill to this end that’s all of two pages. Its sole purpose is to raise the amount of loans available to keep small businesses afloat and workers paid through the pandemic. ‘We’re not talking about making any policy changes,’ Mr. McConnell said on the Senate floor. ‘We’re literally changing the number $350 [billion] to $600.’ Democrats objected, and they offered their own proposal. Predictably, what they want is more of everything else. … [McConnell’s] bill—all 25 lines of it—was narrow and should have been uncontroversial. Instead Congress is back to stalemate. As Democrats look at this unprecedented economic crisis, they are unfortunately still channeling Rahm Emanuel’s old line that it would be a terrible thing to waste.” (Editorial, “Paycheck Protection Rejection,” The Wall Street Journal, 4/09/2020)

 

Across The Country, PPP Loans Are Beginning To Help Save Small Businesses And Keep Employees On Payroll

 

NORTH CAROLINA: ‘Loans From The More Than $2 Trillion Economic Relief Package Saved Bitty & Beau’s Coffee Shops,’ ‘Very Seamless For Us And Just Made Bringing Our Employees Back To Work So That They Could Earn Their Paycheck Again Possible’

 

“Loans from the more than $2 trillion economic relief package saved Bitty & Beau’s Coffee Shops, owner Amy Wright said Wednesday…. Wright explained that the connection with their local bank — Live Oak Bank in Wilmington, North Carolina — and their support was what made the difference.” (“North Carolina Coffee Shop Receives Business-Saving Loan Through Stimulus Program,” Fox News, 4/09/2020)

 

AMY WRIGHT, Owner of Bitty & Beau’s Coffee Shops: “So, we operate five brick-and-mortar coffee shops that are all run by people with intellectual and development disabilities. And, Live Oak Bank…has been a huge supporter of our missions since we opened our doors… And, when they heard we had laid off all 120 of our employees with disabilities, they stepped in and they said, ‘We want to help you through this process. When the PPP loans (Paycheck Protection Program loans) become available, we are here to help you.’” (“North Carolina Coffee Shop Receives Business-Saving Loan Through Stimulus Program,” Fox News, 4/09/2020)

 

 

 

MONTANA: ‘Tanya Weinreis’ [Mountain Mudd Coffee Kiosk] Employees Are Going To Work Today’ And ‘Her 50 Employees Will Continue To Get Paid For The Next Eight Weeks’

 

“Tanya Weinreis’ employees are going to work today, and they’re getting paid. For the owner of the coffee kiosk company Mountain Mudd who has been severely impacted by Montana’s “stay at home” pandemic order, that’s a big deal. Friday was the nationwide rollout of the $349 billion Paycheck Protection Program. And Weinreis appeared to be the first business owner in Montana to qualify. What that means is her 50 employees will continue to get paid for the next eight weeks. Her crew will likely still be intact as Montana emerges from a deep economic decline.” (“As Paycheck Protection Programs Start, Billings Coffee Kiosk Owner Snags First One In Montana,” Billings Gazette, 4/04/2020)

 

 

“[T]he Paycheck Protection Program was nothing like Weinreis’ previous loan experiences. Yellowstone Bank already had quarterly information about her business. They know about her payroll and a decent amount of information about her taxes. What the bank didn’t have, Weinreis provided with information easily had, like her QuickBooks records. The SBA rules for PPP required 2019 tax information, but with filing deadlines pushed into July, not all businesses have those ready. Yellowstone Bank knew how to work around it. The paperwork Weinreis had to sign Friday was fewer than six pages.” (“As Paycheck Protection Programs Start, Billings Coffee Kiosk Owner Snags First One In Montana,” Billings Gazette, 4/04/2020)

 

PENNSYLVANIA: Philadelphia-Area Office Furniture Supplier Corporate Interiors Secured ‘A Loan For Its 179 Employees’ Paychecks And Other Expenses’ And Harrisburg Digital Marketing Firm 1SEO Cofounder Says, ‘I’m Bringing Back The 10 People We Laid Off’

 

“As of Wednesday, Lance Bachmann [cofounder of digital marketing agency 1SEO] was successfully approved for a PPP loan through Centric Bank, headquartered in Harrisburg. ‘I worked day and night with my CFO and my accounting firm Zinman & Co. and we heard that we were approved’ after applying about a week earlier, he said…. ‘This made my relationship with my bank better,’ Bachmann said. ‘I have a better opinion of bankers now than before. I’m bringing back the 10 people we laid off.’” (The Philadelphia Inquirer, 4/10/2020)

 

“The SBA approved Corporate Interiors’ loan application through Oceans First Bank. ‘They approved our loan and provided our financial institution with the [PPP] loan number’ on Wednesday, after a week, [Janice] Leone said…. Leone leads Corporate Interiors, a $75 million-in-revenue company in Wayne, and has been busy supplying local hospitals, nursing homes, and other medical facilities with retrofitted beds, exam tables, and office furniture and equipment. ‘The company is busier than ever,’ Leone said.” (The Philadelphia Inquirer, 4/10/2020)

 

  • “According to Corporate Interiors CFO Patricia Rauch, the company worked with its accounting firm CliftonLarsonAllen and the bank to get a loan for its 179 employees’ paychecks and other expenses.” (The Philadelphia Inquirer, 4/10/2020)

 

“The board of the popular kids’ museum [Please Touch Museum] in Fairmount Park has been meeting remotely every two weeks since early March to make what president [Patricia] Wellenbach calls ‘gut-wrenching decisions about our beloved museum and our employees.’ On Wednesday, as directors — including several Philadelphia bank officers — popped up on her Zoom screen, Wellenbach had some good news: New York-based Emigrant Bank had agreed to a forgivable PPP loan of $718,000 as she seeks to keep key staff working through the museum’s closure.” (The Philadelphia Inquirer, 4/10/2020)

 

IDAHO: ‘The Loan Will Make A Huge Difference’ For Boise’s Meraki Greek Street Food, ‘It Was Really Quick’

 

“One Boise business that was approved for a loan is Meraki Greek Street Food. Based in downtown, Meraki gets most of its business from foot traffic. Once the first case of coronavirus was announced in Idaho, business took a sharp drop. It took another hit when the statewide stay-at-home order was first implemented. ‘There were days I didn’t know if we could justify keeping the lobby lights on,’ said Farrah Kalatzakis, who owns the business with her husband Aki. Early on, the couple considered closing their doors many times.” (“‘It Was Really Quick’: Boise Eatery Shares Experience Of Getting A Small Business Loan To Keep Doors Open,” KTVB, 4/09/2020)

 

  • “On Friday, the Kalatzakis’ applied for a small business loan. ‘We were able to work with our accountant to get the information we needed, which was pretty easy,’ Aki Kalatzakis said. ‘You pretty much get your average payroll, times it by two-and-a-half times, that’s what the application of the loan is going to be for.’ Five days after applying, the couple learned they had been approved for $43,000. They said the whole process was pretty simple. ‘Very easy,’ Aki Kalatzakis said. ‘It’s just a simple two-page application, you get the payroll documents from your accountant/CPA, attach it all and submit it. It was really quick.’” (“‘It Was Really Quick’: Boise Eatery Shares Experience Of Getting A Small Business Loan To Keep Doors Open,” KTVB, 4/09/2020)

 

 

UTAH: ‘Cache Valley Bank Had Processed More Than 1,500 Loans As Of This Week,’ ‘It May Be The Difference For That Little Family’

 

“From Logan to St. George, small businesses are applying for much-needed government-backed loans from the Cache Valley Bank, which in turn plans to donate any profits to hospitals.” (“Utah’s Small Businesses See The Good, The Bad And The Ugly Of Coronavirus Relief,” The Salt Lake Tribune, 4/10/2020)

 

“Cache Valley Bank had processed more than 1,500 loans as of this week … The bank has been approached by a variety of businesses: a jewelry store, a dentist, an electrician, restaurants and motels, a car dealership and a theater.” (“Utah’s Small Businesses See The Good, The Bad And The Ugly Of Coronavirus Relief,” The Salt Lake Tribune, 4/10/2020)

 

 

Senate Republicans: ‘On The Same Day That We Learn 6.6 Million More Americans Have Filed For Unemployment, Senate Democrats Decided To Block Additional Funding For [PPP] … These Funds Would Have Helped Small Businesses Keep People On Payroll’

 

SEN. CHUCK GRASSLEY (R-IA), Senate Finance Committee Chairman: “On the same day that we learn 6.6 million more Americans have filed for unemployment, Senate Democrats decided to block additional funding for a bipartisan program that they agreed to just a few short weeks ago. These funds would have helped small businesses keep people on payroll, providing stability and security for families and workers across the country. Senate Democrats blocked help for workers. That’s not how you govern, especially in a crisis when the health and livelihood of so many Americans are on the line.” (Sen. Grassley, Press Release, 4/09/2020)

 

SEN. MIKE CRAPO (R-ID), Senate Banking, Housing, and Urban Affairs Committee Chairman: “Because of politics, it was objected to on the other side…. We’re not going to stop trying to push for this and we will continue trying to make this one adjustment so we can give greater aid to the small business functions and the employees we’re trying to save.” (“‘It Was Really Quick’: Boise Eatery Shares Experience Of Getting A Small Business Loan To Keep Doors Open,” KTVB, 4/09/2020)

 

SEN. JONI ERNST (R-IA), Senate Small Business & Entrepreneurship Committee Member: “After hearing from Iowans and seeing the overwhelming response of small businesses across the country, it’s clear we need to bolster the Paycheck Protection Program. We don’t have time for political games; we’re in a crisis. Workers and employers in Iowa and across the country need this relief now more than ever, so let’s put aside the politics and swiftly get this specific additional support for small businesses approved so money can keep flowing, Iowa workers can continue to collect a paycheck, and our state’s small businesses can stay afloat.” (Sen. Ernst, Press Release, 4/09/2020)

 

SEN. JIM INHOFE (R-OK), Senate Small Business & Entrepreneurship Committee Member: “While we face the greatest public health crisis in over 100 years, Senate Democrats have decided to once again play partisan games and block the advancement of legislation that would provide more desperately needed coronavirus relief to our small businesses and their employees. Small businesses are the lifeline of Oklahoma’s economy and jobs are being saved by the Paycheck Protection Program. No one can argue with that fact. Because of the success of this program, it has become exceptionally clear that Congress must provide more funding before resources are used up. While other programs in the CARES Act are working to distribute desperately needed funding to our health care providers and state and local governments, this is not the time to block additional resources to maintain employment levels at our small businesses.” (Sen. Inhofe, Press Release, 4/09/2020)

 

SEN. CORY GARDNER (R-CO): “The Paycheck Protection Program is one of the most important aspects of the CARES Act and we must do whatever is necessary to keep it running and funded. It’s shameful that Senator Schumer blocked emergency aid the same morning we received the most recent unemployment numbers.” (Sen. Gardner, @SenCoryGardner, Twitter, 4/09/2020)

 

SEN. CINDY HYDE-SMITH (R-MS): “There is no good reason for Senate Democrats to choose this dire time to play politics. The American people need help, and it’s simply irresponsible to jeopardize that support.” (Sen. Hyde-Smith, @SenHydeSmith, Twitter, 4/09/2020)

 

SEN. BILL CASSIDY (R-LA): “Just like @SenSchumer and @Speaker Pelosi delayed Phase 3 of the #coronavirus response, they’re now blocking a bipartisan bill that would provide billions more that Americans need to get through this epidemic. This is not the time for their political games.” (Sen. Cassidy, @SenBillCassidy, Twitter, 4/09/2020)

 

SEN. ROY BLUNT (R-MO): “Senate Democrats are back to partisan games – this time blocking a bipartisan bill that would provide small businesses & the people who work for them additional relief from the #coronavirus impact. Keep in mind 99.4% of Missouri businesses are small businesses” (Sen. Blunt, @RoyBlunt, Twitter, 4/09/2020)

 

SEN. MARSHA BLACKBURN (R-TN): “Senate Democrats objected to small business support. Main Street desperately needs help — not more partisan politics.” (Sen. Blackburn, @MarshaBlackburn, Twitter, 4/09/2020)

 

SEN. JOHN HOEVEN (R-ND): “Small businesses are the engine of our economy and we are working to ensure that they have the support they need to weather the challenges posed by this pandemic… The Paycheck Protection Program enables small businesses and self-employed individuals to maintain payroll through forgivable, federally-guaranteed loans and will help our economy to rebound more quickly once this public health emergency ends. We need to approve this additional funding and get it in place for our small businesses and their employees.” (Sen. Hoeven, Press Release, 4/09/2020)

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Written by PL Staff

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