On Monday, May 4, the SBA will issue another Interim Final Rule updating the Paycheck Protection Program—this time limiting the “aggregate amount of PPP loans that any single corporate group may receive.”Continue reading
**Update 5/6/2020: As of May 5, the SBA updated its PPP FAQ’s, announcing its intention to extend the PPP Safe Harbor period to May 14. This post has been updated to reflect this change.
***Update 5/14/2020: As of May 14, the SBA updated its PPP FAQ’s once again, announcing its intention to extend the PPP Safe Harbor period to May 18. This post has been updated a second time to reflect this change. The SBA has also supplemented its guidance on the Safe Harbor Provision, as discussed here.
If you’re a parent, you might be familiar with the SBA and Treasury Department’s current strategy to crack down on businesses taking Paycheck Protection Program funds when they don’t qualify: if ineligible businesses ‘fess up and return the money by May 14, nobody gets in trouble.Continue reading
We’ve written a lot about the Paycheck Protection Program as part of the blog’s COVID-19 coverage. The program has really been helping a lot of businesses, so much so that the money ran out a few days ago.
Well, the Senate has approved a bill that would replenish funds for the Paycheck Protection Program, so more companies can get help.Continue reading
I hope all of our readers are doing well and staying healthy. Here at SmallGovCon, we’ve been monitoring the ongoing updates from the federal government for news relevant to federal contractors.
This week, our attorney-authors provided a few more updates about relief for contractors and other businesses under the Paycheck Protection Program as well as other governmental policies. Updates included the formal Paycheck Protection Program rules and guidance on applying for loans for independent contractors and partnerships, as well as SBA’s policies for HUBZone flexibility.
Unfortunately, SBA’s website now states that it is “currently unable to accept new applications for the Paycheck Protection Program based on available appropriations funding.” In other words, the funds have run out.
But there were many other stories as well, such as a prediction that CMMC will apply to all government procurements, use of the Defense Production Act, and DOD accommodating contractors affected by COVID-19.Continue reading
The SBA is set to release two interim final rules on the Paycheck Protection Program (PPP). While much of the SBA’s guidance and procedure for these loans has already been discussed and released on SBA’s website, this is SBA’s formal rulemaking that aggregates all of the rules on eligibility and how to apply.
The rulemaking also provides a chance for businesses to provide feedback to SBA on what is and isn’t working the program.Continue reading
The title of this post is a touch misleading. Of course the Paycheck Protection Program is helping small businesses. But is it helping the right ones, and is it helping enough of them? Our post last week on the Paycheck Protection Program elicited a lot of feedback. From this feedback and what we’ve heard anecdotally, it’s been tough for many small businesses to get these loans.
But there may be ways for Congress, the SBA, and lenders to make this program–or any similar program that Congress is considering–to help out small businesses more equitably. Below are some questions that policy makers should consider when modifying the Paycheck Protection Program or crafting a similar program in the future.Continue reading