April 10, 2020 the Honorable Nancy Pelosi Speaker United States
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April 10, 2020 The Honorable Nancy Pelosi The Honorable Kevin McCarthy Speaker Minority Leader United States House of Representatives United States House of Representatives The Capitol The Capitol Washington, DC 20515 Washington, DC 20515 The Honorable Nydia Velázquez The Honorable Steve Chabot Chair Ranking Member House Committee on Small Business House Committee on Small Business 2361 Rayburn House Office Building 2069 Rayburn House Office Building Washington, DC 20515 Washington, DC 20515 Dear Speaker Pelosi, Leader McCarthy, Chair Velázquez, and Ranking Member Chabot: We appreciate your leadership in providing unprecedented resources for American small businesses through the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Public Law 116-136). Unfortunately, local chambers of commerce, which play a crucial role in sustaining our Main Street economy, are ineligible for assistance through the lending programs included in this legislation. Given the severe financial difficulties that many of these organizations are now confronting, we ask that you include language in the next coronavirus relief bill to enable local chambers and other 501(c)6 organizations that support the needs of our local businesses to access direct federal aid. Chambers of commerce are non-profit, tax-exempt organizations that bring together business leaders in our communities, helping them to negotiate shared challenges and promote local economic development. At this exceptionally difficult time for our Main Street economy, local chambers are providing critical guidance and resources to help small businesses weather the current economic downturn, including urgently-needed assistance in obtaining loans and grant funding from the federal government. Unfortunately, just like the small businesses they serve, many local chambers are now experiencing their own financial challenges. If these organizations are unable to survive, the path to recovery for our hard- hit Main Street economy will be even more difficult. To help local chambers meet their current obligations and continue assisting small businesses in our communities, we strongly believe that Congress should ensure these organizations are eligible for Economic Injury Disaster Loans and allow them to participate in the Paycheck Protection Program. Again, we believe the CARES Act will make a significant positive difference in our communities. However, to ensure that local chambers of commerce can continue to support small businesses at this precarious moment for our country, we are hopeful that you will take action to enable chambers of commerce and other 501(c)6 organizations that support the needs of our local businesses to receive direct federal support through the initiatives in this legislation. We are grateful for your attention to this request and appreciate your diligent and committed work during this crisis. Sincerely, Chris Pappas Brian Fitzpatrick Member of Congress Member of Congress /s/ /s/ /s/ Salud Carbajal Henry Cuellar Rosa L. DeLauro Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Dwight Evans Tom Malinowski Pete Olson Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Daniel P. Meuser Jason Crow David B. McKinley P.E. Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Ami Bera, M.D. Haley M. Stevens Ross Spano Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Harley Rouda Lori Trahan Greg Gianforte Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ David Trone Randy K. Weber Elaine G. Luria Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Bruce Westerman Gilbert R. Cisneros, Jr. Mary Gay Scanlon Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Grace F. Napolitano Kendra S. Horn Peter Welch Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Susie Lee Anthony G. Brown Joe Cunningham Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Ann Kirkpatrick Eleanor Holmes Norton Bradley Byrne Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Ann McLane Kuster Markwayne Mullin Barry Loudermilk Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Mike Levin Jamie Raskin Kurt Schrader Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ John Rutherford Sharice L. Davids Anna G. Eshoo Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Dave Loebsack Mike D. Rogers Greg Stanton Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Jackie Speier Jahana Hayes Mike Thompson Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Martha Roby Joe Neguse Mike Gallagher Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Scott H. Peters Joseph D. Morelle Mark E. Green, M.D. Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Peter A. DeFazio Jennifer Wexton Brendan F. Boyle Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Adam B. Schiff Joe Courtney Vicente Gonzalez Member of Congress Member of Congress Member of Congress /s/ /s/ /s/ Brian Babin Steven Horsford David N. Cicilline Member of Congress Member of Congress Member of Congress April 10, 2020 The Honorable Nancy Pelosi The Honorable Mitch McConnell Speaker of the House Majority Leader House of Representatives United States Senate H-232, U.S. Capitol S-230, U.S. Senate Washington, DC 20515 Washington, DC 20510 The Honorable Kevin McCarthy The Honorable Charles Schumer Minority Leader Minority Leader United States House of Representatives United States Senate H-204, U.S. Capitol S-220, U.S. Capitol Washington, DC 20515 Washington, DC 20510 Dear Speaker Pelosi, Leader McCarthy, Leader McConnell, and Leader Schumer: Thank you for your commitment to and diligence in moving the first three phases of bipartisan legislation to combat the COVID-19 pandemic. New Jersey, unfortunately, ranks second in Coronavirus deaths and positive cases, and support is critical to the health and economic survival of our residents. As you well know, however, there’s still more work to be done on many fronts— especially and including an increase in access to the Paycheck Protection Program (PPP) created by the CARES Act. First, we must pass legislation to financially supplement the PPP and allow more businesses to access funds—demand has surpassed expectations and the Administration believes all appropriated funds will soon be committed. Additionally, we respectfully request that, in the next anticipated bill, you expand access to the PPP for 501(c)(5) and 501(c)(6) organizations. These organizations are nonprofits that exist for the primary purpose of serving their members first. The organizations have very small, but effective and critical staff helping—workers and businesses—in our home state of New Jersey which has yet to hit even the worst of the pandemic. According to the Bureau of Labor Statistics, nearly 16 percent of New Jersey’s employed population belongs to a labor organization, such as NJ AFL-CIO, which are categorized as a 501(c)(5) organization by the Internal Revenue Code. The 501(c)5 organizations are immersed in helping the thousands of New Jersey residents, who have lost their jobs, navigate the new and very necessary federal benefit options of the Pandemic Unemployment program. These workers also rely on the organization’s staff to support and guide them as they face COVID-19 related concerns from workplace safety to health coverage, work interruptions and job recovery. As a result of the non-essential workforce reduction mandated by the stay-at-home orders necessitated to combat the spread of coronavirus, members desperately need the support and guidance of the organizations but cannot pay their dues. As such the nonprofits, and the functions they serve are directly endangered by the prospect of no cashflow and ultimate layoffs. Similarly 501(c)(6) organizations, commonly known as trade associations, are nonprofits with the primary role of aiding their members—business of all shapes and sizes—in navigating the regulatory environment, which has become crucial as our economic response to COVID-19 changes each day at the state and federal levels. The Paycheck Protection Program, for example, is a critically imperative federal initiative that so many New Jersey businesses must tap into in order to survive. But enrollment and access have not been as easy as hoped and our small businesses have turned to their member organizations for much needed help. Similar to the predicament of labor groups, the trade associations are unable to keep their own employees on the payroll because of the sudden reduction in membership dues. How can they be expected to help their members do business if they also have no staff? We must expand the Paycheck Protection Program to 501(c)(6) organizations. As our nation continues to combat the Coronavirus on every front, we strongly urge you to quickly financially supplement the PPP and expand access to it for 501(c)(5) and 501(c)(6) organizations. Thank you for your full and fair consideration of these requests. Sincerely, CHRISTOPHER H. SMITH DONALD NORCROSS Member of Congress Member of Congress ROBERT MENENDEZ CORY BOOKER United States Senator United States Senator JOSH GOTTHEIMER TOM MALINOWSKI Member of Congress Member of Congress FRANK PALLONE, JR MIKIE SHERRILL Member of Congress Member of Congress ANDY KIM BILL PASCRELL, JR. Member of Congress Member of Congress BONNIE WATSON COLEMAN ALBIO SIRES Member of Congress Member of Congress JEFFERSON VAN DREW DONALD M. PAYNE, JR. Member of Congress Member of Congress .