PPP Loan Forgiveness Information & Application

 

Thank you for placing your trust in First Option Bank to secure a loan under the Paycheck Protection Program (PPP). It is our honor to serve you and your business through these challenging times. 

Bob Means, our PPP Forgiveness Program Account Manager, will be handling all forgiveness applications. If you have any questions or concerns about the forgiveness process, please direct them to Bob at [email protected]. He will assist you as best able.

Email Bob Means

Forgiveness Application Resources

There are three types of applications. Use the table below to determine which one you qualify for the appropriate resources. If you still have questions, contact Bob Means.

3508 S	3508 EZ	3508
$150,000 or Less
3508 S FORM & INSTRUCTIONS   3508 S CHECK LIST	3508 EZ FORM & INSTRUCTIONS   3508 EZ CHECK LIST	3508 FORM & INSTRUCTIONS   3508 CHECK LIST

*For loans in the amount of $150,000 or less, required documentation is not to be provided to the bank, but is to be retained by the borrower.
 

The Documents You May Need for Forgiveness

Forgiveness documentation can be found in the appropriate checklist in the above table. You will need documents verifying the number of full-time equivalent employees on payroll and their pay rates, for the periods used to verify you met the staffing and pay requirements. These documents can be one or more of the following:

• Compensation: Documentation (payroll records, staffing schedules, etc.) supporting the certification that annual salaries or hourly wages were not reduced by more than 25 percent during the Covered Period or the Alternative Payroll Covered Period relative to the period between January 1, 2020 and March 31, 2020.Payroll reports from your payroll provider.
  • 2019 Payroll tax filings (Form 941)
  • Bank account statements showing qualified payroll, mortgage/lease payments or utility expenses.
  • Schedule of employees to include their name, employee number, and compensation
  • Income, payroll, and unemployment insurance filings from your state
  • Documents verifying any retirement and health insurance contributions
     
• Operations: If applicable, documentation supporting that the Borrower was unable to operate between February 15, 2020 and the end of the Covered Period at the same level of business activity as before February 15, 2020 due to compliance with requirements established or guidance issued between March 1, 2020 and December 31, 2020 by the Secretary of Health and Human Services, the Director of the Centers for Disease Control and Prevention, or the Occupational Safety and Health Administration, related to the maintenance of standards of sanitation, social distancing, or any other work or customer safety requirement related to COVID-19. This documentation must include copies of the applicable requirements for each borrower location and relevant borrower financial records.
  • Documents verifying your eligible interest, rent, and utility payments (canceled checks, payment receipts, account statements)if these are being claimed.
     
• FTE and Hours: If applicable, documentation supporting that the Borrower did not reduce the number of employees or the average paid hours of employees between January 1, 2020 and the end of the Covered Period (other than any reductions that arose from an inability to rehire individuals who were employees on February 15, 2020, if the Borrower was unable to hire similarly qualified employees for unfilled positions on or before December 31, 2020). This documentation must include payroll records that separately list each employee and show the amounts paid to each employee between January 1, 2020 and the end of the Covered Period.
  • Documents evidencing any FTE safe harbor exemptions – written evidence that previous positions were offered and declined, were fired for cause, voluntarily resigned, or voluntarily requested a reduction in hours. In all cases, the borrower only has to potentially show written evidence if the position was not filled by another employee and forgiveness is being sought.
    
     
• Safe Harbor Employees: Documentation regarding any job offers and refusals, refusals to accept restoration of reductions in hours, firings for cause, voluntary resignations, written requests by any employee for reductions in work schedule, and any inability to hire similarly qualified employees for unfilled positions on or before December 31, 2020.
   
• Operations: If applicable, documentation supporting that the Borrower was unable to operate between February 15, 2020 and the end of the Covered Period at the same level of business activity as before February 15, 2020 due to compliance with requirements established or guidance issued between March 1, 2020 and December 31, 2020 by the Secretary of Health and Human Services, the Director of the Centers for Disease Control and Prevention, or the Occupational Safety and Health Administration, related to the maintenance of standards of sanitation, social distancing, or any other work or customer safety requirement related to COVID-19. This documentation must include copies of the applicable requirements for each borrower location and relevant borrower financial records.
   
• Other Supporting Materials: Borrowers should retain all worksheets, calculations, schedule or other records relating to the Borrower’s PPP loan, including documentation submitted with its PPP loan application, documentation supporting the Borrower’s certifications as to the necessity of the loan request and its eligibility for a PPP loan, documentation necessary to support the Borrower’s loan forgiveness application, and documentation demonstrating the Borrower’s material compliance with PPP requirements.
  • If applicable, EIDL Advance amount and application number.