Another new update form was issued on 6/24:

Here are some highlights from the newest rules:

• “A borrower may submit a loan forgiveness application any time on or before the maturity date of the loan – including before the end of the covered period – if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness. If the borrower applies for forgiveness before the end of the covered period and has reduced any employee’s salaries or wages in excess of 25 percent, the borrower must account for the excess salary reduction for the full 8-week or 24-week covered period.”
• “A nonpayroll cost is eligible for forgiveness if it was:

• • paid during the covered period; or
  • incurred during the covered period and paid on or before the next regular billing date, even if the billing date is after the covered period.”

For the latest updates, click here.

PREVIOUS UPDATE

The President signed H.R. 7010 — the Paycheck Protection Program Flexibility Act — which passed the House of Representatives last week and the Senate this week. The legislation modifies the Paycheck Protection Program (PPP) to help small businesses through a number of key provisions. It extends the time frame that borrowers have to spend their PPP loans, from 8 weeks to 24 weeks, an important step for most PPP recipients. Additional provisions include:

• Lowering the payroll requirements from 75 percent to 60 percent.
• Extending the loan coverage from June 2020 to December 31, 2020.
• Extending loan term from two years to five years, for the portion that isn’t forgiven.

Do you need face masks for your business?

Thursday, June 18th, the California Governor issued an Executive Order mandating workplace face coverings with few exceptions, when —

Engaged in work, whether at the workplace or performing work off-site, when:

• Interacting in-person with any member of the public;
• Working in any space visited by members of the public, regardless of whether anyone from the public is present at the time;
• Working in any space where food is prepared or packaged for sale or distribution to others;
• Working in or walking through common areas, such as hallways, stairways, elevators, and parking facilities;
• In any room or enclosed area where other people (except for members of the person’s own household or residence) are present when unable to physically distance.

The California Department of Public Health released updated guidance requiring Californians to wear a face covering in most indoor settings, as well as outdoors when social distancing isn’t possible. Any workers who engage with the public will be required to wear a mask.

You can read the full Executive Order by clicking here.

IMPORTANT UPDATE

The President signed H.R. 7010 — the Paycheck Protection Program Flexibility Act — which passed the House of Representatives last week and the Senate this week. The legislation modifies the Paycheck Protection Program (PPP) to help small businesses through a number of key provisions. It extends the time frame that borrowers have to spend their PPP loans, from 8 weeks to 24 weeks, an important step for most PPP recipients. Additional provisions include:

• Lowering the payroll requirements from 75 percent to 60 percent.
• Extending the loan coverage from June 2020 to December 31, 2020.
• Extending loan term from two years to five years, for the portion that isn’t forgiven.