Section 1 Short title
This Act may be cited as the “Fair PPP Accounting Act”.
Fair PPP Accounting Act
A BILL
To amend the definition of eligible entity in the second draw loan program of the Small Business Administration, and for other purposes.
Sec. 2 Eligibility for paycheck protection program second draw loans
Section 7(a)(37)(A)(iv)(I)(bb) of the Small Business Act (15 U.S.C. 636(a)(37)(A)(iv)(I)(bb)) is amended—
in subitem (AA), by striking “during the first” and all that follows through “in 2019” and inserting the following: “during any contiguous 90-day period in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during the same period in 2019”; and
by striking subitems (BB), (CC), and (DD) and inserting the following:
“(BB) if the entity was not in business during the entirety of 2019, but was in business for not fewer than 90 consecutive days beginning in 2019, had gross receipts during any contiguous 90-day period beginning in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during the same 90-day period beginning in 2019; and
“(CC) if the entity was not in business during 2019, but was in operation for not fewer than 90 consecutive days during 2020, had gross receipts during any contiguous 90-day period in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during an earlier contiguous 90-day period in 2020;”