US House Passes 7 Small Business Bills – 2 for PPP and EIDL Loan Fraud

The House has passed seven bipartisan small business bills aimed at improving the operation and oversight of key Small Business Administration (SBA) programs.

7 Small Business Bills Pass US House

The whole suite of bills includes legislation to extend the statute of limitations for small business pandemic fraud cases, improve workforce development offerings, and improve the small business procurement process. Of the bills passed, two would establish a 10-year statute of limitations for prosecutions related to fraud related to the Paycheck Protection Program (PPP) and COVID-19 Economic Injury Disaster Loan (EIDL).

“These seven bills will make key SBA programs safer, more accessible, and more focused on the most pressing challenges facing small businesses,” said New York President Nydia M. Velázquez.

What are the resolutions?

The bills are designed to promote policies that encourage small business development, hold pandemic small business fraudsters accountable, develop small business workforces, and support small contractors doing business with the federal government.

House Resolution 7352 PPP and Bank Fraud Enforcement Harmonization Act of 2022 would set a 10-year statute of limitations for all forms of PPP loan fraud, including cases of fintech-derived loans, in line with those for bank fraud legislation. House Resolution 7334, COVID-19 EIDL Fraud Statute of Limitations Act of 2022 would set a 10-year statute of limitations for all COVID EIDL fraud, including for EIDL Advances and Targeted EIDL Advances. House Resolution 7622, ​​Small Business Workforce Pipeline Act of 2022 would allow Small Business Development Centers (SBDCs) to assist small businesses related to apprenticeship, pre-internship and vocational training programs by obtaining information from the Department of Labor (DOL). to spread. House Resolution 7664, Supporting Small Business and Career and Technical Education Act of 2022 would help small businesses meet their recruiting needs. This legislation mandates SBDCs and WBCs to assist small businesses in hiring graduates from career and technical training programs, in addition to the existing services offered by SBDCs and WBCs. In addition, this legislation supports vocational and technical education graduates by directing SBDCs and WBCs to help them start a small business. House resolution 7670 Women-Owned Small Business Program Transparency Act would establish reporting requirements for the WOSB program aimed at improving transparency, accountability, and ensuring Congress receives the necessary data to closely monitor these issues. It would require SBA to provide information on the amount of contract dollars awarded through the program. It also includes the number of certifications issued, the number of program exams administered, the number of companies decertified, and the number of contracts wrongly awarded under industries or NAICS codes that are not eligible for the program. All actions taken by the SBA to properly train the staff of the temporary employment agency are also part of the monitoring. House resolution 5879 Hubzone Price Evaluation Preference Clarification Act of 2021 would seek to clarify price evaluation preference, allowing HUBZone companies to compete on a level playing field, does apply to orders. House Resolution 7694 Strengthening the Small Business Subcontracting Act of 2022 would encourage compliance with outsourcing plans by extending the requirement that an agency consider prior compliance with these plans when evaluating a provider’s past performance to all contract awards that include an outsourcing plan.

Curbing PPP and EIDL Loan Fraud

The bills addressing PPP and EIDL loan fraud are expected to further support the federal government’s efforts to combat and prevent pandemic-related fraud. Last year, the Attorney General had created the COVID-19 Fraud Enforcement Task Force to provide the Department of Justice and other agencies with additional resources to fight pandemic-related fraud.

Subsequently, the Secret Service investigation into unemployment insurance fraud and the Paycheck Protection Program (PPP) loan led to the seizure of more than $1.2 billion and the recovery of more than $2.3 billion in fraudulently obtained money. and the unemployment insurance program.

Why supporting small businesses is important

Small businesses are considered the backbone of the US economy. And according to the Small Business Administration, they account for 99.9% of U.S. businesses. This equates to 32.5 million small businesses employing 61.2 million people, or 46.8% of the US workforce.

According to the National Federation of Independent Business (NFIB), the April 2022 Small Business Optimism Index remained at 93.2, falling below the 48-year average of 98 for the fourth straight month. The number of small business owners expecting better business conditions in the over the next six months has fallen by one point to a net negative 50%, the lowest level recorded in the 48-year survey.

One of the challenges small businesses face is high inflation. This is followed by small business owners concerned about a tight job market with unfilled vacancies and uncertainties from global conditions such as rising fuel prices and supply chain disruptions.

Follow us on Google News for the latest news.

Image: Depositphotos


This post US House Passes 7 Small Business Bills – 2 for PPP and EIDL Loan Fraud was original published at “https://smallbiztrends.com/2022/06/us-house-passes-7-small-business-bills.html”

Leave a Reply

Your email address will not be published.