Staff Report No. 2020-29April 27, 2020An Update on the Paycheck Protection Program(PPP) and Economic Injury Disaster Loan (EIDL)for Ag ProducersDr. Michael A. DelibertoLouisiana State University Agricultural CenterDepartment of Agricultural Economics & AgribusinessOn Monday, April 27, 2020, The Small Business Administration (SBA) will start accepting newapplications for the Paycheck Protection Program (PPP), using more than 300 B in new fundingprovided by a coronavirus relief bill President Trump signed into law. Agricultural producers also areeligible under the bill to start applying for SBA’s Economic Injury Disaster Loan (EIDL) program, whichprovides 10,000 “emergency advances” that do not have to paid back, plus low-interest loans.The Paycheck Protection Program (PPP) is a loan designed to provide a direct incentive for smallbusinesses to keep their workers on the payroll. SBA will forgive loans if all employees are kept on thepayroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities. Based onSBA rules released April 3, 2020, agricultural producers and co-ops with 500 or fewer employees –including employees of businesses with whom they have an affiliation – can access PPP loans, assumingno other factors limit eligibility.Producers can apply through any existing SBA 7(a) lender or through any federally insured depositoryinstitution, federally insured credit union, and Farm Credit System institution that is participating. Otherregulated lenders will be available to make these loans once they are approved and enrolled in theprogram. Producers should consult with your local lender as to whether it is participating in the program.(A list of participating PPP lending institutions in Louisiana, as released by the SBA is contained in thisreport.)An updates list of frequently asked questions on the PPP can downloaded ons 04%2026%2020.pdfPer the Farm Bureau “The SBA resumed accepting SBA-PPP Loan Applications at 10:30 am on Monday,April 27. The link to the SBA – PPP website is: tion-header-0 All producerswith employees that have not filed a PPP – SBA Loan application are eligible to complete all PPPapplication paperwork and work with your bank. Eligibility for the PPP is limited to only one PPPapplication and PPP funding is expected to be exhausted in less than a week.”Producers that sustained economic injury as a result of the COVID-19 virus are now eligible for theEconomic Injury Disaster Loan (EIDL) program. The link to find out more information on the EIDLprogram is: oansIn general, agricultural producers with 500 or fewer employees, including sole proprietors with or withoutemployees, are eligible. EIDL funds can be used for business expenses related to keeping the business inoperation, but not for expanding the business. Some of these expenses include, but are not limited to, rent

or mortgage payments, repayment of unmet obligations, payroll, paying for the increased cost of materialsunder COVID-19, and providing paid sick leave to employees unable to work due to COVID–19. Pleasenote: You cannot use both EIDL funds and Paycheck Protection Program (PPP) funds to pay for the sameexpenses. The interest rate for a COVID-19 EIDL is fixed at 3.75% for businesses (as opposed to 2.75%for nonprofits). SBA determines the length of the loan, which can be up to 30 years. You can apply for anEIDL directly with SBA online. Here is a link to the online application avirus-covid-19Additional EIDL information can be obtained at /SBA EIDL 1.pdfThere is nothing in the CARES Act that prohibits businesses from accessing both PPP loans and EIDLs.However, because PPP loans can only be used for certain expenses, it is important to keep in mind howyou apply for and use funds from each type of loan so you do not unintentionally reduce the amount youcan receive through either program or your amount of PPP loan forgiveness. Additionally, as noted above,if the borrower takes an EIDL emergency grant and is seeking PPP loan forgiveness, the amount of theemergency grant will be deducted from any PPP loan forgiveness the borrower may otherwise bereceiving.A complete list of participating lenders is provided by the Small Business Administration (SBA) can beaccessed at ders%20participating%20in%20PPP%20by% 20State As%20of%2004%2023%2020.pdfA list of Louisiana lenders participating in the PPP as of April 23, 2020 is provided below.JPMorgan Chase Bank, National Association LAFirst National Bank of Louisiana LAb1Bank LABOM Bank LARed River Bank LASynergy Bank LAOrigin Bank LAJD Bank LARegions Bank LAInvestar Bank, National Association LAGulf Coast Bank and Trust Company LAFirst Guaranty Bank LAHome Bank, National Association LAFirst American Bank & Trust LAFidelity Bank LAHome Federal Bank LABancorpSouth Bank LAThe First, National Banking Association LAPedestal Bank LACommunity Bank of Louisiana LAGulf Coast Bank LACross Keys Bank LAFirst Bank and Trust LAMetairie Bank & Trust Company LACitizens National Bank, National Association LAUnited Community Bank LARayne State Bank & Trust Company LAFirst Federal Bank of Louisiana LASouth Louisiana Bank LAThe Evangeline Bank & Trust Company LAProgressive Bank LAM C Bank & Trust Co. LA

Community First Bank LAGulf Capital Bank LALiberty Bank and Trust Company LABarksdale FCU LACitizens Bank & Trust Company LAKeyBank National Association LAFirst National Bank in DeRidder LASabine State Bank & Trust Company LABankPlus LAPNC Bank, National Association LACentury Next Bank LADelta Bank LABank of Zachary LANeighbors FCU LAAlly Bank LACommunity Bank of Mississippi LALakeside Bank LABank of St. Francisville LACadence Bank, National Association LAFarmers-Merchants Bank & Trust Company LABMO Harris Bank National Association LAPlaquemine Bank & Trust Company LAThe Cottonport Bank LACLB The Community Bank LAThe First National Bank of Jeanerette LAAmerican Bank & Trust Company LAGibsland Bank & Trust Company LAGuaranty Bank & Trust Company of Delhi,Louisiana LAHomeland Federal Savings Bank LASynovus Bank LAReadycap Lending, LLC LAEnterprise Bank & Trust LAMississippi River Bank LAAmerican Bank & Trust Company LABank of Sunset & Trust Company LABank of Commerce & Trust Company LAThe Peoples Bank & Trust Company of PointeCoupee Parish LACredit Human FCU LAMerchants & Farmers Bank & Trust Company LACross River Bank LABank of Abbeville & Trust Company LAConcordia Bank & Trust Company LASouthern Heritage Bank LAToyota Financial Savings Bank LAFirst National Bank USA LAMarion State Bank LATrustmark National Bank LABOKF, National Association LAPatterson State Bank LAThird Coast Bank SSB LAFirst National Bank LAMetaBank, National Association LACaldwell Bank & Trust Company LACIBC Bank USA LABremer Bank, National Association LABank of America, National Association LAHope FCU LAJonesboro State Bank LAFirst Midwest Bank LAAmerant Bank, National Association LACarter FCU LAGuaranty Bank and Trust Company LA3

Prosperity Bank LANewtek Small Business Finance, Inc. LACampus FCU LACapital One, National Association LAWinnsboro State Bank & Trust Co. LAInternational Bank of Commerce LATruist Bank d/b/a Branch Banking & Trust Co LAFifth Third Bank LACentric FCU LALouisiana FCU LATexas Capital Bank, National Association LATexas Bank and Trust Company LATransportation Alliance Bank, Inc. d/b/aCommunity Bank of Texas, National Association LATAB Bank, Inc. LAMidFirst Bank LABBVA USA LACrescent Bank & Trust LABank of Erath LAAmarillo National Bank LAInternational Bank of Commerce LACity Bank and Trust Company LARepublic Bank & Trust Company LACommercial Capital Bank LABank of Coushatta LAState Bank & Trust Company LAFarmers State Bank & Trust Co. LACentral Bank of St. Louis LACitizens Bank & Trust Company of Vivian,Louisiana, Inc.LABankFirst Financial Services LAOneWest Bank, A Division of LALamar National Bank LAThe Huntington National Bank LAA N E C A FCU LAThe Jefferson Bank LALive Oak Banking Company LAPelican State CU LAFranklin State Bank & Trust Company LALandmark Bank LASpirit of Texas Bank, SSB LACitizens Bank, National Association LAThe Bank LAProgressive National Bank LAUnited Mississippi Bank LASimmons Bank LAWashington State Bank LAVermilion Bank & Trust Company LAThe Bancorp Bank LASt. Landry Homestead Federal Savings Bank LAWestern Alliance Bank LAFirst Secure Bank and Trust Co. LAFifth District Savings Bank LAFirst Missouri Bank LAFirst Financial Bank, National Association LAThe Mer Rouge State Bank LAFarmers Bank & Trust Company LACentennial Bank LAFirst Southern Bank LASouthside Bank LACitizens Deposit Bank of Arlington, Inc. LAEssential FCU LAWoodforest National Bank LAFirst Bank of the Lake LA4

WebBank LACity National Bank LATrailWest Bank LATruity FCU LAStone Bank LAPeoples Bank LAFirst Republic Bank LAWashington Federal Bank, National Association LAInsbank LAOxford Bank LAStearns Bank National Association LACapStar Bank LAPinnacle Bank LAIndependent Bank LASimmesport State Bank LAGlacier Bank LAFirst Horizon Bank LAComerica Bank LAManufacturers and Traders Trust Company LAPlains State Bank LAThe First National Bank of Hughes Springs LANewFirst National Bank LAAustin Bank, Texas National Association LAValley National Bank LASouth Lafourche Bank & Trust Company LACentral Pacific Bank LAHappy State Bank LAServisFirst Bank LAFirst State Bank LAAmeris Bank LAGreater Nevada CU LACitizens Trust Bank LAThe Bank of Commerce LATensas State Bank LARadius Bank LAHorizon Bank, SSB LAOuachita Valley FCU LAAllegiance Bank LAUnited Bank LABank of Winnfield & Trust Company LAIdaho First Bank LAContinental Bank LACongressional Bank LAFirst State Bank LAPeoples Bank LACeltic Bank Corporation LABankPlus LAZions Bank, A Division of LAThe Citizens National Bank of Meridian LAWallis Bank LAFeliciana Bank & Trust Company LAMidland States Bank LACSE FCU LALouisiana Catholic FCU LAAnthem Bank & Trust LAGuaranty Bank & Trust Company LAHodge Bank & Trust Company LATexas First Bank LAWebster Bank, National Association LAParagon Bank LAHope Enterprise Corporation LABank of the West LAFirst Bank of Owasso LARiverHills Bank LA5

East West Bank LATransPecos Banks, SSB. LASouth State Bank LACitizens Bank & Trust Company LABank of the West LAApex Bank LAHeartland Tri-State Bank LALegence Bank LAPlainsCapital Bank LATD Bank, National Association LARed River Empl FCU LACommunity National Bank LACitizens Bank LAInterBank LACarver State Bank LATexas Gulf Bank, National Association LAOakworth Capital Bank LAArvest Bank LAGreat Western Bank LAPacific Western Bank LAVeritex Community Bank LAFirst Command Bank LAPeoples Bank LABankUnited, National Association LABancFirst LACrossFirst Bank LANorthwest Bank & Trust Company LACustomers Bank LACitizens Progressive Bank LAThe Citizens Bank LAByline Bank LAAmerican Bank, National Association LAFirst Internet Bank of Indiana LAThe Bank of Missouri LAFirst Bank LABlue Ridge Bank, National Association LACharter Bank LACenterstone SBA Lending, Inc. LACentral Bank of Branson LAThe Nodaway Valley Bank LAVeraBank, National Association LACDC Small Business Finance Corporation LAUMB Bank, National Association LANational Bank of Commerce LAFirst Home Bank LAConnecticut Community Bank, National AssociationLAThe Cleveland State Bank LAEnrichment FCU LAChoice Financial Group LAMarine Bank LABank of Yazoo City LAPromiseOne Bank LALake Forest Bank & Trust Company, NationalAssociation LAThe Citizens Bank of Philadelphia LASouthern Bank and Trust Company LACRF Small Business Loan Company, LLC LATCF National Bank LAAtlantic Capital Bank, National Association LAFirst Vision Bank of Tennessee LAMoody National Bank LARenasant Bank LAFirst Financial Bank LABank of Columbia LA6

Benchmark Bank LAThe Hardin County Bank LAGolden Bank, National Association LAProgress Bank and Trust LAFirst Financial Bank LAFirst Western SBLC, Inc LAPioneer Bank LAHanmi Bank LAFive Star Bank LAMeadows Bank LASouthern Bancorp Bank LATexan Bank, National Association LALimestone Bank, Inc. LALas Colinas FCU LAWyoming Community Bank LARelyance Bank, National Association LAFarm Bureau Bank, FSB LABank of Oak Ridge LAUnited Midwest Savings Bank, National AssociationLAVista Bank LAHana Small Business Lending, Inc. LAValliance Bank LAPlanters Bank & Trust Company LASavoy Bank LACamden National Bank LAMechanics & Farmers Bank LAConcordia Bank LAFirst National Bank of Picayune LAVibrant CU LABusiness Resource Capital Specialty BIDCO, Inc.LABank of Charles Town LAFirst Bank Financial Centre LANewton Federal Bank LAUnion Bank & Trust Company LASeaside National Bank & Trust LAR Bank LASolera National Bank LACache Valley Bank LACommunity National Bank & Trust of Texas LACivis Bank LAPlanters Bank, Inc. LANew Millennium Bank LACommercial National Bank of Texarkana LACitizens Bank LASmall Business Bank LANorthern Bank and Trust Company LAMonroe Telco FCU LAThe Peoples Bank LAThe First National Bank in Falfurrias LANeedham Bank LAUnited Community Bank LAFirst Freedom Bank LACitizens Bank LAMeade County Bank LALegacy Bank & Trust Company LATruxton Trust Company LAIncredibleBank LACarolina Bank & Trust Co. LAU.S. Bank, National Association LAThe Bank of Vernon LAMetro City Bank LATexas Bank LA7

Bank of Brookhaven LACommonwealth Business Bank LAThe American National Bank of Texas LANew Valley Bank & Trust LABank of Franklin LASicily Island State Bank LAPoppy Bank LANavy Army Community CU LAMapleMark Bank LAFirst Southern Bank LAAll In FCU LAQuantum National Bank LACommunity Bank LABTH Texas, National Association LAShelby Savings Bank, SSB LAEnnis State Bank LAIndependence Bank of Kentucky LATexas Dow Empl CU LAChippewa Valley Bank LAThe MINT National Bank LABoeing Empl CU LAThrivent FCU LAFrost Bank LAMerchants & Marine Bank LAOrrstown Bank LASNB Bank, National Association LAFirst State Bank of Texas LAFortuneBank LAFirst Interstate Bank LACentral Bank LACenterState Bank, National Association LANBKC Bank LAHomeBank Texas LAWilmington Savings Fund Society, FSB LASkyline National Bank LAState Bank of De Kalb LAPike National Bank LAInformation was obtained from the U.S. Department of Agriculture, the American Farm Bureau Federation, the Louisiana State University AgCenter, the Louisiana Farm Bureau Federation, the Small Business Administration, Pro Farmer, and Agri-Pulse Communications.Dr. Michael A. Deliberto can be contacted in the Department of Agricultural Economicsand Agribusiness at (225) 578-7267 or by emailing [email protected]

Sabine State Bank & Trust Company LA PNC Bank, National Association LA Delta Bank LA Neighbors FCU LA Community Bank of Mississippi LA Bank of St. Francisville LA Farmers-Merchants Bank & Trust Company LA Plaquemine Bank & Trust Company LA CLB The Community Bank LA American Bank & Trust Company LA Guar