The ADA News (5/27, Garvin) reports that the Association “is supporting new legislation to increase flexibility in the Paycheck Protection Program but continues to advocate for further changes to help dentists who have received these loans.” The article said that the ADA sent a May 26 letter to Reps. Chip Roy, R-Texas, and Dean Phillips, D-Minn., to thank the lawmakers for introducing HR 6886, the Paycheck Protection Program Flexibility Act.
The article explained that HR 6886 would “provide flexibility for Paycheck Protection Program loans, including granting additional time for the forgiveness period beyond the current eight-week limitation and flexibility on the 75/25 payroll vs. operating costs” and noted that the ADA supports “the bill’s plan to defer payroll tax and introduce protections for employers who make ‘good faith efforts’ to rehire employees.” The article also said the ADA asked the legislators “to include additional provisions to the Paycheck Protection Program Flexibility Act or in future legislation; chiefly, the addition of a tax credit or grant for businesses that received their Paycheck Protection Program loans early in the process and have made every effort to follow the rules.”
“Many dental offices hired their employees back even before they were allowed to reopen in order to comply with the intent of the CARES Act and the Paycheck Protection Program loan program,” ADA President Chad P. Gehani and Executive Director Kathleen T. O’Loughlin wrote in the letter to Reps. Roy and Phillips. “Those entities should be given additional compensation since they will likely not be able to take full advantage of the flexibility.”
The article concluded by saying that the Association and other stakeholders “will continue to advocate for allowing 501(c)(6)s to apply for Paycheck Protection Program loans or other small business loan programs, and to allow the funds to be used to pay for the additional personal protective equipment that dental offices now require to protect dentists, their employees and their patients.”
Follow all of the ADA’s advocacy efforts in response to the pandemic at ADA.org/COVID19Advocacy.