The U.S. Small Business Administration (SBA) has issued a reminder to small businesses and private nonprofit organizations in Pennsylvania about the approaching deadline to apply for federal disaster loans. These loans are designed to alleviate economic losses due to the drought that began on July 30, 2024. The application deadline is set for April 7, 2025.
The affected areas include the counties of Bedford, Blair, Cambria, Fayette, Franklin, Fulton, Huntingdon, Somerset, and Westmoreland in Pennsylvania, as well as Allegany, Garrett, and Washington counties in Maryland.
This initiative is part of SBA’s Economic Injury Disaster Loan (EIDL) program aimed at supporting small businesses, agricultural cooperatives, nurseries, and private nonprofits impacted by the drought. However, the program does not extend to agricultural producers such as farmers or ranchers unless they are small aquaculture enterprises.
EIDLs provide working capital assistance even if no physical damage occurred. Businesses can use these loans for expenses like fixed debts and payroll that remain unpaid due to the disaster.
Chris Stallings from the SBA commented on this effort: “Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover. We’re pleased to offer loans to small businesses and private nonprofits impacted by these disasters.”
Loan amounts can reach up to $2 million with interest rates as low as 4% for small businesses and 3.25% for PNPs. The repayment terms may extend up to 30 years with no interest accrual or payments required until a year after the first disbursement. Each loan’s amount and terms are determined based on the applicant's financial situation.
Applications can be submitted online at sba.gov/disaster. Additional information is available through SBA’s Customer Service Center at (800) 659-2955 or via email at disastercustomerservice@sba.gov. For individuals who are deaf or hard of hearing or have a speech disability, telecommunications relay services can be accessed by dialing 7-1-1.
The final date for submitting economic injury applications remains April 7, 2025.