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I
116TH CONGRESS
2D SESSION
H. R. 6344
To modify the economic injury disaster loan of the Small Business
Administration in response to COVID–19, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 23, 2020
Mr. EVANS introduced the following bill; which was referred to the Committee
on Small Business
A BILL
To modify the economic injury disaster loan of the Small
Business Administration in response to COVID–19, and
for other purposes.
Be it enacted by the Senate and House of Representa-
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tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE.
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This Act may be cited as the ‘‘Expediting the EIDL
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Program Act of 2020’’.
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SEC. 2. ECONOMIC INJURY DISASTER LOANS.
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(a) TERMS.—With respect to a loan made under sec-
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tion 7(b)(2) of the Small Business Act (15 U.S.C.
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636(b)(2)) in response to COVID–19, the Administrator
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of the Small Business Administration—
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(1) may make such a loan to a start-up small
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business concern;
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(2) may waive any rules related to affiliation;
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and
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(3) shall, with respect to such a loan made to
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a cooperative, waive any requirement that the bor-
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rower of such loan provide a personal guarantee to
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repay such loan.
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(b) PRELIMINARY AMOUNTS.—
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(1) IN
GENERAL.—An applicant for a loan
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under section 7(b)(2) of the Small Business Act (15
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U.S.C. 636(b)(2)) in response to COVID–19 may re-
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quest that the Administrator provide an advance in
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the amount requested by such applicant (not to ex-
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ceed $10,000) to such applicant within 3 days after
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the Administrator receives an application from such
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applicant.
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(2) VERIFICATION.—Before disbursing amounts
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under this subsection, the Administrator shall verify
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that the applicant is a small business concern (as
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defined under section 3 of such Act (15 U.S.C.
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632)).
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(3) REPAYMENT.—An applicant that is subse-
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quently denied a loan under such section 7(b)(2)
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shall not be required to repay any amounts of an ad-
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vance provided under this subsection.
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(c) APPROVAL AND ABILITY TO REPAY FOR SMALL
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DOLLAR LOANS.—With respect to a loan made under sec-
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tion 7(b)(2) of the Small Business Act (15 U.S.C.
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636(b)(2)) in response to COVID–19 that does not exceed
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$350,000, the Administrator—
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(1) may approve an applicant based solely on
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the credit score of the applicant and shall not re-
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quire an applicant to submit a tax return or a tax
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return transcript for such approval; or
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(2) use alternative appropriate methods to de-
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termine an applicant’s ability to repay.
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(d) EMERGENCIES INVOLVING FEDERAL PRIMARY
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RESPONSIBILITY QUALIFYING FOR SMALL BUSINESS AD-
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MINISTRATION
ASSISTANCE.—Section 7(b)(2) of the
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Small Business Act (15 U.S.C. 636(b)(2)) is amended—
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(1) in subparagraph (A), by striking ‘‘or’’ at
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the end;
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(2) in subparagraph (B), by striking ‘‘or’’ at
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the end;
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(3) in subparagraph (C), by striking ‘‘or’’ at
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the end;
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(4) by redesignating subparagraph (D) as sub-
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paragraph (E);
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(5) by inserting after subparagraph (C) the fol-
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lowing:
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‘‘(D) an emergency involving Federal pri-
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mary responsibility determined to exist by the
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President under section 501(b) of the Robert T.
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Stafford Disaster Relief and Emergency Assist-
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ance Act (42 U.S.C. 5191(b)); or’’;
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(6) in subparagraph (E), as so redesignated—
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(A) by striking ‘‘or (C)’’ and inserting
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‘‘(C), or (D)’’;
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(B) by striking ‘‘disaster declaration’’ each
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place it appears and inserting ‘‘disaster or
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emergency declaration’’;
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(C) by striking ‘‘disaster has occurred’’
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and inserting ‘‘disaster or emergency has oc-
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curred’’;
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(D) by striking ‘‘such disaster’’ and insert-
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ing ‘‘such disaster or emergency’’; and
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(E) by striking ‘‘disaster stricken’’ and in-
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serting ‘‘disaster- or emergency-stricken’’; and
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(7) in the flush matter following subparagraph
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(E) (as so redesignated), by striking the period at
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the end and inserting the following: ‘‘: Provided fur-
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ther, That for purposes of subparagraph (D), the
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Administrator shall deem that such an emergency
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affects each State or subdivision thereof (including
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counties), and that each State or subdivision has
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sufficient economic damage to small business con-
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cerns to qualify for assistance under this paragraph
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and the Administrator shall accept applications for
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such assistance immediately.’’
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(e) CREDIT
ELSEWHERE
REQUIREMENTS.—The
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flush matter following subparagraph (E) (as so redesig-
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nated) of section 7(b)(2) of the Small Business Act (15
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U.S.C. 636(b)(2)) is amended by striking ‘‘That no loan
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or guarantee’’ and all that follows through ‘‘credit else-
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where.’’ and inserting the following: ‘‘The interest rate on
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a loan or guarantee made under this paragraph shall be
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not more than 2 percent, if the Administrator determines
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the applicant is not able to obtain credit elsewhere, or not
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more than 4 percent, if the Administrator determines the
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applicant is able to obtain credit elsewhere.’’.
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(f) ELIGIBILITY.—Section 7(b)(2) of the Small Busi-
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ness Act is amended by striking ‘‘small agricultural coop-
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erative’’ and inserting ‘‘small cooperative’’.
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(g) ADDITIONAL AMOUNTS.—
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(1) IN
GENERAL.—The Administrator of the
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Small Business Administration may increase by 20
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percent the amount received by an eligible small
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business concern under section 7(b)(2) of the Small
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Business Act (15 U.S.C. 636(b)(2)) to cover con-
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tinuity-of-operations and risk mitigation improve-
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ments, including telework capability, offsite record
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keeping, redundancy, the administrative costs of es-
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tablishing paid sick leave, and presenteeism preven-
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tion.
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(2) DEFINITION.—In this section, the term ‘‘el-
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igible small business concern’’ means a small busi-
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ness concern that—
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(A) meets the applicable size standard es-
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tablished under section 3 of the Small Business
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Act (15 U.S.C. 632); and
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(B) is receiving assistance under section
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7(b)(2) of the Small Business Act (15 U.S.C.
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636(b)(2)) related to COVID–19.
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(h) AUTHORIZATION OF APPROPRIATIONS.—There is
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authorized to be appropriated to the Administrator to
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carry out the loan program under section 7(b)(2) of the
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Small Business Act (15 U.S.C. 636(b)(2))—
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(1) $177,000,000 for administration costs; and
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(2) $1,000,000,000 to provide loans or other
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assistance.
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Æ
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