On Tuesday (March 30, 2021), President Biden signed the PPP Extension Act into law. This bill extends the small business lending program by two months, through May 31.
The Paycheck Protection Program (PPP) has been a key piece of the pandemic recovery activity, having distributed more than 8 million forgivable business loans worth $718 billion since its launch last April. It was set to expire March 31 without further action. This would have been a huge blow to the economic recovery effort, and could have put many small businesses at risk of closing for good. Because of that, the bill received overwhelmingly bi-partisan support. In fact, the vote in the House was 415-3. Only three right-wing extremists voted against – Marjorie Taylor Greene of Georgia, Thomas Massie of Kentucky, and CD-4’s own Tom McClintock.
McClintock’s objection to PPP comes down to – he wants perfection or nothing. Is the PPP perfect? No. Like any such large program, there are issues to address. The right response is to work to make it better. And indeed, this latest phase of the PPP has many improvements, such has giving priority to businesses with under 20 employees, many of which are minority- or women-owned. It also a new calculation formula for sole proprietors and broadened coverage to include many non-profits that are facing financial challenges due to the pandemic.
The bill included no new funding. It merely extended the time to apply for funds already approved. Part of the need for the extension came about because another new improvement in the program, new SBA rules to prevent fraud, were creating a backlog of loan approvals.
But, McClintock voted to throw the baby out with the bathwater. He doesn’t care about the district – in which he doesn’t even live. He is only using the position to pursue an extremist agenda, regardless of the needs of his district.
CD-4 deserves a representative that will help our small businesses survive. Please consider a donation to help us retire Tom McClintock.