IARN — The National Corn Growers Association is urging Congress to work with the Small Business Administration to ensure that farming partnerships and limited liability corporations (LLCs) are able to participate in the Paycheck Protection Program (PPP).
NCGA, along with 35 agriculture organizations, recently sent a letter to the leaders of the Senate Committee on Small Business and Entrepreneurship, and the House Committee on Small Business, saying it is critical for agricultural producers, many of whom have structured their operations as partnerships and LLCs, to receive PPP funding regardless of the tax structure. NCGA President John Linder says the SBA has interpreted language from the Economic Aid Act to exclude farm and ranch operations structured as partnerships and LLCs.
“We appreciate the work that has been done by the Small Business Administration thus far to ensure the paycheck protection program works for the nations corn farmers and ranchers,” Linder said. “The issue is tax status and business structure sometimes gets in the way. I’m not sure that the original intent was to have those kinds of roadblocks, but sometimes in administrative efforts we kind of overlook things. We’d like for this to be fixed administratively.”
“There is bipartisan legislation introduced that would allow for all farmers to participate fully in the program,” Linder said. “But with the program’s expiration of March 31st, time is of the essence. We’re really advocating on all fronts because of the time crunch.”
The full letter can be viewed here.
Story courtesy of the Iowa Agribusiness Radio Network
Image courtesy of the National Corn Growers Association
