Committee on Small Business member states, hearing on response, we had a hard stop, we could move as quickly as we can and could not accommodate every member in person today and we are accepting statements until thursday april 30th. Today is a chance for the committee to hear directly from members of congress about thoughts on the covid19 response for the next package to Small Business issues for the committee of jurisdiction. I would like to remind everyone we are practicing social distancing and taking other precautions for all in attendance. I appreciate your cooperation so that we can protect ourselves and our hardworking staff. Three weeks ago when congress created the Paycheck Protection Program we did so with the goal of providing a lifeline, the program experienced Unprecedented Demand and proven successful, helping more than 1. 6 million entities to support employees. As a result we will be replenishing the Program Later today. While we are moving quickly to provide an additional 310 billion, to examine what is and is not working as well as gain a better understanding of how to move forward if the ppp must the extent that against. It is implemented as congress intended. The piecemeal guidance has released in many instances confusing, contradictory and provide little clarity to millions of Small Businesses in desperate need of assistance. We are aware 90 publicly traded Companies Get ppp loans in some cases more than once. This is unacceptable and i call on the fda to use its Administrative Authority now to prevent further misuse. Congress would also be exploring ways to explore the public trust in the next package. And beyond todays in fusion. We must bear that with common sense reforms to programs that will ensure we are helping american Small Businesses. Thank you for being with us today. I look forward to the discussion and working on your ideas to provide the best opportunity for survival and recovery for Small Businesses in all our communities across this country. I would like to yield to Mister Chavez for his opening statement. Thank you for holding this important hearing. I want to mention the chairwoman has been in thoughts and prayers. Small businesses, entrepreneurs and startups play a critical role. And to every 3 of the new jobs in this nation. And the false of main street, and their employees, as a Response Congress created a paycheck protection. During this emergency period. A low interest wrote loan for other expenses, Small Businesses have a tool available to assist them as they try to weather this storm. The program has experienced high demand. Within a 2week span, all the money within the Paycheck Protection Program was exhausted. I urge my colleagues to inject more dollars into this program as quickly as possible. This committee hosted a bipartisan call with the Small Business administrator. Committee members amplify issues facing Small Businesses to the leader of the sba. We will hear from other members fighting for their Small Business. I will look forward to hearing their thoughts and ideas how the cares act relief programs have been implemented, suggestions of how congress can improve them moving forward. There have been bumps in the road and more clarity is necessary the sba rose to the challenge of assisting the nations smallest firms when no other options are available. As members of congress it is critically important we Work Together to assist the nations Small Businesses, entrepreneurs and startups. Main street businesses are counting on federal assistance so lets deliver. I yield back. For participation we will do our best to accommodate all the members to provide testimony. I remind everyone we have two minutes to provide testimony and ask you to stay within the 10 time frame to the best of your ability. Lets get started. Let me welcome the chairwoman of the subcommittee on rural development, agricultural trade. Thank you to the members of the committee here today. An honor to serve with you, folks in the First District in iowa. This is a hard time for Small Businesses and americans across the state and district. It is something we are coming together today to do more and make sure our folks have what they need. We step up and continue to listen to the folks in our district about what they are going through and what they need. A story i want to share today is a man in monticello who has six employees with High School Sports canceled, over 100, 000 in uniforms and equip and he cant sell, worried about his employees and if he is able to get this afloat, this is why we are doing this today. Heres the big thing for me on these programs, we must do more to make sure communitybased Financial Institutions have those dollars to put outside the communities. It isnt just about the big businesses that need millions of dollars to stay afloat. Those in need 10,000, 5000, 20,000, maybe have 10 employees, 5 employees and in my district in particular with the amount of Credit Unions and Small Community banks, this touches specifically folks in the district. I am honored to be here today to do more and it will be our job to continue to get them what they need. With that i yield back. The gentleman from minnesota, the Ranking Member on contracting and infrastructure is recognized for two minutes. It is great to see you and i wish you the best, thank you for your work, thank you for giving me the opportunity to testify before your behalf of the constituents of the eighth constituents it is not unique. The whole country is in this together but i would like to take this opportunity to share with minnesotans what minnesotans have experienced, the struggles are the nationwide shutdown and how we can come out of this more resilient and stronger than ever. Points for Small Businesses, and in segments to be forthcoming, many struggle to understand what is best for them. Some received a fraction of what they were promised and many others received nothing at all. The sba and treasury working around the clock to effectively implement the cares act and provide as much clarity as possible along the way. My constituents are rightfully frustrated. As a Small Business owner myself i know financial uncertainty is completely destabilizing with many businesses here, and already shut their doors. The priorities we take on as leaders of the Small Business community, the mom and pop shops, recipients of the loans, as few as 2 or 3 employees matter just as much as the maximum of 500 and we must prioritize getting the ppp out the door as quickly as possible. Im happy were passing legislation to replenish the ppp program for Small Business men and women. If there was ever a time to put aside partisanship it is now. I stand ready and willing to assist anyway i can to ensure as we sit in the beginning of the statement our nation together, we will come out stronger, more resilient and more selfreliant than ever. We must recognize that Small Businesses are the engine of the economy. The gentleman from new jersey, the chairman of the subcommittee on Economic Growth is recognized. Thank you for this opportunity, or millions across the country who depends on Small Businesses for their livelihood or what they faced during this crisis. Every day my staff talks with Small Business owners in this district who had to close your doors or opposed to doing so. They are hoping the money in their town is enough to pay the next mortgage or rent check hoping they can keep food on the table. And they provide additional relief to the same people i hear from. All told we set aside 2 thirds of 1 trillion to help Small Business owners keep people off payroll and keep their doors open. If your Small Business owner received this help it has been a lifesaver. We need to be clear, the Paycheck Protection Program has been flawed and does not provide the longterm solution or certainty are Small Business owners deserve. We have seen the Paycheck Protection Program fail our Small Business owners. Weve seen and consistent and unclear rules that make it difficult for lenders to get online. We have seen Small Businesses who want to do the right thing, to meet stringent eligibility and Program Requirements including unnecessary, 7525 formula and exclusion of nonprofits on the front lines of this crisis. It doesnt work in some parts of this country. The size of small ones, mom and pop shops on main street wait for congress to add more money. All of these need to be fixed and need to be fixed now. Fully funded from is to come, it wont solve a problem we face, we have to get the country moving forward. The National Testing program to do so, i urge all of us to Work Together to make sure that happened in test those who are sick or healthy and open up the economy again. Thank you and i yield back. The gentleman yields back. The Ranking Member of the subcommittee on rural develop, agriculture and trade. Thank you, in this committee, the Small Business is the backbone of the economy and perhaps never more evident than during the coronavirus pandemic which we recognize is truly a Public Health and economic crisis. Thirteenth district of pennsylvania is home to many Small Businesses all of which have been significantly affected by the ongoing coronavirus outbreak. It forced businesses to temporarily close their doors thanks to the resources of the 100 Sixteenth Congress and the cares act, Small Businesses in pennsylvania were approved for Paycheck Protection Program loans to keep them afloat while we fight this invisible entity. Fortunately far too many businesses shot out of the program when the funds ran dry. Initial confusion on size limitation and guidance that did not consider the unique Business Model of Agricultural Producers kept many farmers from accessing this release. Im pleased to see the progress we have made to include farmers, more must be done to ensure the future of Agricultural Producers and food supply chain. Over the past week i have spoken with workers, Small Business owners and farmers truly counting on the Paycheck Protection Program. Counting on congress, and many stepped up and guide chemicals in Somerset County to the mason dixon distillery in adams county. Small businesses changed course to provide Hand Sanitizer and other items needed by frontline responders. These men and women are not only the backbone of our economy, and Congress Must continue to deliver on our promise for them. I thank you and thank the Ranking Member for your leadership and continued support in these trying times and i yield back the balance of my time. The gentleman yields back. I recognize the gentleman from colorado. Innovation and workforce development. Thank you for convening this session. Im honored to serve beside both of you. I heard from hundreds of constituents from the Paycheck Protection Program in the loan programs have been lifelines but shortages of these programs have been well documented. To ensure these programs have the funding they need. I also heard how our nations chambers of commerce desperately need assistance so my local chamber 7 forced to lay off staff and facing other immense challenges in equitable mission. We have to make sure we are adjusting to these organizations. It helps business of helping Companies Invest more money and more abundances under the Small Business Investment Company program. It would increase the amount so they can invest in these sbics by expanding the program we can further incentivize main street to help main street during its critical time. As millions of businesses apply for and receive assistance from the Small Business administration we need to address the Cyber Security that the fda considering recent of elements of 8000 borrowers may have had their personal information exploited from cyber vulnerability. My bill is a small Cyber Awareness act required the fda to report these within 180 days, better infrastructure framework to move forward with vulnerabilities. Finally as we all know oversight of important loan and Grant Programs is one of the most important roles of this committee. Youve been concerned about recent reports a larger publicly traded Companies Using programs intended for nation Small Businesses. I look forward to working with all members of the committee to address any misuse of these relief programs, ensure the transparency and accountability are hallmarks of the nations response to this crisis and congresss actions going forward. Thank you for your time this morning. I look forward to working with you and efforts to protect our businesses, expand investment in the nations Small Business. I yield back. The gentleman yields back. I recognize the gentleman from North Carolina. Thank you, madam chairman, fellow Committee Members, thank you for taking the time to hold this hearing today. I wish we were meeting under different circumstances but no one could have anticipated the devastation this virus has caused to the American People especially Small Business owners and their employees, congress came together and reassured Small Business by providing necessary relief to the Paycheck Protection Program. This program is not perfect, it has helped over 39,000 Small Businesses receive 8 billion of relief in North Carolina. As the coronavirus forced congress to stay home i had the opportunity to responsibly visit horn would incorporated which is a specialty textile manufacturer in the largest employer in anderson county, North Carolina. In order to fulfill their civic duty, cordwood has begun the process of manufacturing ppe for frontline workers. When applications first went online, the application received loans due to a snafu in the process they were unable to receive a loan when the funding ran out on april 16th so it is good that congress so Small Businesses can receive this critical funding. The Paycheck Protection Program is an Emergency Program and in my opinion everyone involved is working to ensure Small Businesses survive this crisis but the easiest way to address this concern is safely reopened the economy. My biggest observation is the federal government cannot provide sufficient relief to substitute for free and open economy. This debate is raging in every corner of the nation and i will push for data transparency so leaders at all levels of government can begin to make educated decisions. We are gathered here today to discuss how this committee can work to provide needed relief to Small Businesses. I would like to commend leaders throughout the country and working with the sba to serve as conduits for the Paycheck Protection Program. But dutifully stepped up in this time of need. Better than any Government Agency my time is expired. Thank you for holding this hearing on the covid19 response and recovery. I heard how this is affecting Small Businesses for the likelihood of constituents. Small businesses are the backbone a economy and in now places is that is true as the third Congressional District i am so proud to represent. They would be in office devastating consequences and while incredibly important, the state and local stayathome orders are definitely creating a miss challenges for Small Business owners and employees. There are many challenges and fixes we need to incorporated into the injury loan program and we need more money for these programs now to increase that funding. Congress must pass the Paycheck Protection Program extension act which im a cosponsor of and provide 900 billion in additional ppp funding. We have to make sure the assistance is going to those who need it most, not just corporations and wellconnected. To make it into the hands of minority women and veteran owned businesses. Im encouraged the ppp increase act step aside 60 billion for small and medium lenders for Community Development Financial Institutions likely to work with smaller and less advantaged, to follow implementation of these programs. Congress expanded Program Eligibility to include Tribal Enterprises fewer than 500 employees but the sba and treasury severely limited and excluded Tribal Enterprises especially tribal gaming, they provide important job opportunities, to tribal governments. And i spoke about this. Im glad we are making progress on these issues that a lot more work is necessary and looking forward to work with all of you on those issues. Now we recognize the gentlelady from california, the chairwoman of the subcommittee on investigations, oversight and regulation. Extending funding for the Paycheck Protection Program and Economic Injury disaster loan and 60 billion set aside in Lending Authority specifically for Small Community lenders in the ppp for Small Businesses. By doing this we address the banks behavior that made set aside necessary in the first place. My constituent young owns a repair shop and had us Checking Account with the bank of america and credit card with jpmorgan chase. Despite his longstanding relationships, for a ppp loan. Ppp must be improved. It must be improved with translations for immigrant entrepreneurs and meet the needs of independent restaurants with have no assurances permitted to legally be open and put before the end of the 8 week ppp loan period. These businesses risk exhausting funds and being forced to lay off legally and safely reopened. It must be improved by extending eligibility to 501 c3 nonprofit labor unions. The unique needs of the self employed with creative industries, limiting emergency grants. With loan forgiveness, applying to payroll costs may spend as much or more on expenses on salaries. I look forward to continuing work to improve these programs. I recognize the gentleman from pennsylvania. Thank you, i think the Ranking Member also. As my colleagues have said this is an unprecedented time. This pandemic, Small Business has been devastated. However, many local businesses to access these needed this is greatly concerning, Small Businesses cannot survive without these loans. Large restaurant chains receive 20 million of pca loans, trust and confidence in these programs. Many of us are wearing masks, we need the sba to be transparent to taxpayer dollars. In addition it is imperative to think about operations in the future. Social distancing will be required for the immediate future. And the set of hospitality resilience, with new revelations affecting food, hotel and Event Industry with Small Businesses. To ecommerce becoming the main source of revenue. It is crucial we help Small Business. We are preparing for the future. I yield back. We recognize the gentleman from illinois for two minutes. Im appreciative of your leadership at this difficult time. It is extraordinary through the crisis. Im grateful we have this hearing as well. With the american workforce, the lifeblood of the economy, for urban neighborhoods to suburban villages across the country, they stood up for Small Businesses in every relief bill starting with the first one on march 4th. It is additional for ppp and loans. And i stressed the need for the fda to provide applicants with an update on the status of the application. Many of my constituents, on the first day of eligibility to hear back. They are making hard decisions today about the future of businesses and need to plan longterm financial outlook. They deserve to know whether they can rely on this as a resource, we deserve answers. I stressed the critical need for the administration to provide lenders and borrowers with clear updated guidance how the loans are being dispersed. The fdas pronounced for the next funds which is the work of the committee, it is our responsibly to hold the Administration Accountable for making use of emergency Funding Congress has provided. I look forward to working to exercise the oversight of fda. And get the funding for Small Businesses that so desperately need them. We recognize the gentle lady from pennsylvania. Im grateful to be here with all of you at this critical time. It is evident to me about this responsibility, the work we do here is so essentially cannot afford to be partisan at this time. Im very grateful as mister schneider is to you and your staff that you conducted yourself with enormous professionalism at this difficult time. I spent the last week listening to the community, all over the region spent time in food banks seen the real trauma this is causing, the pain is worry in our communities. Im grateful we replenished many of our Small Business programs that i worry will be drained within days and weeks again. Im grateful this allows for agricultural businesses, and im grateful part of the ppp includes Community Lenders to be directed to Small Businesses. I am also grateful that this bill provides our hospitals for testing. These Small Businesses and Small Business programs are meant to be Emergency Programs and make sure we are able to address the situation as long as it exists but the situation will exist as long as the virus is with us and we need to make sure we have a robust testing system developed, nationwide robust testing system developed to be able to return ourselves and communities to normalcy and this requires legislation to be conducted with triggering mechanisms to establish future opportunities for funding programs if and when we become necessary. I believe we need to not continuously reauthorize what is a lifeline for Small Businesses until such time as we get out of this pandemic. I look forward to working with this committee to protect and defend this nation and Small Businesses and i yield back. The gentle lady yields back and i recognize the gentleman from florida. Appreciate your leadership. The circumstances surrounding the nation has been through the last two month, anything any of us would have asked for, it is a humbling privilege to serve on a committee that had so much to do with the solutions economically. I look forward to your continued leadership. Thank you. The gentleman yields back. I recognize the gentleman from minnesota. To colleagues on the Small Business committee im honored to serve on a Small Business committee during a critical time in our nations history and appreciate all the work you have been doing to return our main streets to prosperity. To share the district with Paycheck Protection Program and Economic Injury Disaster Loan Program. Ive spoken with my team and worked to help many Small Businesses across the district whether it is a forest in apple valley or the cannon river winery, ive heard that this implementation of the ppp has been flawed and Small Businesses are waiting far too long to get the relief they urgently need. I realize we are facing unprecedented time and the fda is working hard but it must do better. For every Success Story shared with my office at least a dozen people reach out saying they have been unable to successfully apply for a loan. The stories are heartbreaking. Constituents report receiving far less money than was promised through the idle program and i had a call with a number of Restaurant Owners in the district and they uniformly noted that the ppp as it stands one not allow their businesses the flexibility to fully achieve the goals. The Additional Support for nonprofits and cooperative must be resolved in future bills. We must ensure we are holding the fda accountable to oversight that ensures big corporations are not crowding out the main street businesses this program was intended to help. This means getting more data on loan issuance including breakdowns by demographics and Congressional Districts. Adding additional funding of the Paycheck Protection Program and idle program. We must ensure the amount and flexibility are helpful to Small Businesses that needed the most. We are here to help protect each of the American Dreams represented but Small Businesses and districts. Thank you and i yield back. The gentle lady yields back and we recognize the gentleman from new york. The strength of our communities and the covid19 pandemic made it clear when we see storefronts closed down about the incredible volume. And the character of our communities. I have engaged with Small Businesses, in Washington Heights about the great difficulties they have, they have been encountering accessing by the cares act. And these thousands of Small Businesses by this legislation are not getting any help. Many of them have not seen a dime. They got tricked. They got letters straight. They got bamboozled. They are mad as hell. I am mad as hell. This is a major problem. The actors who perpetrated this must be investigated and must face consequences. We need to make sure main street is bailed out, main street must be bailed out right now. Im glad the relief package will set aside funds permissionbased lenders and the institutions especially in new york city. The depository institutions, involving this relief program. Institutions Neighborhood Trust federal credit union, used and trusted the constituents. We must do better. We must bail out main street. The gentleman from hawaii is recognized for two minutes. Members of the committee. As a former Committee Member im grateful to share the profound impact of the covid19 pandemic on Small Businesses. Small businesses are the lifeblood of my state, hawaii has 132,640 Small Businesses, one business for every 11 people, they are smaller than most other states. Vast majority employ less than 100 people with the average of just 12 people. Small businesses employ majority of the hawaii workforce. Small businesses are the most diverse in the nation, 62. 6 are minority owned, by far the highest, more than a quarter of native hawaiian and other businesses are found in hawaii, tourism and hospitality with intellectual activity and stayathome orders and travel restrictions at home. Our economy is hardhit by covid19. Our Unemployment Rate weeks ago was the lowest at 6 . More than one third of our forces file unemployment claims and hanging by a thread if not already closed. This committees think really hard work has been a lifeline for them throughout our nation. Especially important are your efforts to ensure immigrant and under banked communities are not left behind. Equally important are Small Businesses of the term industry, the first impacted by the pandemic and will be the last recover. As we continue our efforts together, i urge you to consider the unique needs and they provide temporary relief, they will keep Small Businesses and a significant population alive until the state can reopen for business. And continue to assist and appreciate your efforts. We recognize the gentleman from kentucky for two minutes. Ranking member chavez, thank you for holding the hearing, during this crisis in frequent contact with lenders for Small Businesses. Lets address the concerns, the breach of statutory obligations. The other the labels, and need to clarify new owners of preexisting businesses qualify. The congress deputized letters to deliver Small Business aid in the mandate that the sba lenders, with loan distribution. Many lenders distributed funds to borrowers you treasury has not provided guidance how they receive the fees. Lenders worked around the clock to help your customers. They work 24 hours a day in three 8 hour shifts with supervisors working 8 hour days. They always took off one day, easter sunday. It is said by Small Community lenders across the country, the lenders must be compensated for their work as directed, the treasury and the fda called on lenders to quickly get money to Small Businesses. They should not hold up their end of the deal. The fdas reliance on existing Eligibility Criteria boxes out businesses congress did not intend to exclude. Horse racing and horse tracks provide significant downstream economic benefits to the communities but some horse tracks are ineligible for loans, express these concerns, secretary mnuchin and voice my support for local horse tracks. Im hopefully fda will align its guidance to modify this Eligibility Criteria. One of my constituents was a 90 ppp loan because he purchased the business after february 15th. The cares act provides it is operational prior to february 15th. The intent of congress is the business itself is a growing concern on february 15th regardless of ownership at the time. They have no official clarification to testify about these issues and appreciate the chairwomans oversight. The gentleman from california is recognized for two minutes. Members of the House Committee, thank you for allowing me the opportunity to speak on behalf of Small Businesses dealing with the economic consequences of the covid19 pandemic. In this moment of Economic Uncertainty we must work to help our Small Businesses survive this crisis was the payroll Protection Program and expanded eligibility for the economic loans are wellintentioned and a strong first step but i heard from many in the district frustrated with the rollout of these Economic Relief programs including how limited access prioritizing large companies. I will provide strong oversight, additionally eligibility requirements prevent organizations that are trusted by Small Businesses from federal support. And the National Association of Real Estate Professionals for target help to minority and underserved businesses. I urged the committee to expand eligibility to include 501 c 5 and 501 c 6s. These organizations assure that Economic Uncertainty does not undermine variability to serve. I have serious concerns but minority women and veteran owned businesses are at increased risk during this crisis. Business owners face greater barriers, Small Business owners with english as a second language. I urge the committee to direct lenders to prioritize ppp loans for Small Businesses owned by minorities, Women Veterans and underserved and rural markets in the next to me was package and ensure information and distributed multiple languages to reach all audiences. I urge the committee to advance legislation that will provide more certainty to Small Businesses was the initial funding provider under cares lasted two weeks. We need to establish automatic mechanisms such as those in bipartisan extensions so that we cannot keep lurching from crisis to crisis. Now is the time for swift action by Small Businesses. My district is home to many Small Businesses and i thank you for the time to testify in front of the committee. The gentleman yields back and we recognize the gentleman from a story a. Is it working . I think the chairwoman and the committee for holding this member day hearing on the Coronavirus Crisis. Since the establishment of a Paycheck Protection Program i have heard from countless constituents, Small Business constituents and owners that the application process was difficult to navigate and many lenders were not receptive to their needs, meanwhile we discover many wellknown business chains receive millions of dollars in Program Funds and impose applications may have been prioritized by lending institutions. In response to these revelations i submitted committee and leadership a letter asking that any future funding of ppp loans contain a set aside specifically for the truly Small Business, the mom and pops of our nation. I was pleased to see my recommendation take form into this funding package, and Credit Unions which have a good track record locally of getting hands into the businesses that need it most. What we need to do is find better ways to ensure local businesses get the help they need during this time or any future crisis. Working on legislation that would ensure a portion of ppp funds or funds from similar programs go toward Small Businesses. Our nations familyowned businesses and proprietors shouldnt have to compete with national or International Chains during this time of crisis. And local charities and teach our kids leadership lessons. Lets us be there for them. They have been there for us for so many years and i appreciate it very much. I recognize the gentle lady from texas. Thank you for giving me the opportunity to share with Small Businesses in the community of el paso. Small business, a Small Business telephone townhall, what is happening on the ground as we confront the coronavirus pandemic. The Paycheck Protection Program was established as a quick infusion that were directly affected by the pandemic. They received their loans after being approved. Those are experiencing a lack of communication regarding their application status. It is approved by the house, the Small Business Administration Needs to ensure funds are distributed of timely manner and provide Effective Communication throughout the process. Another issue many Business Owners of raised is flexibility, the 7525 spending ratio the Small Business administration requires. Under this rule 75 of the loan must go toward payroll costs while the other 25 can go to Small Business expenses like rent. This ratio simply doesnt work for businesses with small payrolls and larger business expenses. We should not be punishing businesses because they have fewer employees than others. The next round of coronavirus packet should include a remedy for the thousands of businesses that applied for ppp loans that need flexibility. I know im not alone when i say it has been sickening to see that Small Businesses like those in el paso have been placed in back of the line and large corporations, publicly traded companies have been put to the front of the line. Our Small Business is the backbone of the local economies and leaving them in the cold, Congress Must impose stronger restrictions on who can receive ppp loans in future funding bills, to ensure the funding is flowing to those intended. Finally i want to say thank you for your incredible leadership during such an unprecedented crisis. The gentle lady yields back in the gentleman from texas im sorry, the gentleman from North Carolina recognized for two minutes. , 48 of the american workforce, a Small Business owner myself are tightly knit teams, working to provide services, product in their communities, when they want to lay off workers, it feels like firing a member, many times they are. And the variables that are forcing their hand. The situation is not their fault. I will provide 300 million with a Paycheck Protection Program. The program has given a lifeline to 30 million Small Businesses and we need to keep up the momentum. The spread of the virus is slowed but our knowledge of the virus is skyrocketing giving those facts, we have to begin reopening the economy. I spent weeks on the phone with Small Business owners who dont know how theyre going to pay their workers of the economy remains indefinitely shutdown. Since 43 of Small Businesses are considering permanently closing if the shutdown continues, we have to get the gears a economy moving again. I urge the committee to ensure Small Businesses in underserved committees receive the critical Financial Assistance they need and are not turned away by big banks. Californias 34th Congressional District like others have been devastated by the economic destruction caused by the coronavirus. It is home to many talented artists and creators that allow our film, Television Theater industry to thrive. Like other freelancers and self employed individuals they are still waiting to apply for the pandemic Unemployment Insurance. If they did apply for Paycheck Protection Program load they were last in light of my district is home to vibrant Small Businesses and nonprofits predominately owned by families, women and people of color. For example, clarissa and Gabriel Hernandez are coowners of a bar, a staple in the commute. They apply for both Economic Injury disaster loan and the Paycheck Protection Program over two weeks ago and not have received aid. They had to make difficult decisions to furlough their entire staff. They are one of many. The owner of a bakery based out of highland park, he would need to apply for the paycheck protection loan he was turned away from this business, his businesses make despite being a client for over 20 years. He did need to have a chance to apply before the funds ran out. He is one of many. It didnt matter they applied the first day these loans became available. Funds were exhausted for the made into the pockets of those that need it the most. Brickandmortar. Meanwhile National Hotels and restaurants change receive millions. It is evident big banks are prioritizing larger loans rather than loads on a firstcome firstserved basis. Community based Financial Institutions rather than private banks are more committed to making capital assessable to the communities they serve. The Paycheck Protection Program and healthcare enhancement act takes a step in the right direction by setting aside 60 billion for Community Based building litter such as minority depository institutions and Community Development Financial Institutions. This isnt enough. I urge the committee for more funds to community Financial Institutions and then direct the u. S. Department of the treasury to reveal who is getting the loan and it who is not gettinge loans. With that i yield back. Adjustably yields back. The gentleman from nevada is recognized for two minutes. Thank you, madam chair. I appreciate the opportunity to appear by accepting a petition [inaudible] this is the first page of the cares act. Its a statute enacted by the te house, and acted by the senate and signed by the president. This is the first page of section 120 of the code. Not enacted by the house. It was not enacted by the senate and it was not signed by any president of the trendy. Its a clinton era regulation that sba promulgated to process sba loans during regular times. Nothing wrong with it in and of itself until in applying the cares act the sba issues guidance to Financial Institutions that says our internal regulations said you cannot apply for a loan. The operative language in the cares act with any Small Business which is defined as 500 or less employees. Those folks are all fully license legally operating in their jurisdictions, pay people, sparked a lowly teams, health care, retirement, all those things. Many of them were shut out because of the situation and other ones were internal regulations were used as a reason to say you cannot apply. My purpose in appearing here tos to suggest to this committee that we did basically make a differentiation between Economic Disaster in terms of when we pass something that says we want to reach as many people as possible and internal regulations which are 25 plus years old that quite frankly there are no resemblance to the time we are at today. I would commend the committees attention to this under Lessons Learned so we dont have people that are basically turned away who are otherwise very deserving under the specific length of the statute. Thank you, madam chair, and i just back. The gentleman yields back. The gentlelady ms. Lee from nevada is recognized. Thank you, madam chair. I want to thank you and the committee and your staff. I remember being on a phone call with your staff when we passed the cares act and attention is looking all the possible scenarios really was commendable. I was so hopeful when the passed the cares act that were going to get the needed aid to our companies, are Small Businesses. It was called the paycheck protection act as youre well aware to protect the paycheck all employees. What was not included in that act was an exception. Yet that exception is impacting my community quite significantly. I share the views of my colleague from nevada, as well. There was no statutory mandate excluding gaming from this bill. And yet basically washington bureaucrats chose to apply regulation that was not meant in this bill. I asked this committee for all i ask that the administration finally do the right thing and address this administratively. And if they cannot do that or refuse to do it, which by the way, its sort of bizarre that the bigger part of the cares package apply to our bigger gaming operators. Thank you to access that money. Im talking about the Restaurant Owners, the tavern owners, Convenience Store owners. These all employees all deserving of protection. I know you understand that and i thank you for all of your work. I asked that if the administration continues to make this exception, in my opinion, overreach, that this committee will address the statutorily the next rent. So thank you so much for all of your help. Thank you. Now we recognize mr. Burden from alabama. Thank you, madam chair. I appreciate the opportunity to view today just the content of the Small Business owners in my district. Lets not forget about how much money we pump out of washington it doesnt take the place of the american economy. At some point we got to get back to work. Im pleased to know 27,000 loans have been approved for the Small Businesses of the state of alabama. Most of those are pretty small dollar loans and grateful for the legislation before the house today and set the Site Specific funding for small banks. Alabama committee bankers bakee been doing humans work processing thousands of small dollar ppe loans and hope all Financial Institutions will step up to the plate and make a commitment to do the same. Unfortunately while recessing some success with ppp, the evidence is clear the bureaucracy if they are Small Businesses when it comes to the Economic Injury disaster loans. The cares act promise of 10,000 grant within three days of applications was a lifeline for thousands of Small Businesses in my district. It was supposed to be there for help and get this money in unprecedented type. In addition to the grant these business also are in desperate need of the promise underlined working capital needs. Often to supplement their ppp bones. Many of my constituents who have received the ideas of loans and grants were disappointed the small amounts that were provided. Most that simply heard nothing from the sba at her unable to obtain answers over the telephone system. Currently the only process to check on their loan status. As of april 20, espn reported it is only approved 183 loans for the entire state of alabama. It appears sba has only process at most a quarter of grant conditions. Situation totally unacceptable. Today i spent to the committee a letter i sent to the sba with 123 of her college. We asked the s. B. Debrief all of us on the ideal situation and provide answers that are constituents desperately need. Thank you again for the time today and i yield back. The gentleman yields back. Mr. Burgers from texas, recognize for two minutes. Is that on now . I think the chair. I think the members of the committee on me to testify this coronavirus is called Public Health crisis. Unlike anything seen in recent memory. It is not only infected hundreds and thousands of americans, it has infected and affected our nations economy. Temporarily shattering businesses to social distance is correct but it is left numerous Small Businesses struggling to survive. Paycheck Protection Program and Economic Injury Disaster Loan Program are vital and a nation Small Businesses are the backbone of our economy and to do need a lifeline during this time of crisis. Unfortunately within the Paycheck Protection Program and Economic Injury Disaster Loan Programs provided by the cares act, excluded 501 c 6 organizations which includes our local chambers of commerce. Within the 26 district of texas, chambers of commerce have literally worked around the clock to ensure that members have access to needed resources. These organizations need to support, need support to be able to afford the payroll, their billing and to provide essential services for their members. Ranking member chabot was good enough to drone on a call with my chambers locally earlier this month, and this very problem was delineated while he was on the call. I request the Committee Want to relax affiliation will still not more businesses with small local branches to be able to receive assistance here some businesses employ between ten and 20 and operate like a Small Business but are unable to see assistance because their Parent Company comprises more than 500 employees. During this time we really do need to be practical to ensure that no hardworking americans lose their job or their business. As Congress Moves to replace Small Business funding we must extend assistance 501 c 6 organizations and relax the affiliation rules. We cannot leave them behind. I thank you for your attention and i yield back. Gentleman yields back. The gentlelady no. The gentleman from georgia, is recognize. Thank you, madam chair. Thank you, madam chair, and thank the committee for all the work that youve done. I know youve done humans work and we appreciate it. A special in supporting Small Businesses across the country. Its humans work. Your members have been a valuable resource, Paycheck Protection Program is rolled out over the last month its nothing short of the unprejudiced and 349 billion program and send out funds to businesses in such a short time. One happy to report positive stories of businesses in my district, it is not without its flaws. I would like twilight some priorities for the Program Going forward. First of all in assuring the funds reach all world series and Agricultural Producers, the initial confusion about who was eligible for the program, how long should be checking that are simply just submitting it to the sba system led to a delay for many Small Businesses in receiving a loan or missing a completely on the programs first round of funding. One of the biggest confusions that is hindered application has been around a 1099 independent contractors should be considered for ppp here the legislative texts provide two options. Small businesses can include them in their applications or 1099 workers can apply individually. However, the ppp faq says businesses should not include them. This must be clarified. The inability to give clear guidance for ppp loans in a just follow their of the out of funds has been some of the biggest frustrations my constituents of that over the past month. The provisions in todays replenishment of ppp, 60 billion be set aside for smaller lenders will be helpful but we need to ensure funds are truly going to smaller businesses especially those in rural america. More should be done to promote the ppp liquidity facility created by the Federal Reserve to encourage ranking to provide ppp loans with zero risk. Lenders hitting their lending limit you to be aware of the resources. In closing again i want to thank this committee for your work and for the opportunity to share my districts expenses with ppp and want to reiterate the need for congress to provide Small Businesses with certainty threat this pandemic. Thank you and i yield back. The gentleman yields back. The gentlelady from virginia is recognize for two minutes. [inaudible] thank you. Thank you, madam chair. The Small Businesses are the backbone of my district, 115,000 people employed by Small Businesses account for more than half of all employees in the district. In this time of crisis more work must be done to of all Small Businesses. Despite congressional intent some businesses cannot benefit from the payroll Protection Program. Sba must clarify the affiliation rules the relates to ppp loans. For seasonal businesses i recommend trekking sba to base loan eligibility on revenue from the same timeframe last year rather than on the prior four months. I also recommend allowing businesses to do for the start of the eightweek period in which extended loans can be forgiven until the date the businesses can reopen. To contribute your access for ppp funds, the committee should incentivize banks to serve new customers or prohibit banks from restricting which businesses can apply for ppp loans. The committee should also prohibit big banks from considering the size of a loan while processing applications so the smallest customers have an equal shot at funding. This is they can provide lower payroll costs as is your overall operating costs should be allowed to use more of their loan for nonpayroll costs. This change would be especially beneficial for the hospitality and fisheries industry. Which need to pay rent or other maintenance and over and costs for the facilities and equipment. Equipment. Additionally, the commission required the sp to provide applicants with clear and transparent timelines for wins alone grants and applications will be processed. Finally, the committee must help the sp about the quick distributions of funds with the programs integrity. On behalf of the Small Businesses of coastal virginia, thank you for this opportunity to share these priorities for the upcoming covid19 relief legislation. I will submit my full testimony for the record. I yield back. The gentlelady yields yells, the gentleman from utah, mr. Curtis. Thank you, madam chair, for this opportunity and members of the committee. This is an unprecedented time in our nations history and many of our Small Businesses across the country are expecting unimaginable losses due to no fault of their own. Small businesses are the backbone of the utah county. They make up of 90 of the business in my district. As a former Small Business owner i have a soft spot in my heart for their courageous, these, the courageous entrepreneurs who make constant sacrifices in order to grow our businesses and economy. Ultimately when this is all over i dont believe it will be government that saves us. I believe it will be our Small Businesses. The recently passed cares act pumps billions of dollars into utahs economy and Small Business is getting over 21,000 utah businesses with under 500 employees reticle help at an important time. Despite this, this is throughout my committee, need more help. This bill will vote on fire today is critical to delivering resources to the parts of the country to an economy that are currently on life support and a grateful to be in washington, d. C. With you and my colleagues to vote for this legislation to up of our Small Business owners and employees. Thank you. I feel the back. The gentleman yields back. Mr. Pence who is next . From washington here you are recognized for two minutes. Thank you, madam chair and members of the committee. Small businesses are not only the backbone of our economy. They are our economy star running back. The rack up the tough yards and the score the touchdowns on main streets across this country creating over 60 of new jobs in the private sector. As we work to contain the spread of coronavirus and saved lives, our star running back, our Small Businesses are getting tackled behind the lens comes. I think the federal government should do some blocking and call someplace for the fy the cares act included funding for loan program steps for business and the workers get through this crisis include the Paycheck Protection Program to a employees keep their workers on the payroll and i think this pretty for the leadership on that program. These programs have had a rocky rollout including more funding is needed. I believe theres no time to lose because businesses are making decisions right now the weather to hunker down and whether through this or fold the tenth. Thats why i did is the bipartisan Paycheck Protection Program extension act to nearly triple the funding in the ppp and to extend the programs duration. Our businesses need certainty and breathing room to help build demand. My bill will ensure every qualified Small Business is able to access the critical assistant needed to retain their workforce and cover basic operating costs for the duration of the pandemic including to get more citizenship tough times continue. We need to think about what it means if businesses cant fully reopen it too much. We cant think about the next leg when you do know what our call will be in multiple situations. Thats why federal assistance should build an automatic triggers to kick in if Economic Conditions remain dire and provide additional help when needed. We need a game plan that includes or help for Small Businesses facing challenges now one that include stabilizers that work quickly and automatically to get up where its needed when its needed. Its time for comprehensive strategy to help Small Businesses. Think of it as main street beast mode to empower them to score the point our economy will desperately need. I hope this committee will consider the ppp extension act as part of that plan. Thank you, madam chair. Thank you. The gentleman yields back. And the gentleman from indiana, mr. Pence, is recognized for two minutes. [inaudible] [inaudible] im Glad Congress has come together on a bipartisan agreement to replenish relief funding for Small Business. The health and safety of hoosiers and all americans is and will remain my top priority. Like all of us here today, weve also been hearing from Small Businesses in the sixth district of indiana, throughout this pandemic and across the country. Today, i want to address Property Owners who are not receiving the relief they so desperately need. With customers sheltering in place, landlords in my distrit and nationwide are facing a catastrophic revenue collapse that will create lasting damage in our communities on the Property Values and on the property tax revenues. Madam chair, even giant retailers are kept the doors open to provide essential services are not paying their rent. Retail stores are shutting down and closing, but there is no relief for the landlords who run the town centers and strip malls which house these stores. The government has forced stores and malls to shut down, and many landlords are generously forgiving grid to suffering Small Businesses, but the Property Owners are also financially suffering. We are on the brink of defeating this virus, but when our country reopens, will there be stores to open back up . My colleagues on this esteemed committee, we must ensure landlords are not forgotten in this process. There are Many Americans who currently own buildings with no pain can attend them, and they have major issues looming. There are several Companies Like that in the sixth district and across the hoosier state. As a Small Business owner i feel it is my duty to speak up for the ndc, and as we fight to defeat this virus and provide relief for the American People. God bless all. I for everyone stays safe. I yield back. The gentleman yields back. The gentleman from colorado. Youre recognized for two minutes. Thank you so much, madam chair, and thank you for your leadership over the course of the last several months. The Paycheck Protection Program has provided some relief to struggle Small Businesses in my district. The region is of the sba in washington, d. C. Interpretation of several of these provisions in the cares act has blocked never Small Businesses in my dishes include startups in boulder and fort collins, seasonal businesses in mount commands and resort areas of momandpop restaurants across colorado from accessing these funds so with regard to the ppp i would respectfully request the committee consider the following proposals. First, extending the covered time for loan forgiveness for longer than eight weeks what better that reflects the current state of orders. Also, providing flexibility for seasonal Small Business by tying the look back period with the corresponding year ago 2019 period so our ski areas can recover when the public of emergency is pastor i represent theyll come breckenridge, winter park, some of the best committees in our country and they been hit tremendously hard by this Public Health emergency. Eliminating gaming exception which was articulated earlier from the great state of nevada, the wall street journal reported the hardest hit county in the United States of america economically is the county which have the honor provision in colorado or momandpop restaurant have been severely impacted by the exception that a midget. By lees transparency and a candidate with the chairwoman care so deeply about so that we can ensure the taxpayers do toe these funds are being spent and to stop some of the abuses that we read about. Again i think the chairwoman as was the Ranking Member for the leadership in these very trying times, and appreciate your consideration of these proposals. Thank you. The gentleman yields back. Mr. Johnson from louisiana is recognized. Thank you, madam chair, and Ranking Member chabot, all members of the committee for the hard work and swift action in helping to produce Paycheck Protection Program. It has worked as all hell. Its been a critical lifeline as you know saving millions of jobs and helping countless Small Businesses to stay afloat while were in these uncharted waters. We will get through this to italys and its worked very well. Weve had 26,635 loans approved worth more than 5. 1 billion and worth more than 5. 1 billion and that is the essential pixma offices are the backbone as we all know and as at this addition fun to the Paycheck Protection Program today we are benevolent were businesses. Three ideas quickly that hope will consider going for. Number one want to associate myself with remarks of congressman pence a few months ago. We do have a catastrophic revenue collapse in many landlords and Property Owners who didnt have any relief in the ppp. They have been crying out for help and i think someone is very welldeserved. Number two, the chambers of commerce, their 501 503 c6, i know you believe our local gyms will be critical players as we begin to rebuild a con. They are the ones that will help like all expected to get the events rebook and help Small Businesses. They need some regard. Finally less idea as the midget a couple times, we need some flexibility i think on the back end of this for the repayment of this. Theres some businesses who are not having their employees come back to to no fault of their own. We need to give them to deference on that. They are in good faith. We can separate the ones that are not but the ones that doing will hope and attend it ought to given that. Delighted to work with you. Thank you for your partnership, the opportunity to speak today and i thank you for all your work. I yield back. The gentleman from virginia is recognized for two minutes. Thank you so much for holding the hearing today. [inaudible] you need me to start over . Thank you so much raleigh fishing today. Small businesses throughout the country of seeing the revenues become nonexistent in a matter of days to stay at home orders. The Paycheck Protection Program have led many Small Businesses to stay afloat and mitigate some of these layoffs and revenue losses. Though there were some technical problems early on i was surprised to a quickly tracy and the sba were able to move it by april 11 i was hearing for businesses across my district that theyre getting the fines they had applied for. The Economic Injury Disaster Loan Program has not been nearly as successful. Even though in the first aid package Congress Passed in late february we add additional money to help fund that program. I have heard numerous complaints from Small Businesses in my district over the past two months who have yet to receive those funds and they dont know the status of their applications. I would urge the committee to investigate the reasons for sba delay on this program. I would also urge the committee to assess the feasibility of having banks, credit into a Small Community later scary out the ei dl program as well the ppp. While the ppp loan has been a success, i am afraid it could be a bridge to nowhere. While many businesses have been able to keep their employees and to stay open, without at least beginning to reopen our economy for the end of the eight weeks, the bridge that congress has provided will collapse or leave our businesses out on the end of the bridge with nowhere to go. These Business Owners will once again have sad duty of link off the same employees and in many cases slowly closing the doors forever. In just a few examples from my district where ive been out and about, they guy who does the oil change on my car says his business is only 45 of what it was before. One of the local Fast Food Restaurant has lines in the drivethrough, way back. Their business him dont looks like they been successful, their business is off by 55 . So i would have to agree with my colleagues whove asked for some flexible on that repayment and i would also have to say that while those things are happening and some things have been pushed, the real estate taxes can personal property taxes, the business license taxes will has to be paid at some point and get these businesses dont have the revenues that the anticipated. I yield back. Gentleman yields back and we recognize the gentleman from new jersey for two minutes. Thank you, chairwoman velazquez, Ranking Member chabot for deputy to testify about the Paycheck Protection Program. The ppp is an important Necessary Program to keep businesses live and employees on the payroll. I dont need to tell you the rollout of this program and many parts of the country has been a disaster. I had been in close touch with Small Business owners in my district and it is difficult to fully capture the level of fear, frustration and uncertainty that they are feeling right now. They are also just plain ticked off when you read that a National Steakhouse chain made off with 20 million that favored Bank Customers who did need help nearly as much as they did, at concierge service, while they wait on hold for hours day after day hoping for some small piece of news. I am delighted we are setting aside for Community Banks now but i am livid the senate at the administration refused to consider a single change to the program to ensure that banks treat all of the customers with equal respect. Im angry that some of us were accused of playing politics he comes we wanted to fix this program you for pumping more into it. We all know its going to need more money again soon, and i believe it to be fully funded for the duration of this crisis but lets do better than that. Before we add more money to ppp lets add rules that prevent Big Companies with access to other capital from gobbling up loans that should be going to truly Small Business a pic lets create a dedicated pot of money for those truly Small Businesses so the bagel shop, laundromat, the flower shop with four or five employees isnt competing against companies with four or 500. Lets add stronger eligibility requirements to ensure the program is only open to businesses actually at risk of going under, and i wish it went without saying that big banks should not be writing the rules here. We should be. The banks have to be made to understand that they had been drafted just as soldiers in the war are drafted for this purpose they are agents of the American People acting in our interest, not their own. If it hasnt been made clear enough, its not us to make it so. We are in the worst economic crisis since the great depression. How we respond will decide whether the economy of the early 2020 will look like that of the early 1930s. Small businesses are digging deep and did you write either employees, the rest of us need to step up and have their backs. Thank you, madam chair. Gentleman yields back. The gentleman from south dakota, mr. Johnson is recognized for two minutes. Madam chairman, Ranking Member chabot your mic. Madam chairman, mr. Ranking member, thank you. I want to thank the 11,000 south dakota businesses to participate in the ppp, the Paycheck Protection Program. Our recovery which will take place over time will be much more successful and will happen more rapidly because those businesses kept their employees on the payroll during this difficult time. Congress has done a number of things right, a lot of things right with our Coronavirus Response packages, but, of course, we have not been perfect. And today i want to highlight two key areas where we still need to act. First, we have left too Many Organizations on the outside of ppp looking in. So we need to adjust Eligibility Criteria so that cooperatives can small gaming operations, local hospitals with government affiliations, 501 c 6 organizations and franchises, that they can keep their employees off the unemployment role, so that will help this economy. Second, i cannot stress how important it is that we continue to get assistance to our Agricultural Producers. Farm and ranch country have been simply battered by a combination of unbelievable market volatility and steve rice declines. Now, we have made some progress securing 23 billion for producers, but more funding is clearly, clearly needed. We also need to adjust payment limits and to provide flexibility to support producers who have no place to take their livestock because the processing plants in their area had been shattered. Or drastically have reduced their capability. Those are the two most important issues i wanted to talk about today, but there are more that ive outlined in this letter to the speaker into the republican leader, and i hope they can be added to the record of todays proceeding. Thank you for this opportunity. Thank you. The gentleman yields back. The gentleman from new york. Thank you, madam chair and thank you all for being here today. I cannot to complain. Im here to say thank you on behalf of the many hundreds and probably thousands of Small Business in my district that have benefited from the ppp program. I want to thank the committee for thereby pursue work in response to the covid19 pandemic and i want to commend the sba and treasure for the expeditious work to provide relief to americas Small Business community. Think about it. They distributed 250 billion in loans and grant support to Small Businesses before the treasury was able to get 1200 checks to people who can you really were were and whether counterpart that is pretty remarkable and i commend them for that. Over 21 the paycheck Program Loans have been approved in new york state. Find some Economic Injury Disaster Loan Program have begun to make them out across the state. Over 200 9 and defense fund, thats fantastic of these programs of the many Small Businesses keep the doors open and the workers pay. I cant tell you how many businesses ive heard from often come up in emotional state saint thank you. You saved our jobs. You saved our business. I have worked my whole life for this and we hit this disaster and if it were not for this program i wouldve shut my door strip that is working. That is what government is supposed to do. Help a Small Business and get out of the way and thats exactly what were doing. The Paycheck Protection Program and Health Enhancement act phase 3. 5 is going to ensure more Small Businesses in my disagreeable to obtain relief. I liken it to risk at the beginning of the track revving its engine, hours to go, just win for us to get across the finish line today and were going to do that. Provides additional 310 billion for the dollars for the Paycheck Protection Program to insurable businesses can participate. It increases funny for the Economic Injury Disaster Loan Program by 60 billion. Im pleased the legislation allow small and mediumsize farms what are all over my district take advantage of this program which is badly needed to do and that was about the adjustment biology. It provides 2. 1 billion to support the Small Business administration as the work to administer these programs. Congress must work to ensure the ppp and means available to struggling businesses going forward. Additional funding will be necessary to continue providing relief and make sure Small Businesses have confidence in the program. Additional work is to ensure the programs accurately reflects the payroll needs of all businesses. Proud to advocate with angie craig at minnesota for additional flexibility for seasonal employees which is very important. And with that i yield back. Thank you. The gentleman yields back and the gentleman from pennsylvania mr. Fitzpatrick is recognized for two minutes. Thank you, madam chair. Thank you to the Ranking Member as well. Try to ongoing to cut right to the chase. We all do with the issues are. The ppp was well intended, poorly executed. Clearly it missed the mark. We are here today to put more money in the program, clearly needed. There have got to be guardrails put up on this program that prevent what weve seen in pennsylvania which im sure all my have seen where anybody under 500 employees is often insane but regardless of whether they are Hedge Fund Owner or a Brokerage Firm that is down 10 revenue with no plan to lay off their employees, and at the same time give small mom and pop shops, pizza shop owners, Owner Operator Day Care Centers with no access to capital, no cash flow were getting denied the that is not the congressional intent of the Paycheck Protection Program. Weve got to fix it. Weve got to include nonprofit as well. We all know we need to do. Lets fix this because this is a make or break moment for our country. Second, try to is a topic that madam chairwoman raise regarding Business Interruption insurance. We have two choices going forward. God for bid we are down this path. We either choose the path of government ballots or we create an insurance product right after 9 11 recruited a program which made all the since the new world. It was market price, riskbased and federal backstop. There are a lot of industry trades you blather tied to say this is not the problem. They do want to be part of the solution. I have to be a part of the solution. We can create a product with a commitment that money that ensures our Small Business because there are now small banks in our community that are they will no longer extend lines of credit financing unless they can show some level of insurance. That has got to be the solution going for. These bailouts arent efficient. Miss the target. The result and endless deficits and they miss the mark as ppp has been we can fix it. Lets Work Together with the Treasury Department to make sure those guardrails are set up so we protect our mom and pop Small Businesses and not give these loans out to people that dont need them. I just back. Thank you. The gentleman yields back. The gentlelady from washington is recognize two minutes. [inaudible] thank you, chairwoman velazquez and Ranking Member chabot for holding the steering. The Paycheck Protection Program is extremely popular base of the band we are seeing. For the livelihood of Small Businesses and nonprofits it is imperative as youve heard many times that we get the implementation right. We cant punish smallest businesses just because they dont have long since many relationships with banks. We need automatic triggers so the loans and forgiveness will renew if this economic string persists far longer than we anticipated and business day to keep idle employees on payroll for more than eight weeks. Otherwise, their employees will end up on unemployment eight weeks later. With the lack of detailed guide from embarrassing but requirements for ppp loan forgiveness puts Small Businesses and challenging position would have to make decisions at a moment about payroll leases and work orders. My constituents have expressed concerns about banks not honoring the first come first serve ethos pic i further from several businesses that their ppp application goes unanswered by their bank while larger customers are actively courted and have applications approved quickly. I realize these are anecdotes and we will know more when with good oversight but many businesses electrically into everything right are still getting overlooked. Restaurant owners who havent heard about their application, bedandbreakfast apply for pp p loan in the first possible day and use their local bank. They have and received a loan or word and a business average is 80,000 per year and is just to make in place and they been left out. I am hopeful struggling businesses will get help with thousands of todays ppp and healthcare and enhancement act to set aside for funds to be distributed to small local banks should help but you need to consider changes to the ppp we want to make sure for Restaurant Owner in the bedandbreakfast owner are taken care. Thank you very much. Thank you. The gentlelady yields back. At this time the committee is going to take a short five minute break. The committee stands in recess. [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] house Small Business committee is meeting this morning, holding a hearing lady of the economic stimulus bill, the second measure passed by congress a couple of weeks ago in response to the Coronavirus Crisis. We understand there are about 15 members left to speak and we will be testifying here, gaveling back in now. Thank you mr. Evans, and is a Small Business owner myself im grateful to all of you for the important work you do on behalf of Small Businesses. In a couple of hours ill be voting to inject another 310 billion into our exhausted Small Business relief programs. Ideas with serious reservations. While the need is as real as it is urgent, the program simply are not working as intended. Far to be Small Businesses in my district and throughout the country have not been able to access the ppp or eidl programs for even as they face the real prospect of having to close their doors for good. Once again im afraid a federal Program Designed to support every business is benefiting those which need it the least at the expense of those which need it the most. Take it up and restaurants cafes bars and clubs, for example. The quintessential Small Businesses without which no american town would ever be the same. Most are now shut down and many are being shut out. Take jason the only of the bar and grill in minnesota. Ppe did not work for due to the 7525 real. The eight week and other challenges with the cabinets. He apply for a eidl on april 8. Over two weeks ago. What did hear back . Crickets. Not even an adult of receipt of his application to you could say that my knees couldnt get the money. There are thousands of businesses and my district that benefited from ppp and eidl dont have grateful for that but there are thousands more who have been shut up and need our help now. It will not know how much money with what the problem if the system by which its distributed is an accessible to businesses who need it the most. My recent letter to Steven Mnuchin opposes muchneeded common sense of changes and ani submit it for the record. Despite these challenges i do remain hopeful that this bill while the perfect will surely help more people but our job is not done. We must fix whats broken and ensure intensive oversight and accountability is present with the money flows and where it goes. To the Small Businesses of our country i say keep the faith because help is on the way. Thank you, mr. Chair. Thank you and i appreciate the opportunity to talk about how the provisions of the ppp and the cares act have positively impacted the businesses in pennsylvanias 12th Congressional District. In the first round of ppp funded penciling had nearly 70,000 Small Businesses take advantage of the program. These businesses received a combined total of 15 billion in loans. Similarly 700 pennsylvania Small Businesses have received loans to the sba eidl program for over 138 138 million. The Paycheck Protection Program and eidl have been important and successful programs in keeping Small Business open and people hired during this pandemic. Every dollar used in these programs to keep businesses operating and people employed is a dollar invested in our economic recovery and also a dollar not spent on unemployment. I can talk from experience with target people in my district that this been Robust Interest in the Small Business components of our covid19 response in pennsylvanias 12th. 12th recently our office facilitated a successful call between Small Businesses and banks in our district and regional officials from the u. S. Small business administration. The Small Business administration which had been a great resource throughout the process answered questions for over an hour through Small Businesses and lenders. We have hundreds of people on the call and found that the information was helpful in the process for applying your Small Business relief. One of the persistent questions we receive is how out of these programs like agriculture community. While qualifying fronts have been able to access Paycheck Protection Program is im glad to see language in h. R. 266 26t will confirm eidl benefits apply to qualifying farms. Small businesses employing a half of all americans. They are the heart of our economy and will be a major player in our economic recovery. Many speak about finding a way to the new normal. At least as far as the economy is concerned. I hope to return to the old normal with the American Worker built the greatest economy world has ever seen. Thank you, and i yield back. [inaudible] thank you, madam chair, Ranking Member chabot, members of the Small Business committee to provide feedback on this widely Important Program passed as part of the cares act. Im please were providing additional funding for sba relief programs but im deeply concerned that without for the programmatic changes and for the assistance, many Small Businesses will be forced to close permanently causing an arms economic suffering slowing our recovery. Many Small Businesses and nonprofits in the district are frustrated by the difficulty of getting help in finding a lender. They have been moved to the back of the line been larger businesses with established relationship and feel forgotten. This is a particular issue as weve seen in the recent New York Times report for Small Businesses that our customers a very large banks but are not the favorite customers of those banks. Congress must get work done in this businesses large and small but needed. Small businesses that its in the revenue cut to zero cannot survive much longer. They will close and many will not come back. I strongly urge the committee and called us to consider programmatic changes that ensure greater access to the ppp and eidl programs but also how we go further to get help to the businesses and nonprofits that most need it. Im also puzzled while the First Tranche of fun has been distributed inequitably among the states with california received one of the smallest per capita amounts. I asked the committee to look into this disparity and make sure sba loans are distributed fairly. And finally i wish, i would ask the committee to consider the interplay between the Small Business program and an appointment compensation. Discussions with local businesses like the restaurant in burbank, many are having difficulty rehiring workers who were already laid off and unappointed compensation. They want to participate in this program. They are required to rehire employees. Those employs a polygon onto on to the unemployment system. If we can consider how that interplay works and affects the Small Businesses to make sure they keep their doors open, it finally, i would like to advocate for a Broader Vision in the next major release package like a large payroll guaranteed program that would be equitable for businesses large and small, would be efficient, would avoid layoffs, and you think will be commensurate with the sense of economic challenge facing the country. So i thank you for your attention, your work on this, and i yield back. [inaudible] thank the chair of the Ranking Member for holding this very important meeting. We have rolled out an amazing ppp plant in a very short time. With that said any program like this is going to have a few hiccups and there are three changes i i would like to discs today basically. One is to encourage the sba to allow lenders the discretion to offer loans to companies in chapter 11. We have a newspaper business in my district, has a strong underlying book of business but the structural changes in the news industry has left it saddled with debt. Before the crisis they were on track to reopen but now the business is not sure it can survive. By asking lives to review the underlying biz and ensure its in a strong position can save many businesses number two, id like to encourage this the specifically to allow medical practices that have more than 500 employees but less than 500 and its individual practice locations. That practice has been there for 50 years and for the First Time Ever we laid off third of our employees and lastly i want to encourage a committee to start considering a different start date for loan forgiveness in Sevier County tennessee where dollywood has a lot of entertainment and this goes across the country. If you have say a comedy barn and you use this program there is nobody there because the governor has shut that down. We cant open it so it would help these businesses when the governor gives his okay to open these businesses backup at the clock then starts with the eight week loan forgiveness and i appreciate very much the opportunity to speak today an ideal back the balance of my time mister rose of new york youre recognized for 10 minutes. Thank you for your time, a few chair women velazquez, Ranking Memberchavez for having us here today. And for your leadership for new york city businesses, chairwoman especially. I commend this committees amazing work and establishing both the ppe and idl programs to unprecedented programs that have seen Unprecedented Demand to demonstrate how Responsive Government should work when confronting national crisis. As you know true Small Businesses are facing immense challenges , assessing these programs, challenges made worth during the turmoil and uncertainty of this pandemic. Nowhere is that more so the case then for businesses on Staten Island and south brooklyn, two of the locations hardest hit by this virus in the entire world. Small businesses in my district need help. They cannot afford to wait. I come before thiscommittee to ask that you help these businesses by addressing the following issues. We can start by ensuring history does not repeat itself by letting the big banks wire ties the wealthiest clients while Small Businesses in my district wait for even a reply aftersubmitting their application. By using prescriptive language and future relief bills we must look out for the businesses who need help the most and make it harder for big corporations to use emergency relief funds to optimize their bottom line. We also have to look ahead. Banking industry has to make sure this next tray of money would last only a weekor so. What im hearing i cant tell you , i cant tell my constituents with a straight face that they would be able to access these funds again after this dries up. Id like to see 60 billion put aside for state and federal Credit Unions, micro lenders and such but we need to do more for the Nonprofit Sector as well. But plain and simple, more really might be needed. This crisis is far from over and i thank you again for all your extraordinary leadership. Missed plotkin of michigan you are recognized for 2 minutes. Thank you, mister chairman, Ranking Member, thank you for the opportunity to share the effects of the covid19 crisis on michigan and michigans eighth district. I consider the bill as a must past piece of legislation. In michigan weve been deeply hardhit by this crisis, only two states have lost more lives to covid19 and michigan is a fraction of the size of the state. Our governor Gretchen Witmer has issued stay home a safe designed to limit the spread of the virus that has unquestionably saved lives comes out a real cost to our economy. Small businesses retail shops and cafcs, brewpubs, greenhouses, hair salons and machine shops have had to close and sharply reduce their activity in order to keep workers and customers safe. We have tried to do everything we can to get those Business Owners a scrap of information in this process and i thank you for doing such wonderful work to keep people informed. We held virtual sites with businesses, the facebook line and lansing areas, main street businesses across the state are eager for any news in the environment passage of the Paycheck Protection Program was necessary and replenishing it today is as well. Let me share what ive heard. And brighten our receipt of a ppp loan means the Work Skills Corporation can continue programs that last year 1200 people in jobs providing services to our most vulnerable residents. Cookies and cream ice cream shop in lake orient got a ppp loan and were able to keep nine seasonal employees on the payroll preparing for their spring title in rochester hills, ppp help to keep the holes alive so it can provideeconomic opportunities for the developmentally disabled and in lansing our beloved Minor League Baseball team , not is better equipped to weather the storm and bring us at summertime joy and i thank you for passing this legislation. Thank you for proposing it and for allowing our smallest businesses benefit this time around. 92 chairwoman velazquez, to acting chair evans and Ranking Member shabbat for this opportunity. Thank you to my colleague, representative kim for advancing new jersey priorities. As many of you know new jersey is one of the hardest states in the nation along with new york we account for 45 percent of the cases nationwide so im grateful to the committees work in helping our struggling Small Businesses face is unprecedented pandemic. I testified for new jerseys Small Businesses and towns as we continue to develop future stimulus packages and i want to highlight two key issues imseeing in new jersey. For additional funds to the Paycheck Protection Program is only the first step. We must take the Lessons Learned and apply them now. I hear from Companies Daily at Natalie Flores who cannot find a letter and an engraving store cannot find the status of their loan. A yoga studio was back stopped taking applications and the list goes on. Its not sufficient to add more funding. We must make it easier for businesses to live up to the intention of the program we created. The 10,000 dollars be idl grants are now only marginally available. Devastating Small Businesses in nj 11 and moralizing businesses who are fighting to take care of their employees. We must ensure direct funding for smaller towns and countries. The cares asked provided funding for local localities but ignored those in my district which fall under the population threshold to qualify for the fun. For rural sussex county, challenges are resource intensive. Direct funding is critical to keep the flight up for our constituents. We must rectify this and support our county officials as they face unexpected budget shortfalls through nofault of their own on top of the crisis. Local elected from towns like , and chatham township are incredibly concerned about revenue loss from sources like construction permits which have already dropped because of the production and an inability of residents to pay property taxes so thank you for this opportunity. I look forward to working with you on a bipartisan basis as we move forward uncritical legislation. Mister luna of arkansas. Thank you acting chairman evans and to my colleague, Mister Chabot for your leadership. To have the opportunity to be heard at this hearing. I come today pretty much with my Ranking Member of the Budget Committee hat on. I will save the specifics for what i think could happen to the Small Business piece of backpacks that we have passed and what we are considering today and talk a little more generally about where we are as a country fiscally. No doubt the coronavirus is a challenge unlike anything weve faced before. We would all agree this pandemic is affected every facet of our life and economy read a response as this situation has been unprecedented. Acted swiftly out families and businesses across the nation. It was the right thing to do. Between the cares asked, families first, we delivered in the early to support medical workers and hospitals, help families and workers and stabilize the economy to the best of our ability. With no template on how to navigate these times the goal was to make Resources Available and we did. Theres no doubt these efforts delivered assistance. Arkansas loan saw 21,000 ppp loans administered totaling 2. 7 billion to help the Small Businesses in arkansas and keep workers on the payroll but our continued response was be focused on doing what is necessary, not what is wanted area we must ensure our efforts are targeted to helpin the , not prop up the opportunistic. Discussions about another high dollar legislative package are already underway and even though the full effects of this crisis nor the impact of the bills weve already had signed into law artfully known. May i remind my colleagues that before anyone had heard of velazquez, this nation was on track to overspend itself by more than 1 trillion. I believe it is important to address the needs of our nation but i also believe has to be done in a very responsible way. We have to be targeted, it has to be temporary and it must be transparent. Insatiable appetite to throw a lot more money problem. Must be constrained. Withthat mister acting chairman ideal back the balance of my time. Thank you, mister hartford you are recognized for 2 minutes. I want to thank the acting chairman. Its great to see you in that role and for the Ranking Member Mister Chabot and the staff for keeping us safe. Thank you for allowing me to address an issue that is important to my state of nevada but also that affects some 43 other states in our country. A gaming industry is vital to local Small Businesses. It supports than 350,000 Small Business jobs delivers the 2 billion annually in Small Business revenue including construction, manufacturing, retail and wholesale firms. Many states especially in my state of nevada gaining pace a significant share and contribute significantly to state budgets with more than 10. 7 billion in gaming taxes and tribal revenue. However, in light of covid19, casino operators have been forced to close their doors and while many Small Businesses are able to participate in the Paycheck Protection Program which we provided now hundred 60 billion in relief, the sca is unfair and i would say discriminatory guidance and has stated Small Businesses that have a portion of gaming revenue are to be precluded from receiving any of these funds. This is outrageous. Nevada currently is ranked 43rd out of the state and the amount of money that we have received from ppp that we have the 700 businesses who have been funded with the loans but disproportionately restaurants, small caverns and other local businesses are not even eligible to apply therefore nevada is being left out. On top of that, my minority Women Veteran owned businesses have not gotten an equal share of the funding so while i am voting for this bill today, i am calling on this committee join with me members of our delegation to fix this issue. You prohibit Gaming Companies from getting their share of the money and im asking you mister chairman to work with us as we address this issue. Not just for nevada but for all of the United States. Thank you and i feel bad. Mister tipton of colorado. You are recognized for 2 minutes. Thank you ranking chair evans and my colleague Ranking Member chabot. Id like to echo some of the same comments that were made by my colleague in regards to making sure that we know where the dollars are going and showing some fiscal restraint as well in colorado healthcare workers and officials have responded admirably to the crisis. But there are a few easily resolvable issues on the business side could help maximize colorados healthcare response read many of our rural hospitals are in a unique situation of being partially owned by the county and district under state law. While they function like nonprofits or ownership structures created confusion about whether they are eligible for the ppp. As Small Business act prohibits government owned entities from accessing Small Business administration loans. Ive written the fda to seek clarification on this issue. Was told by theministrations liaisons they are working on. Meanwhile i have heard from at least two rural hospitals in my district that we are approved for ppp loans and received funds have subsequently been cautioned by the attorney. Against using those funds in the event that they are being eligible for the program. Rural hospitals operate on an extremely thin margin. The ppp would be a lifeline for many of them. Unfortunately because theres been a lack of clear guidance from the sca and the interim running package was silent on the issue, county and district on hospitals are in one book. We need to clarify this issue now because we need clarity on it now. We cannot afford to lose rural hospitals and close theirdoors in the midst of this pandemic. Id like to ask this committee, treasury the sca to take up these concerns and come together to resolve this issue for rural hospitals many colorado and still rely on them. Thank you for this time. Missed stevens from michigan. Thank acting chair evans and Ranking Member chabot. Thank you for the opportunity to testify and for your continued leadership to our countries and in the economy to our strugglingSmall Businesses. In the face of a public crisis for the likes our nation has never seen. In michigan, i am working around the clock with Small Businesses and the 25 beautiful sounds i had the privilege of representing comprised of beautiful downtowns with restaurants, gyms, hotels, Sandwich Stores and people who came to this great nation to build these businesses. People who grow up in my communities who were born here, who graduated from West Bloomfield high school, from waterford karen, churchill high school. People who have given it all to achieve the americandream. People like my parents are Small Business owners read we must my friends orient our policymaking towards longterm economic viability in our new scientific reality. We are not as in charge as we would like but i am optimistic. I have hope. We must evolve and truly reckon with the task at hand for the house outcomes oriented towards the science. For the economic viability or our workers and their employees. We cannot take the revenue loss for businesses. We do not intend to feign revenue loss for businesses. We must achieve that denies guidelines for the operation of our cities, for our enterprises. The employers in our cities and the very functions of society. We will learn, we will have all continue to prevail. I am grateful for my potential as a former treasury official in the last financial crisis and i worked closely on the state Small Business jobs actof 2010. Many michigan businesses have shared obstacles to accessing this action Program Funds from the lack of guidance and oversight for letters to the lack of transparency distribution. Many businesses will be dealing with the impact of the pandemic for years and we will not be successful without additional. Abilities. I remaincommitted to you , mister chairman to this committee as we move forward with the health and success of our over all economy. You really. Missed story of texas, you are recognized for two minutes. Thank you care. 26 million unemployed americans, 43 percent of American Families have had a reduction in their paycheck. I would posit that what we are doing is not working. We have met twice, we have spent 2 trillion and now thrown another 400 50, whatever the number is real and im going to hold my nose and vote for the bill today was 700,000 businesses on the outside looking in hoping to get some capital jobs afloat and seek their businesses they inherited or built alive. But weve got to change our approach. To get our businesses back up and running. We got to restart our economy we cant fund our economy from washington, we got get people back towork. And if are going to continue to have programs, they function. As many of my colleagues previously talked about , i think my friend mister belt has spoke a little bit earlier about the extent to which the program isnt functioning the way it needs to do work. Accommodation of the Unemployment Insurance program where were paying people more not work mental work is fundamentally undermining the ability of businesses to get the benefit of a portable loan that requires them being able to go back and hire people. This is not a way for us to do business in congress will have to be. We should be here every day until america is back. We cant allow these 75 percent requirements, the eight week requirements, you repaid loans, asking businesses to borrow money to start paying back in six months, feeling that you repaid in two years, hoping they willget rerouted for you. Is not a way to do business. Chairman, i hope we can do better and we should be needing to fix this problem area. Thank you. Mister thompson of california, you are recognized for 2minutes. Im concerned about Small Businesses. [inaudible]. You microphones . It shows red, is it on mark. Im concerned about the inability of businesses to access relief that we passed right under the care of that. Unlike other members, ive received many desperate calls from Small Business owners who have encountered major difficulties applying for the Paycheck Protection Program and the Economic Injury Disaster Loan Program. These programs are to help businesses survive and save the jobs of their employees this is in part because mainstream banks are prioritizing their wellheeled clients i had of momandpop businesses who need the assistance the most. In my district for example one Business Owner applied to 10 banks. Another owner applied for banks and finally receive a 200,000 loan from head north dakota my district is in california. And they got that loan because they called in a paper from a friend who got the loan move to the top of the list. One constituents was a 42 year, very positive existing relationship was passed over. These stories show even with an existing relationship with a back some holds are left out in the cold. Large corporations like billy and ruth chris which are highly capitalized receive funding that accelerated the depreciation of critical sba loan relief. Small businesses were not getting access to loans in and many have been unable to apply before the first statute of funding ran out. They may lose their businesses and their employees priority for passing this bill will be out of a job. I respectfully urge this committee and the next legislation to close the corporate loopholes that placed Large Businesses of all the Small Businesses in the ppp and reexamined the way in which ppp reimburses banks to ensure that they dont cherry picked loans a process. I respectfully ask that eligibility for the ppp be extended to 501 c six organizations. Thank you for your time. Mister thompson of pennsylvania, you are recognized for 2 minutes. Thank you to the chair, Ranking Member and all the members of the House Committee on Small Business i thank you for the opportunity to share feedback. Business owners and pennsylvania 15th district and im grateful for their work in recent weeks to implement ppp and deliver really directly to millions of Small Businesses and their employees. In this twoweek period ive learned a lot working with Small Business owners and many have expressed concern that small rural banks are in need of assistance as funds went out to many with prior relationships with the Small Business administration. Many have voiced concerns with ppp forgiveness and ive heard ppp lenders and borrowers expressing current guidance needs to further account for realworld contingencies. Some employers are concerned with former employees who may not return on payroll in a timely manner. Treasurys state that to qualify for forgiveness the employer has until june 30 to restore employment and salary levels for any changes made to staff on payroll. Employers have reached out to me personally voicing that under the current economy is difficult to restore prepandemic employment. Second, some lenders and borrowers share the concern that 75 percent of the total amount of ppp loans must be used towards payroll costs for the loan to be forgiven completely. This has caused confusion for some Business Owners who borrowed 2 and a half, 2. 5 multiple of their payroll costs for the interim final rule and treasury Business Owners are concerned that they met that may result in a failure to have their loans forgiven and finally im appreciative of the support provided by cares for our nations farmers and ranchers through usda and sba. Many have struggled mightily in the past decade as prices have been challenging and out reach income was out. Just as prices began to rebound and tradenegotiations improved , this and then it started, devastating markets as restaurants and schools closed their doors. 54 percent of all meals prior to this pandemic were eating at restaurants and people have returned to the Kitchen Table so im pleased to see that todays legislation will ensure agricultures eligibility for the Economic Injury disaster loans and thank you for your support and i want to thankthe Ranking Member and members of the subcommittee for your continued dedication for our nations Small Businesses and appreciate your consideration and i look forward to working together in the future. Thankyou. Mister stamper of virginia, you are recognized for 2 minutes. Good morning and thank you chairwoman and Ranking Member chavez and to you mister evans for providing me with the opportunity to address the Small Business committee today. According to the Small Business administration, Small Businesses make up 99 percent of virginias businesses. These 700,000 virginia businesses are not a statistic of building or signups, they are the dreams of our neighbors. But right now across virginia , covid19 has put these dreams in jeopardy. Many businesses have found innovative ways to adapt to these challenging times but in conversation after conversation with Business Owners in my district ive heard dire concerns about their livelihood of their families and employees area today we are taking the right steps in providing additional robust funding to the paycheck addiction program. I am the first to acknowledge that there have been issues with implementation of the ppp but i know that in this moment of crisis, this assistance is so desperately needed in Central Virginia and throughout the country last week i spoke with a Small Business owner in my district who said ppp has been a godsend. That is the word he used. For his businesses and his employees, others have called it a lifeline. It is not an overstatement to say that that funding is insuring his businesses survival. Once we move forward with this traditional funding we should also attempt to fix some of the major issues with the Program Including that all eligible businesses, not just a banks top customers can get these loans. I urge my colleagues to review the guidance that was put in place surrounding payroll costs in these forgivable loans. 7525 rule was not passed by congress in the cares act. It was not signed into law by President Trump but yet the sba and Treasury Department added this guidance before mcgrath and republicans could express our deep reservation about this onerous requirement. The 7525 rule has been restrictive on many businesses in my district including restaurants read the implementation has been unfair to Many American businesses and rescinding this burdensome requirements would allow our businesses to use these loans to recover expenses related to their unique individual circumstances. It would level the Playing Field and while outside this committees jurisdiction i also want to mention two additional items that we must include in future iterations of coronavirus sponsored legislation. On that package must include funding for states and localities including our Rural Counties in Central Virginia to address the challenges caused by decreased tax revenue. They need funding for law enforcement, they need funding for ems and they need funding to keep the lights on and water running. We cant leave our Rural Communities behind read our businesses need these services to stay afloat and eventually to reopen their doors and to keep ourrural businesses open we need to push forward on additional funding for highspeed Broadband Internet in future response packages. Ive been vocal about this issue since i arrived in the house and in Central Virginias Rural Communities need support to build reliable access to an increasingly online economy. Thank you for holding todays hearing and i look forward to working with you as we fight to preserve the businesses and protect the workers that keep our communities solid area id like to thank you and thank madam chair and Ranking Members for this committee. If theres no other comments id like to conclude this hearing by once again thanking all my colleagues for being here today. I can hear the pain and frustration in your voice when you talk about the needs of our small firms. And i hear you and share many of the same concerns. Rest assured we will be doing all we can do to improve the ppp. And ensure that money gets into the hands of the truly small and underserved businesses. There are employees who need it the most and i encourage you to work with my staff and colleagues. I will unanimously consent that members. [inaudible] and so iftheres no further minutes we will adjourn and thank you very much. [inaudible conversation] if you missed any of our live coverage of this hearing its available to view online anytime at cspan. Org. Tight Small Business committee in the search box at the top of our homepage. More congressional action on responding to the coronavirus pandemic continues on the floor of the house of representatives today. Members are considering two pieces of legislation, one the latest economic stimulus bill, nearly 500 billion for Small Businesses and Testing Programs and the other would establish a Coronavirus Crisis subcommittee. Follow live coverage of the house on cspan. The Labor Department released the latest unemployment figures today for the week ending april 18. More than 4. 4 million americans filed for Unemployment Benefits area its the fifth straight week job losses were measuredin the millions. From march 15 to april 1820 6 and a half million have likely been laid off or furloughed effectively erasing all the jobs created following the 2008 financial crisis. As the pandemic continues your members of congress are working from their home districts. Many of my phone, 30 percent are one that are at the automotive industry. The other majority are what i would call your frontline workers read now theyre considered essential workers. I hope people dont forget these are the folks that put groceries on our table and these are the folksdemanding a 15 minimum wage. Its important to highlight the ones that are now keeping up afloat. This is a serious issue what ive been telling people is please listen to the federal authorities, state authorities, localauthorities , the Health Experts and just stay away from people right now. I see this as a war. And the United States is at war with thisvirus. In touch using the newly updated congressional directory area and all the Contact Information only to connect directly with your us editor or representatives. Order your copy online today at cspan store. Org. Cspan has roundtheclock coverage of the federal response to the coronavirus pandemic and its all available on demand at cspan. Org coronavirus. Once white house briefings, update from governors and state officials to track the spread through the us and the world withinteractive maps. Watch ondemand anytime unfiltered at cspan. Org coronavirus. Television has changed since cspan began 41 years ago but our Mission Continues , to provide an unfiltered view of government. Already this year we brought you primary election coverage, the president ial impeachment process and now the federal response to the coronavirus. Watch all of our public programming on Television Online or listen on our free radio app and be part of the conversation through the Washington Journal Program or are social media fee. Cspan created by public industry, americas Cable Television company as a Public Service and brought to you by your television provider. [applause] good evening everyone, welcome to the new york storable society, im Deputy Director here at New York Historical and on behalf of our president and ceo and our Vice President for Public Programs dale gregory really is a delight to welcome you to our Robert H Smith auditorium read the next program, the second founding of the civil war and reconstruction relayed the constitution is a part of our bernard and Eileen Schwartz s english speaker series, the height of our Public Programs and as always wed like to thank mister swartz for all the support which has enabledus to produce such a wide array of wonderful programs the white we give him a hand . And of course our board of trustees who has been active and helpful in bringing this institution to the level it is today. We have a trustee who is with us in the audience and all of our Chairmans Council members are with us for their great work and support. The next program is going to last one hour and include a question and answer session read the q a conducted questions and notecards and you should have received something from one of our volunteers had no notecards and pencils and i will be going through as soon as im done ill go through and i will collect oncards as well and i will handout to anyone who did not receive one on the way in. Also, tonight after the onstage talk, the speakers will be signing books for us in our ny history store on our 17 seven side of the building and available for purchase, we hope you will thjoin us for that so tonight we are thrilled to welcome back to our state eric foreigner, he is Professor Emeritus of his three Party University and has served as president of three major historical associations. The organization of american historians, American Historical Association and the society of american historians and hes the author of numerous books on the history of Race Relations in america and as that awarded the pulitzer prize, and cross price and in 2015 the American History book prize right here at New York Historical for his book way to freedom his newest book which was released a couple weeks ago is the second founding of the civil war and reconstruction remade the constitution. And our moderator this evening, its a great pleasure to welcome back minnie sisson bob, American History chair at the university of connecticut and militant blessing or fellow at the radcliffe institute. Shes the author of numerous books on slavery and the Abolitionist Movement and bring her most recent the slaves cause the history of abolition for the National Book award for nonfiction and winner of the Frederick Douglass prize. She has also written for numerous publications including the New York Times, huffington post, boston globe and washington post. Before we begin as always id like to say if you can silence any cell phones you might have, anything that makes a noise and i also realize i forgot to mention the name of our trustees, so thank you to our trustees are all the work that they dofor us. And now please join me in welcoming r