Congresswoman Lizzie Fletcher Secures Small Business and Hospital Relief in House COVID-19 Legislation
Washington, May 15, 2020 | Rocio Cruz
(Washington, DC) – Today, Congresswoman Lizzie Fletcher (TX-07) announced that two of her bills have been included as a part of The Heroes Act, legislation introduced in the House this week to continue Congress’ response to the COVID-19 pandemic. Specifically, The Heroes Act includes Congresswoman Fletcher’s Protecting the Paycheck Protection Program Act of 2020, which would ensure small business owners with Paycheck Protection Program (PPP) loans that are forgiven are also eligible to receive tax deductions, and the Barragan-Fletcher bill, which would protect Medicaid funding for hospitals by postponing the Trump Administration’s Medicaid Fiscal Accountability Regulation for two years.
“These two bills are critically important to the health care providers and small businesses in my district, and I am pleased that they have been included in The Heroes Act,” said Congresswoman Lizzie Fletcher. “We are facing an unprecedented challenge, and Congress must rise to meet this challenge by working to address the devastating impacts of the virus on the lives and livelihoods of all Americans. The Heroes Act builds on our prior, bipartisan efforts to fight this pandemic, and includes provisions to address the issues my constituents, and people across the country, care about deeply in this uncertain time.”
Congresswoman Fletcher introduced the Protecting the Paycheck Protection Program Act of 2020 last week after the IRS issued guidance that would prevent business owners who have their PPP loans forgiven from claiming tax deductions on otherwise deductible expenses if they were paid through government aid. Her legislation would supersede this guidance and clarify that expenses paid with forgiven PPP loans remain tax-deductible, providing small businesses with additional relief as they face the economic impacts of COVID-19.
Congresswoman Fletcher introduced a bill in April to protect Medicaid funding for hospitals across Texas and the country by postponing for two years the Trump Administration’s Medicaid Fiscal Accountability Regulation (MFAR),which proposes a number of highly technical changes in the way state governments finance and report their Medicaid programs. MFAR includes new restrictions on state payments that, if implemented, experts believe would lead to severe cuts to Medicaid programs in many states, including Texas.
The Heroes Act was introduced this week to further the nation’s response to the pandemic, protecting the lives and livelihoods of people across the country and putting the country on a science-based path to manage the epidemic with funding for testing, tracing, and treatment. More details on The Heroes Act can be found here.