The Paycheck Protection Program (PPP)—called a godsend by some and seriously flawed by others—may be in for a bit of an overhaul.
The House passed the Paycheck Protection Program Flexibility Act on May 28, and the measure is expected to get a vote in the Senate soon, but not before senators seek changes in the House-passed version.
The PPP provides forgivable loans to employers that keep employees on the payroll or bring them back quickly as businesses adjust to the COVID-19 crisis. In its original form, employers were to spend 75% of their loan amount on payroll, and the remaining 25% could be spent on rent, mortgage interest, and utilities. The money had to be spent within an 8-week period beginning on the date the loan was funded.
