Federal resolution would recognize financial industry

U.S. Rep. Fred Keller (R-PA) recently introduced a resolution in the U.S. House of Representatives that would recognize the role of community banks, credit unions, and other financial institutions in the Paycheck Protection Program (PPP).

PPP was enacted as part of the CARES Act and was designed to keep at-risk businesses afloat during the COVID-19 pandemic. Financial institutions distributed more than 11.8 million PPP loans totaling nearly $800 billion through the Small Business Administration between April 3 and May 31.

“The onset of the COVID-19 pandemic brought with it broad shutdowns which forced businesses across the nation to close or alter their operations,” Keller said in a statement on the resolution. “While many businesses were forced to close permanently, the diligent efforts of our nation’s lenders helped save millions of businesses and countless livelihoods. I’m proud to introduce this resolution to recognize lenders large and small for their commitment to connecting workers and employers with targeted relief in their time of greatest need.”

Lenders with assets of less than $10 billion facilitated 2.7 million loans totaling $233.8 billion between March 27 and Aug. 8. This group distributed 45 percent of funding made available through the CARES Act during that period.