SBA Updates Guidance on Deadlines for PPP Extension

The Small Business Administration last night issued a procedural notice addressing Paycheck Protection Program-related deadlines in the wake of the PPP Extension Act. The law extends the PPP application period through May 31 and provides an additional 30 days for SBA to process pending applications.

The procedural notice addresses several narrow sets of circumstances, including: applications for increased first draws on unforgiven PPP loans approved before Aug. 8, 2020, for eligible partnerships, seasonal employers and agricultural producers; re-applications by or re-disbursements to eligible borrowers who fully or partially repaid their first-draw PPP loans before Dec. 27, 2020; and increases for eligible borrowers who did not accept the full amount of an approved first-draw PPP loan before Aug. 8, 2020. The notice also covers procedures when these types of PPP loans are delayed by SBA hold codes.