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SBA has guaranteed $1.8B in payroll protection loans in Puerto Rico

The U.S. Small Business Administration has guaranteed 36,417 in loans totaling $1.8 billion under the Payroll Protection Program, for which it will accept applications 11:59:59 p.m. tonight, the agency confirmed.

The June 30 deadline was provided to the PPP by the CARES Act under the “covered period,” the agency added.

The most recent PPP Report, covering the program up until June 27, shows that on a national level, nearly 4.8 million PPP loans totaling $518.8 billion had been disbursed by 5,458 participating lenders, “a more than 200% increase in the normal amount of SBA participating lending partners for the SBA’s flagship programs such as 7(a), 504 and microloans (which is approx. 1,800 lenders),” the agency said.

More than 3.1 million of those loans were for $50,000 or less — or some 66% of all PPP loans nationally. The overall average loan size continued to decrease to $108,000, the agency said.

“We at the SBA are committed to reach every single small business with the PPP Program, do not hesitate and go ahead and apply now,” said María de los Ángeles de Jesús, acting district director for Puerto Rico and U.S. Virgin Islands, which are under the SBA’s Atlantic region.

The region includes New York — which processed 316,814 PPP loans totaling $38.1 billion — New Jersey, with 144,523 loans totaling $17 billion; and the USVI, with 1,724 loans totaling $122.4 million loans have been guaranteed.

Over the weekend, the SBA and the U.S. Department of Treasury also put out a Loan Calculator document for maximum PPP loan amounts across a wide variety of business types. It is very comprehensive in covering different business models.

Additionally, toward the end of last week, the federal agencies also published two Interim Final Rule documents related to the PPP:

  1. Payroll costs that may be included on PPP loan applications submitted by certain boat owners or operators engaged in catching fish or other forms of aquatic animal life (fishing boat owners) that have hired one or more crewmembers who are regarded as independent contractors or otherwise self-employed individuals for certain federal tax purposes. A crewmember may be described in Section 3121(b)(20) of the Code if the fishing boat on which he or she works has an operating crew that is normally made up of fewer than 10 individuals and the crewmember receives as compensation for his or her work a share of the boat’s catch or of the proceeds from the sale of the catch, in an amount that depends on the amount of the catch.
  2. Making two additional modifications to ensure a consistent approach to applicants with criminal histories, further refining eligibility requirements.

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This story was written by our staff based on a press release.

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