Explanation of H.R. 6343 - Small Business COVID-19 Recovery Grants Act of 2020:
This bill aims to provide financial assistance to small businesses that have been negatively impacted by the COVID-19 pandemic. The Small Business Administration will give grants to eligible small businesses that have suffered economic losses due to the public health emergency caused by COVID-19. Small business concerns can use the grant money to cover expenses such as paid sick leave for employees, maintaining payroll, obtaining materials affected by supply chain disruptions, lease or mortgage payments, repaying obligations, and other necessary expenses.
Small businesses need to submit an application to be considered for a grant, and the Administrator will establish standards to ensure quick distribution of funds to those most affected by the pandemic. Procedures will be put in place to verify compliance with the requirements to prevent misuse of funds. $100 billion is authorized to be appropriated for the Administrator to carry out this program.
Within 15 days of the enactment of this section, emergency rules will be issued to implement this program. By March 31, 2022, a report will be submitted to Congress with details on the number and amount of grants awarded, program analysis, and recommendations for improvement. The authority to provide grants under this bill will end on September 30, 2021.