The original CARES Act included $349 billion for the popular Paycheck Protection Program (PPP) and increased funding for the Economic Injury Disaster Loans (EIDL) among other COVID-19 relief. As a sign of how needed these programs were for American businesses, these programs ran out of funds on April 16, effectively only being available for about ten days.
Even though businesses took advantage of Round 1 of the CARES Act, additional assistance was needed. The supplement just approved by Congress includes:
- $310 billion increase to loans funded through the PPP. $60 billion of that will be set aside for small lenders and credit unions to assist those mostly rural businesses who utilize these small lenders.
- $60 billion increase to EIDL. $10 billion is set aside for EIDL Grants and the remaining $50 billion is for loans.