The House fast-tracked a measure to extend the Paycheck Protection Program as Democrats forced through their $1.5 trillion infrastructure package the same day.
By unanimous consent, the House passed S. 4116 on July 1 to extend the small business loan program through August 8, sending it to President Trump’s desk hours after the Small Business Administration stopped accepting loan applications.
The popular loan program expired June 30, but was revived by Senate Finance Committee member Benjamin L. Cardin, D-Md.
The program, established by the Coronavirus Aid, Relief, and Economic Security (CARES) Act (P.L. 116-136), still had about $130 billion in funds available when it lapsed. Cardin said he wants to negotiate further with Republicans to allow businesses affected by the coronavirus pandemic to get more loans if they need them. The loans are forgiven tax free if a specified portion of the proceeds is spent on payroll costs.
Some lawmakers questioned extending the program over concerns that businesses unaffected by the economic crisis would also be able to benefit from the extension. Sen. Marco Rubio, R-Fla., one of the architects of the program, said he didn’t oppose the extension but said that when the Senate comes back it should work on targeted relief for businesses that need a second round of funds.
It wasn't initially clear whether the House would take up the measure on July 1. Majority Leader Steny H. Hoyer, D-Md., told reporters that some of his colleagues want legislation that would improve the transparency of the program, allowing the public to know which companies and individuals have benefited.
Infrastructure Package Gets Nod
Democrats also secured enough votes to push through the Moving Forward Act (H.R. 2) along party lines, 233 to 188.
The measure would extend and create renewable energy tax credits to help manufacturers install renewable solar and geothermal facilities. House Ways and Means Committee Chair Richard E. Neal, D-Mass., said the bill would be the largest-ever tax investment in combating climate change.
“We can come out of this crisis stronger than ever by seizing the unique opportunity in front of us to modernize and uplift our communities while creating good jobs and getting Americans back to work,” Neal said in a statement after the vote.
The bill would also improve and make permanent the new markets tax credit and further extend and expand the low-income housing tax credit. In addition to improving roads and bridges, Democrats have made it a priority to extend broadband access by dedicating $100 billion to help better connect some areas to the internet.
The bill is not expected to be taken up in the Senate, after Republicans criticized many of the provisions and its cost. Majority Leader Mitch McConnell, R-Ky., likened the package to another ambitious plan by progressive Democrats, saying it is a “thousand-page cousin of the Green New Deal, masquerading as a highway bill.”