SBA releases more info on PPP appeals process, forgiveness FAQs

The Small Business Administration (SBA) has issued an interim final rule (IFR) detailing the process for paycheck protection program (PPP) borrowers to appeal loan forgiveness application decisions. In addition, the agency released more FAQs related to fees, group health care benefits, and the impact of economic injury disaster loans (EIDLs) on PPP forgiveness.

The PPP’s authorization expired Aug. 8; the SBA’s latest data showed that almost $134 billion in funding remained. Congress is currently considering ways to continue and improve the program, including by allowing certain borrowers to take out a second PPP loan and simplifying the forgiveness process, which could be included in a Phase 4 coronavirus relief package.

The IFR informs PPP borrowers and lenders of the process for a PPP borrower to appeal certain SBA loan review decisions under the PPP to the SBA Office of Hearings and Appeals (OHA). Decisions eligible for the appeals process must be an official written decision by SBA, after SBA completes a review of a PPP loan, that finds a borrower:

  • was ineligible for a PPP loan;
  • was ineligible for the PPP loan amount received or used the PPP loan proceeds for unauthorized uses;


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