|Posted:||March 24, 2020 11:57 AM|
|From:||Representative Tarah Toohil|
|To:||All House members|
|Subject:||Small Business Relief Act of 2020 (PIDA/ DCED)|
|Please join me in protecting Pennsylvania businesses during the COVID-19 crisis. This legislation creates the Small Business Relief Act of 2020. The language allows for a moratorium on the principal payment of economic development loans during the Covid-19 pandemic. During this period of economic uncertainty, we need to protect the small businesses in our community. Under this legislation, the Department of Community and Economic Development would decrease the payment amount for all existing small business PIDA (Pennsylvania Industrial Development Authority) loans. Once we have recovered and regained financial stability, the moratorium would end and the department may increase the monthly payment on the principal of an economic development loan at a sufficient rate to ensure that the loan is paid off as scheduled.
Any small businesses that chooses to elect the aforementioned “forbearance” shall be considered to have been current on payments during the relief period so as not to negatively impact future requests for borrowing.
I believe that it is vital for us to protect the many small businesses that are being negatively impacted by this global pandemic. Please join me in co-sponsoring this important piece of legislation.
Introduced as HB2425