This bill modifies and provides additional funding for the Paycheck Protection Program established to support small businesses in response to COVID-19 (i.e., coronavirus disease 2019).
Specifically, the bill provides an additional $10 billion to guarantee paycheck protection loans, $7.5 billion of which shall be for small loans made by community development financial institutions or minority depository institutions.
The bill also
establishes a grant program to provide assistance to community development financial institutions and minority depository institutions that primarily make small paycheck protection loans; provides additional funding for the Community Development Financial Institutions Fund and prioritizes support for minority-led community development financial institutions or community development financial institutions that serve communities of color; authorizes community development financial institutions that are certified by the fund to make and approve paycheck protection loans; extends the deadline to apply for a paycheck protection loan; allows recipients up to 24 weeks to use their paycheck protection loan; and extends the deadline by which a paycheck protection loan recipient must eliminate a reduction in employment, salary, or wages to be eligible for loan forgiveness.