Paycheck Protection Program (PPP) Loan Data Released
The Small Business Administration (SBA) and Department of Treasury released detailed loan-level data related to the 4.9 million loans provided under the PPP which was passed by Congress in the CARES Act in March of this year. The data is available here.
According to the data released by the SBA, nearly 90,000 businesses participated in the PPP loan program and only 8.1% of funds available went to hotels, restaurants and food service industry. AHLA continues to press Congress to reallocate the remaining PPP funds into a new lending facility for the most severely impacted industries, including hospitality.
The TEST Act
AHLA officially endorsed the Timely and Effective Systematic Testing (TEST) Act, which was introduced last week by Senators Cory Gardner (R-CO), Michael Bennet (D-CO), Mitt Romney (R-UT), and Kyrsten Sinema (D-AZ). The legislation is designed to create a modernized, focused approach to testing, making it easier and safer for Americans to begin traveling and staying in hotels again. AHLA believes that increased testing is a critical component to regaining consumer confidence and regaining lost demand due to COVID-19.
Delays Expected for Employment Recovery
The Congressional Budget Office (CBO) released its 10 year forecast report late last week which estimates the nation’s unemployment rate will remain high for the next decade and that our nation’s economy will continue to recover over the next decade. The CBO estimates that unemployment will remain above the pre-COVID levels through 2030, averaging 6.1 percent up from the pre-COVID estimates of 4.2 percent. The CBO forecast report does acknowledge the important role that the four economic stimulus and recovery packages Congress has passed to date to help mitigate the economic damage.