October 8, 2020 (Press Release Number 20-81): The U.S. Small Business Administration (SBA) in consultation with the Treasury Department, released a simpler loan forgiveness application (SBA Form 3508S) for Paycheck Protection Program (PPP) loans of $50,000 or less.
Smart business owners are planning for when the regulations of quarantine will be relaxed and business operations will return. Forward-thinking companies should focus on three areas: 1) use of the loan proceeds under the CARES Act’s Paycheck Protection Program (PPP); 2) safe return-to-work practices, and 3) preparing for COVID-19 related lawsuits. The first area requires legal and financial planning and understanding the PPP. The second requires legal and workplace safety planning to meet CDC workplace safe distancing mandates. The last requires implementing corporate best practices and procedures to prepare now for a potential COVID-19 related lawsuit. This article discusses these topics generally, and the authors are happy to discuss your particular circumstances.
Organizations around the country are beginning efforts to re-open offices, retail businesses, educational institutions, manufacturing facilities, and other physical locations. Interpreting requirements from varying levels of local and state governments while navigating the complexities of best practices issues by trade and industry groups is a challenge that most organizations could use help to manage.
McDonald’s employees in Chicago and Los Angeles have sued over unsafe, COVID-19-related working conditions, claiming the burger giant failed to mandate OSHA/CDC social distancing guidelines and advise employees when their coworkers were diagnosed with the virus.
On April 9, 2020, the Federal Reserve established the Main Street Lending Program (the “Program”) to support lending to small and medium-sized businesses that were in good financial condition before the onset of the COVID-19 pandemic.
On June 9, 2020, Governor Phil Murphy announced he would lift Executive Order 107 signed on March 21, 2020, which placed unprecedented restrictions on non-essential businesses in New Jersey because of the COVID 19 pandemic.
On May 22, 2020, the Small Business Administration (“SBA”) released two interim rules regarding (i) the forgiveness process of the Paycheck Protection Program (“PPP”), and (ii) the SBA’s process for reviewing loan applications and loan forgiveness applications, as well as the responsibilities of borrowers and lenders (collectively, the “Interim Rules”).
On June 5, 2020, President Trump signed into law the Paycheck Protection Program Flexibility Act (PPPFA). The PPPFA makes changes to the Paycheck Protection Program (PPP) established under the CARES Act (signed into law on March 27, 2020).
On May 13, 2020, the New York State Department of Health issued a model plan and guidance for reopening and operating construction sites in New York State during the Covid-19 Emergency. There is also an overall guide from the State entitled: NY Forward Reopening Guide that contains more general information. The following are links to the Master Guide, the Short Guide, Model Plan and Reopening Guide all prepared by the State of New York.
The new guidance memorandum from the U.S. Department of Labor’s Occupational Health & Safety Administration (OSHA) regarding employers’ obligations to record confirmed cases of COVID-19 goes into effect today and rescinds OSHA’s prior guidance on this topic.