FRANKFORT, Ky. (KT) – Following last week’s Presidential disaster declaration for public assistance, theU.S Small Business Administration, (SBA) has announced the availability of low interest federal disaster loans for certain private nonprofit (PNP) organizations in Kentucky affected by spring severe weather.
The declaration, issued following severe storms, straight-line winds, tornadoes, flooding, landslides and mudslides April and May, covers Allen, Anderson, Ballard, Barren, Bracken, Breathitt, Breckinridge, Bullitt, Butler, Caldwell, Calloway, Campbell, Carlisle, Carroll Carter, Casey, Christian, Clark, Clay, Crittenden, Daviess, Edmonson, Elliott, Estill, Floyd, Franklin, Fulton, Gallatin, Garrard, Graves, Grayson, Green, Greenup, Hancock, Hardin, Harrison, Hart, Henderson, Hickman, Hopkins, Jackson, Jefferson, Jessamine, Johnson, Kenton, LaRue, Lawrence, Lee, Leslie, Lewis, Lincoln, Livingston, Logan, Lyon, Madison, Magoffin, Marion, Marshall, Martin, McCracken, McLean, Meade, Mercer, Metcalfe, Monroe, Morgan, Muhlenberg, Nelson, Nicholas, Ohio, Oldham, Owen, Owsley, Pendleton, Perry, Powell, Robertson, Rockcastle, Simpson, Spencer, Taylor, Todd, Trigg, Trimble, Union, Warren, Washington, Webster, Wolfe, and Woodford counties.
PNPs providing non-critical services of a governmental nature, like food kitchens, homeless shelters, museums, libraries, community centers, schools, and colleges can apply for both Physical Disaster Loans and Economic Injury Disaster Loans (EIDLs) from the SBA.
PNPs may borrow up to $2 million to repair or replace disaster-damaged or destroyed real estate, machinery and equipment, inventory, and other business assets. Applicants may be eligible for a loan increase of up to 20 percent of their physical damages, as verified by the SBA, for mitigation.
EIDLs are available for working capital needs caused by the disaster, even if the PNP did not suffer any physical damage. They may be used for fixed debts, payroll, accounts payable, and other bills unpaid due to the disaster.
“SBA loans help eligible PNPs cover operating expenses after a disaster, which is crucial for their recovery,” said Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. “These loans not only help PNPs get back on their feet but also play a key role in sustaining local economies in the aftermath of a disaster.”
The SBA also reminds PNP organizations Aug. 26 is the deadline to apply for low interest federal disaster loans for losses caused by the remnants of Hurricane Helene in September 2024.
That declaration covers Anderson, Bath, Bell, Bourbon, Bracken, Breathitt, Carter, Clark, Clay, Elliott, Estill, Fleming, Franklin, Greenup, Harlan, Harrison, Jackson, Johnson, Lawrence, Lee, Letcher, Lewis, Magoffin, Menifee, Montgomery, Morgan, Nicholas, Owsley, Powell, Robertson, Rockcastle, Rowan, Washington and Wolfe counties.