On March 16, the House of Representatives passed the PPP Extension Act of 2021 (H.R. 1799) which could extend the PPP application submission deadline from March 31, 2021, until May 31, 2021, giving borrowers more time to access the funds. If passed by the Senate, this extension would apply to both first and second draw PPP loans. The bill would also allow lenders until June 30, 2021, to submit the PPP applications to the SBA providing a buffer for lenders to work through any errors in the current process.
The PPP Extension Act of 2021 is separate from the recently passed $1.9 trillion stimulus bill known as the American Rescue Plan. MMM will provide a more comprehensive review of the PPP Extension Act of 2021 should it pass the Senate.