Since being established as part of the Coronavirus Aid, Relief and Economic Security Act (CARES Act) in March 2020, the Paycheck Protection Program (PPP) has been the subject of additional stimulus bills, legal guidance and interim final rules. In the latest development, Congress passed the Paycheck Protection Program Flexibility Act of 2020, which is a bill that provides borrowers with greater flexibility in spending PPP funds without compromising forgiveness eligibility.
The bill, which passed with a bipartisan vote, makes the following amendments to the PPP to provide relief to borrowers:
In addition to the provisions above, the bill provides loan forgiveness eligibility exemptions for borrowers that are not able to rehire an employee or a replacement. There are also exemptions for loan forgiveness eligibility for borrowers that are not able to return to the same level of business due to complying with COVID-19-related orders or circumstances.
Borrowers should review the bill carefully and speak to their lender should they have any questions. In addition, borrowers should direct any questions regarding their PPP loan to their lender.
Enterprise Risk Strategies (ERS) assists large, non-profit organizations, including the Alliance, in managing their benefit expenditures. Their team of industry experts brings more than 50 years of experience with a unique focus in healthcare consulting, integrated data management, global aggregation solutions, and holistic, person-centric well being.
ERS also brings together the Christian Alliance for Benefits (CAB), first conceived in 2007 by like-minded ministries to enhance the ability to procure competitive, objective and transparent employee benefit programs that exemplify quality, stewardship, integrity, and unity.