Paycheck Protection Program Loans Extended to Small Gaming Operations
April 24, 2020 interim final rule from the SBA extends much needed Paycheck Protection Program loan relief to eligible legal gaming operations, including small tribal casinos.
On April 24, 2020, the U.S. Department of the Treasury issued Interim Final Rule on Requirements for Promissory Notes, Authorizations, Affiliation, and Eligibility. As part of the continuous guidance issued regarding the Paycheck Protection Program, the newest Rule extends the loan to eligible legal gaming operations including small tribal gaming operations as follows:
d. Part III.2.b. of the Third PPP Interim Final Rule (85 FR 21747, 21751) is revised to read as follows:
Are businesses that receive revenue from legal gaming eligible for a PPP Loan?
A business that is otherwise eligible for a PPP Loan is not rendered ineligible due to its receipt of legal gaming revenues, and 13 CFR 120.110(g) is inapplicable to PPP loans. Businesses that received illegal gaming revenue remain categorically ineligible. On further consideration, the Administrator, in consultation with the Secretary, believes this approach is more consistent with the policy aim of making PPP loans available to a broad segment of U.S. businesses.
If a tribal or non-tribal legal gaming operation meets the other PPP loan eligibility requirements, it will be eligible to receive the PPP loan.
Sacks Tierney has qualified attorneys to answer your questions about these provisions and to help guide your business if you wish to apply for and obtain any of the assistance available through the CARES Act.