After Calling to Register, Return SBA Application
Release Date: August 30, 2007
Release Number: 1709-071
» More Information on Texas Severe Storms, Tornadoes, and Flooding
WACO, Texas -- Disaster recovery officials from the Federal Emergency Management Agency (FEMA) and the Governor's Division of Emergency Management (GDEM) urge victims of the June 16-August 3 severe storms, tornadoes and flooding in Texas that received a disaster loan application from the U.S. Small Business Administration (SBA) to submit the application as soon as possible, even if they do not want a loan or think they qualify.
Those who apply with SBA and do not qualify for a loan may be referred to other programs, but applicants must still complete the SBA loan application before they can be considered for certain grants and programs.
It is important for Texans to know disaster loans from the SBA are not just for small businesses. The SBA is the primary source of federal funds for long-term disaster recovery for owners of private property, including homeowners, renters, non-farm businesses of all sizes and private non-profit organizations. In fact, the majority of SBA disaster loans are made to homeowners and renters.
SBA loan amounts are based on the actual cost of repairing or rebuilding a damaged home or business and replacing damaged personal property, minus any insurance reimbursements or benefits from other agencies or organizations for the same loss. However, disaster victims do not have to wait for their insurance settlement before applying for an SBA loan.
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.
Businesses of any size and private non-profit organizations may borrow up to $1.5 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 help with the cost of making improvements that protect, prevent or minimize the same type of disaster damage from occurring in the future.
For small businesses only, SBA offers Economic Injury Disaster Loans (EIDL) to help meet working capital needs caused by the disaster. EIDL assistance is available regardless of whether the business suffered any property damage.
To date, SBA has approved more than $15,035,000 in disaster loans to Texas homeowners, renters, and businesses of all sizes hurt by the June 16-August 3 severe storms, flooding and tornadoes.
SBA customer service representatives are still available at Disaster Recovery Centers and Disaster Loan Outreach Centers throughout the disaster area to issue loan applications, answer questions about SBA's disaster loan programs, explain the application process and help each individual complete their application. For current center locations, information about how to complete SBA's loan application, or for more information on SBA disaster loans, call the SBA toll-free at 1-800-659-2955 or log on to www.sba.gov/services/disasterassistance.
For information on how to apply for assistance through FEMA, call 1-800-621-FEMA (3362), or TTY 1-800-462-7585 for the speech or hearing impaired. Disaster victims also may register online at www.fema.gov. The registration deadline is October 29, 2007.
FEMA coordinates the federal government's role in preparing for, preventing, mitigating the effects of, responding to, and recovering from all domestic disasters, whether natural or man-made, including acts of terror.
Last Modified: Thursday, 30-Aug-2007 09:16:17