View Information Collection Request (ICR) Package

OMB Control No: 3245-0407	ICR Reference No: 202107-3245-002
Status: Historical Active	Previous ICR Reference No: 202106-3245-002
Agency/Subagency: SBA	Agency Tracking No:
Title: Paycheck Protection Loan Program Borrower Information Form and Lender's Application for Loan Guaranty
Type of Information Collection: Revision of a currently approved collection	Common Form ICR: No
Type of Review Request: Emergency	Approval Requested By: 07/26/2021
OIRA Conclusion Action: Approved with change	Conclusion Date: 07/29/2021
Retrieve Notice of Action (NOA)	Date Received in OIRA: 07/19/2021
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	01/31/2022	6 Months From Approved	09/30/2021
Responses	44,384,854	0	37,002,166
Time Burden (Hours)	12,947,044	0	9,935,129
Cost Burden (Dollars)	565,596,195	0	355,220,794

Abstract: Section 7(a) of the Small Business Act (15 U.S.C. 636) authorizes the Small Business Administration to guarantee loans made by banks or other financial institutions to qualified small businesses in the 7(a) Loan Program. The regulations covering this loan program at 13 CFR Part 120 require loan applicants and lenders to provide certain information that is used to determine program eligibility and compliance. CARES Act PL 116-136 will also cover this program.

Emergency Justfication: July 19, 2021 Susan Minson SBA Desk Officer Office of Management and Budget Dear Ms. Minson: Pursuant to the Office of Management and Budget (OMB) procedures in 5 CFR Part 1320, SBA requests emergency review of revisions to the collection of information for the Paycheck Protection Program Loan Program (PPP Loan Program). This information collection (OMB Control Number 3245-0407) is currently approved under emergency proceedings until September 30, 2021. This request for emergency processing, includes a request for waiver of the requirement to publish the 60-day and 30-day public comment notices in the Federal Register. SBA is requesting approval to implement changes to loan forgiveness forms SBA Form 3508, Paycheck Protection Program, Loan Forgiveness Application Form 3508, SBA Form 3508EZ, Paycheck Protection Program, PPP Loan Forgiveness Application Form 3508EZ, and SBA Form 3508S, Paycheck Protection Program, PPP Loan Forgiveness Application Form 3508S. Among other things, the three forms were revised as follows: • To reflect changes made to the calculation of payroll costs by Schedule C filers for PPP purposes under the interim final rule titled “Business Loan Program Temporary Changes; Paycheck Protection Program Revisions to Loan Amount Calculation and Eligibility” (Loan Amount Calculation Rule). • To incorporate payroll cost exclusions required by the American Rescue Plan Act. (P.L. 117-2). • To delete the question (and instructions) related to the SBA Form 3509, Loan Necessity Questionnaire (For-Profit Borrowers) and SBA Form 3510, Loan Necessity Questionnaire (Non-Profit Borrowers) that SBA is requesting approval to discontinue. SBA has also made revisions to the SBA Form 3508S and Instructions, the SBA Form 3508D, and [No Form Number] Lender Reporting Requirements Concerning Requests for Loan Forgiveness to reflect changes made under the interim final rule titled “Business Loan Program Temporary Changes; Paycheck Protection Program – COVID Revenue Reduction Score, Direct Borrower Forgiveness Process, and Appeals Deferment.” SBA has also made a revision to [No Form Number] Lender Reporting Requirements for Loan Review related to the discontinuance of the SBA Form 3509, Loan Necessity Questionnaire (For Profit Borrowers) and SBA Form 3510, Loan Necessity Questionnaire (Non-Profit Borrowers). Susan Minson Page 2 Finally, SBA is requesting approval to discontinue SBA Form 3509, Loan Necessity Questionnaire (For-Profit Borrowers) and SBA Form 3510, Loan Necessity Questionnaire (Non-Profit Borrowers). The authority for the program expired on June 30, 2021. There is an urgent need to make the revised forgiveness forms available as soon as possible because (a) borrowers are continuing to apply for forgiveness and it is important that borrowers are able to use forms with the most updated information, and (b) there is a short period of time before certain borrowers will be required to begin making principal and interest payments on their loans if they have not yet applied for forgiveness with their lenders, and the changes to the SBA Form 3508S will allow the borrowers to have another alternative to submit their forgiveness applications. Therefore, given the urgent need to make the revised information collection available to the affected small businesses and nonprofits, SBA cannot comply with the standard review and approval procedures. Accordingly, SBA is requesting that OMB review and approve the revised information collection under the emergency procedures set forth in 5 CFR 1320.13. Sincerely, Jihoon Kim Director, Office of Financial Program Operations

Authorizing Statute(s): None

Citations for New Statutory Requirements: None

Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

Federal Register Notices & Comments
Did the Agency receive public comments on this ICR? No

ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to Agency Discretion
Annual Number of Responses	44,384,854	37,002,166	7,382,688
Annual Time Burden (Hours)	12,947,044	9,935,129	3,011,915
Annual Cost Burden (Dollars)	565,596,195	355,220,794	210,375,401

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Miscellaneous Actions

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: At the time this Information Collection was last approved in March 2021, the total number of loans was estimated at approximately 8 million. Total PPP loans approved, based on SBA website data, is 11.8 million. This increase of more than 3 million in the number of PPP loans approved, and hence the number of and cost burden associated with application forms and forgiveness forms, has increased burden hours.

Annual Cost to Federal Government: $195,294,753

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination. No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination. No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Yes

Agency Contact: Mary Frias 202 401-8234 mary.frias@sba.gov

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