June 7, 2020
TO: Virginia SBDC Network
FROM: MD Austin, Access to Capital Counselor
SUBJECT: Payroll Protection Program Flexibility Act as of 6/7/2020
Attached is a first effort to review the changes to the Payroll Protection Program (PPP) that became law on June 5th . Please keep in mind that these changes are based on the reading of the law and does not reflect the implementation of the Act by the SBA and/or the US Treasury. Based on prior guidance from the SBA, the agency took at times a very obscure or unexpected interpretation of the intent of Congress.
Once the SBA does issue their next “Interim Final Rule” this document will be updated. However, given the widespread interest in the PPP forgiveness process and the impact of the most recent legislative changes, it was deemed appropriate to provide this information to the Network to assist counselors and clients decipher the PPP forgiveness gauntlet.
It should be noted that over $110 Billion remains unspent from the 2nd round of PPP funding, and that the program is set to expire on 6/30/2020. Questions remain as to whether this will be extended.
Download a list of changes here.