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Need a federal disaster loan for Kona low storm damage? Deadline: March 29

The “Kona low” in December 2021 caused flash flooding and property damage in an area of Maui Meadows in Kīhei. Photo Credit: Larena Nellies-Ortiz.

There are only a few weeks left to apply for a US Small Business Administration’s federal disaster loan for physical damage sustained during the December 2021 “Kona low” severe weather, flooding and landslides.

Residents and businesses in Maui County (including Molokaʻi and Lānaʻi), the City and County of Honolulu, and contiguous County of Kalawao who wish to apply for a personal property or physical disaster loan must do so by March 29, 2022.

The Small Business Administration (SBA) already has approved more than $400,000 in low-interest loans to help residents repair damage and continue recovery from the storm that impacted Hawaiʻi Dec. 5-10, 2021.

The approved programs make available disaster loans of:

  • Up to $200,000 for homeowners to repair or replace damaged or destroyed real estate, and
  • Up to $40,000 for homeowners or renters to repair or replace personal property that was damaged or destroyed.

The loans have terms of up to 30 years at interest rates as low as 1.438%.

Businesses 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. The up-to-30-year loans have interest rates as low as 2.83% for businesses and 1.875% for private nonprofit organizations.

The approved programs make available disaster loans of:

  • Up to $200,000 for homeowners to repair or replace damaged or destroyed real estate, and
  • Up to $40,000 for homeowners or renters to repair or replace personal property that was damaged or destroyed.

The loans have terms of up to 30 years at interest rates as low as 1.438%.

Businesses 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. The up-to-30-year loans have interest rates as low as 2.83% for businesses and 1.875% for private nonprofit organizations.

SBA also can lend additional funds to businesses and homeowners to help pay for improvements to protect, prevent or minimize the same type of disaster damage from occurring in the future.

A new video to explain the process was created during a virtual information briefing by the Hawaiʻi Emergency Management Agency. The session included a presentation by the SBA, the Maui County Emergency Management Agency and the City and County of Honolulu Department of Emergency Management. To view the video or for additional resources,  click here. 

Additional questions can be emailed to the Hawaiʻi Emergency Management Agency at hawaiiema@hawaii.gov.

Small businesses (including aquaculture), small agricultural cooperatives and most private nonprofits may also be eligible for Economic Injury Disaster Loans to help meet working capital needs caused by the disaster, even if the business did not suffer property damage.

Applications for Economic Injury Disaster Loans are due Oct. 28, 2022.

Loan applications for personal property, physical damage and economic injury can be downloaded here.

To assist with loan applications while protecting against the risk of COVID-19, SBA have opened a Virtual Business Recovery Center and Virtual Disaster Loan Outreach Center. Customer service representatives can answer questions, explain the application process, and help with filing an online loan application.

The centers are operating Monday through Friday from 3 a.m. to 3 p.m. in Hawaiʻi Standard Time and can be reached at 800-659-2955 or FOCWAssistance@sba.gov.

Original source: https://mauinow.com/2022/02/28/need-a-federal-disaster-loan-for-kona-low-storm-damage-deadline-march-29/

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