Here we discuss these problems and offer solutions that might help the SBA make PPP data more effective for the public, business owners,consumer advocates and policy makers. Despite reports that suggest some borrowers might have had alternatives to a PPP loan, the data simply doesn’t allow us the ability to determine much about who got the loans or what the loans paid for.Īfter reviewing the data, NCRC has found significant flaws that preclude a useful analysis. The term “ PPP shaming,” referring to when businesses are deemed unworthy of receiving the program’s grants, has entered the lexicon. ![]() Some businesses have complained that they are listed in the data despite never having applied for a PPP loan. With over $100 billion dollars still available, business owners complain that they are still waiting for their applications to be processed and many complain that they were denied loans they needed to sustain their business. The reaction to the new PPP data released earlier this month has not been very positive. Neither Mnuchin nor Kudlow seemed aware that the SBA advises loan recipients that their information would be released and that the agency has released detailed loan level data about their borrowers for years for the public to analyze. White House economic adviser Larry Kudlow went even further, noting that the administration “ never promised” to release detailed information about the loan recipients. The decision to release PPP data followed weeks of Treasury Secretary Steven Mnuchin steadfastly refusing to disclose what he felt was “proprietary” information. This mistake has damaged public trust in both the program and the SBA. However, the focus at the federal level did not initially consider transparency. Congress created the PPP to provide that help. The massive scale of the economic fallout brought on by the COVID-19 pandemic has created a profound anomaly, leaving millions unemployed and stagnating small business growth across the U.S. ![]() Under this program, businesses can apply for a loan which will be forgiven once they fulfill the requirements of the program. On July 6, 2020, the Small Business Administration (SBA), bowing to pressure from Congress, community groups and the public, released a more detailed view of loans made under the Paycheck Protection Program (PPP) between April 3, 2020, and June 30, 2020. But the data gaps could be corrected if the government moves quickly to ensure more demographic information is gathered when small businesses apply to have their PPP loans forgiven. The government’s Paycheck Protection Program data is so flawed it is virtually useless to the public, consumer advocates or public officials who want to know who received money from the program, if there was any bias in how the money was distributed, or how much money went to specific communities.
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