SBA may waive PPP loan application requirement



The Associated General Contractors of America (AGC) said the US Small Business Administration (SBA) is in the process of removing the requirement that PPP borrowers submit a loan questionnaire when applying for a 2 million loan forgiveness. US dollars or more.

The lender’s notice from the SBA’s district office also indicates that at least one version of the questionnaire is no longer required, but an SBA spokesman said the agency did not comment on whether the questionnaire was withdrawn.

A group of general contractors have been negotiating a settlement for several weeks claim he filed in December 2020 challenging the legality of the questionnaire and the process used by the SBA and the Office of Management and Budget (OMB) to develop, approve and publish it. IN statement On June 23, AGC CEO Stephen Sandherr stated that AGC had learned that the SBA had begun a process to completely withdraw the questionnaire.

When asked by email for more details, Brian Thurmeil, AGC’s vice president of public affairs and strategic initiatives, said the group learned of the SBA’s plans from the US Department of Justice, the federal agency with which the AGC is negotiating a possible termination of the claim against the SBA.

“The Ministry of Justice has informed our lawyers that the SBA has already begun the process of withdrawing the questionnaire by submitting a formal request to OIRA. [Office of Information and Regulatory Affairs]said Tourmail. – Once this is completed, the SBA will make an official announcement of this fact via updated FAQs. Not sure how long it will take, but Justice Department officials have made it very clear that the form is being withdrawn. “

The loan need questionnaire is issued in two versions: SBA 3509 Form, Application for a loan under the payroll protection program (for commercial borrowers), as well as SBA 3510 Form, Loan application form under the payroll protection program (non-commercial borrowers)… The Lender Notice sent by the SBA West Virginia County Office and handed over to AICPA and CIMA reads: “We have received information that Form SBA 3509, the Loan Requirement Questionnaire, is no longer required.” The SBA declined to comment on the notice.

SBA introduced new forms In November. Later that month, AICPA became one of the 80 organizations that signed a letter urging Congress, the Treasury and the SBA to temporarily suspend the use of questionnaires due to concerns about the types and timing of information requested. AICPA sent another letter The following week, OMB and SBA raised concerns that Forms 3509 and 3510 were onerous and did not reflect Congress’s intentions when it instituted PPPs in March 2020.

On May 31, the SBA stopped accepting applications for PPP loans. In 14 months, the program disbursed nearly $ 800 billion in bad loans to nearly 12 million businesses. CPA have played a key role in assisting borrowers in the application and forgiveness process.

Loan needs questionnaires were discussed Thursday on a Mayor’s AICPA webcast, which also includes a deep dive into the issues and calculations of PPP forgiveness. Replay the webcast is available for free on the website AICPA TV

AICPA experts discuss the latest news on PPP and other small business assistance programs during a bi-weekly virtual town hall. Webcasts that provide CPE credit are free for AICPA members and $ 39 for non-members. Go to AICPA Town Hall Series web page for more information and registration. Recordings of town hall events are available for free viewing at AICPA TV

IN AICPA Payroll Protection Program Resources Page contains the resources and tools developed by AICPA to address the economic impact of the coronavirus.

For more news and messages on the coronavirus and how CPAs can tackle the outbreak-related issues, visit JofAfrom coronavirus resource page or subscribe to our email notifications for the latest PPP news.

Jeff Drew ( this is JofA senior editor.


Source link