The House package includes $7.5 billion in additional funding for the Paycheck Protection Program (PPP) of forgivable loans for small businesses.
The House Small Business Committee released its draft language for its elements of President Biden's COVID-19 relief plan. The PPP only just re-opened last month, thanks to fresh funding approved in the December aid bill. The House Small Business Committee will vote on the text today. The new proposal creates a $25 billion program for restaurants and other food and drinking establishments.
A fifth of the funding will be set aside for the smallest firms — those with 2019 revenue of less than $500,000. The grants, available in amounts as large as $10 million per entity, may be used for expenses including payroll, mortgage, rent and utilities. The new initiative would be welcome news in the hospitality industry, which has been among the hardest hit during the pandemic crisis.