The Coronavirus Aid, Relief, and Economic Security Act (CARES Act), passed in March of 2020, creates new Small Business Administration (SBA) loan and grant programs – and expands eligibility to additional small business entities – which may be of interest to cooperatives and their consumer-members.
NRECA is requesting that SBA ensure America’s electric cooperatives are deemed as qualifying
business concerns in any guidance, regulations, and application forms implementing the Paycheck
Protection Program and are able to fully participate and benefit as small businesses serving their local
communities. In the meantime, NRECA strongly urges cooperatives that are interested in applying for the Paycheck Protection Program to review additional information that has been provided on the Treasury website and to closely look at the 7(a) terms and conditions in the SBA loan documents. Cooperatives can also contact their regional SBA office for additional information on local lenders.