Funds available to assist with June storm damage

Small Business Administration resources are available to Minnesota businesses and residents affected by severe storms and flooding in June 2022.

The declaration covers Morrison County (primary) and adjacent counties of Benton, Cass, Crow Wing, Mille Lacs, Stearns and Todd.

Applicants may apply online and in-person. An Electronic Loan Application is available via the SBA’s secure website at DisasterLoanAssistance.sba.gov/ela/s.

People can also apply in person at the SBA’s Disaster Loan Outreach Center in Randall at the city's fire hall, 535 Pacific Ave. The center will permanently close 4 p.m. Thursday, Aug. 11.

If approved for a loan, an applicant is under no obligation to accept it. They can turn it down now, and still “reactivate” their application for up to six months from the date of their determination letter. An SBA loan is one tool in a person’s recovery toolkit as they consider all their options.

It’s important to know that low-interest federal disaster loans are for homeowners and renters in addition to businesses of all sizes, nonprofit organizations, faith-based organizations, small aquaculture businesses, and small agricultural cooperatives impacted by the storms. All can apply for their uncompensated losses, such as their insurance wasn’t enough to complete their repairs or they didn’t have insurance.

Business disaster loans are up to $2 million. Homeowners can get loans up to $200,000 to repoair or replace a primary residence and protect their home against future disasters. Homeowners and renters can get up to $40,000 to repair or replace personal property, such as furniture, appliances and vehicles.

Interest rates are as low as 1.688%. All loans have repayment terms up to 30 years.

Other features to note:

• Individuals do not have to wait for their insurance settlement to apply for a loan. They can get money from SBA to start their repairs and then assign their insurance settlement to pay down their loan.
• It’s free to apply and the interest rates are very low. Please see the attached information for details.
• SBA disaster loans cover things insurance often does not, such as debris removal, decks, fencing, sheds, etc.
• Terms are up to 30 years to make the payments affordable, and no collateral is required for loans of $25,000 or less.
• There is no pre-payment penalty.

For more information, call 800-659-2955 or go to sba.gov/disaster.