Rep. Cabrera: AB 2 Makes Additional COVID Relief Necessary

MADISON – State Representative Marisabel Cabrera (D-Milwaukee) released the following statement regarding the passage of Assembly Bill 2 (AB2):

As the COVID-19 pandemic continues across Wisconsin, I strongly believe we should target fiscal relief to the small businesses that are the lifeblood of our state’s economy. Under Assembly Democrats’ substitute amendment every PPP recipient would have received a deduction: 90% of Wisconsin businesses that received a PPP loan would have been able to deduct all of the expenses they paid for using PPP funds and the other 10% would have been able to deduct $250,000 of expenses paid for with PPP funds. Additionally, through the creation of a grant program, the substitute amendment would have provided direct and immediate financial assistance to small businesses who are worrying about whether they will be open six months from now.

However, Republicans pushed forward a version of AB 2 that excludes many small businesses struggling to stay afloat and which only benefits businesses that received PPP loans. Indeed, these business beneficiaries are extra fortunate in that not only are their PPP loans not taxable as income under Wisconsin law, but now they also will be able to claim a tax deduction for any expense paid with PPP funds.

I wish my Republican colleagues would have adopted our amendments to make AB 2 better. However, it’s unlikely Republicans are to change course. Therefore, I voted in favor of the bill because it will provide relief to some small businesses in my district. And, I believe it’s better to help some businesses than none at all. Nonetheless, I will continue fighting to secure direct, immediate COVID-19 relief to the families and businesses who are not getting it today but who still need our help.

NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. It has not been verified for its accuracy or completeness.