FRANKFORT, Ky. – Some homeowners and renters in Bell, Knox and Perry County who register with FEMA will receive an application in the mail from the U.S. Small Business Administration (SBA).
“Insured disaster survivors do not have to wait and settle with their insurance company before filling out and returning an SBA application. Register with FEMA then fill out and return your SBA application as soon as possible,” said John Heltzel, director of Kentucky Emergency Management and commonwealth coordinating officer for Kentucky.
U.S. Small Business Administration (SBA) low-interest disaster loans are the primary source of money to pay for repair or replacement costs not fully covered by insurance or federal disaster assistance. Applicants are not required to accept an SBA loan if it is offered, but filling out the application is part of the assistance process and it can open the door to other types of assistance.
“Homeowners and renters should complete an SBA disaster loan application even if they are not sure they need or want a loan. If SBA cannot approve an application, the applicant may be referred to FEMA's Other Needs Assistance program for additional assistance,” said Federal Coordinating Officer W. M. Moore.
Homeowners, renters and businesses affected by the June storms in the three Kentucky counties can apply for a low-interest disaster loan with the SBA.
Homeowners may be eligible for loans up to $200,000 for disaster-damaged real estate. Renters and homeowners may be eligible for loans up to $40,000 for disaster-damaged contents and personal property, including vehicles.
Any business or private, nonprofit organization in the declared disaster area which incurred damage during the disaster may apply for an SBA low-interest loan to help replace damaged property or restore it to the condition before the disaster. SBA makes physical damage and economic injury
disaster loans of up to $2 million. Physical Disaster Loan funds may be used for the repair or replacement of the following:
- Real property;
- Inventory; and
- Leasehold improvements.
Small businesses and certain private non-profit organizations of all sizes located in the declared disaster area which suffered economic injury because of the disaster, regardless of physical damage, may be eligible for an Economic Injury Disaster Loan (EIDL). The funds can help meet financial obligations and operating expenses which could have been met had the disaster not occurred. EIDLs provide the necessary working capital to help small businesses survive until normal operations resume after a disaster.
SBA disaster loans to repair or replace real property or leasehold improvements may be increased by as much as 20 percent of the total amount of disaster damage to protect the damaged real property against possible future disasters of the same type.
More information about SBA loans is available through SBA's Disaster Assistance Customer Service Center by calling (800) 659-2955 or TTY (800) 877-8339, emailing firstname.lastname@example.org or visiting SBA's web site at www.sba.gov. Applications also can be filled out on SBA's secure web site at https://disasterloan.sba...