CBA Statement on Treasury, SBA Latest PPP Forgiveness Process

October 9, 2020
Nick Simpson

CBA Statement on Treasury, SBA Latest PPP Forgiveness Process

 

WASHINGTON – Consumer Bankers Association President and CEO Richard Hunt issued the following statement after the Small Business Administration and the Department of Treasury attempted to streamline the forgiveness application for Paycheck Protection Program loans less than $50,000:

 

“While we appreciate SBA and Treasury attempting to streamline the forgiveness process, it is apparent Congressional action is needed for the true streamlined forgiveness mom-and-pop businesses need. This newest process still requires a significant investment of time and resources from small business owners – resources which could be better spent paying their employees and supporting local economies.  

 

“Congress can solve this problem tomorrow and inject the equivalent of $7 billion into our economy by passing bipartisan, common-sense legislation to streamline PPP forgiveness for small businesses on Main Street in communities across the country.”

 

NOTE: S. 4117 has 31 sponsors and was introduced by Sens. Kevin Cramer (R-N.D.), Bob Menendez (D-N.J.), Thom Tillis (R-N.C.) and Kyrsten Sinema (D-Ariz.). The legislation and its House companion, H.R. 7777, calls for streamlined forgiveness of PPP loans less than $150,000 if the borrower answers a simple, one-question attestation the funds were used in accordance to PPP guidelines to retain employees. Nothing in the legislation prevents the audit of PPP loans less than $150,000 for fraud. According to independent analysis by AQN Strategies, simplified or automatic forgiveness could collectively save the smallest small businesses owners more than $7 billion dollars and hours of paperwork.

 

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About the Consumer Bankers Association:

The Consumer Bankers Association represents America’s leading retail banks. We promote policies to create a stronger industry and economy. Established in 1919, CBA’s corporate member institutions account for 1.7 million jobs in America, extend roughly $4 trillion in consumer loans and provide $275 billion in small business loans annually. Follow us on Twitter @consumerbankers.