Senate Approves Sinema-Backed Bipartisan Bill Strengthening Paycheck Protection Program to Help Arizona Small Businesses During the Coronavirus Pandemic

Jun 3, 2020

WASHINGTON – Today the U.S. Senate approved the bipartisan Paycheck Protection Program Flexibility Act—legislation cosponsored by Arizona senior Senator Kyrsten Sinema that provides flexibility to Arizona small businesses depending on the Paycheck Protection Program (PPP) to survive the economic crisis caused by the coronavirus pandemic.
“Every day I hear from Arizona employers worried about burdensome timelines and restrictions in the current Paycheck Protection Program. Increasing flexibility will help Arizona businesses safely re-open and save more Arizona jobs,” said Sinema.
The Sinema-backed Paycheck Protection Program Flexibility Act will:

  • Allow forgiveness for expenses beyond the 8-week covered period.
  • Eliminate restrictions limiting non-payroll expenses to 25 percent of loan proceeds.
  • Eliminate restrictions that limits loan terms to 2 years.
  • Ensure full access to payroll tax deferment for businesses that take PPP loans.
  • Provide a rehiring safe harbor for businesses unable to rehire employees due to the effects of enhanced Unemployment Insurance.

A bipartisan companion bill of the Paycheck Protection Program Flexibility Act was passed with overwhelming support in the U.S. House.
Sinema holds weekly calls with the Arizona Chamber of Commerce and Arizona small businesses on which she answers questions about coronavirus relief and helps employers with the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) applications. In the recent Congressionally-approved coronavirus package, Sinema helped secure $310 billion for the PPP loans, $60 billion for smaller, disadvantaged businesses, $60 billion for EIDL and grants, $75 billion for health care providers, and $25 billion for testing, including $11 billion directly to states. Sinema also helped secure a number of priorities in the sweeping coronavirus-response CARES Act law, including a $150 billion relief fund for state, local, and Tribal governments, $55 billion more in investments in hospitals and health care workers, and an increase in unemployment benefits. Sinema also recently wrote an op-ed outlining Arizona needs she is working to include in the next coronavirus-response legislation.
Sinema has also added a resources page to her website,, for Arizonans looking for the latest information on coronavirus.