Press Releases

Washington, DC – April 17, 2020….Today, Congressman Steve Womack (AR-3) called on Congress to swiftly act and replenish the Paycheck Protection Program (PPP), which has been a lifeline for small businesses, workers, and community institutions across the nation. While urging for an immediate injection of funds, he also led a bipartisan letter requesting program eligibility modifications be made to provide much-needed support for small and rural colleges during this crisis. 

Congressman Womack said, “The Paycheck Protection Program is currently depleted – this didn’t have to happen. I demand Congress come together and immediately pass clean funding. This relief program has been a lifeline for millions, and just a brief lapse of funds could have devastating consequences. Americans and Arkansans have made incredible sacrifices to combat this virus, and it is our job to ensure they have support during this time of need.” 

Following these calls, Womack also requested a change to PPP eligibility requirements to help better assist small and rural colleges – which serve as educational hubs, economic drivers, and job providers in communities across the country – once funding is restored. In a bipartisan letter, he asks the Small Business Administration to use full-time equivalent (FTE) instead of headcount for PPP qualifications. Since many of these institutions hire part-time workers, they would only qualify for PPP if FTE is used for eligibility.

He added, “The PPP has provided critical support, and this slight modification will improve the program to better assist the many institutions impacted by this crisis. Rural and small colleges not only serve as key educational centers, but they also are the base of economic and job opportunity in many communities. Though school may be out of in-person session because of this pandemic, we don’t want the end result to be permanent closures or mass layoffs. Both this change and replenished funds must be quickly implemented.”

Womack was joined on this letter by Representatives Ron Kind (co-lead, WI-3), Troy Balderson (OH-12), Susan Brooks (IN-5), Larry Bucshon, M.D. (IN-8), Steve Cohen (TN-9), Rick Crawford (AR-1), Charlie Crist (FL-13), Sharice Davids (KS-3), Brian Fitzpatrick (PA-1), Bill Flores (TX-17), Louie Gohmert (TX-1), French Hill (AR-2), Dan Meuser (PA-9), Joseph Morelle (NY-25), Chris Stewart (UT-2), Glenn “GT” Thompson (PA-15), Bruce Westerman (AR-4), and Rob Woodall (GA-7).

The full text of the letter can be found below and here:

Dear Secretary Mnuchin and Administrator Carranza:

We write to urge you to allow small colleges and universities to use full-time equivalent (FTE) instead of headcount as it pertains to eligibility for the Paycheck Protection Program (PPP). During these unprecedented times, small colleges and universities, especially those in rural areas, have been hurt, and PPP could act as a lifeline. However, since many of these institutions hire part-time workers and have more flexible work schedules, they would only qualify for PPP if FTE is used for eligibility.

Colleges and universities are the bedrock of a number of communities across the United States. They not only educate the next generation, they also offer employment opportunities for many in these communities. These institutions act as economic drivers in small towns and cities, and if they have to lay off their workforce, local economies will suffer even more. The Coronavirus Aid, Relief, and Economic Security (CARES) Act established the Paycheck Protection Program (PPP) to help community institutions, like small colleges and universities, survive these hard times and thrive once the COVID-19 pandemic is defeated. Without an exemption to using headcount, and instead allowing the use of FTE, these institutions will likely not be able to keep those in their communities employed.

We strongly urge you to allow for small colleges and universities to use FTE when applying for the Paycheck Protection Program. Communities across the country will benefit from these institutions being able to continue to pay their employees.

We appreciate your consideration of our request and look forward to your response.

Sincerely,

Congressman Steve Womack (AR-3) has represented Arkansas’s Third Congressional District since 2011. He serves as the Ranking Member of the House Committee on the Budget and is a member of the House Appropriations defense and transportation, housing and urban development subcommittees.

womack.house.gov

###