Questions still surround the disbursement of small business stimulus funds on the eve of their availability.

The relief funds are part of the Small Business Administration’s (SBA) Paycheck Protection Program, a $349 billion provision in the massive economic stimulus package passed by Congress.

Businesses with 500 or fewer employees are eligible to receive the lesser of $10 million or 2.5 times its average payroll over the period of several months.

Banks will distribute the funds in the form of loans granted under criteria contained in the law. Loans are set to become available on Friday.

Gov. Kay Ivey has made an effort to steer Alabama’s small businesses toward the relief funds.

“I urge business owners to act today and be prepared to apply for assistance designed specifically to get them in front of the line when relief checks are written,” said Ivey in a statement earlier this week.

However, the banking industry is expecting further clarification on the rules and regulations they must abide by in granting the loans.

“Banks across the nation are literally waiting for instructions from the government on how to move forward,” outlined Scott Latham, president and CEO of the Alabama Bankers Association, in a statement from his organization. “While we are grateful for the help, we are frustrated that those needing help the most are forced to suffer while the rules are still being written. Banks across Alabama have a strong reputation of helping individuals and small businesses during good times as well as the challenging times, and this difficult period will be no exception. Until the rules are final, we are simply in a waiting game that is out of our control.”

An effort to press for clarified instructions comes from the industry’s fear that the process will become a chaotic scramble, according to a report Thursday in Politico.

Uncertainty also exists around the verification process and the division of those responsibilities between the banks and SBA for the government-backed loans.

If certain conditions are met, up to 100% of the principal on the loans will be forgiven.

“Banks are ready and willing to lend, but they need clear rules of the road and a streamlined process to be able to get funding into the hands of small business owners in the coming days,” Greg Baer, president and CEO of the Bank Policy Institute, told Politico.

Tim Howe is an owner of Yellowhammer Multimedia