Created: 04 June 2020
We are very pleased to report that by unanimous consent (no debate, no roll-call vote), the Senate just approved H.R. 7010, the Paycheck Protection Flexibility Act. As you know, this bill will make a number of retroactive improvements to the PPP, including:
24-week covered period (instead of 8)
60/40 split (instead of 75/25)
Loan forgiveness still possible if FTEs won’t come back, or if revenue in December is below Feb 2020 levels.
Five year loan-repayment terms for future PPP loans
Payroll tax deferment restored
An analysis of how the bill would change PPP for current users can be found here. We expect it will be signed into law by the president very soon.
As noted last week, getting the Senate to agree to anything unanimously is a challenge these days – and the unrest of this week raised the bar significantly. The strength of the House vote (417 – 1) helped significantly, but equally important were the advocacy efforts from this Association, our state restaurant association partners, and engaged owners like you. If you have a close relationship with your representative in Congress, this is a great time to offer a simple “thank you.”
This is a great win, but we continue to face unique challenges that are bigger than the PPP.
