PPP TO PROVIDE RESTAURANT AID AGAIN UNDER CONGRESS' COMPROMISE AID PLAN

Congressional leaders have agreed on a federal relief measure that will provide at least some of the aid that restaurants described as  essential for keeping hundreds of thousands of restaurants from having to close for good as they contend with the ongoing financial impact of the coronavirus pandemic.

The measure includes a restart of the Paycheck Protection Program (PPP), the lifeline that enabled many operators to keep their doors open during early months of the crisis.  The amount of funding allocated for the restart was not revealed by Senate Majority Leader and Kentucky Republican Senator Mitch McConnell.

Indeed, few particulars of the bipartisan compromise measure have yet to come to light, as many rank-and-file senators and representatives complained while they tried to follow negotiations between Congress’ top four officers over the weekend.

Several measures favored by the restaurant industry appear to be included in the bipartisan agreement, according to senators who pushed those provisions. Those provisions reportedly include allowing recipients of PPP loans to deduct certain payments made with the funds from their taxable incomes. The industry had complained that a puzzling Internal Revenue Service ruling had made restaurants liable to unforeseen tax charges that could run well into thousands of dollars, in violation of Congress’ stated intentions in the bill creating the PPP. 

Not included is a measure the industry had requested, a provision that shielded restaurants and other businesses from liability lawsuits stemming from their efforts to safeguard employees and guests.  That provision was reportedly ceded by Republican lawmakers in exchange for Democrats dropping their demand that funding be earmarked by the agreement for financially strapped state and local governments.