Gov. Wolf Announces Federal Low-Interest Loans Now Available for Those Affected by Ida Remnants
October 01, 2021
Governor Tom Wolf is reminding Pennsylvanians impacted by Hurricane Ida remnants that caused significant damage (Aug. 31 – Sept. 5), that the U.S. Small Business Administration (SBA) has made financial aid available to survivors.
“Individuals and businesses are still recovering from the devastating storm damage caused by Ida, but now additional help is available through the SBA,” Gov. Wolf said. “I am grateful that the SBA is providing much needed assistance, and I urge impacted Pennsylvanians to make educated choices as they undertake their recovery journeys.”
Residents and businesses in the Bedford, Bucks, Chester, Delaware, Montgomery, Northampton, Philadelphia, and York counties are eligible for Physical Disaster Loans. Additionally, Economic Injury Disaster Loans are available in Adams, Berks, Blair, Cambria, Carbon, Cumberland, Dauphin, Fulton, Huntingdon, Lancaster, Lehigh, Monroe, and Somerset counties.
Low-interest loans of up to $200,000 are available to homeowners and renters to repair or replace damaged or destroyed real estate, and SBA regulations also permit loans up to $40,000 to repair or replace damaged personal property, including vehicles. Businesses and nonprofits can borrow up to $2 million to restore damaged or destroyed buildings, inventory, equipment and other physical losses. Economic Injury Disaster Loans are also available and may also be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact, whether or not the business sustained physical damage from the storm.
The SBA offers long-term repayment options to keep payments affordable, with terms up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.
“I encourage survivors to take advantage of the option to request additional loan funds for mitigation (protective improvements) to help prevent similar damage from occurring in the future” said Pennsylvania Emergency Management Agency (PEMA) Director Randy Padfield. “SBA’s disaster loans may be increase up to 20 percent of their physical damages as verified by the SBA, for mitigation purposes. Eligible mitigation improvements may include a safe room or storm shelter, sump pump, French drain, retaining wall or elevation.”
Businesses and residents need not wait for insurance settlements to apply for disaster loans and may immediately obtain information and loan applications by calling the SBA’s Customer Service Center at 1-800-659-2955 (1-800-877-8339 for the deaf and hard-of-hearing), or by emailing DisasterCustomerService@sba.gov.
Applicants may also apply online using the Electronic Loan Application (ELA) via SBA’s secure website or visit one of the SBA Business Recovery Centers. Alternatively, loan applications can be downloaded at sba.gov/disaster and completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The SBA has created a number of fact sheets to help applicants understand the SBA loan process:
- The Three Step Process
- FAQ for homeowners and renters
- Fact Sheet for Homeowners and Renters
- Fact Sheet for Businesses of All Sizes
The filing deadline to return applications for physical property damage is Nov. 9, 2021. The deadline to return economic injury disaster loan applications is June 10, 2022.