Open AccessDistribution of Paycheck Protection Program to otolaryngology practices during the COVID ‐19 pandemic
Author(s) -
Zhu Amy Q.,
Patel Manish J.,
Chiu Richard,
Perez Brandon R.,
Cristel Robert T.,
Yu Jeffrey
Publication year - 2021
Publication title -
laryngoscope investigative otolaryngology
Language(s) - English
Resource type - Journals
ISSN - 2378-8038
DOI - 10.1002/lio2.614
Subject(s) - otorhinolaryngology , loan , medicine , covid-19 , pandemic , disbursement , business , finance , surgery , disease , infectious disease (medical specialty)
Abstract Background The Coronavirus disease of 2019 (COVID‐19) has impacted physician practices in many ways with some ENT clinics reporting around a 50% drop in completed scheduled ENT visits during the first wave of the pandemic compared to 2019. Aims This study surveyed first round PPP loan disbursement to otolaryngology practices in the United States in response to COVID‐19. Methods A cross‐sectional study was conducted using publicly available data published on PPP by the SBA. Otolaryngology clinics receiving loans greater than $0.15M were filtered using the following terms: “otolaryngology”, “otolaryngologist”,“sinus”, “head and neck”, “throat”, “ENT”, and “facial plastic”. 481 ENT clinics that received loans greater than $0.15 M from the Paycheck Protection Program (PPP) were identified. Loan amount, business type, geographicregion, owner race, owner gender, and the number of jobs per business were recorded for each clinic. Chi‐square analysis was performed to determine significance ( P < 0.05) of each characteristic. Results Loan distribution was significantly different based on jobs reported ( P < .001) and business type ( P < .001). 100% of loans ranging from $0.15 M to $0.35 M went to micro and small practices whereas 33% of medium‐sized practices received loans greater than $1 M. Higher proportions of Subchapter corporations (60.00%) received smaller loans of $0.15 to $0.35 M than Limited Liability Companies (39.13%) and Corporations (51.69%) which generally employ more people. Discussion Loan distribution was significantly different between businesses based on jobs reported ( P < 0.001), with micro/small practices recieving smaller loans than their medium counterparts. All large businesses recived loans in in excess of $2 M. This suggests proportional distribution of loans in accordance with jobs reported. Conclusion This study suggests PPP funding was objectively distributed to ENT clinics based on staff size. Level of Evidence Level 4.