The National Corn Growers Association (NCGA), along with K·Coe Isom, today led a coalition of 35 agriculture organizations urging Congress to work with the Small Business Administration (SBA) to ensure that farming partnerships and limited liability corporations (LLCs) are able to participate in the Paycheck Protection Program (PPP).
In a letter to the leaders of the Senate Committee on Small Business and Entrepreneurship, and the House Committee on Small Business, the organizations said it is critical for agricultural producers, many of whom have structured their operations as partnerships and LLCs, to receive PPP funding regardless of tax structure.
“As you know, farming and ranching are capital-intensive operations often operating at a loss and with owners who frequently do not work for wages,” the organizations wrote.
Section 313 of The Economic Aid Act made changes to the initial eligibility requirements for PPP, recognizing the special circumstances of those working in agriculture and helping many farmers and ranchers participate in the program. Unfortunately, the SBA has since interpreted this language to exclude farm and ranch operations structured as partnerships and LLCs.
“We believe this interpretation is in error and is preventing many farm and ranch families from participating in the PPP,” the organizations wrote. “We ask that you clarify to SBA that Congress intended to include farm partnerships and LLCs in Section 313.”
Click here for PDF of letter.
About K·Coe Isom
K·Coe Isom is a Top 100 accounting firm and the nation’s leading food and agriculture consulting firm. With roots dating back to 1932, the firm has expanded upon traditional accounting services to deliver increased value and growth for clients through comprehensive policy-to-plate strategies, and specialized advisory in the areas of sustainability, government and public affairs, land conservation, wealth management, succession planning, and strategy - to name a few. K·Coe Isom provides insight and solutions for food and agriculture, biofuels, manufacturing, construction, and banking industries. The firm serves domestic and international clientele from locations spanning the United States, and through its Pinion Advisory division serving agribusinesses in U.S. and Australia. Visit www.kcoe.com.