WASHINGTON, D.C. – This week, U.S. Senators Thom Tillis (R-NC), Kevin Cramer (R-ND), Bob Menendez (D-NJ), and Kyrsten Sinema (D-AZ), members of the Senate Banking Committee, introduced the Paycheck Protection Small Business Forgiveness Act, bipartisan legislation to streamline forgiveness of Paycheck Protection Program (PPP) loans for small businesses.
“The Paycheck Protection Program played a crucial role in supporting small businesses and saving jobs for hardworking North Carolinians,” said Senator Tillis. “I am proud to co-introduce this bipartisan legislation that will help small businesses save thousands of dollars by allowing forgiveness for their PPP loan and use those funds to help restart our economy.”
The Paycheck Protection Small Business Forgiveness Act includes forgiveness for PPP loans of $150,000 or less if the borrower submits a simple, one-page attestation form to the lender. It also ensures the lender will be held harmless from any enforcement action if the borrower’s attestation contained falsehoods.
The approximately 3.7 million PPP loans of $150,000 or less account for 85 percent of all PPP approved loans but only 26 percent of the PPP funds delivered. The cost of applying for forgiveness for a PPP loan of this size is $2,000 for the small business and $500 for the lender. The bipartisan legislation introduced today could save small businesses $7.4 billion and banks nearly $2 billion.
Click here for the bill text.