In response to an amended Presidential disaster declaration, the U.S. Small Business Administration (SBA) has announced the availability of low-interest federal disaster loans for small businesses, nonprofits, and residents in additional Kentucky counties affected by severe weather events on April 2. The newly designated counties include Breckinridge, Bullitt, Calloway, Daviess, Garrard, Grayson, Hancock, Hart, Henderson, Henry, Jefferson, LaRue, Lincoln, McLean, Meade, Muhlenberg, Nelson, Ohio, Oldham, Pendleton, Powell, Trimble, Warren and Webster.
These areas are now eligible for both physical damage loans and Economic Injury Disaster Loans (EIDLs). Additionally, SBA EIDLs are available to small businesses and private nonprofit organizations in adjacent counties across Kentucky and neighboring states Indiana and Ohio.
SBA customer service representatives will be present at Business Recovery Centers (BRCs) to assist with questions about the disaster loan program and application process. Walk-ins are welcome at these centers located in Hardin County's KY State Police #4 Building G in Elizabethtown; Hopkins County EMA in Madisonville; and McCracken County Rescue Vehicle Building Entrance in Paducah.
Businesses can apply for physical disaster loans up to $2 million for repairing or replacing damaged assets. Homeowners may borrow up to $500,000 for primary residence repairs and up to $100,000 for personal property replacement. Loan increases of up to 20% may be available for mitigation improvements such as wind-resistant upgrades or safe room installations.
Chris Stallings from the Office of Disaster Recovery and Resilience at the SBA highlighted a key benefit: "One distinct advantage of SBA’s disaster loan program is the opportunity to fund upgrades reducing the risk of future storm damage."
The EIDL program supports eligible small businesses with financial losses related directly to this disaster. These loans address working capital needs even if no physical damage occurred.
Interest rates start as low as 4% for small businesses and extend up to 30 years. Importantly for survivors seeking recovery aid alongside insurance claims: "Disaster survivors should not wait to settle with their insurance company before applying for a disaster loan."
Applications can be submitted online via sba.gov/disaster or through contact with SBA’s Customer Service Center. The deadline for physical property damage applications is June 23rd while economic injury applications have until January 26th next year.