SBA Loans Protect From Future Disaster Damage

Main Content
Release date: 
February 2, 2008
Release Number: 
1733-072

SALEM, Ore. -- The Federal Emergency Management Agency (FEMA) and the U.S. Small Business Administration (SBA) want home and property owners to know if your property was damaged in the December 2007 storms, not only is money available for you to make repairs to your home or business, but additional funds may be available to build it back more resistant to future disasters of the same kind.

"An important part of any disaster victim's recovery efforts should include a plan to prevent future damages from occurring." said Glen R. Sachtleben, federal coordinating officer

To help victims fund protective measures, home and business owners may request an increase of up to 20 percent of the total approved SBA loan amount to help pay for their mitigation measures.

Mitigation can be as simple as making sure water drainage is directed away from a building's foundation, blocking water with barriers, installing sewer backflow valves, or as extensive as raising a structure above the flood line.

Other examples of mitigation measures for flooding include grading or contouring of land, building retaining walls, seawalls, or installing sewer backflow valves.

For more information on mitigation measures, go to www.fema.gov/rebuild/smart_strong

Borrowers interested in requesting hazard mitigation funds are asked to submit a proposal to SBA describing the mitigation measure to be installed along with a cost estimate of the project. Proposals will be reviewed on a case by case basis. ?SBA approval of any mitigation measures is required before any loan increase, subject to SBA's loan limits.

Please contact SBA customer service: 1-800-659-2955 with mitigation questions.

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 Updated: 
July 16, 2012 - 18:46
State/Tribal Government or Region: 
Back to Top