Attorney General Aaron M. Frey has announced that he has joined a coalition of 24 state attorneys general in calling for key changes to the Paycheck Protection Program (PPP) ensure that funds are distributed fairly and equitably.
In a letter to Congressional leadership, the coalition of attorneys general express concern that the Program, while helping some small businesses and their employees, suffered a lack of transparency, technical savvy and functionality that led to funds being distributed in a manner overly benefiting large, well connected companies. As a result, the attorney generals argue that both the first and second rounds of funding with this program have left many small businesses across the country underserved by PPP.
“Small businesses are the backbone of Main’e economy and they have been doing right thing in following the advice of public health exports, ofen at an enormous financial cost,” said Frey. “It is important that aid to small businesses through the PPP is distributed fairly, transparently and with appropriate flexibility and technical assistance in order to maximize its support of the businesses which are impacted.”
The coalition is calling for Congress to adopt the following measures before they allocate additional PPP funding:
- Increasing fair access funding for small businesses,
- Ensuring equitable distribution,
- Better communication and transparancy,
- More flexibility and technical support.
Joining this Massachusetts-led coalition are attorneys general from California, Connecticut, Colorado, the District of Columbia, Delaware, Hawaii, Iowa, Illinois, Maine, Maryland, Michigan, Minnesota, New Mexico, New York, Nevada, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, Washington and Wisconsin.