The U.S. Senate and House of Representatives approved the latest COVID-19 relief bill on April 21 and April 23, respectively. Known as the Paycheck Protection Program and Health Care Enhancement Act, President Trump signed the bill into law, April 24.
The bill provides $484 billion in additional funding to replenish and supplement key programs under the CARES Act, including the Paycheck Protection Program (PPP), small business disaster loans and grants, hospitals and health care providers and testing.
The small business loan programs authorized under the CARES Act had been quickly depleted after only two weeks of operation. More details are below:
Paycheck Protection Program (PPP): The bill appropriates an additional $321 billion in funding, with $60 billion set aside for small, midsize and community lenders (including minority lenders).
Disaster Loans Program: The bill appropriates an additional $50 billion for the Disaster Loans Program and an additional $10 billion for Emergency Economic Injury Disaster Loan (EIDL) Grants.
HHS Hospital and Provider Grants under the Public Health and Social Services Emergency Fund: The bill provides an additional $75 billion to support the need for COVID-19 related expenses and lost revenue due to coronavirus.
Testing: The bill provides $25 billion for the HHS Public Health and Social Services Emergency Fund for necessary expenses to research, develop, validate, manufacture, purchase, administer and expand capacity for COVID-19 tests. Requires the Administration to create a national strategy to provide assistance to states for testing and increasing testing capacity.
Many local lenders are already accepting applications for the PPP with this additional funding. Be sure to reach out to your lender soon. The EIDL application is through the Small Business Administration.
Small Business Administration:
Department of the Treasury:
U.S. Chamber of Commerce: