Today, the President signed into law the Paycheck Protection Program and Health Care Enhancement Act (the “Act”). The Act expands access to the Paycheck Protection Program for small businesses who were not able to participate in the first round of funding.
- $310 billion to replenish the Paycheck Protection Program.
- $60 billion of that total will be allocated to small lenders and minority and community businesses.
- Confirms farmers and ranchers are eligible borrowers under the PPP.
- $60 billion to replenish the Economic Industry Disaster Loans ($10 billion for the Emergency Grant program).
- $75 billion in direct payments to hospitals and healthcare providers.
- $25 billion to support state-focused coronavirus testing.
Fraser Stryker has previously provided an update regarding the Act’s appropriation of funds for hospitals and health care providers (including funds appropriated for rural health clinics). That update is available here.
The SBA will start processing additional PPP Applications on Monday, April 26, 2020, at 9:30AM CDT.
Mark L. Brasee
Neil P. Hassler
This article has been prepared for general information purposes and (1) does not create or constitute an attorney-client relationship, (2) is not intended as a solicitation, (3) is not intended to convey or constitute legal advice, and (4) is not a substitute for obtaining legal advice from a qualified attorney. Always seek professional counsel prior to taking action.