MCALLEN, Texas – Congressman Vicente Gonzalez says he’s “watching like a hawk” to ensure banks give extra Fee Safety Program funds to small companies.
A grievance made after the primary stimulus invoice was despatched out by Congress was that an excessive amount of of the funding was wolfed up by massive enterprise. Gonzalez mentioned he and his congressional colleagues are decided this doesn’t occur with the second tranche of cash.
“We know that a lot of small businesses didn’t get funded (in the first round),” Gonzalez mentioned. “We are watching like hawks to ensure that our smallest of small businesses do get this money.”
Gonzalez mentioned he has “indicated to my banking community” that he’s “watching them closely.”
The McAllen Democrat mentioned: “We want to make sure that it is not only the businesses that have 100, 200, 300 employees that get funding but also the pizzeria that has five employees, and the stores downtown that have five, ten or 20 employees.”
Gonzalez mentioned restaurant house owners have been hit particularly laborious by the keep at residence orders. He mentioned Congress desires to assist them.
“If you have a small plumbing company or construction company, if you are a framer, you deserve to cash in on these PPP funds. My office is here to help you and we are here to assure that our smallest of small businesses can get in line to get these funds.”
Gonzalez mentioned that beneath the second stimulus invoice, $60 billion was put aside for small and medium sized group banks and to credit score unions.
“We carved that out because we were seeing that, when you measure a small business from one employee to 500 employees, there is a huge difference. We feel that a lot of those larger small businesses went to the front of the line and gobbled up a lot of those funds,” Gonzalez mentioned.
“We are watching like hawks. I have communicated with our local small banks and community banks and told them, we need to take care of our smallest of small businesses. I think they all agreed that that was something that needed to get done. The funding is there.”
A reporter requested Gonzalez if the issue didn’t originate with Congress. It was Congress that wrote the legislation that allowed massive corporations to use for funding beneath PPP.
Gonzalez responded: “Many banks became gatekeepers of those funds and many banks looked after their largest customers rather than their smallest customers.”
He reiterated that he can be “watching like a hawk” to make sure that a enterprise with 300 or 400 staff doesn’t have a bonus over a pizzeria with 5 staff.
“Or the stores in downtown McAllen that have ten employees. Or the contractor or the plumber or the electrician. They are all small businesses and they all need to be treated equally and fairly,” Gonzalez mentioned.
“I don’t think it happened with that first round of funds that went out so I am watching. Members of Congress across the country are watching.”
Gonzalez mentioned that inside 180 days the federal authorities has to offer Congress a report again on the distribution of the PPP funds.
“We want to know how many businesses with 50 employees or less, or 25 employees or less or 100 employees or less are receiving those funds. We are also asking, within 100 days, for a report that breaks things down by geography, race, ethnicity, gender, and age.”
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