On Monday, the federal government replenished funds for the Small Business Administration’s (SBA) Paycheck Protection Program (PPP) to help small businesses struggling through the economic impact of COVID-19. The SBA limited lenders to submitting 350 applications per hour through the E-Tran system as the volume of requests doubled compared to the initial distribution of PPP funds earlier this month.
On Friday, President Trump signed a $480 billion interim COVID-19 stimulus package, which includes more than $320 billion in additional funding for the PPP. MHI has been working with a coalition of housing leaders to urge the passage of additional funding for the PPP to ensure our industry receives federal financial support to help weather the impact of COVID-19. The bill also allocates $60 billion for the SBA’s disaster relief fund, $75 billion for hospitals and $25 billion for COVID-19 testing.
The PPP, which was set up to distribute $349 billion in stimulus funds on a first-come, first-served basis, provides much-needed relief for many families and businesses. However, the program quickly depleted its initial funding after it launched April 3rd. With the additional funding allocated by Congress, the SBA will resume accepting PPP loan applications today, April 27th from approved lenders on behalf of any eligible borrower.
When the PPP was established through the Coronavirus Aid, Relief and Economic Security (CARES) Act, MHI submitted a comment letter to the U.S. Department of the Treasury and the Small Business Administration (SBA) to ensure manufactured housing community owners and operators have access to federal aid. SBA issued regulations and guidance that had been interpreted by some lenders as excluding manufactured housing communities from the PPP. Throughout the COVID-19 crisis, MHI has continued its fight to ensure the needs of manufactured housing communities are prioritized in federal regulatory and legislative actions created to help American businesses. MHI is emphasizing before the Administration and Congress that manufactured housing community owners and operators are on the front lines of this pandemic, providing needed services for residents during months-long stay-at-home orders, and they must be supported.