Governor Hochul Announces U.S. Small Business Administration Will Provide Low-Interest Loans to Residents and Businesses in Seven Counties Affected by Tropical Storm Fred

Governor Kathy Hochul today announced that the United States Small Business Administration will provide low-interest loans to homeowners and businesses affected by Tropical Storm Fred in mid-August to help them recover. Low interest loans are available to residents and businesses in Steuben County and the contiguous counties of Allegany, Chemung, Livingston, Ontario, Schuyler and Yates.

“Tropical Storm Fred had a devastating impact on residents of Steuben County – impacts are still being felt today,” Governor Hochul said. “While FEMA’s refusal to provide individual assistance to the county was more than disappointing, these low-interest loans from the U.S. Small Business Administration will be essential in helping residents and businesses get back on their feet. as quickly as possible.”

SBA loans are often useful when homeowners, tenants, businesses, and other eligible individuals need financial support due to weather-related emergencies or disasters. Following the event, staff from the New York State and Steuben County Division of Homeland Security and Emergency Services conducted a thorough damage assessment related to this incident. This assessment confirmed major damage to 38 homes and 14 businesses totaling $1,073,000 and $1,050,000 respectively, and minor damage to 84 homes and 12 businesses/non-profits totaling $700,000 and $185,000, respectively.

The following groups may be eligible for SBA disaster loan assistance for the following:

  • Homeowners: up to $200,000 to repair or replace damaged or destroyed real estate
  • Homeowners and tenants: up to $40,000 to repair or replace damaged or destroyed personal property
  • Business owners: up to $2 million for the replacement of real estate, inventory, machinery, equipment, and other physical losses
  • Businesses and nonprofits: economic disaster loans of up to $2 million to provide working capital needed until normal operations resume after a disaster

Acting New York State Homeland Security and Emergency Services Commissioner Jackie Bray said, “Rebuilding after a storm is never easy due to stress and exacerbated by financial pressures. These loans will help New Yorkers affected by this disaster through low interest loans. I thank the SBA for its help in order to help the people of Steuben recover from Tropical Storm Fred.”

Interest rates can be as low as 1.563% for homeowners and tenants, 2.00% for non-profits, and 2.855% for businesses with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial situation.

The SBA has opened a Disaster Loan Outreach Center (DLOC) to help survivors apply. Customer service representatives are available to help applicants complete the application and to answer questions about the SBA disaster loan program. The DLOC information is as follows:

Disaster Loan Awareness Center

Woodhull New York City Hall, 1585 Academy Street, Woodhull, NY, 14898

Opening date: Tuesday January 25 from 11:00 a.m. to 6:00 p.m.

Opening days: Monday Saturday

Hours: 9:00 a.m. – 6:00 p.m. EDT Monday – Friday; 8:00 a.m. – 12:00 p.m. EDT Saturday

Close on Sunday

Permanently closed: Thursday February 10 at 4 p.m.

Applicants may call the SBA Customer Service Center at (800) 659-2955 or send an e-mail to [email protected] for more information on SBA disaster assistance. People who are deaf or hard of hearing can call (800) 877-8339. Paper loan applications can be downloaded at http://www.sba.gov/disaster. Completed applications should be mailed to US Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.

The deadline for filing property damage return claims is March 21, 2022. The deadline for returning economic loss claims is October 20, 2022.

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