Small Business COVID–19 Recovery Grants Act of 2020

I 116TH CONGRESS 2D SESSION H. R. 6343 To require the Administrator of the Small Business Administration to provide economic injury grants for small business concerns affected by the COVID–19 pandemic, and for other purposes. IN THE HOUSE OF REPRESENTATIVES MARCH 23, 2020 Mr. ESPAILLAT introduced the following bill; which was referred to the Committee on Small Business A BILL To require the Administrator of the Small Business Adminis- tration to provide economic injury grants for small busi- ness concerns affected by the COVID–19 pandemic, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Small Business 4 COVID–19 Recovery Grants Act of 2020’’. 5 VerDate Sep 11 2014 23:01 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H6343.IH H6343 PAMTMANN on DSKBC07HB2PROD with BILLS 2 •HR 6343 IH SEC. 2. ECONOMIC INJURY GRANTS FOR SMALL BUSINESS 1 CONCERNS. 2 (a) GRANTS.—The Administrator of the Small Busi- 3 ness Administration shall provide grants to eligible small 4 business concerns that have suffered a substantial eco- 5 nomic injury (as defined in section 7(b)(2) of the Small 6 Business Act (15 U.S.C. 636(b)(2)), directly or indirectly, 7 as a result of the public health emergency declared be- 8 cause of COVID–19. 9 (b) DEFINITION OF ELIGIBLE SMALL BUSINESS 10 CONCERN.—In this section, the term ‘‘eligible small busi- 11 ness concern’’ means a small business concern (as defined 12 under section 3 of the Small Business Act (15 U.S.C. 13 632)) or an independent contractor. 14 (c) AMOUNT OF GRANT.—A grant provided under 15 this section shall be in an amount that is not more than 16 $100,000. 17 (d) USE OF FUNDS.—An eligible small business con- 18 cern that receives a grant under this section may use the 19 grant funds to address the direct effects of the COVID– 20 19 pandemic, including— 21 (1) providing paid sick leave to employees un- 22 able to work; 23 (2) maintaining payroll to retain employees dur- 24 ing business disruptions or substantial slowdowns; 25 VerDate Sep 11 2014 23:01 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H6343.IH H6343 PAMTMANN on DSKBC07HB2PROD with BILLS 3 •HR 6343 IH (3) meeting increased costs to obtain materials 1 unavailable from the original source of the eligible 2 small business concern due to interrupted supply 3 chains; 4 (4) making payments under a lease or mortgage 5 loan related to a place of operation of the small busi- 6 ness concern; 7 (5) repaying obligations that cannot be met due 8 to revenue losses; and 9 (6) other expenses as deemed appropriate by 10 the Administrator. 11 (e) APPLICATION.— 12 (1) IN GENERAL.—An eligible small business 13 concern desiring a grant under this section shall 14 submit to the Administration an application at such 15 time, in such manner, and containing such informa- 16 tion as the Administration may require. 17 (2) STANDARDS.—The Administrator shall es- 18 tablish minimum qualifying standards to ensure that 19 applicants adversely impacted by the effects of 20 COVID–19 pandemic receive funds expeditiously 21 under this section. 22 (f) PROCEDURES.—The Administrator shall establish 23 procedures to verify and document compliance with the re- 24 VerDate Sep 11 2014 23:01 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H6343.IH H6343 PAMTMANN on DSKBC07HB2PROD with BILLS 4 •HR 6343 IH quirements under this section in order to prevent waste, 1 fraud, and abuse of funds awarded under this section. 2 (g) AUTHORIZATION OF APPROPRIATIONS.—There is 3 authorized to be appropriated $100,000,000,000 to the 4 Administrator to carry out this section. 5 (h) EMERGENCY RULEMAKING AUTHORITY.— 6 (1) IN GENERAL.—Within 15 days after the 7 date of the enactment of this section, the Adminis- 8 trator of the Small Business Administration shall 9 issue rules to carry out this section. 10 (2) NOTICE.—Notice requirements of section 11 553(b) of title 5, United States Code, shall not apply 12 to any issuance of rules under paragraph (1). 13 (i) REPORT.—Not later than March 31, 2022, the 14 Administrator of the Small Business Administration shall 15 submit to Congress a report that includes— 16 (1) the number of grants made under this sec- 17 tion, disaggregated by the number of grants made— 18 (A) in an amount less than or equal to 19 $20,000; 20 (B) in an amount greater than $20,000 21 but less than or equal to $40,000; 22 (C) in an amount greater than $40,000 23 but less than or equal to $60,000; 24 VerDate Sep 11 2014 23:01 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H6343.IH H6343 PAMTMANN on DSKBC07HB2PROD with BILLS 5 •HR 6343 IH (D) in an amount greater than $60,000 1 but less than or equal to $80,000; and 2 (E) in an amount greater than $80,000 3 but less than or equal to $100,000; 4 (2) the average amount of an award; 5 (3) an analysis of the program established 6 under this section and recommendations for im- 7 provement; 8 (4) the average time from receipt of an applica- 9 tion to approval of grant under this section; and 10 (5) the average time from approval of grant to 11 disbursement of grant funds. 12 (j) TERMINATION.—The authority to carry out 13 grants under this section shall terminate on September 30, 14 2021. 15 Æ VerDate Sep 11 2014 23:01 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6301 E:\BILLS\H6343.IH H6343 PAMTMANN on DSKBC07HB2PROD with BILLS