WASHINGTON, D.C. – Today, Senator Thom Tillis (R-NC) provided an update on the impact of the PaycheckProtection Program (PPP) for North Carolina’s small businesses before the lapse in funding currently being blocked by Congressional Democrats, announcing that according to the Small Business Administration (SBA) there have been 39,250 approved loans in North Carolina totaling $8.05 billion as of April 17.

“It is clear that while the Paycheck Protection Program is far from perfect, it will make a difference by helping tens of thousands of small businesses in North Carolina get through this crisis and keep their employees on payroll,” said Senator Tillis. “I have already heard from North Carolina business owners who are worried about the future of their company and employees now that the program has run out of funding. Speaker Pelosi and Minority Leader Schumer need to stop playing political games and provide desperately needed funding for this program so we can save businesses and jobs from being lost.”

BACKGROUND

The PPP was created under the CARES Act legislation supported by Senator Tillis, and was designed to help small businesses and keep their employees on payroll during the coronavirus pandemic. Congress has provided about $349 billion to support federally guaranteed SBA loans under this program. Businesses can get a loan of up to 250% of their average monthly payroll expenses – excluding compensation above a salary rate of $100,000 for any individual – up to $10 million total. The federal government will forgive loan amounts that employers spend on payroll, rent, leases, mortgage interest, and utilities.

The PPP ran out of funding yesterday, which is why Senator Tillis has been pushing to get the Senate to unanimously approve an additional $250 billion in funding. 

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