Prospects of more money to help small businesses keep workers employed dimmed Thursday after Senate Republicans and Democrats reached a partisan impasse.
The Senate was able to reach a bipartisan agreement in late March on $350 billion for the small-business-oriented Paycheck Protection Program that was part of a $2.2 trillion coronavirus relief package. The program offers loans backed by the Small Business Administration, with many of them designed to be forgiven if used properly.
But SBA officials and their bank partners have been overwhelmed by applications, and The Treasury Department on Tuesday asked Congress for an additional $250 billion.
Senate Majority Leader Mitch McConnell, R-Ky., attempted to get that approved by unanimous consent so the Senate could avoid having to reconvene, But Democrats, who have another proposal with more funding for hospitals and state and local governments, objected and said they were not consulted.
The Republican proposal was "designed to fail. … The majority leader knew full well that there was not agreement and consensus," Sen. Chris Van Hollen, D-Md., said during floor debate Thursday.
The Senate is expected to address the additional funding package again when it reconvenes Monday.
