The Small Business Administration will release the names of borrowers who have received P3 loans over $ 150,000. The decision was announced Friday under pressure from the Senate Small Business Committee to increase transparency of the $ 670 billion federal program.
The SBA says it will release names, addresses, type of business, demographics, number of jobs supported and other details. But the specific loan amounts per company will not be disclosed. Instead, the SBA will allocate borrowers according to loan size ranges, the lowest being $ 150,000 to $ 300,000 and the highest being $ 5 million to $ 10 million.
The move comes after Treasury Secretary Steven Mnuchin had previously expressed concerns about the disclosure of specific loan data due to confidentiality PPP loan amounts given are based on historical payroll information.
The SBA has not said when the data will be released.
While only 14% of PPP borrowers have accessed loans over $ 150,000, they represent nearly 75% of total loans issued, according to data published by the SBA.
“We seek the appropriate balance between public transparency, while protecting the payroll and personal income information of small businesses, sole proprietors and independent contractors,” Mnuchin said in a statement.
Republican Senator Marco Rubio of Florida, who chairs the Senate Small Business Committee, supported the decision.
“The American people deserve to know how effective the PPP has been in protecting the small businesses of our country and the tens of millions of Americans they employ. This is the standard by which we have to measure the success of the PPP: how many paychecks have been protected, ”Rubio said in a statement Friday.
Acknowledging the concerns of business owners over the disclosure of confidential information, Rubio said the agreement “balances these concerns with the need for transparency.”
The PPP program has underwent a number of changes since its initial launch in April. In order to get the loan canceled, borrowers now have 24 weeks to spend the money (originally 8 weeks), and 60% must go towards the payroll, down from the initial requirement of 75%.