Wednesday, April 22, 2020
WASHINGTON – Today, the League of United Latin American (LULAC), wrote a letter to Members of Congress condemning their lack of attention to small and medium-sized businesses owned by people of color in H.R. 266 the Paycheck Protection Program and Health Care Enhancement Act. The bill was passed by the Senate yesterday and a vote is expected in the House of Representatives in the next few days.
The letter states that LULAC strongly opposes the legislative package as it stands, which continues to leave significant sectors of our economy out and does not provide targeted help to communities of color. LULAC is asking members of Congress to vote NO on H.R. 266 and instead focus on legislation that will directly address the needs of those businesses most affected by this pandemic and provide free COVID-19 testing and treatment for everyone.
Key excerpts from the letter are below and the full text is available HERE.
“We strongly oppose H.R. 266 the Paycheck Protection Program and Health Care Enhancement Act. This legislative package continues to leave significant sectors of our economy out and does not provide targeted help to communities of color.
Businesses owned by people of color have been the hardest hit by COVID-19. These businesses have less access to credit and less ability to withstand the loss of income. They are not only providers of critical services in underserved communities; they also serve as primary sources of jobs.”
“H.R. 266 fails to acknowledge and address these concerns. Instead, it provides additional funding to large banks that prioritized wealthier businesses over small businesses. And while there are some funds for community banks, these have had less success in serving borrowers of color. H.R. 266 also fails to provide separately funding for Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs) in spite of the fact that these institutions have the strongest track record of serving borrowers of color.”
“We have asked before that you use every tool at your disposal to ensure that we are leveraging every asset in the federal government to provide for the health and safety of our communities. And we mean, in particular, the most vulnerable which need the most help. Thus we ask you to vote NO on H.R. 266 and instead focus on legislation that will directly address the needs of those most affected by this pandemic.”