US Codex
Bill
Notes

To amend the Small Business Act to modify the paycheck protection program, and for other purposes.

H.R. 6506 · 116th Congress · Apr 14, 2020 · Lineage

A BILL

Section 1 Extension of period of the paycheck protection program

Section 7(a)(36)(A)(iii) of the Small Business Act (15 U.S.C. 636(a)(36)(A)(iii)) is amended by striking “June 30, 2020” and inserting “the date that is 30 days after the date on which the “Proclamation on Declaring a National Emergency Concerning the Novel Coronavirus Disease (COVID–19) Outbreak” (issued March 13, 2020) no longer has force or effect”.

Sec. 2 Additional amounts under the paycheck protection program

(a)
In general— Section 7(a)(36) of the Small Business Act (15 U.S.C. 636(a)(36)) is amended by adding at the end the following new subparagraph:

“(S) Additional amounts

“(i) In general—During the covered period, an eligible recipient that received a covered loan under this paragraph may request an additional amount from the lender of such covered loan not earlier than 6 weeks and not later than 8 weeks after the origination of the covered loan.

“(ii) Amount; terms—Such additional amount shall not be greater than the amount of the covered loan and shall be subject to the same terms as the covered loan.

“(iii) Subsequent additional amounts—During the covered period, an eligible borrower that receives an additional amount under this subparagraph may request a subsequent additional amount not earlier than 6 weeks and not later than 8 weeks after the disbursement of the initial additional amount.”

(b)
Forgiveness of additional amounts— Section 1106(a)(1) of the CARES Act (Public Law 116–136) is amended by inserting “, including any additional amount under subparagraph (S) of such paragraph” after “section 1102”.

Sec. 3 Extension of deferral

Section 7(a)(36)(M)(ii)(II) of the Small Business Act is amended—
(1)
by striking “6 months” and inserting “1 year”; and
(2)
by striking “, and not more than 1 year”.

Sec. 4 Direct appropriation for the paycheck protection program

There is appropriated, out of amounts in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2020, to remain available until the date that is 30 days after the date on which the “Proclamation on Declaring a National Emergency Concerning the Novel Coronavirus Disease (COVID–19) Outbreak” (issued March 13, 2020) no longer has force or effect, for an additional amount $900,000,000,000 under the heading “Small Business Administration—Business Loans Program Account, CARES Act” for the cost of guaranteed loans as authorized under paragraph (36) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)), as added by section 1102(a) of the CARES Act (Public Law 116–136).