Fair PPP Accounting Act

Bill: 117-s-1200
Sponsor: full_name: Sen. Portman, Rob [R-OH]
Introduced: 2021-04-19
Policy area: Commerce
Subjects: Business expenses

Cardiovascular and respiratory health

Emergency medical services and trauma care

Government lending and loan guarantees

Infectious and parasitic diseases

Small business

Wages and earnings
Latest action: action_date: 2021-04-19
text: Read twice and referred to the Committee on Small Business and Entrepreneurship.

Summaries:
action_date: 2021-04-19
action_desc: Introduced in Senate
text: <p><b>Fair PPP Accounting Act</b></p> <p>This bill modifies eligibility for second draw loans under the Paycheck Protection Program, established to support small businesses in response to COVID-19 (i.e., coronavirus disease 2019).</p> <p>Specifically, the bill provides for a period of 90 consecutive days to determine whether a borrower experienced a loss in revenue from 2019 to 2020 that qualifies them for a second draw loan. Currently, this qualification period must align with a corresponding calendar quarter from the previous year.</p>

tv_txt: II 117th CONGRESS 1st Session S. 1200 IN THE SENATE OF THE UNITED STATES April 19, 2021 Mr. Portman (for himself, Mrs. Shaheen , and Ms. Collins ) introduced the following bill; which was read twice and referred to the Committee on Small Business and Entrepreneurship A BILL To amend the definition of eligible entity in the second draw loan program of the Small Business Administration, and for other purposes.

1. Short title This Act may be cited as the Fair PPP Accounting Act . 2. Eligibility for paycheck protection program second draw loans Section 7(a)(37)(A)(iv)(I)(bb) of the Small Business Act (15 U.S.C. 636(a)(37)(A)(iv)(I)(bb)) is amended— (1) in subitem (AA), by striking during the first and all that follows through in 2019 and inserting the following: during any contiguous 90-day period in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during the same period in 2019 ; and (2) by striking subitems (BB), (CC), and (DD) and inserting the following: (BB) if the entity was not in business during the entirety of 2019, but was in business for not fewer than 90 consecutive days beginning in 2019, had gross receipts during any contiguous 90-day period beginning in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during the same 90-day period beginning in 2019; and (CC) if the entity was not in business during 2019, but was in operation for not fewer than 90 consecutive days during 2020, had gross receipts during any contiguous 90-day period in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during an earlier contiguous 90-day period in 2020; .