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Beginning Monday November 23, SLVFB will reduce its lobby hours in an ongoing response to Colorado's executive orders. Click Read more for the full notice. Also, we will be closed on Thanksgiving Day, Thursday, November 26th.

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SBA Paycheck Protection Plan

SBA Paycheck Protection Plan

In response to the growing need for assistance to small businesses impacted by the COVID-19 virus, San Luis Valley Federal Bank is utilizing the Small Business Administration's (SBA) Paycheck Protection Program (PPP) to assist its business members. Please be aware this program is under heavy demand, and there is limited funding from SBA for the program. SLVFB will answer any questions and fulfill any requests as soon as possible. Each request will be handled in the order it is received. We value our Members and seek to provide the best possible service. Your patience during this difficult time is appreciated.

April 3, 2020

Dear Valued Business Customer:

The Coronavirus Aid, Relief, and Economic Security Act or “CARES Act” was signed into law on March 27, 2020.  One of the primary components of the Act is an expansion of SBA’s 7(a) Business Loan Program.  The new expansion is referred to as the Paycheck Protection Program or “PPP”.  At this point, however, we encourage you to consult with your legal and accounting professionals to determine how the CARES Act and PPP could assist your business.

As an approved SBA lender, San Luis Valley Federal Bank is preparing to help you obtain a low interest business loan – with a large portion possibly forgivable by the U.S. Government – utilizing the new program.  The maximum loan amount will be determined by the lesser of two and half times the average monthly payroll costs of your business (payroll costs are defined below) or $10,000,000.  The forgivable portion will be a factor of the amount spent by your business on payroll, rent, mortgage interest, and utilities during the 8-week period beginning on the loan origination date.  In addition, the forgivable portion is dependent upon numerous other factors including your business payroll compensation and number of full-time employees from the same 8-week period compared to a previous 2- or 4.5-month period.

More specifics on the program are expected from the SBA.  Until then, if you would like to apply for the PPP loan, we certainly encourage you to begin gathering the following documentation:

  1. Detailed payroll costs for each month of operation from January 1, 2019 thru December 31, 2019.  If your business was not operational in 2019, then detailed payroll costs for January 1, 2020 thru February 29, 2020 will be used.  Also, if your business is seasonal, detailed payroll costs for each month beginning March 1, 2019 thru June 30, 2019 may be sufficient.  For the purpose of the PPP loan program, payroll costs will include the following:
    1. Salary, wages or commissions or tips for employees; any compensation of an employee in excess of $100,000 will be excluded
    2. Payment for vacation, parental, family, medical, or sick leave; certain payments for family and sick leave for which a tax credit is received will be excluded.
    3. Allowance for dismissal or separation
    4. Payment required for group health care benefits and premiums
    5. Payment of any retirement benefit
    6. Payment of state or local tax assessed on compensation of employees; Employer’s portion of Social Security and Medicare Taxes will be excluded.
  2. 12-31-2019 Balance Sheet & Profit & Loss Statement, 2018 and 2019 tax return, or If the business was started in 2019, Revenue & Expense report for your business from inception if started this past year.

As more details and the SBA electronic submission portal becomes active, we’ll begin processing the PPP loan applications.  Please contact a San Luis Valley Federal Business Banker if you have additional questions.


Joe D. Martinez

Chief Lending Officer

To apply for the PPP through San Luis Valley Federal Bank:

  1. Read the PPP Borrower Information Sheet from the SBA
  2. Complete the SBA Borrower PPP Application
  3. Complete and sign the Affirmation Letter
  4. Email the following documents to
    • Completed Application
    • Signed Affirmation
    • Completed 2019 tax return.  If 2019 tax return is not completed, submit a 12-31-2019 Profit & Loss Statement and your 2018 tax return.
    • Detailed payroll costs for each month of operation from 01-01-2019 thru 12-31-2019 – Such reports should include gross wages including PTO (which might include vacation, sick, and other PTO). This includes payroll reports through the pay period preceding the origination of SBA loan.
      • If business was not operational in 2019, payroll costs from 01-01-2020 thru 02-29-2020
      • If business is seasonal, payroll costs from 03-01-2019 thru 06-30-2019
      • Number of employees
      • Names and compensation total for each employee making more than $100,000.
    • Mortgage, Rent, Utility Documentation:  Documentation, including canceled checks, payment receipts, transcripts of accounts, or other documents verifying payment on covered mortgage obligations, payment on covered lease obligations and covered utility payments.