Wednesday, May 22, 2024

SBA looks for help – what does it imply?

We received an email notice from the SBA recently asking us to spread the word that they are looking to hire a large number of people who are experienced bankers, or who have accounting or finance experience.

The agency is looking for temporary employees for a period of 2-6 months. During those 2-6 months, it would be a full-time position, and it is intended to be done virtually.

“It may be a good opportunity for some people, but I think it may not be a good development for bank customers who participated in the Payroll Protection Program,” OBA Chief of Staff Adrian Beverage said. “What it suggests to me is the SBA plans to add these new people to help the agency more thoroughly review and ‘audit’ PPP loan applications. They will be looking at whether those applications that were submitted were in compliance with the program’s guidelines.

“We already know that (Treasury Secretary Stephen) Mnuchin has announced that all loans above $2 million will be audited. With this latest move, I think the SBA has plans to audit a lot more loans than those in excess of $2 million. That’s something bankers who made PPP loans should be aware of, and they should also make sure their customers are aware of what these new positions might mean for the ‘forgiveness’ element of the PPP process.”

Beverage noted the overwhelming number of PPP loans in the second wave were less than $100,000.
“We’re not looking at a large number of loans in excess of $2 million.” he said.

“It just seems to suggest that a lot more loans are going to be audited than the secretary suggested.”
Applications for the SBA positions may be submitted at the USA Jobs site at https://www.usajobs.gov/GetJob/ViewDetails/563879000 and https://www.usajobs.gov/GetJob/ViewDetails/567521100.