Outdoor Dining, PPP Changes, Insurance Coverage


If you are planning to reopen your restaurant for outdoor dining, please click on and review the following resources from the San Mateo County Health Department:


On June 5th, President Trump signed the Paycheck Protection Program Flexibility Act (PPPFA) in order to address increased concerns from business owners who received PPP loans. The PPPFA adjusts the following PPP requirements:
  1. Money spent on payroll decreased from 75% to 60%: This change allows business owners to now spend up to 40% of their loan on approved expenses such as rent, mortgage payments, utilities, and interest on loans.
  2. Time period for fund usage extended from 8 to 24 weeks: Prior to the PPPFA, loan funds would need to be spent in 8 weeks from the date received. This meant many business owners were faced with paying their employees even when their business remained closed. Now, business owners have until the end of the year to spend their funds.
  3. Rehire date extended from June 30th to December 31st 2020: Business owners expressed concern over remaining closed by the June 30th deadline and those who were able to reopen pointed out they may not be able to hire everyone back if the business could not operate at full capacity. Businesses now have until December 31st to hire back the amount of employees they had prior to the pandemic in order to receive loan forgiveness. Businesses may still be eligible for forgiveness if they have not hired back the same amount of employees if they can demonstrate the inability to hire back their original employees, inability to hire similarly qualified employees, or an inability to return to the same level of business activity prior to Feb 15, 2020.
  4. Repayment term extended from 2 years to 5: Businesses may find themselves ineligible for loan forgiveness if funds were spent in ways other than those approved for forgiveness. In this case, businesses will need to repay the amount spent on ineligible things at 1% interest. The first payment will be due 6 months after the SBA determines forgiveness.


While Brisbane businesses have been fortunate to not have suffered from looting or damage as a result from recent protests in the Bay Area, Insurance Commissioner Ricardo Lara has released the following Fact Sheet outlining what kinds of damage insurance policies will likely cover during this this time.