Van Hollen, Murphy, Merkley Propose Robust Rescue Plan for Small and Mid-Size Businesses and Nonprofits

Statement

Today, U.S. Senators Chris Van Hollen (D-Md.), Chris Murphy (D-Conn.), and Jeff Merkley (D-Ore.), on Friday rolled out a proposal that would provide much-needed liquidity for small and medium businesses during the economic crisis caused by COVID-19. The Main Street Emergency Grant Program would allow small businesses to apply for grants through the Treasury Department to cover fixed costs like payroll and rent. Those grants would revert to loans that would have to be paid back only if the business fails to prove it is meeting criteria under the proposal. It would also allow mid-size businesses to access to forgivable loans.

"Small businesses are desperate for a cash infusion now -- not two or three months down the road. This proposal will ensure capital is immediately available to the businesses that need it and help them weather the storm so they can avoid long-term, irreversible damage to their operations. It's crucial that we provide this relief in Phase 3 to support small businesses and their employees," said Senator Van Hollen.

"If we don't act quickly, small businesses that have closed due to the coronavirus won't reopen. This is a crisis I am seeing play out in Connecticut, with small businesses already laying off workers and weighing the need to close for good. They need cash to cover payroll, make rent, and meet their costs immediately, and a loan doesn't cut it for them. The Main Street Emergency Grant Programwill help companies stay afloat during this crisis. Our economy--and the American people--need this relief as soon as possible," said Senator Murphy.

"Small businesses in Oregon are getting hammered by the economic implosion triggered by the coronavirus. The same is certainly happening all across America," said Senator Merkley. "We need bold, urgent measures to help these businesses--and the families that rely on them--weather the storm. These grants are a critical part of that equation."
"We support the Main Street Emergency Grant Program. It is essential that we work to immediately provide assistance to small business owners in impacted industries to support them to maintain their payroll and remain solvent through this crisis. This bill is an important ingredient in a response package that will help us avoid a prolonged economic crisis because it provides urgently needed liquidity to small businesses to keep their employees on payroll and avoid taking on too much debt," said Amanda Ballantyne, Executive Director of the Main Street Alliance.

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