PPP funds set to expire - Deadline is June 30

The deadline to apply is Tuesday, June 30. That means the loan has to have a number after being submitted to SBA so actually the practical deadline considering paperwork is prior to that. Approximately $144 billion remains available, and the rush on the forgivable loans has slowed.

New Colorado numbers for loans made show:

PPP (ao 6/22): 101,038 loans valued at $10,270,215,384

EIDL Advance (ao 6/21): 69,803 loans valued at $220,340,000
SBA Implements PPP Loan Forgiveness Changes in Rule

The Small Business Administration last night issued a new interim final rule implementing in regulation changes made to the Paycheck Protection Program loan forgiveness process by the PPP Flexibility Act and other recent developments, including the SBA’s simplified Form 3508EZ forgiveness application.
‌
The rule conforms previous rules to reflect provisions of the PPPFA, including the covered period for forgiveness, non-payroll costs eligible for forgiveness, reductions in the forgiven amount and the timing of when borrowers must apply for forgiveness to avoid making payments. It confirms that borrowers may submit forgiveness applications any time on or before the loan matures, including before the end of the covered period, provided they have used all of the loan funds for which they wish to apply for forgiveness.
‌
The rule also incorporates exemptions in the PPP Flexibility Act that preserve loan forgiveness for employers that made good-faith attempts to rehire employees or fill vacant positions (and retained a previous exemption for employers that have reduced employee hours and offered in good faith to restore them) or whose business could not return to normal because of public health directives. SBA interpreted the latter exemption to include “both direct and indirect compliance” with state and local shutdown orders as well as federal guidance.  Read the interim final rule . 
SBA: 4.7M PPP Loans Made as of June 20 

Lenders nationwide had made approximately 4.7 million PPP loans totaling $515 billion as of Saturday, SBA reported over the weekend.

Forty-four percent of all PPP loans were made by lenders with less than $10 billion in assets, 19% were made by institutions with $10 billion to $50 billion in assets, and 37% were made by institutions with more than $50 billion in assets. The overall average loan size was $110,000.
 
The data also included an updated list of the top 15 PPP lenders. The top five PPP lenders were JPMorgan Chase, Bank of America, PNC, Truist and Wells Fargo. With the PPP program now in its final days before the program expires on June 30, approximately $128 billion was still available as of the report date.  Read more .  
Fed Updates Main Street Lending Program FAQs

The Federal Reserve late Sunday night updated several of the frequently asked questions for the Main Street Lending Program.

Among other things, the updated FAQs address debt refinancing under the Main Street Lending Program Liquidity Facility and the application of lending limit regulations.  Read the updated FAQs . 
IRS Offers Resources on EIP Eligibility

The IRS has provided additional outreach tools regarding eligibility for individuals to receive CARES Act economic impact payments. The IRS reminded individuals who do not have income or file a tax return, including homeless people, that they may still be eligible to receive a CARES Act economic impact payment.

To receive an EIP, individuals must sign up at  IRS.gov/nofilerEIP  and provide certain information (including name, date of birth and Social Security number) to receive their payment.  Learn more .
Policymaking in a pandemic:
How banks and business fared in the 2020 legislative session
 
A free webinar for CBA members
($50 per-person value)
 
Monday, June 29, 2020
10 a.m. to 11 a.m. 
 
COVID-19 paused our economy: did legislators pile on? – Loren Furman, Senior Vice President State and Federal Relations, Colorado Chamber of Commerce
 
Battling for banks – Some new legislative challenges arose, while others reappeared – Melanie Layton, Lobbyist and Co-owner, Colorado Legislative Strategies (CBA lobbyists)
 
Ballot boxing match – Learn the over-under on potential initiatives for voters to decide this November – Sarah M. Mercer, Shareholder, Brownstein Hyatt Farber Schreck
 
Lingering questions – 15 minutes
 
The event will be moderated by CBA President Jenifer Waller
Colorado Bankers Association
303-825-1575 | 303-825-1585