Produce groups seek changes to Paycheck Protection Program

Thirty-eight agriculture groups want Congress to adjust the Paycheck Protection Program to make it easier to access for growers.

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(File photo)

Thirty-eight agriculture groups want Congress to adjust the Paycheck Protection Program to make it easier to access for growers.

The groups, including Western Growers, the American Farm Bureau Federation, the National Potato Council and the U.S. Apple Association, wrote a letter to House and Senate leaders suggesting changes to the program.

The letter said agriculture, forestry, fishing and hunting sectors received only 1.3% of the original $349 billion in approved funding.

“The CARES Act is a lifeline for farmers and ranchers struggling to stay afloat during this pandemic,” American Farm Bureau president Zippy Duvall said in a news release.

“COVID-19 has created an unprecedented impact on almost all markets, and farmers are struggling to pay employees while paying their own bills. As lawmakers consider replenishing the disaster loan program, it’s crucial that they ensure agriculture is given equal access to assistance.”

Recently passed legislation provides a second round of funding for the Paycheck Protection Program, and ag leaders outlined priorities for the next round of Small Business Administration loans:

  • Expedite approval of applications for rural lenders and allow farm credit institutions to access the newly established PPP set-aside for small financial lenders.
  • Guidance for agricultural applicants should allow profits from farm equipment trades and breeding livestock to be included in the calculation of income for PPP;
  • Define “primary place of residence” so it includes H-2A guest workers, because many of these workers spend more than half the year in the U.S.; and
  • The eligibility cap for agriculture should increase so family farms and agricultural processors that employ more than 500 employees can continue operating and paying their employees.

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