EIDL for Small Businesses Act

II 116TH CONGRESS 2D SESSION S. 4227 To improve access to economic injury disaster loans and emergency advances under the CARES Act, and for other purposes. IN THE SENATE OF THE UNITED STATES JULY 20, 2020 Ms. ROSEN (for herself and Mr. CORNYN) introduced the following bill; which was read twice and referred to the Committee on Small Business and En- trepreneurship A BILL To improve access to economic injury disaster loans and emergency advances under the CARES Act, 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 ‘‘Ensuring Increased 4 Disaster Loans for Small Businesses Act’’ or the ‘‘EIDL 5 for Small Businesses Act’’. 6 VerDate Sep 11 2014 01:18 Jul 26, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S4227.IS S4227 pbinns on DSKJLVW7X2PROD with BILLS 2 •S 4227 IS SEC. 2. DEFINITIONS. 1 In this Act, the terms ‘‘Administration’’ and ‘‘Admin- 2 istrator’’ mean the Small Business Administration and the 3 Administrator thereof, respectively. 4 SEC. 3. ECONOMIC INJURY DISASTER LOANS. 5 (a) LOANS FOR NEW BORROWERS.—With respect to 6 an economic injury disaster loan made under section 7 7(b)(2) of the Small Business Act (15 U.S.C. 636(b)(2)) 8 during the period beginning on the date of enactment of 9 this Act and ending on December 31, 2020 or such later 10 date as the Administrator may determine, the Adminis- 11 trator shall not impose a maximum loan amount limit that 12 is lower than $2,000,000. 13 (b) ADDITIONAL LOAN FOR EXISTING BOR- 14 ROWERS.— 15 (1) IN GENERAL.—A recipient of an economic 16 disaster injury loan made under section 7(b)(2) of 17 the Small Business Act (15 U.S.C. 636(b)(2)) dur- 18 ing the period beginning on January 31, 2020 and 19 ending on December 31, 2020 or such later date as 20 the Administrator may determine may submit to the 21 Administration a request for an additional amount 22 to increase in the amount of that loan in an amount 23 requested by the applicant, provided that the aggre- 24 gate amount received under such section by the re- 25 VerDate Sep 11 2014 01:18 Jul 26, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S4227.IS S4227 pbinns on DSKJLVW7X2PROD with BILLS 3 •S 4227 IS cipient during that period shall be not more than 1 $2,000,000. 2 (2) CONSIDERATION.—In considering a request 3 submitted under paragraph (1), the Administrator— 4 (A) shall issue a determination based on 5 the documentation submitted by the applicant 6 for the initial loan under section 7(b)(2) of the 7 Small Business Act (15 U.S.C. 636(b)(2)); and 8 (B) shall not require the applicant to sub- 9 mit additional documentation. 10 (c) EIDL ADVANCES.—Section 1110(e)(3) of the 11 CARES Act (15 U.S.C. 9009(e)(3)) is amended— 12 (1) by striking ‘‘The’’ and inserting the fol- 13 lowing: 14 ‘‘(A) IN GENERAL.—The’’; 15 (2) in subparagraph (A), as so designated, by 16 striking ‘‘not more than’’; and 17 (3) by adding at the end the following: 18 ‘‘(B) NO APPROVAL NECESSARY.—The Ad- 19 ministrator shall provide to an applicant an ad- 20 vance under this subsection not later than 3 21 days after the applicant submits the application 22 under paragraph (1) regardless of whether the 23 application of the applicant for a loan under 24 section 7(b)(2) of the Small Business Act (15 25 VerDate Sep 11 2014 01:18 Jul 26, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S4227.IS S4227 pbinns on DSKJLVW7X2PROD with BILLS 4 •S 4227 IS U.S.C. 636(b)(2)) has been approved by that 1 date. 2 ‘‘(C) ADDITIONAL AMOUNT.—With respect 3 to any recipient of an advance under this sub- 4 section before the date of enactment of the En- 5 suring Increased Disaster Loans for Small 6 Businesses Act of less than $10,000, the Ad- 7 ministrator shall, not later than 15 days after 8 the date of enactment of that Act, provide to 9 the recipient an additional advance such that 10 the total amount received by the recipient is 11 $10,000.’’. 12 (d) MONTHLY REPORT.—Not later than 1 month 13 after the date of enactment of this Act, and every month 14 thereafter, the Administrator shall submit to the Com- 15 mittee on Small Business and Entrepreneurship and the 16 Committee on Appropriations of the Senate and the Com- 17 mittee on Small Business and the Committee on Appro- 18 priations of the House of Representatives a report on, for 19 the month covered by the report— 20 (1) the status of the appropriations account 21 under the heading ‘‘Small Business Administra- 22 tion—Disaster Loans Program Account’’, including 23 all obligations, allocations, and amounts undistrib- 24 uted or unallocated; 25 VerDate Sep 11 2014 01:18 Jul 26, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S4227.IS S4227 pbinns on DSKJLVW7X2PROD with BILLS 5 •S 4227 IS (2) the allocations, obligations, and expendi- 1 tures from that account for all declared disasters 2 under section 7(b) of the Small Business Act (15 3 U.S.C. 636(b)); and 4 (3) an estimate of when available appropria- 5 tions in that account will be exhausted. 6 (e) APPROPRIATIONS.— 7 (1) EIDL.—There is appropriated, out of 8 amounts in the Treasury not otherwise appropriated, 9 for an additional amount under the heading ‘‘Small 10 Business Administration—Disaster Loans Program 11 Account’’ for the cost of direct loans authorized by 12 section 7(b) of the Small Business Act (15 U.S.C. 13 636(b)), $100,000,000,000, to remain available until 14 expended, to prevent, prepare for, and respond to 15 coronavirus, domestically or internationally. 16 (2) EIDL ADVANCES.— 17 (A) AUTHORIZATION OF APPROPRIA- 18 TIONS.—Section 1110(e)(7) of the CARES Act 19 (15 U.S.C. 9009(e)(7)) is amended by striking 20 ‘‘$20,000,000,000’’ and inserting 21 ‘‘100,000,000,000’’. 22 (B) DIRECT APPROPRIATIONS.—There is 23 appropriated, out of amounts in the Treasury 24 not otherwise appropriated, for an additional 25 VerDate Sep 11 2014 01:18 Jul 26, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S4227.IS S4227 pbinns on DSKJLVW7X2PROD with BILLS 6 •S 4227 IS amount under the heading ‘‘Small Business Ad- 1 ministration—Emergency EIDL Grants’’ for 2 the cost of emergency economic injury disaster 3 loan grants authorized by section 1110(e) of 4 the CARES Act (15 U.S.C. 9009(e)), 5 $80,000,000,000, to remain available until ex- 6 pended, to prevent, prepare for, and respond to 7 coronavirus, domestically or internationally. 8 (3) EMERGENCY DESIGNATION.— 9 (A) IN GENERAL.—The amounts provided 10 under this subsection are designated as an 11 emergency requirement pursuant to section 4(g) 12 of the Statutory Pay-As-You-Go Act of 2010 (2 13 U.S.C. 933(g)). 14 (B) DESIGNATION IN SENATE.—In the 15 Senate, this subsection is designated as an 16 emergency requirement pursuant to section 17 4112(a) of H. Con. Res. 71 (115th Congress), 18 the concurrent resolution on the budget for fis- 19 cal year 2018. 20 Æ VerDate Sep 11 2014 01:18 Jul 26, 2020 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6301 E:\BILLS\S4227.IS S4227 pbinns on DSKJLVW7X2PROD with BILLS