• PPP Extended + Infrastructure Details

    PPP Extended
    Yesterday, President Biden signed into law the two-month extension to apply for a Paycheck Protection Program (PPP) loan. As a refresher, the legislation extends PPP through May 31 and allows 501(c)(6) organizations and others more time to pursue a second PPP loan. Further, if eligible organizations apply by May 31, the Small Business Administration will permit lenders an additional 30 days to process and approve any outstanding applications.
    Eligibility criteria for a second PPP loan are as follows:

    • The applicant received a first PPP loan and will or has used the loan only for authorized uses;
    • The applicant employs no more than 300 people; and
    • The applicant can demonstrate at least a 25-percent reduction in gross receipts between comparable quarters in 2019 and 2020.
    The maximum loan amount of a second PPP loan is two-and-a-half times the average monthly 2019 or 2020 payroll costs, up to $2 million.
    Massive Infrastructure Package Unveiled
    The White House this morning outlined its $2 trillion+ infrastructure package. As reported by Punchbowl News, highlights of the plan include the provisions below, among many others:
    • $621 billion for transportation, $174 billion to help grow the electric-vehicle market.
    • $111 billion for safer drinking water.
    • $100 billion for high-speed broadband.
    • $100 billion to upgrade the country's power infrastructure.
    • $213 billion to “produce, preserve, and retrofit more than two million affordable and sustainable places to live."
    • $137 billion for public schools, community colleges and child-care facilities.
    • $100 billion for workforce development.
    • $400 billion for “expanding access to quality, affordable home- or community-based care for aging relatives and people with disabilities.”
    These measures would phase in over eight years. And, among other funding mechanisms, the White House’s plan would increase the corporate tax rate from 21 percent to 28 percent.