Washington, D.C. — Congresswoman Marilyn Strickland (WA-10) today introduced H.R. 2727, the Economic Injury Disaster Loan (EIDL) Relief Act to delay interest accumulation on COVID disaster loans. Strickland’s bill would make the interest rate on the federal share of an eligible COVID-19 EIDL loan zero percent for eligible borrowers for 12 months. The delay in interest would provide relief for the small businesses hardest hit as they recover post-pandemic.
“Small businesses are the lifeblood of neighborhoods in the South Sound and across the nation,” said Rep Strickland. “My legislation prioritizes their needs as cornerstones in their communities because a post-pandemic return to normal must include helping our small business owners.”
In addition to delaying interest for a year, the EIDL Relief Act would drop required payments for eligible borrowers to at least 10% of their monthly payment amount (with a $25 minimum) to qualify for the interest rate adjustment. Small businesses eligible for this would be COVID-19 EIDL loan borrowers who are experiencing short term financial challenges as determined by SBA.
Strickland has been a staunch advocate for small businesses in Congress, leading a bipartisan letter co-signed by 70 of her colleagues to the Small Business Administration last year demanding accountability on inadequate service and communications from the SBA regarding COVID-19 EIDL loans.
The EIDL Relief Act is co-sponsored by Reps. Yvette Clarke (NY-09), Raul Grijalva (AZ-07), Andre Carson (IN-07), and Donald Payne (NJ-10).
U.S. Representative Marilyn Strickland serves on the House Armed Services Committee and the House Transportation and Infrastructure Committee. She is the Congressional Black Caucus whip, a member of the New Democrat Coalition, one of the first Korean-American women elected to Congress, and the first African-American elected to represent the Pacific Northwest at the federal level.
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