I 
117TH CONGRESS 
1ST SESSION 
H. R. 399 
To direct the Administrator of the Small Business Administration to establish 
a forgivable economic injury disaster loan program for small business 
concerns located near the United States border, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 21, 2021 
Mr. GRIJALVA introduced the following bill; which was referred to the Com-
mittee on Small Business, and in addition to the Committee on Ways and 
Means, for a period to be subsequently determined by the Speaker, in 
each case for consideration of such provisions as fall within the jurisdic-
tion of the committee concerned 
A BILL 
To direct the Administrator of the Small Business Adminis-
tration to establish a forgivable economic injury disaster 
loan program for small business concerns located near 
the United States border, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Border Business 
COVID–19 Rescue Act’’. 
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SEC. 2. BORDER BUSINESS ECONOMIC INJURY DISASTER 
LOAN. 
(a) BORDER BUSINESS ECONOMIC INJURY DISASTER 
LOAN PROGRAM.— 
(1) IN
GENERAL.—The Administrator of the 
Small Business Administration shall carry out a pro-
gram to make loans to border businesses directly im-
pacted by the COVID–19 pandemic. 
(2) APPLICATION.—A border business desiring 
a loan under this subsection shall submit to the Ad-
ministrator an application at such time, in such 
place, and containing such information as the Ad-
ministrator determines necessary. 
(3) TERMS.— 
(A) AMOUNT; INTEREST
RATE.—A loan 
made under this subsection shall be in an 
amount less than or equal to $500,000 and 
have an interest rate equal to zero percent. 
(B) 
WAIVER
OF
CERTAIN
REQUIRE-
MENTS.—With respect to a loan made under 
this subsection, the Administrator shall waive— 
(i) any rules related to a personal 
guarantee for loans of less than $200,000; 
(ii) any requirement that an applicant 
exhaust other loan options before applying 
for a loan under this subsection; and 
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(iii) any requirement that an appli-
cant needs to be in business for the 1-year 
period before March 13, 2020, except that 
no waiver may be made for a border busi-
ness that was not in operation on or before 
January 31, 2020. 
(4) USE OF FUNDS.—A border business that re-
ceives a loan under this subsection shall use loan 
proceeds to— 
(A) provide paid sick leave to employees 
unable to work as a direct effect of the 
COVID–19 pandemic; 
(B) maintain payroll to retain employees 
during business disruptions or substantial slow-
downs caused by the COVID–19 pandemic; 
(C) meet increased costs to obtain mate-
rials from other sources due to interrupted sup-
ply chains caused by the COVID–19 pandemic; 
(D) make rent or mortgage payments; 
(E) purchase personal protective equip-
ment; 
(F) repay obligations that cannot be met 
due to revenue losses; and 
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(G) pay for logistical expenses associated 
with border closures due to the COVID–19 pan-
demic. 
(b) APPROVAL AND ABILITY TO REPAY.—With re-
spect to a loan made under subsection (a), the Adminis-
trator may— 
(1) approve an applicant based solely on the 
credit score of the applicant and shall not require an 
applicant to submit a tax return or a tax return 
transcript for such approval; or 
(2) use an alternative appropriate method to 
determine an applicant’s ability to repay. 
(c) FORGIVENESS AND REPAYMENT.— 
(1) FORGIVENESS.—The Administrator shall 
select from among applicants for a loan under sub-
section (a) a number of recipients of such loan for 
which the Administrator shall forgive up to 100 per-
cent of such loan, less the amount the borrower re-
ceived from— 
(A) any other loan forgiveness program, 
including any program established under the 
CARES Act (Public Law 116–136); and 
(B) an advance received under section 
1110 of the CARES Act (15 U.S.C. 9009). 
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(2) REPAYMENT.—With respect to a loan re-
cipient not selected for forgiveness of such loan 
under paragraph (1), the Administrator shall estab-
lish the repayment terms with respect to each such 
loan, except that such repayment may not begin be-
fore the date that is 1 year after the date on which 
such loan is made. 
(d) LOAN ADVANCE.— 
(1) IN GENERAL.—A border business that ap-
plies for a loan under subsection (a) may request 
that the Administrator provide an advance in the 
amount requested by such applicant to such appli-
cant not later than three days after receipt of such 
request. Such amount shall not be less than 
$10,000. 
(2) VERIFICATION.—Before disbursing amounts 
under this subsection, the Administrator shall verify 
that the applicant is a border business by accepting 
a self-certification from the applicant under penalty 
of perjury pursuant to section 1746 of title 28, 
United States Code. 
(3) USE
OF
FUNDS.—An advance provided 
under this subsection may be used to for any pur-
pose described under subsection (a)(4). 
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(4) REPAYMENT.—An applicant shall not be re-
quired to repay any amounts of an advance provided 
under this subsection, even if such applicant is sub-
sequently denied a loan under subsection (a). 
(e) OTHER BENEFITS.—Receipt of an advance under 
subsection (d) or loan under subsection (a) shall not be 
construed as to prohibit receipt of any other Federal 
grant, loan, or aid. 
(f) TAXABILITY.—For purposes of the Internal Rev-
enue Code of 1986— 
(1) any amount which would be includible in 
gross income of the border business by reason of for-
giveness described in subsection (d) shall be ex-
cluded from gross income; and 
(2) any amount received under this section shall 
be excluded from gross income. 
(g) DIRECT
APPROPRIATION.—There is appro-
priated, out of any amounts in the Treasury not otherwise 
appropriated, $1,000,000,000, to remain available until 
December 31, 2021, to carry out the requirements of this 
Act. 
(h) DEFINITIONS.—In this section: 
(1) ADMINISTRATOR.—The term ‘‘Adminis-
trator’’ means the Administrator of the Small Busi-
ness Administration. 
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