Chip Roy’s “Paycheck Protection Flexibility Act” Passes Overwhelmingly In The House

May 28, 2020
Press Release

Chip Roy’s “Paycheck Protection Flexibility Act” Passes Overwhelmingly In The House

WASHINGTON, D.C. —Reps. Chip Roy (R-TX) and Dean Phillips (D-MN) “Paycheck Protection Flexibility Act” passed the House overwhelmingly Thursday, by a margin of 417-1.

The Paycheck Protection Flexibility Act had a diverse list of national and regional organizations supporting its passage prior to Thursday’s vote. Our bill will solve many of the problems with the Paycheck Protection Program (PPP), a critical source of aid for small businesses during the coronavirus epidemic that has come under fire from critics in both parties.

Rep. Chip Roy:

“For the past two months, I’ve heard from business owners in Central Texas who want to keep their employees on the payroll, continue serving their communities, and — mostly — stay afloat until they are allowed to be fully back open for business.  The Paycheck Protection Program (PPP) has helped many of them do just that, but I have heard from far too many business owners that the program, as it stood, needed changes to make it work for them. I didn’t want to see another local institution go out of business because Congress is more focused on politics than helping Americans who need it. Fortunately, our bipartisan bill puts Americans first and will ensure our favorite small business are around on the other side. I am thankful to my colleagues for their overwhelming support today, and I look forward to its swift passage in the Senate.”

The Paycheck Protection Program Flexibility Act will create more flexibility for small businesses by:

  • Extends the forgiveness period to 24 weeks
  • Replaces the 75/25 rule with a 60/40 rule
  • All new PPP loans will receive a 5-yr maturity. Existing loans will remain at a 2-year maturity.
  • Allows businesses that receive forgiveness to also receive payroll tax deferment
  • Ensures small businesses won’t be penalized by high unemployment benefits
  • Creates a safe harbor for businesses that are required to open at only 50 percent capacity

 

Select List of Organizations in Support of the Bipartisan Payroll Protection Program Flexibility Act

  1. Small Business Roundtable
  2. International Franchise Association (IFA)
  3. American Hotel and Lodging Association
  4. Asian American Hotel Owners Association
  5. Coalition of Franchisee Associations
  6. International Council of Shopping Centers
  7. International Food Service Distributors Association
  8. Hospitality Minnesota
  9. National Council of Chain Restaurants
  10. National Franchisee Association
  11. National LGBT Chamber of Commerce
  12. Mission Lenders Working Group
  13. National Retail Federation
  14. Page 30 Coalition
  15. Medical Alley Association
  16. Professional Beauty Association
  17. The Real Estate Roundtable
  18. US Black Chambers Inc.
  19. NFIB
  20. National Restaurant Association (plus all 50 state associations)
  21. U.S. Chamber of Commerce
  22. Community Reinvestment Fund, USA (CRF)
  23. US Travel Association
  24. Small Business Majority
  25. U.S. Hispanic Chamber of Commerce
  26. National Small Business Association
  27. National Association for the Self-Employed
  28. Small Business and Entrepreneurship Council
  29. Economic Innovation Group
  30. National Association of Development Companies (NADCO)
  31. National Association of Women Business Owners
  32. National Association of Wholesaler-Distributors
  33. Associated General Contractors of America
  34. National Lumber & Building Material Dealers Association
  35. National Association of Manufacturers
  36. Medical Group Management Association (MGMA)
  37. National Association of Federally Insured Credit Unions
  38. National Association of Theatre Owners
  39. Electronic Transactions Association
  40. Academy of General Dentistry
  41. National Independent Automobile Dealers Association
  42. American Dental Association
  43. Independent Restaurant Coalition
  44. American Society for Gastrointestinal Endoscopy
  45. American Hospital Association
  46. American Society of Plastic Surgeons
  47. Associated Builders and Contractors
  48. TechNet
  49. Opportunity Finance Network
  50. Association of Mature American Citizens
  51. American Council of Engineering Companies
  52. Marriott International
  53. National Association of Realtors
  54. Parity for Main Street Employers Coalition
  55. National Association of Professional Employer Organizations

List of Texas organizations supporting the bill:

  1. Texas Association of Business
  2. Texas Restaurant Association
  3. Texas Hotel and Lodging Association
  4. Physicians Realty Trust
  5. Texas Retailers Association
  6. Texas Dental Association
  7. San Antonio Chamber of Commerce

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Robert Donachie | Congressman Chip Roy (R-TX) 
1319 Longworth House Office Building | Washington, DC  20515
(202) 225-4236 | (202) 225-8628 (f)