04.14.20

As Democrats Delay, Money To Assist Small Businesses Will Run Out By The End Of The Week

With Small Businesses Struggling To Survive, Democrats Continue To Block Extra Funding For ‘A Bipartisan Program’ That Will Help Those Businesses And Their Workers

STEVEN MNUCHIN, Secretary of the Treasury: “As the president said, we’ve gone back to Congress and asked them for more money … [T]he president’s view, and the vice president’s and my view, is this was a bipartisan program. This SBA program, it wasn’t a Republican program, it wasn’t a Democrat program, it was a bipartisan program. We have committed to small businesses. We should top up that program now. I know the Democrats want to talk about more money for hospitals and states. Right now we are just sending the money out to the hospitals and states. They haven’t come close to using that money and I know the president and vice presidents have said once we get the SBA done we can go into another funding bill.” (Coronavirus Task Force Briefing, The White House, 4/13/2020)

  • SEC. MNUCHIN: “I would also like to announce the progress we are making on the new SBA program, the PPP. Let me just remind everybody this is a brand-new program that is now one week old. We have distributed and confirmed $230 billion of loans to over 4600 lenders participating—that is multiples and multiples of anything that the SBA has ever done in one year before.” (Coronavirus Task Force Briefing, The White House, 4/13/2020)

LARRY KUDLOW, National Economic Council Director: “The money is, in fact, flowing, indeed. I want to say this, Stuart. We have requested an extra $250 billion, on top of the original $350 [billion]. At the present run rate, we’re going to be out of money, for the small business assistance plan. So we ask Congress, to please, put partisanship aside, and let’s get that additional money.” (Fox Business’ “Varney & Co.,” 4/14/2020)

 

‘According To The Latest Projections, [The Paycheck Protection Program] Will Run Out Of Money By Friday’

“According to the latest projections, the Small Business Administration's $349 billion appropriation for loans to eligible firms, which are forgiven if they use the money to keep workers on their payrolls, will run out of money by Friday. The White House and Republican leaders want to boost that amount to $600 billion to give more small businesses an opportunity to get relief before the funding dries up.” (“Small-Business Funds Dwindle As Virus Aid Package Sputters,” Roll Call, 4/13/2020)

“A stalemate over an emergency infusion of cash to help small businesses battered by the coronavirus pandemic intensified on Monday after Democratic leaders doubled down on demands for additional money for state and local governments, hospitals, food assistance and rapid testing.” (“Stalemate Over Small-Business Aid Deepens as Officials Warn of Funding Lapse,” The New York Times, 4/13/2020)

 

‘It’s Very, Very Hard For [Democrats] To Defend Blocking’ Paycheck Protection Program Funding

SENATE MAJORITY LEADER MITCH McCONNELL (R-KY) and HOUSE REPUBLICAN LEADER KEVIN McCARTHY (R-CA): “An historic avalanche of layoffs is crushing American families. But yesterday, Leader Schumer and Senate Democrats blocked a clean funding increase for the bipartisan Paycheck Protection Program (PPP) that has already saved millions of jobs and may be depleted in just a few days. Republicans did not ask to change any of the policy details that were negotiated by both parties and passed unanimously. All we want to do is put more money into a popular job-saving policy which both parties designed together.” (Press Release, 4/11/2020)

SEN. PAT TOOMEY (R-PA): “Our Democratic colleagues want to just start throwing money in every direction possible when it’s not clear exactly why that’s the right response…. It’s very, very hard for them to defend blocking [the Paycheck Protection Program money]. Especially as it becomes increasingly clear … that we’re going to consume all of the money.” (Politico, 4/13/2020)

 

Small Businesses Are Struggling: ‘[The Payroll Protection Program Is] Absolutely Critical… I Don’t See A Lot Of Businesses Surviving Without That Help,’ ‘If This Goes On Too Long, We Won’t Survive,’ ‘We’ve Got Bills We’re Holding And Can’t Pay,’ ‘I Wanted To Protect My Employees’

NEW YORK: DR. VERONIQUE BAPTISTE GERMAINE, owner of Visionique Family Eye Care: “[Our employees] understand that there’s nothing coming in and I can’t see patients, so it’s gonna be hard for me to pay them. And they also understand I have to pay rent… [The Payroll Protection Program is] absolutely critical… I don’t see a lot of businesses surviving without that help. The problem is, how far is that help gonna go? Because that money’s gonna go very quickly. Sometimes that’s only two months’ rent.” (“Tough Times Ahead For Small Business Owners,” CBS News, 4/12/2020)

NEW YORK: ELISSA BARD, vice-president at small business nonprofit Community Capital New York: “Having an unexpected health crisis was not on any of these small businesses’ radar…. They don’t have disaster contingency plans; they don’t have Plan B…. They really need access to capital immediately. They can't handle weeks or months of waiting for the financing to hit their bank account because they have bills to pay today, [or] yesterday, [and] employees to keep on their payroll if they possibly can.” (“Tough Times Ahead For Small Business Owners,” CBS News, 4/12/2020)

NEW HAMPSHIRE: BRAD TONNER, TwinDesigns gift shop co-owner: “If this goes on too long, we won’t survive… This is going to kill small-town America.” (“‘This Is Going To Kill Small Town America,’” The New York Times, 4/14/2020)

UTAH: DOUG BURTON, President of the Utah Independent Business Coalition: “Our fear is that some small businesses will fall through the cracks and won’t receive the needed aid in time or at all… If they have to wait too long for help, many of these small family enterprises simply won’t survive. A lot of them are telling us if they have to wait and remain shut down for another two or three weeks ... they just won’t be around anymore… They will go out of business. … Many locally owned neighborhood businesses simply don’t have the cash reserves to weather a monthlong shutdown.” (“Utah’s Small Businesses Hit By COVID-19 Losses Plead For More State Help,” The Salt Lake Tribune, 4/13/2020)

NORTH CAROLINA: KEN YOWELL, owner of Oak City Meatball: “It’s frightening to think that if we don’t get some real help or some real answers very soon, you’ll see a lot of restaurants close, never to reopen.” (“‘It’s Frightening’: Some Small Business Owners Still Struggle To Apply For Federal Relief Program,” WTVD, 4/13/2020)

TEXAS: GEORGE KASH, franchise owner of a pizza restaurant: “We saw a staggering slowdown at Gattitown… I feel terrible. I feel absolutely terrible… We’ve got bills we’re holding and can’t pay.” (“Struggling Small-Business Owners Hope Fed Money Helps,” Austin American-Statesman, 4/10/2020)

KANSAS: KAREN SCHAEFFER, owner of consignment shop Mommy and Me: “I’m struggling… This has been really hard for me, because I wasn’t able to make my rent payment. My landlord still wanted partial rent. … [Temporarily closing] was extremely difficult, because I felt, I still feel, that we have a void in the market for those people who are needing spring clothes, summer clothes, infant items, maternity items, nursing items. We fill that need in the community… It was very difficult to decide. Although, I wanted to protect my employees from being exposed to it.” (“Small-Business Owners Grapple With Closures Amid Economic Slowdown,” The Topeka Capital-Journal, 4/12/2020)

CONNECTICUT: TARA WYATT, owner of apparel shop Indigo Niantic: “[We are] at a standstill until we get some kind of funding.” (“Amid Pandemic, Small Businesses Struggle, Await Funding And Get Creative,” The Day [New London, CT], 4/11/2020)

NEW HAMPSHIRE: DAWNA SHACKLEY, Newfound Impressions graphic design and printing shop owner: “At this point, I’m not sure how long I can last… I figure I’ve got another two or three months.” (“‘This Is Going To Kill Small Town America,’” The New York Times, 4/14/2020)

OREGON: SHELLEY NIEMANN, Executive Director of the Philomath Area Chamber of Commerce: “The businesses that have been deemed nonessential that have been forced to close — the gyms, the barber shops and hair salons — they are struggling… Some of them are brand new, they literally just opened, and they are already struggling to pay rent. Certainly, many also can’t pay their employees right now.” (“Day-To-Day: Small Businesses In Philomath In Survival Mode,” The Philomath Express [Philomath, OR], 4/12/2020)

MINNESOTA: DON HAYDEN, Executive Director of the Le Center Chamber of Commerce: “It’s pretty discouraging — they keep adding days to this… I have this terrible feeling that, in small towns, some of these businesses won’t reopen… The longer they’re shut down, the less apt they are to come back.” (“Le Sueur County Small Businesses Struggle To Survive, Maintain During Pandemic,” Le Sueur County News, 4/14/2020)

IDAHO: MISHELL VANDENBUSCH, owner of Eyes of the World Imports: “We closed our store on March 16, rather abruptly, knowing the virus was increasing and we felt it was the right thing to do for our community. So our sales stopped at that point…. The virus has definitely impacted everyone in some way and we’re all going to lose somewhere.” (“‘We’re Losing Money:’ Small Idaho Businesses Grasp At Lifelines To Survive Coronavirus,” Idaho Statesman, 4/12/2020)

KANSAS: JOHN BENEDICT, owner of Chuckburger Drive-Thru: “Depending on how long the closure of Chuckburger lasts, any additional funds that I receive from any of these programs I plan to pass them down to my employees, as well… Maybe use a small share of it to pay utilities and stuff like that, but most of it would be going to my employees.” (“Small-Business Owners Grapple With Closures Amid Economic Slowdown,” The Topeka Capital-Journal, 4/12/2020)

FLORIDA: JAMIE BRESTER, general manager of The Gator Club nightclub: “Right now [my father] is paying the employees out of his own pocket with the hopes to get that payroll protection back so we can retain the employees we have now.” (“Many Small Businesses On The Suncoast Anxiously Waiting For Loans,” WWSB, 4/13/2020)

CONNECTICUT: SHELLY WILSON, owner of Mystified Escape Rooms: “It’s been a freaking roller-coaster… Every day it’s some new hoop or challenge to consider.” (“Amid Pandemic, Small Businesses Struggle, Await Funding And Get Creative,” The Day [New London, CT], 4/11/2020)

  

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SENATE REPUBLICAN COMMUNICATIONS CENTER

Related Issues: Small Business, Economy, Jobs, Senate Democrats