HIDA Government Affairs Alert

June 5, 2020

Congress Passes Updates To PPP

On June 5, 2020, President Trump signed H.R. 7010, the Paycheck Protection Program Flexibility Act . The bill includes several updates to the Paycheck Protection Program (PPP), initially funded by the Coronavirus Aid, Relief, and Economic Security (CARES) Act  to support small businesses as the country responds to COVID-19. In April, the Small Business Administration extended PPP eligibility to community-owned rural hospitals as well as small businesses. Updates to PPP under the new legislation include:

  • Providing the option to extend the deadline to spend PPP funds from eight weeks to 24 weeks
  • Reducing the required forgiveness eligible payroll spending from 75% to 60%
  • Allowing PPP borrowers to defer their 2020 social security taxes into 2021 and 2022
  • Extending the deadline to restore pre-COVID staffing levels from June 30 to December 31, 2020
  • Maintaining forgiveness eligibility for companies that document an inability to rehire workers or to find similarly qualified workers

The bill passed 417-1 in the House and without opposition in the Senate.

View HIDA’s previous analysis of the PPP►

View HIDA’s analysis of the CARES Act►

HIDA Government Affairs continues to stay engaged with our partners on Capitol Hill and will provide updates as they become available. Please feel free to reach out to us at HIDAGovAffairs@HIDA.org or 703-549-4432.