By DAVID DUPONT
BG Independent News
The federal government needs to wait to see how the money already pumped into the system for pandemic relief is used before it adds more, said U.S. Rep. Bob Latta.
The Republican representing the Ohio Fifth Congressional District made that assessment on Tuesday.
Latta was back in his hometown to visit Bowling Green State University and see first hand the Starship Technology robot delivery system. He’s sponsored legislation to push the Commerce Department to formulate rules for unmanned delivery services. Such regulation would provide a level playing field across the country and provide assurances to entrepreneurs who will develop the technologies needed. This in the end would create jobs.
Reflecting on the pandemic, Latta looked back 12 weeks ago when companies couldn’t find workers. Now the nation’s jobless rate has surged to Depression Era levels.
“Now we have to get those people employed hopefully in jobs they were working at,” Latta said.
The $3 trillion relief package passed by the U.S. House is “not going anywhere.”
He along with the rest of the Republican caucus except for one member voted against it as did a handful of Democrats.
The amount of money already appropriated is unprecedented. “This amount of money has never been out the door in such a short period of time,” Latta said.
The Small Business Administration last year gave out $20 billion in loans. The stimulus package charged the agency with $348 billion as part of the Payroll Protection Act.
Getting the money where it needs to go, he said, was complicated by the closure of state offices.
“There’s a lot of money that’s still in the pipeline that we have to see exactly how it’s going out,” he said.
Also, in the first-round, large loans were made to corporations with questionable need. Secretary of the Treasury Steve Mnuchin said he will be auditing loans over $2 million. Some of the corporations have since said they would not take the loans.
Now, Latta said, the loans tend to be smaller, an average of about $75,000. He’s pleased with that trend.
Unemployment benefit provisions will last until the end of July.
He was flying back to Washington after the BGSU visit to get back to work.
Asked to assess the president’s performance during the crisis, Latta pointed to the actions taken at the SBA and Treasury Department, as well as the Federal Reserve which “put billions into the system.”
Money, he reiterated, that still needs to work its way through to help get people back to work.
