DES MOINES – Gov. Terry E. Branstad has received word that the U.S. Small Business Administration (SBA) approved his request for disaster assistance for nine counties impacted by severe storms in September.
The counties included in the declaration are: Black Hawk, Bremer, Butler, Cerro Gordo, Chickasaw, Floyd, Franklin, Grundy, and Hardin. The governor sent the request to the SBA for a Physical Disaster Declaration on Oct. 6, 2016, in response to significant damage that was caused by severe storms and flooding from Sept. 21-Oct. 3, 2016.
The declaration by the SBA makes low-interest federal disaster loans available to affected Iowa businesses and residents.
Gov. Branstad requested the SBA declaration after it was determined that the state would not qualify for a Presidential Disaster Declaration for federal Individual Assistance, as the number of uninsured homes that suffered major damage or were destroyed during this event fell far below the FEMA threshold required to be eligible for Federal Individual Assistance. The federal Individual Assistance program provides help for homeowners, that includes grants from FEMA as well as loans from SBA. The SBA, however, may provide disaster loans alone by its own authority for states with much less damage than is required for a presidential declaration.
SBA representatives will be available until 6 p.m. on Tuesday, Oct. 25, at the Disaster Loan Outreach Center in Butler County to answer questions about the SBA’s disaster loan program and assist with paperwork.
SBA Disaster Loan Outreach Center
North Butler Elementary School – Media Center
210 W. South Street
Greene, Iowa 50636
Businesses of all sizes and private nonprofit organizations may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets. SBA can also lend additional funds to businesses and homeowners to help with the cost of improvements to protect, prevent or minimize the same type of disaster damage from occurring in the future.
For small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations of any size, SBA offers Economic Injury Disaster Loans (EIDLs) to help meet working capital needs caused by the disaster. EIDL assistance is available regardless of whether the business suffered any property damage.
Disaster loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible for up to $40,000 to repair or replace damaged or destroyed personal property.
Interest rates can be as low as 4 percent for businesses, 2.625 percent for private nonprofit organizations and 1.563 percent for homeowners and renters with terms up to 30 years. Loan amounts and terms are set by SBA and are based on each applicant’s financial condition.
Applicants may apply online using the Electronic Loan Application (ELA) via SBA’s secure website at https://disasterloan.sba.gov/ela.
Disaster loan information and application forms are also available from SBA’s Customer Service Center by calling (800) 659-2955 or emailing email@example.com. Individuals who are deaf or hard of hearing may call (800) 877-8339. For more disaster assistance information or to download applications, visit https://www.sba.gov/disaster. Completed applications should be mailed to the U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The filing deadline to apply for property damage is Dec. 12, 2016. The deadline to apply for economic injury is July 11, 2017.