Senate Democrats' attempt to force vote on small business oversight fails after Rubio objects

A group of Senate Democrats led by Senate Minority Leader Chuck Schumer attempted to force a vote that would require the Small Business Administration to disclose more real-time data on who is getting loans from the agency, arguing that more oversight and transparency are necessary after Congress passed far-reaching aid in response to the coronavirus pandemic.

Republican Sen. Marco Rubio of Florida, the chairman of the Small Business Committee, objected, however, effectively blocking the effort. Rubio argued that it could slow down the urgent and important work at the already over-burdened agency.

"The Paycheck Protection Program, the main instrument to help small business, received $349 billion under the CARES Act and another $310 billion in supplemental legislation. The public has a right to know how this money is being spent," Schumer said. "Oversight, transparency and accountability are crucial because from the moment the administration began implementing these funds it became clear much of it wasn't going to those who needed it the most."

"Today we are not taking any other action on the floor dealing with Covid, so we thought we'd take this opportunity to ask unanimous consent to get something real done that should have bipartisan support on both sides of the aisle. Who can be against transparency?" the New York Democrat asked. "Who can be against accountability?"

The effort to require reporting in real time comes as questions have emerged about who is getting the loans and as high-profile publicly traded companies have come under fire for applying for the money even as those companies make up a fraction of the loan recipients.

Rubio defended the Paycheck Protection Program, but conceded there are issues with it. He argued, however, that passing this legislation could slow down the SBA, which is already dealing with a heavy workload amid the crisis.

"What I don't want to see is an already overburdened agency that is small to begin with and is struggling to get all these programs running," Rubio said.

"I don't want to see them have to pull people off getting people money to fill out this information," he said. Rubio said the agency "is already struggling to manage this massive program and to add an additional requirement without thinking it through would have unintended consequences of potentially slowing the program down."

"I think the best path forward is, in my view, not to pass something like this today, although something like this may be necessary if we can't get these numbers. But let's find out first and foremost what data points do they have, what data points does the SBA have at their disposal and see if we can get them to do what they should be doing already, which is producing it on a regular, maybe not on a daily, basis," he said.

Rubio added, "Despite everything you read out there, in my mind, I don't think there's any question that by far this has been the most successful part of the CARES Act."

Schumer was joined by Sen. Ben Cardin of Maryland, the top Democrat on the Small Business Committee, and Democratic Sen. Jeanne Shaheen of New Hampshire, who is also a member of the committee.

According to a senior Democratic aide, the legislation would "provide new transparency and oversight of the Paycheck Protection Program, Emergency Injury Disaster Loan program and debt relief programs."

The bill would "require public daily and weekly reporting of the Small business lending programs broken down by geography, demographics, types of industry. The reporting would include the names of the businesses, nonprofits and lenders and the loan or grant amounts in a standardized and downloadable format," the aide said in a statement to CNN.

The effort to require reporting in real time comes as questions have emerged about who is getting the loans and as high-profile publicly traded companies have come under fire for applying for the money even as those companies make up a fraction of the loan recipients. Last week, more controversy roiled the program when reports surfaced that some private schools had received money from the Paycheck Protection Program. But requests for oversight have largely been bipartisan. Rubio has already pledged oversight in his committee. And Treasury Secretary Steve Mnuchin has said his department will audit all loans over $2 million.

The effort Tuesday underscores broader frustrations by Senate Democrats who argue that McConnell forced the Senate -- and many of the chamber's oldest members -- to return at a time when it wasn't necessary and when there is little on the calendar that has to do with coronavirus.

On Monday, senators returned to the US Capitol in more than a month and unanimously confirmed Robert Feitel to be the new inspector general for the Nuclear Regulatory Commission. The Senate Intelligence Committee is also holding a confirmation hearing Tuesday for John Ratcliffe to become the Director of National Intelligence, and later this week, the Senate Judiciary Committee is expected to hold a confirmation hearing for Justin Walker, a protégé of Majority Leader Mitch McConnell's, to become a judge on the DC Circuit Court.

Democrats have tried to ramp up the pressure on McConnell to hold hearings on testing capabilities, response to coronavirus and other issues. The Senate's Health and Education, Labor and Pension Committee is expected to hold a hearing this week on testing and another next week with Dr. Anthony Fauci on oversight and how the country can prepare to get back to work and school. But Democrats have called for more.

"We need hearings," Schumer said in an interview with MSNBC Tuesday morning. "It seems that Leader McConnell along with President Trump does not want to hear the truth. The only way you solve this problem is the truth."

Democrats have also sought to use this week to roll out their priorities for another coronavirus stimulus bill that has yet to be seriously negotiated.

This story has been updated with additional developments Tuesday.