winter storms

SBA Tops $100 Million in Disaster Assistance Loans for Texas Severe Winter Storms

SBA has approved $10,365,600 for businesses and $93,195,400 for residents to help rebuild and recover from the disaster

The board that oversees ERCOT held an urgent meeting Wednesday morning to discuss the winter storm that crippled most of Texas last week. They offered apologies for the devastation the power outages have caused and pledged to gather the facts to help lawmakers determine how to prevent it from ever happening again.
NBC 5 News

Director Tanya N. Garfield of the U.S. Small Business Administration's Disaster Field Operations Center-West has announced that SBA has approved more than $100 million in federal disaster loans for Texas businesses and residents impacted by severe winter storms that occurred between Feb. 11 and Feb. 21, 2021.

According to Garfield, SBA has approved $10,365,600 for businesses and $93,195,400 for residents to help rebuild and recover from the disaster.

"SBA's disaster assistance employees are committed to helping businesses and residents rebuild as quickly as possible," Garfield said.

Businesses and residents in Texas who sustained damages are encouraged to register before the May 20, 2021 deadline with the Federal Emergency Management Agency.

"Don't miss out on any assistance you may be entitled to by not registering for help. You don't need to wait for your insurance to settle or obtain a contractor's estimate," she added. 

SBA provides one-on-one assistance to disaster loan applicants through virtual centers like the Virtual Business Recovery Center and Virtual Disaster Loan Outreach Center. Assistance is available from Monday to Friday between 7 a.m. and 7 p.m.

SBA can be contacted by emailing FOCWAssistance@sba.gov or by calling 800-659-2955.

Businesses of all sizes and private nonprofit organizations may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory, and other business assets.

SBA can also lend funds to help business and residents with the cost of making improvements that protect, prevent or minimize the same type of disaster damage from occurring in the future, SBA said.

For small businesses and most private nonprofit organizations of all sizes, SBA offers Economic Injury Disaster Loans to help meet working capital needs caused by the disaster.

Economic injury assistance is available regardless of whether the business suffered any property damage, SBA said. The deadline to apply for economic injury is Nov. 19, 2021.

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. 

According to SBA, interest rates can be as low as 3% for businesses, 2% for private nonprofit organizations and 1.25% for homeowners and renters with terms up to 30 years.

Loan amounts and terms are set by SBA and are based on each applicant's financial condition, SBA said.

Applicants may apply online, receive additional disaster assistance information, and download applications at https://disasterloanassistance.sba.gov/.

Applicants can also call SBA's Customer Service Center at 800-659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance.

Individuals who are deaf or hard of hearing may call 800-877-8339.

Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX  76155.

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