II 

116TH CONGRESS 

2D SESSION S. 3918 

To modify the calculation of the maximum loan amount for certain farmers 

and ranchers under the paycheck protection program of the Small Business Administration, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JUNE 9, 2020 

Mr. THUNE (for himself and Ms. BALDWIN) introduced the following bill; 

which was read twice and referred to the Committee on Small Business 

and Entrepreneurship 

A BILL 

To modify the calculation of the maximum loan amount 

for certain farmers and ranchers under the paycheck 

protection program of the Small Business Administration, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Paycheck Protection 

5 for Producers Act’’. 


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1 SEC. 2. CALCULATION OF MAXIMUM LOAN AMOUNT FOR 

2 FARMERS AND RANCHERS UNDER THE PAY3 CHECK PROTECTION PROGRAM. 

4 (a) IN GENERAL.—Section 7(a)(36) of the Small 

5 Business Act (15 U.S.C. 636(a)(36)) is amended— 

6 (1) in subparagraph (E), in the matter pre7 ceding clause (i), by striking ‘‘During’’ and inserting 

8 ‘‘Except as provided in subparagraph (T), during’’; 

9 and 

10 (2) by adding at the end the following: 

11 ‘‘(T) CALCULATION OF MAXIMUM LOAN

12 AMOUNT FOR FARMERS AND RANCHERS.— 

13 ‘‘(i) DEFINITION.—In this subpara14 graph, the term ‘covered recipient’ means 

15 an eligible recipient that— 

16 ‘‘(I) operates as a sole propri17 etorship or as an independent con18 tractor, or is an eligible self-employed 

19 individual; 

20 ‘‘(II) reports farm income or ex21 penses on a Schedule F (or any equiv22 alent successor schedule); and 

23 ‘‘(III) was in business during the 

24 period beginning on February 15, 

25 2019, and ending on June 30, 2019. 


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1 ‘‘(ii) NO EMPLOYEES.—With respect 

2 to covered recipient without employees, the 

3 maximum covered loan amount shall be the 

4 lesser of— 

5 ‘‘(I) the sum of— 

6 ‘‘(aa) the product obtained 

7 by multiplying— 

8 ‘‘(AA) the gross income 

9 of the covered recipient in 

10 2019, as reported on a 

11 Schedule F (or any equiva12 lent successor schedule), 

13 that is not more than 

14 $100,000, divided by 12; 

15 and 

16 ‘‘(BB) 2.5; and 

17 ‘‘(bb) the outstanding 

18 amount of a loan under sub19 section (b)(2) that was made 

20 during the period beginning on 

21 January 31, 2020, and ending on 

22 April 3, 2020, that the borrower 

23 intends to refinance under the 

24 covered loan, not including any 

25 amount of any advance under the 


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1 loan that is not required to be re2 paid; or 

3 ‘‘(II) $10,000,000. 

4 ‘‘(iii) WITH EMPLOYEES.—With re5 spect to a covered recipient with employ6 ees, the maximum covered loan amount 

7 shall be calculated using the formula de8 scribed in subparagraph (E), except that 

9 the gross income of the covered recipient 

10 described in clause (ii)(I)(aa)(AA) of this 

11 subparagraph, as divided by 12, shall be 

12 added to the sum calculated under sub13 paragraph (E)(i)(I). 

14 ‘‘(iv) RECALCULATION.—A lender that 

15 made a covered loan to a covered recipient 

16 before the date of enactment of this sub17 paragraph may, at the request of the cov18 ered recipient— 

19 ‘‘(I) recalculate the maximum 

20 loan amount applicable to that cov21 ered loan based on the formula de22 scribed in clause (ii) or (iii), as appli23 cable, if doing so would result in a 

24 larger covered loan amount; and 


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1 ‘‘(II) provide the covered recipi2 ent with additional covered loan 

3 amounts based on that recalcula4 tion.’’. 

Æ 


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