Pappas Calls on SBA to Offer Zero-Interest Loans to Small Businesses and Nonprofits Facing Severe Coronavirus Impacts

MANCHESTER, NH - Today, Congressman Chris Pappas (NH-01) called on the Small Business Administration (SBA) to make available zero-interest loans for small businesses and nonprofits that are facing serious economic challenges from the ongoing Coronavirus outbreak, which has already caused unprecedented operating challenges, reduced consumer demand, and outright closures.

As part of its recent Administrative Disaster Declaration, the SBA set interest rates in New Hampshire at 3.75% for small businesses and 2.75% for non-profit organizations, with terms up to 30 years. As SBA continues its effort to provide support to our nation's small businesses and non-profits during the COVID-19 outbreak, Congressman Pappas is calling on SBA to offer zero-interest loans to small businesses and nonprofits that will face severe and prolonged impacts.

"New Hampshire's 130,000 small businesses are the backbone of our economy and the nonprofit community does amazing work throughout the Granite State. In recent days, business as usual has been obliterated for our small businesses. That is why it's essential that SBA offers zero-interest loans to help them weather this unprecedented period and get back up on their feet as quickly as possible," said Congressman Pappas. "As a small business owner myself, I understand the challenges businesses face in the best of times. We are now experiencing a level of hardship that has never been seen, and we must meet this moment with swift and meaningful action. I remain committed to advocating for more support and direct assistance for New Hampshire's small businesses and nonprofit sector so that they can keep their lights on, pay their bills, and support their workers."

By providing zero-interest loans and more flexible terms on these working capital loans, we can help ensure businesses and nonprofits have the resources to keep their doors open through these uncertain times, without having to worry about burdensome interest payments in the future.

The full text of the letter can be found here.

Background:

On March 17th, Congressman Pappas joined New Hampshire's federal delegation in calling on the Small Business Administration (SBA) to issue an emergency declaration to ensure New Hampshire small businesses are eligible for the full suite of emergency resources available through the SBA.

Also on Tuesday, wrote to the Department of Health and Human Services (HHS) calling for the Department to urgently provide guidance to health care providers in New Hampshire and across the country on the steps being taken to deliver personal protective equipment (PPE), ventilators and other essential supplies to hospitals as they prepare for an increase of coronavirus patients in the weeks to come.

Congressman Pappas, along with Congressman Lloyd Doggett (TX-35) and Congressman Ted Lieu (CA-33), recently led over 100 lawmakers urging HHS to establish a Special Enrollment Period for patients to seek ACA Marketplace coverage during the COVID-19 pandemic. This is particularly important for New Hampshire, which is one of the 38 states covered by the federal exchange.

Congressman Pappas and Congresswoman Annie Kuster (NH-02) hosted a telephone town hall for over 10,000 Granite Staters last week with Dr. Benjamin Chan, State Epidemiologist for New Hampshire Department of Health and Human Services (NH-DHHS); and Beth Daly, Chief of the Bureau of Infectious Disease Control at NH-DHHS to answer questions and give updates on coronavirus mitigation and best practices.