U.S. Sen. Doug Jones, D-Ala., and a ranking Republican colleague led other lawmakers in a request that the Treasury Department and the Small Business Administration speed up loans to small businesses amid the COVID-19 pandemic.
Jones and Sen. Ben Cardin, D-Md., and other legislators in a letter Wednesday to U.S. Treasury Secretary Steven Mnuchin and Small Business Administration Administrator Jovita Carranza asked that payroll processing companies be allowed to disburse CARES Act small business loans to speed up payments to those small businesses and to get workers paid quickly.
“Payroll processors have the needed existing infrastructure that will enable businesses to quickly pay their workers and pending bills. Given they originate approximately 40 percent of all the payroll checks in the country and mostly cater to small businesses with 500 employees or less, involving these companies will ensure a deeper dissemination of funds nationwide to the businesses that need it most to keep their doors open,” the letter reads.
“It is critical that all tools be used to distribute federal funds effectively and expeditiously, including payroll processing companies used by many small businesses,” they continued. “Please consider permitting payroll processors to partner with small businesses and banks to help alleviate any potential complications for many small businesses during this tumultuous time, the letter continues.
Jones in a separate letter Tuesday to Mnuchin asked that the federal government expedite direct assistance payments to citizens amid the COVID-19 outbreak by allowing some to receive the money quicker through debit cards rather than paper checks.
Senators Kyrsten Sinema, D-Ariz., Chris Van Hollen, D-Md., Mark Warner, D-Va. and Bob Menendez, D-N.J. also signed the Wednesday letter.
