As was reported yesterday, the Small Business Administration (SBA) and the Treasury Department issued a new Interim Final Rule (IFR) that revises two previous IFRs for the Paycheck Protection Program. This latest rule conforms with changes made by the PPP Flexibility Act.
They qualify to avoid any pay-level-based reduction in loan proceed forgiveness; and
They qualify for either the headcount-based forgiveness reduction safe harbor or the reduced business activity forgiveness reduction safe harbor.
More importantly, the SBA and Treasury have indicated that borrowers may evaluate their eligibility for the head count and pay level forgiveness reduction avoidance safe harbors as of the date their forgiveness applications are filed. This addresses and favorably resolves the "as of" vs. "no later than" ambiguity.
SBA released a new Paycheck Protection Program report, showing PPP loan approvals through June 12th, along with remaining funding for businesses considering a PPP loan. Despite the new Paycheck Protection Program Flexibility Act (PPPFA), it is believed the deadline to apply for a PPP loan remains June 30, 2020.
U.S. Loan Count: 4.5 million
Approved Dollars: $512.2 billion
U.S. Lender Count: 5,457
U.S. Average Loan Size: $112,000
Kansas Approved Loans: 50,103
Kansas Approved Dollars: $4.9 billion
PPP Funding Remaining: $129.7 billion
KADA will continue to provide updates on critical legislative and regulatory measures as they become available. They will also be posted on www.kansasdealers.org.