Draft proposed legislation released by a bipartisan group of lawmakers includes ICBA-advocated stimulus priorities.
Designed to jumpstart congressional negotiations, the $748 billion Emergency Coronavirus Relief Act of 2020 would:
- Simplify Paycheck Protection Program forgiveness.
- Repeal the EIDL advance deduction from PPP forgiveness.
- Provide hold-harmless protections for PPP lenders.
- Set aside $10 billion in new PPP funding for lending by institutions with less than $10 billion in assets.
- Provide that business expenses are tax deductible even if covered by forgiven PPP loans.
- Extend debt relief for borrowers in the SBA 7(a), 504, and Microloan programs.
A second $160 billion measure includes support for state and local governments as well as liability protections related to coronavirus exposure.
The impact of this bipartisan package on stimulus negotiations remains uncertain. Meanwhile, Congress is working to pass a year-end spending bill ahead of Friday's deadline.
As negotiations continue, ICBA continues calling on community bankers to tell Congress to pass key stimulus priorities and fix EIDL and to enlist small businesses in the EIDL push.