Hearing of the Economic Growth, Tax, and Capital Access Subcommittee of the House Small Business Committee - Opening Statement of Rep. Hern, Hearing on PPP Forgiveness

Hearing

Today, the House Committee on Small Business Subcommittee on Economic Growth, Tax, and Capital Access heard from witnesses on the loan forgiveness process for the Small Business Administration's Paycheck Protection Program.

Below are the remarks of Ranking Member Kevin Hern (R-OK) as prepared for delivery:

Thank you, Mr. Chairman, and thank you for holding this important and timely hearing.

Small businesses across this nation, from my state of Oklahoma to the Chairman's district in New Jersey, have been disproportionately devastated by COVID-19.

When it reached our country, Congress acted quickly. Numerous programs were created and amended to provide assistance to the American public and our economy.

One program in particular that has provided billions of dollars to small businesses was the Paycheck Protection Program, also known as PPP. In a matter of days, the Small Business Administration and the Department of the Treasury outlined rules and regulations so that lenders could start assisting small businesses from coast to coast. The federal government moved quickly, and I would like to commend them for that.

One of the top SBA officials in charge of PPP testified yesterday and presented important information to our Committee. Today's conversation will build on that hearing and will focus on the critical aspects of PPP loan forgiveness.

As a small business owner for 35 years and the founder of a local community bank in Oklahoma, I can see how difficult this process can be for borrowers and lenders alike. My goal, and I'd like to think it is the same for all of my fellow committee members, is to make this forgiveness process as simple and efficient as possible.

We asked our lenders to carry a heavy burden during this emergency period. We owe it to both small businesses and lenders to discuss further ways to streamline the process. Unfortunately, roadblocks continue to hinder how Congress can provide more assistance while improving the program.

Just this week, we tried and failed to get a vote on Congressman Steve Chabot's legislation that would improve and extend the popular program. More work needs to be done and that is why this hearing is paramount. It is unconscionable that we continue to ignore our nation's smallest firms that desperately need this assistance.

Small businesses and lenders need the full rules of the road in order to make everyday business decisions. Changing guidance has presented challenges and we need to seek solutions to improve this process.

I look forward to exploring many of these topics today with our witnesses.

Thank you, Mr. Chairman and I yield back.

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