middle finger to small biz

Once again Nancy Pelosi and House Democrats are using the coronavirus pandemic to try and score political points by blocking $250 billion in additional aid needed by American small businesses.

Unbelievable.

NRCC Comment: “Nancy Pelosi and House Democrats continue showing voters they would rather pander to their socialist base than deliver aid to the job creators struggling to stay afloat.  It is very disgusting.” – NRCC Spokesman Michael McAdams

In case you missed it…

Pelosi Holds Up Small Business

Wall Street Journal

Editorial Board

4/8/2020

https://www.wsj.com/articles/pelosi-holds-up-small-business-11586388710

Democrats may let a new relief program run out of money.

This is getting old. Tens of thousands of small businesses are heading for bankruptcy without short-term liquidity from the feds. The Trump Administration offers to provide it—and Democrats on Capitol Hill refuse to support it without more money for their constituencies.

The latest example concerns the $350 billion Paycheck Protection Program (PPP) that was part of the $2.2 trillion Cares Act. The program offers forgivable loans to maintain payroll and cover overhead during the economic shutdown. Despite some technical hiccups, the program is already besieged by applications.

Treasury Secretary Steve Mnuchin on Tuesday asked Congress to replenish the program with another $250 billion, and Senate Majority leader Mitch McConnell wants to hold a voice vote to do so on Thursday. But that requires Democratic assent, and House Speaker Nancy Pelosi and Minority Leader Chuck Schumer say they’ll block a vote without another $250 billion in additional spending and new strings.

The hostage-takers are insisting that half of any additional PPP money be earmarked for “community-based financial institutions that serve farmers, family, women, minority and veteran-owned small businesses and nonprofits in rural, tribal, suburban and urban communities across our country.” That demand is as unworkable as it is unnecessary.

PPP money is already going to banks large and small, through a network that includes any existing Small Business Administration lender and any federally insured bank or credit union. The money is provided on a first-come, first-serve basis, which means farmers, women and minorities have the same opportunities as others. Any plan that seeks to allocate dollars on the basis of identity politics introduces bureaucratic interference and delay.

Democrats are also demanding $100 billion more for “hospitals, community health centers and health systems.” This would be on top of the some $150 billion for health care and stockpiles in the last bill. Oh, and they want $150 billion more for state and local governments, on top of the $340 billion recently signed into law.

Would it be too much to wait and see what the needs really are before spending even more? Our sources note that not a single dollar from the recent relief bill for medical providers has gone out the door. It will also be weeks before state governments know the extent of unemployment and the impact on tax revenue—which could change as PPP and other federal loan money shores up business and keeps people working in the private economy.

The program that urgently needs the money is PPP. Congress can clarify a few rules about lender liability and who is eligible for loans, but small businesses need the money. By our deadline the parties were still negotiating. If Democrats refuse a voice vote, Mr. McConnell should seek one and dare Democrats to take responsibility for denying funds to thousands of small businesses across America.