ADA, stakeholders urge Congress to pass legislation to streamline PPP loan forgiveness process
November 23, 2020
— The ADA and more than 100 associations representing nonprofits, financial institutions and businesses of all sizes are urging Congress to "address the overburdensome Paycheck Protection Program forgiveness process before the end of the year" to help small businesses.
In a Nov. 19 letter
to leaders of the House and Senate, the coalition asked lawmakers to pass S 4117 and HR 7777, The Paycheck Protection Program Small Business Forgiveness Act. If enacted, the law would forgive PPP loans of less than $150,000 upon the borrower’s completion of a simple, one-page forgiveness document. The groups noted that PPP loans of $150,000 and under account for 87% of total PPP recipients, but less than 28% of PPP loan dollars. They also estimated that expediting the loan forgiveness process would save more than $7 billion and “hours of paperwork.”
“Businesses have been patiently waiting for Congress to act, hoping that an improved and streamlined forgiveness process will ensure they can focus their time, energy and resources back into their business and communities instead of allocating significant time and expense into completing complex forgiveness forms,” the coalition said.
“On behalf of our members and the millions of small businesses we serve, we urge you to improve the PPP forgiveness process and support streamlined forgiveness efforts,” the letter concluded. “Time is of the essence and we look forward to working with you to pass these critical bills. Thank you for your strong, common-sense leadership on such a critical issue.”
For more information about the ADA’s advocacy efforts during COVID-19, visit ADA.org/COVID19Advocacy