Written by Jasir Jawaid

Five U.S. Representatives introduced a bill that would extend the Paycheck Protection Program loan forgiveness deadline.

The current law provides an eight-week limit to spend the PPP loans and gives small businesses until June 30 to rehire employees. The Promoting Flexibility for Small Business Owners Act gives businesses more time to rehire workers and provides an additional four weeks of payments that can be forgiven.

The legislation was sponsored by Darin LaHood, R-Ill., Stephanie Murphy, D-Fla., and Ohio Republican legislators Anthony Gonzalez, Dave Joyce and Brad Wenstrup.

Elsewhere, House Democrats included PPP changes in the $3 trillion package they introduced May 12, known as the HEROES Act. Those alterations included an extension to Dec. 31 from June 30 and a broadening of the universe of eligible borrowers under the program.

This article was published by S&P Global Market Intelligence on the S&P Capital IQ Pro platform.