117th CONGRESS 2d Session |
To provide relief for small businesses suffering extraordinary losses due to the COVID 19 pandemic.
Mr. Cardin introduced the following bill; which was read twice and referred to the Committee on Small Business and Entrepreneurship
To provide relief for small businesses suffering extraordinary losses due to the COVID 19 pandemic.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
This Act may be cited as the Hardest-Hit Small Business COVID Relief Act of 2022 .
The table of contents for this Act is as follows:
In this Act:
(1) ADMINISTRATOR. The term Administrator means the Administrator of the Small Business Administration.
(2) COVERED MORTGAGE OBLIGATION; COVERED RENT OBLIGATION; COVERED SUPPLIER COST; COVERED UTILITY PAYMENT; COVERED WORKER PROTECTION EXPENDITURE. The terms covered mortgage obligation , covered rent obligation , covered supplier cost , covered utility payment , and covered worker protection expenditure have the meanings given the terms in section 7A(a) of the Small Business Act (15 U.S.C. 636m(a)).
(3) COVERED PERIOD. The term covered period means the period
(A) beginning on March 1, 2020; and
(B) ending on March 31, 2023, or a date to be determined by the Administrator that is not later than 2 years after the date of enactment of this Act.
(4) ELIGIBLE ENTITY. The term eligible entity
(A) means a small business concern (as defined in section 3 of the Small Business Act (15 U.S.C. 632)) that has experienced substantial losses resulting from the COVID 19 pandemic, as determined by the Administrator;
(i) a Tribally-owned concern;
(ii) a sole proprietorship;
(iii) an independent contractor; and
(iv) an eligible self-employed individual; and
(i) an entity described in subparagraph (A) that
(I) is a State or local government-owned or operated business; and
(II) has a pending application for or has received a grant under
(aa) section 324 of the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (15 U.S.C. 9009a); or
(bb) section 5003 of the American Rescue Plan Act of 2021 (15 U.S.C. 9009c);
(ii) a publicly-traded company;
(iii) an entity that is owned or operated by a private equity fund;
(iv) an entity that was not in operation before March 1, 2020; or
(v) an entity that is not in operation on, and does not intend to reopen on or before the date that is 180 days after, the date on which the entity applies for a grant.
(5) ELIGIBLE SELF-EMPLOYED INDIVIDUAL. The term eligible self-employed individual has the meaning given the term in section 7002(b) of the Families First Coronavirus Response Act (26 U.S.C. 1401 note).
(6) EXCHANGE; ISSUER; SECURITY. The terms exchange , issuer , and security have the meanings given those terms in section 3(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)).
(7) FUND. The term Fund means the Hardest-Hit Small Business Relief Fund established under section 4(a).
(8) NATIONAL SECURITIES EXCHANGE. The term national securities exchange means an exchange that is registered in accordance with section 6 of the Securities Exchange Act of 1934 (15 U.S.C. 78f).
(9) PAYROLL COSTS. The term payroll costs has the meaning given the term in section 7(a)(36)(A) of the Small Business Act (15 U.S.C. 636(a)(36)(A)), except that such term shall not include
(A) qualified wages (as defined in subsection (c)(3) of section 2301 of the CARES Act (26 U.S.C. 3111 note)) taken into account in determining the credit allowed under such section 2301; or
(B) premiums taken into account in determining the credit allowed under section 6432 of the Internal Revenue Code of 1986.
(10) PRIVATE EQUITY FUND. The term private equity fund has the meaning given the term in section 225.173(a) of title 12, Code of Federal Regulations, or any successor regulation.
(11) PUBLICLY-TRADED COMPANY. The term publicly-traded company means an entity that is majority owned or controlled by an entity that is an issuer, the securities of which are listed on a national securities exchange.
(12) TRIBALLY-OWNED CONCERN. The term Tribally-owned concern has the meaning given the term in section 124.3 of title 13, Code of Federal Regulations, or any successor regulation.
(a) Establishment. There is established in the Treasury of the United States a fund to be known as the Hardest-Hit Small Business Relief Fund.
(1) IN GENERAL. The Fund shall consist of
(A) amounts transferred under section 11; and
(B) other amount appropriated to the Fund.
(2) ADMINISTRATIVE EXPENSES. Of the amounts transferred under section 11, $80,000,000 shall be for administrative expenses to carry out the program under this Act, of which $20,000,000 shall be for the Inspector General of the Small Business Administration for necessary expenses of the Office of Inspector General.
(a) In general. Except as provided in subsection (c)(4), the Administrator shall make grants under this section to eligible entities in the order in which applications are received by the Administrator.
(1) CERTIFICATION. An eligible entity applying for a grant under this section shall make a good faith certification that
(A) the uncertainty of current economic conditions makes necessary the request for the grant to support the ongoing operations of the eligible entity;
(B) the eligible entity does not have a pending application for, and has not received, a grant under
(i) section 324 of the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (15 U.S.C. 9009a); or
(ii) section 5003 of the American Rescue Plan Act of 2021 (15 U.S.C. 9009c); and
(C) contains any other information that the Administrator may require.
(2) VERIFICATION MATERIALS. The Administrator shall use tax records and may, in addition, use other reliable sources such as certified accounting statements with respect to an applicant for a grant to determine
(A) the eligibility of the applicant for that grant; and
(B) the amount of that grant to the applicant.
(3) ACCEPTANCE OF APPLICATIONS. Not later than 90 days after the date of enactment of this Act, the Administrator shall begin accepting applications for grants under this section.
(1) IN GENERAL. Subject to paragraph (4), the amount of a grant under this section made to an eligible entity shall be determined based on a formula to be established by the Administrator.
(2) REDUCTION. Any formula established by the Administrator to determine grant amounts under paragraph (1) shall reduce awards by amounts a recipient has received under
(A) section 1110 of the Coronavirus Aid, Relief, and Economic Security Act (15 U.S.C. 9009);
(B) section 331 of the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (15 U.S.C. 9009b); or
(C) section 5002 of the American Rescue Plan Act of 2021 (15 U.S.C. 9009 note).
(A) IN GENERAL. When calculating the revenue of an entity for purposes of determining the eligibility of the entity for a grant under this section or the amount of such a grant, the Administrator shall treat as revenue
(i) any amounts received from a covered loan made under paragraph (36) or (37) of section 7(a) of