Small business rescue funds depleted with Congress deadlocked – Politico
Lawmakers are at an impasse over how to allocate more money for the popular loan program.
The small business rescue fund set up by Congress exhausted its $350 billion funding capacity Thursday morning, as U.S. lawmakers remained mired in a battle over providing more money.
Congressional Democrats continued their talks with the Trump administration on Thursday on whether there’s a deal that can pass Congress unanimously. Without additional funding, banks and the Small Business Administration will be unable to approve more of the Paycheck Protection Program loans designed to avert layoffs during the coronavirus pandemic, which can be forgiven if businesses agree to maintain their payrolls.
But Congress is deadlocked over how to allocate more money for the popular loan program, with Democrats continuing to oppose the GOP’s $250 billion infusion for the fund as they demand equal funding for hospitals and local governments. The impasse is now in its second week.