New Aid Bill Replenishes Paycheck Protection Program
On April 24, 2020, President Trump signed legislation providing $484 billion in additional coronavirus aid. The bill included funding to replenish the Paycheck Protection Program (PPP), which had exhausted its initial $349 billion funding established in the Coronavirus Aid, Relief, & Economic Security (CARES) Act. Businesses who were denied due to lack of funding in the first round or who did not apply are encouraged to speak with their lender as soon as possible. This second round of funding is likely to also run out quickly. In addition to the PPP replenishment, the legislation included additional funding for small businesses, hospitals, and coronavirus testing. The Senate passed the legislation on Tuesday, April 21, and the House passed it Thursday, April 23.
What’s in it?
- $380 billion for small businesses, including:
- $310 billion to replenish the Paycheck Protection Program, including $60 billion for underbanked businesses
- $60 billion in loans and grants for economic disaster assistance
- $75 billion for hospitals
- $25 billion for testing, including $11 billion for states