The long wait for SBA’s new SOP is over! Effective October 1, 2020 the SBA SOP 50 10 6 will replace the SOP 50 10 5(K). The look of the new SOP is different, as they have tried to make it much more user friendly with bookmarks in the Table of Contents and format changes. However, there are several more changes throughout the document and should be reviewed by lenders.
Per the SBA Information Notice, dated August 28, 2020, the format of SOP 50 10 6 has been reorganized to consolidate guidance for the 7(a) and 504 loan program requirements. In summary, Part 1 (formerly Subpart A) contains the SBA Lender participation and portfolio requirements and Part 2 (formerly Subpart B and C) is now divided into Sections A, B and C. Section A reviews the core requirements for both 7(a) and 504 loans; Section B covers 7(a) program specifics; and, Section C reviews the 504 loan program requirements.
The predominant changes outside of formatting has been added clarifications. But overall, the way Environmental Professionals conduct assessments will remain the same.
Below is a table showing a side-by-side comparison of the changes within the Environmental Policy Section from SOP 50 10 5(K) to SOP 50 10 6.
October 19, 2020
RELIANCE LETTERS As part of the U.S. Small Business Administration’s environmental policy, reliance letters, along with certificates of insurance are required for Transaction Screen Assessments (TSAs), Phase I Environmental Site Assessments (Phase I ESAs) […]
October 19, 2020
THE SBA SOP AND WHY YOU SHOULD CARE We first brought you our first SBA series in 2012; however, as eight years have passed, we have seen some major changes […]
October 19, 2020
THE TRANSACTION SCREEN ASSESSMENT Transaction Screen Assessments (TSAs) are often ordered in place of the Records Search with Risk Assessment (RSRA) due to either a lack of completed/signed Environmental Questionnaire, bank policy, and/or the […]
