The US Small Business Administration (SBA) and the Treasury have agreed to publish the names and amount ranges for all Paycheck Protection Program (PPP) loan recipients of $ 150,000 or more.
In a press release issued Friday evening, Treasury Secretary Steven Mnuchin and SBA Administrator Jovita Carranza said they had reached an agreement with bipartisan leaders of the Senate Small Business Committee to release additional data. concerning the PPP.
Specifically, the SBA will disclose trade names, addresses, North American Industry Classification System (NAICS) codes, postal codes, type of business, demographics, non-profit information. profit, supported jobs and loan amount ranges as follows:
- $ 150,000 to $ 350,000
- $ 350,000 to $ 1 million
- $ 1 million to $ 2 million
- $ 2 million to $ 5 million
- $ 5-10 million
These categories account for nearly 75% of approved loan dollars, according to the SBA and Treasury. For loans under $ 150,000, the SBA will publish aggregate totals by zip code, industry, type of business, and various demographic categories.
“We seek the appropriate balance between public transparency, while protecting the payroll and personal income information of small businesses, sole proprietors and independent contractors,” Mnuchin said in the statement.
PPP loans totaling over $ 510 billion have been approved so far. The deadline to apply for the $ 659 billion program is June 30.
PPP in brief
Congress created the PPP under the $ 2 trillion CARES Aid, Relief and Economic Security (CARES) Act, PL 116-136. The legislation allowed the Treasury to use the SBA’s Small Business Loan Program 7 (a) to fund forgivable loans of up to $ 10 million per borrower that qualifying businesses could spend to cover payroll, mortgage interest. , rent and utilities.
The loans are available for small businesses that were in operation on February 15 with 500 or fewer employees, including nonprofits, veterans organizations, tribal businesses, self-employed, sole proprietorships and independent contractors. Businesses with more than 500 employees in certain industries can also apply for loans.
Congress designed the loans to support organizations facing the economic hardships created by the coronavirus pandemic and help them continue to pay employee salaries. PPP loan recipients may have their loans canceled in full if the funds have been used for eligible expenses and other criteria are met. The amount of the loan forgiveness may be reduced based on the percentage of eligible costs attributed to non-salary costs, any decrease in employee numbers and decreases in wages or salaries per employee.
AICPA experts discuss the latest news on PPP and other small business support programs at a virtual weekly town hall. The webcasts, which offer CIP credits, are free to AICPA members. Go to AICPA Town Hall Series web page for more information and to register.
the AICPA SBA Paycheck Protection Program Resource Page houses resources and tools produced by the AICPA to help cope with the economic impact of the coronavirus.
For more information and stories on the coronavirus and how CPAs can handle the challenges of the outbreak, visit JofA‘s coronavirus resource page or subscribe to our email alerts for the latest PPP news.
– Jeff drew ([email protected]) is a JofA senior editor.
