1、CRS Legal Sidebar Prepared for Members and Committees of Congress Legal SidebarLegal Sidebari i Applicability of Federal Civil Rights Laws to Recipients of CARES Act Loans May 1, 2020 The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) authorizes the Small Business Administration (SBA
2、) to provide economic assistance temporarily to eligible organizations. Section 1102 of the CARES Act establishes the Paycheck Protection Program (PPP), which enlarges the SBAs authority to guarantee loans under Section 7(a) of the Small Business Act. Section 1110 of the CARES Act broadens SBAs auth
3、ority to distribute Economic Injury Disaster Loans (EIDL) under Section 7(b)(2) of the Small Business Act. Applicants for the latter loan can receive an emergency grant advance that the recipient does not have to repay, even if the loan is denied. Congress expanded the funding for these accounts in
4、the Paycheck Protection Program and Health Care Enhancement Act. This extension of federal funds to new recipients raises questions about what obligations may accompany the issuance of such loans. Various federal civil rights laws condition the receipt of federal funds on recipients adherence to cer
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