The vast majority of the funds — $310 billion — is for replenishing the PPP, which dried up last week. Roughly $60 billion of that total will be allocated to small lenders and community banks. The rest includes …
- $60 billion for the Economic Injury Disaster Loan program, which reaches communities and small businesses in underserved areas.
- $75 billion for hospitals.
- $25 billion to expand testing.
One of the biggest issues that the PPP faced in the rollout of the program was that small businesses in underserved communities struggled to compete with bigger businesses that had existing relationships with banks.
This bill has carve-outs so that community businesses and lenders don’t have to fight bigger businesses and banks for the same funding, a provision that Democrats fought hard for.
Be ready to apply the bill should pass Thursday at noon!