An illustration of the new coronavirus that causes the disease COVID-19. Image courtesy of the Centers for Disease Control.

Lawmakers are struggling to break a stalemate over President Donald Trump’s $250 billion emergency request for a small-business program, stoking uncertainty about when additional support will be available in a key rescue program now exhausted of funds.

A House session Friday was expected to simply be a pro forma meeting. A Senate session quickly adjourned Thursday without any progress.

Aides to House and Senate Democrats and Treasury Secretary Steven Mnuchin convened another conference call on legislation to shore up the Paycheck Protection Program and demands by Democrats for potential additions. The Small Business Administration announced Thursday it has reached its $349 billion lending limit and is no longer accepting applications.

GOP aides said that Mnuchin is prepared to accept additional funding sought by Democrats for hospitals, but that additional aid to state and local governments couldn’t get approval in the current round. The aides spoke on condition of anonymity to characterize internal party deliberations.

On Friday, Trump added his voice, tweeting that the “Do Nothing Democrats” should immediately return to Washington and approve the legislation. “End ENDLESS VACATION!” he wrote.

The Capitol is largely shuttered, requiring consensus from all sides for any legislation to pass, and top GOP leaders are vowing to stick closely to Trump’s request despite Democrats’ additional demands.

Schumer said Friday that more money is needed for widespread, accessible testing for the coronavirus before the economy can be reopened with confidence. Republicans counter than $38 billion has already been appropriated for testing.

Democrats want money for hospitals burdened under COVID-19 caseloads and additional funding for states and local governments straining as the economy slides into recession.

They also want to make sure the Paycheck Protection Program is opened up more to businesses that don’t have established relationships with banks that have been accepting applications for rescue funding.

House Speaker Nancy Pelosi is pressing to add money to be distributed by community development financial institutions, which are small, nontraditional lenders that focus on making loans in underdeveloped and underserved neighborhoods, typically communities with larger minority populations.

The Senate is away from Washington through May 4, but it convenes twice each week for pro forma sessions that could be used to pass more coronavirus aid – though only if no senator objects. The next Senate pro forma is Monday afternoon; no action is expected at a brief Friday House session.

New Pressure on Lawmakers as PPP Fund Hits Limit

by The Associated Press time to read: 2 min
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