Congressional Democrats and the Trump administration say they could reach a deal today on $370 billion in new funding for loans to small businesses suffering from the devastating economic crash. The package would also include $100 billion for hospitals and testing but reportedly does not include increased funding for local governments, hazard pay for frontline workers, or a freeze on rent and housing payments.
The $350 billion for the Paycheck Protection Program in the first coronavirus relief package passed last month ran out of money less than two weeks after it was launched, as many small businesses say they did not get funds — or even a response to their applications — as much larger and more profitable businesses successfully obtained loans. The restaurant chain Potbelly Sandwich Shop received $10 million, while Ruth’s Chris Steak House got $20 million. Shake Shack said Sunday it is returning the $10 million loan it received to the program.
Meanwhile, observers warn the first $2.2 trillion coronavirus relief package is being spent with very limited oversight, as the Treasury’s inspector general post remains unconfirmed by the Senate and the two panels set up to oversee the funds are understaffed.