In our effort to continue to provide MBI members with the most up to date information on issues pertaining to COVID-19 in the construction industry, we are continuously updating our MBI Blog. MBI compiled a list of guidance and informational websites for your team to review. This site will serve as our main communication link throughout the COVID-19 crisis and will include all new information going forward. Also, AGC of America has offered additional information on their site. Again, it is recommended that you reference this site often as it is being continuously updated: https://www.agc.org/coronavirus-covid-19
Treasury Department and Small Business Administration Release New FAQ for Lenders and Borrowers for the Paycheck Protection Program
MBI’s Partner, BrownWinick Law Firm, provided this update yesterday for those members seeking new information on the Paycheck Protection Program.
The Treasury Department and SBA issued guidance yesterday setting forth a safe harbor for any borrower whose Paycheck Protection Program loan is less than $2M, indicating that those borrowers will be deemed to have made the required certification concerning the necessity of the loan in good faith.
Further, Treasury and the SBA clarified that borrowers with loans greater than $2M may still have an adequate basis for making the required good-faith certification based on the individual borrower’s circumstances.
Late Friday, the SBA released much-anticipated guidance regarding the forgiveness component of Paycheck Protection Program loans:
Link: SBA and Treasury Release Paycheck Protection Program Loan Forgiveness Application
The guidance includes the forgiveness worksheet that borrowers will be required to fill out as well as information on the types of documentation that borrowers will need to maintain for purposes of supporting their claims for loan forgiveness.
If you have questions or would like to discuss, please contact Brian Rickert at the BrownWinick Law Firm at the contact information below.
Brian Rickert, Construction Practice Group Chair
MBI, AGC Recap COVID-19 Impact in Iowa to Assist with Documentation for Paycheck Protection Program
In an effort to help Paycheck Protection Program participants, MBI and AGC of America have assembled a couple packets of articles, documents, news coverage and blog posts in chronological order to assist your company in the event you need documentation for the Small Business Administration covering topics like declining demand, growing layoffs and general worries about market conditions for the construction industry.
There is no doubt that construction was impacted by COVID-19, like many industries. But we wanted to make sure you had referenced material on market conditions to justify keeping projects going and your employees on the payroll.
IOWA: To access MBI’s more localized content on market conditions, you can find that packet HERE.
NATIONAL: To access AGC of America’s content on Current Construction Business Conditions, you can find that document HERE.
If you feel it appropriate, please consider including either packet of material in the records you retain relating to your application for a Paycheck Protection Program loan. These packets should provide an overview of the nationwide market conditions the industry faced when firms opted to apply for the loans.
Gov. Reynolds Signs New Proclamation Opening More of Iowa Economy
You can view the new proclamation signed by Gov. Reynolds here.