The Paycheck Protection Program Flexibility Act of 2020 (the
"Flexibility Act"), which is intended to address
problematic elements of the Paycheck Protection Program
("PPP"), was signed into law by the President on June 5,
2020. Highlights of the Flexibility Act include the following:
Loan Application Period. Although the
Flexibility Act extends the "covered period" during which
eligible borrowers may receive PPP loans under the Coronavirus Aid,
Relief, and Economic Security Act ("CARES Act") from June
30, 2020 to December 31, 2020, a statement of legislative intent,
signed by certain members of Congress, has been entered into the
Congressional Record stating that this change was not intended to
permit the Small Business Administration ("SBA") to
continue accepting PPP loan applications after June 30, 2020. In
addition, in a joint statement issued on Monday, June 8, 2020, the
SBA Administrator and the U.S. Treasury Secretary said that new
rules will be issued
