These Sacramento CA Companies Receive Large PPP Loans
Law firms and lobbyists. Large and small restaurants. Private schools, car dealerships, charities and non-profits. Some of Sacramento’s top developers and two of the city’s professional sports teams.
More than 800 businesses in the Sacramento area have borrowed money under the federal paycheck protection program, including many of the area’s largest businesses, according to a list released by the administration on Monday. Trump.
The Treasury Department and the Small Business Administration, which have been sued by the media for not disclosing the identity of the borrowers, have made available a list of thousands businesses, non-profit organizations and others who received at least $ 150,000. The exact amounts of the loans were not disclosed.
Borrowers include businesses controlled by celebrities and those with political connections. The Washington Post reported that borrowers understood a law firm that represented the president Donald Trump, a fast food restaurant chain controlled by a Congressman from Oklahoma and a shipping company controlled by the family of U.S. Transportation Secretary Elaine Chao.
Also receive a loan: PlumpJack Management Group, LLC, the wine and restaurant business started by Governor Gavin Newsom and held in a blind trust.
The PPP program, created by Congress after the coronavirus pandemic hit, has spent hundreds of billions dollars to businesses hit hard by COVID-19. The program has been extremely popular because the loans are repayable under certain circumstances.
Among the borrowers in the Sacramento area:
▪ AKT Investments Inc., the land development company founded by Angelo K. Tsakopoulos and run for a time by his current daughter Lieutenant Governor Eleni Tsakopoulos Kounalakis. The company borrowed between $ 350,000 and $ 1 million.
“The federal government is sending hundreds of billions across the country and we absolutely want to make sure that some of that gets to Sacramento,” AKT spokeswoman Marika Rose said.
▪ Fulcrum Property Corp., the company run by developer Mark Friedman, has also borrowed between $ 350,000 and $ 1 million. Ethan Conrad Properties, a major investor in commercial properties, has borrowed between $ 2-5 million.
▪ Large law firms such as Weintraub Tobin and DowneyBrand ($ 2-5 million each); and Nielsen Merksamer and Boutin Jones ($ 1 million to $ 2 million each). Lobbying organizations such as the California Medical Association ($ 2 million to $ 5 million)
“Due to the economic uncertainty associated with COVID-19, we have made the decision to request a PPP and use these funds to avoid layoffs,” Scott Shapiro, managing partner of DowneyBrand, said in an email . “While the demand for our legal services has remained fairly stable since March, collections have been declining for a while and telecommuting has changed the mix of positions we need in the office. PPP funds have helped us solve these problems.
▪ The Sacramento River Cats ($ 1 million to $ 2 million) and Sacramento Republic FC ($ 350,000 to $ 1 million).
▪ Pacific Ethanol Inc., a Sacramento-based ethanol producer, $ 5-10 million. The company had struggled with financial problems before the pandemic hit.
▪ Healthcare companies like Western Health Advantage ($ 2 million to $ 5 million).
▪ Private schools, including St. Francis, Jesuit and Christian Brothers High Schools ($ 2 million to $ 5 million each), Shalom School ($ 350,000 to $ 1 million). Capital Christian Center, one of the largest churches in the area, borrowed $ 1 million to $ 2 million.
▪ Nonprofits and charities including Capital Public Radio, Girl Scouts Heart of Central California, and Easter Seal Society of Superior California ($ 1-2 million each); and Broadway Sacramento, CalMatters News Agency and KVIE public television ($ 350,000 to $ 1 million).
In a blog post, the nonprofit CalMatters said it received a loan of $ 535,000 this “will greatly improve our chances of getting through this crisis without having to reduce staff.”
▪ Car dealerships such as Niello Co. ($ 2 million to $ 5 million); Von Housen Motors ($ 1 million to $ 2 million); and Paul Blanco’s Mel Rapton Honda, Honda of Elk Grove and Good Car Co. ($ 350,000 to $ 1 million each). The Blanco company was sued by the state attorney general last fall and charged with tackle vulnerable customers with false advertising, fake credit statements and other means. The company has denied the allegations.
▪ Restaurants such as Echo & Rig, the upscale steakhouse in downtown Kimpton Sawyer Hotel; Freeport Bakery, Land Park Institution; and Fixins, the Oak Park restaurant co-founded by former mayor Kevin Johnson ($ 350,000 to $ 1 million each).
▪ Myers and Sons Construction, the company founded by legendary road contractor CC Myers. ($ 2 million to $ 5 million).
Loans to businesses and nonprofits in the Sacramento area were only a small portion of the $ 660 billion distributed under the program. The vast majority of loans were under $ 150,000, but details of borrowers below that amount were not disclosed. Numerous businesses said the loans would not save a single job.