EIDL Relief Act

Subjects: Commerce


<html><body><pre>[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2727 Introduced in House (IH)]

&lt;DOC&gt;






118th CONGRESS
  1st Session
                                H. R. 2727

 To require the Administrator of the Small Business Administration to 
     modify the interest rate for eligible loans made to borrowers 
 experiencing short-term financial challenges, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 19, 2023

Ms. Strickland (for herself, Ms. Clarke of New York, Mr. Grijalva, Mr. 
    Carson, and Mr. Payne) introduced the following bill; which was 
              referred to the Committee on Small Business

_______________________________________________________________________

                                 A BILL


 
 To require the Administrator of the Small Business Administration to 
     modify the interest rate for eligible loans made to borrowers 
 experiencing short-term financial challenges, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``EIDL Relief Act''.

SEC. 2. MODIFICATION TO INTEREST RATE FOR ELIGIBLE LOANS MADE TO 
              BORROWERS EXPERIENCING SHORT-TERM FINANCIAL CHALLENGES.

    (a) In General.--Notwithstanding section 7(d)(5) of the Small 
Business Act (15 U.S.C. 636(d)(5)), the Administrator shall carry out a 
program under which, during the 12-month period beginning on the date 
of the enactment of this Act--
            (1) the interest rate on the Federal share of an eligible 
        loan made to an eligible borrower is zero percent; and
            (2) the monthly payment for such eligible loan shall be the 
        greater of--
                    (A) an amount equal to 10 percent of the principal 
                for such eligible loan; or
                    (B) $25.
    (b) Applicability.--The requirements of this section shall apply 
with respect to any interest due on an eligible loan on or after the 
date of the enactment of this Act.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to the Administrator of the Small Business Administration 
such sums as may be necessary to carry out this section.
    (d) Definitions.--In this Act:
            (1) Covered period.--The term ``covered period'' has the 
        meaning given in section 1110(a) of the CARES Act (15 U.S.C. 
        9009(a)).
            (2) Eligible borrower.--The term ``eligible borrower'' 
        means a recipient of an eligible loan, if the Administrator has 
        determined--
                    (A) that such recipient is experiencing short-term 
                financial challenges; and
                    (B) participation in the program described in 
                subsection (a) is necessary for such recipient to avoid 
                severe financial hardship.
            (3) Eligible loan.--The term ``eligible loan'' means a loan 
        made under section 7(b)(2) of the Small Business Act (15 U.S.C. 
        636(b)(2)) in response to COVID-19 during the covered period.
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