WASHINGTON, D.C. – With only three days left before Trump’s Paycheck Protection Program is set to expire, Congress has yet to put forth a relief bill that includes enhanced transparency measures to combat the abuse, fraud, and failures of the program’s first iteration. One such failure is the inequitable distribution of PPP funds: an analysis by Accountable.US found a stark contrast in the allocation of small business funding, favoring congressional districts with the lowest percentage of Black residents over those with the highest percentage of Black residents.
The Trump administration has repeatedly failed communities of color, which are disproportionately impacted by COVID-19, while the wealthy and well-connected were at the front of line for much-needed aid. The lack of any transparency or accountability in Trump’s PPP enabled banks to ignore Black communities without consequence. Congress needs to make sure the next small business relief package prioritizes transparency and funding for vulnerable and underserved populations.”
Kyle Herrig, president of Accountable.US
Predominately Black congressional districts got billions less in PPP loans, study finds [Commercial Appeal]
PPP was not distributed equally across racial lines [Axios]
Lender seeks to connect Black owned businesses to capital [Philadelphia Tribune]
You can find the full report by Accountable.US here.