There’s an old joke that one of the biggest lies ever told is, “I’m from the government and I’m here to help you.” The punch line generally gets a laugh, but it’s far from funny when applied to how the federal government has undermined a program designed to help small businesses keep their enterprises functioning in the face of the COVID-19 pandemic.
On March 27, President Donald Trump signed the Coronavirus Assistance and Relief (CARES) Act. Among the measure’s provisions was the Paycheck Protection Program (PPP). It authorized the U.S. Small Business Administration (SBA) to provide loans to businesses so they could maintain their payrolls while weathering the economic storm. The loans were forgivable if the borrower maintained its workforce and used the funds for payroll, rent, utilities and other costs. Additionally, the borrower had to certify that current uncertainty “makes the loan request necessary to support ongoing operations.”