While visiting Flint and Michigan, Harris claimed that out of the hundreds of restaurants in Michigan that received relief funds from the Paycheck Protection Program, only one was Black-owned, The Detroit News reported.
While PPP has been criticized for its treatment of minority-owned businesses, Harris’ claim does not account for the full picture.
According to U.S. Small Business Administration data, nearly 800 full-service restaurants in Michigan received at least $150,000 in loans through PPP. Of those, a grand total of one restaurant reported that its owners were Black or African American, while more than 600 didn’t bother at all to indicate their race or ethnicity.
Furthermore, full-service restaurants are classified differently than fast food and carryout restaurants. According to federal data, two Black-owned fast food and carryout restaurants in Michigan received PPP loans of more than $150,000 while 26 Black-owned restaurants in Michigan received PPP loans of less than $150,000.
A spokesperson for the Biden campaign has justified Harris’ claims on the grounds that they speak to a larger point that Black and minority communities have borne the brunt of the pandemic.
The outlet cited data from the Small Business Administration indicating that about 75% of all PPP loans don’t include any demographic information at the time of the loan application.
This is the Democrats going back to their favorite trope that Republicans are racist. Republicans don’t even want ethnicity questions on the PPP loan application! They want all small business owners to have access to funds needed to keep living the American Dream.
But Democrats wanted ethnicity questions on the application so they could “see” if there was any racism in how the funds were used. And when they didn’t find any, they lied about it anyways.