Good Afternoon Paycheck Protection Program Borrower,
In the month of June, we provided an update that the U.S. Small Business Administration (SBA) had released certain information about Paycheck Protection Program (PPP) loans. In order to protect the personal information of borrowers and their employees the following information was released by the SBA:
  • PPP Loans of $150,000 and greater:
  • Name and address of borrower
  • Loans listed within a range of loan totals; the exact loan amount was not illustrated
  • PPP Loans less than $150,000:
  • Aggregate loan totals released based on business type and geographic location, but no specific borrower information
Last week, a federal judge decisioned that the previously withheld borrower information is not confidential and ordered the SBA to release the names, addresses and precise loan amounts for all Paycheck Protection Program and COVID-19-related Economic Injury Disaster Loan (EIDL) recipients by November 19, 2020.
 
The judge found the SBA’s claimed exemptions from the Freedom of Information Act (FOIA) do not cover the PPP data sought and ordered the information to be disclosed to a coalition of news organizations. The Court further elaborated on its decision stating that transparency “enables meaningful evaluation of whether the PPP and EIDL programs are being operated consistent with applicable legal constraints; whether funds have been distributed fairly, equitably, and devoid of fraud; and whether the programs are achieving their purpose.”

At this time, it remains unclear whether the SBA will appeal this court ruling. Absent an order of stay, the information will be released by the SBA. Please be assured, that all information as submitted to the Bank remains in confidence and all privacy laws remain in place. 
 
If you have any questions regarding this matter, please do not hesitate to reach out to me at 844-882-6436, 724-991-9047, or rvernick@farmersnb.com.  
Warm Regards,

Robert A. Vernick
Senior Vice President
Chief Lending & Bus. Dev. Officer
NMLS# 977437
The Farmers National Bank of Emlenton
612 Main Street
Emlenton, PA 16373
p: 844.882.6436
c: 724.991.9047
f: 724.867.9326