Alabama businesses and residents affected by Tropical Storm Claudette on June 19, 2021, may apply for low-interest disaster loans from the U.S. Small Business Administration (SBA).

SBA made the loans available in response to a letter from Alabama Gov. Kay Ivey on July 21, requesting a disaster declaration by the SBA. Businesses and residents in the declared area can now apply for low-interest disaster loans from the SBA. The declaration covers Escambia and Tuscaloosa counties and the adjacent counties of Baldwin, Bibb, Conecuh, Covington, Fayette, Greene, Hale, Jefferson, Monroe, Pickens, and Walker in Alabama; and Escambia, Okaloosa, and Santa Rosa in Florida.

Amounts, Uses, Interest Rates: “Businesses and private nonprofit organizations may borrow up to $2 million to repair or replace disaster damaged or destroyed real estate, machinery and equipment, inventory, and other business assets,” said SBA’s District Director Thomas A. Todt. “Loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible for loans up to $40,000 to repair or replace damaged or destroyed personal property,” said Kem Fleming, director of SBA’s Field Operations Center East in Atlanta. Interest rates are as low as 2.88 percent for businesses, 2 percent for nonprofit organizations, and 1.625 percent for homeowners and renters, with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition.

“The SBA is strongly committed to providing the people of Alabama with the most effective and customer-focused response possible to assist businesses of all sizes, homeowners and renters with federal disaster loans,” said SBA Administrator Guzman. “Getting businesses and communities up and running after a disaster is our highest priority at SBA.”

To assist businesses and residents affected by the disaster, the SBA will open a Disaster Loan Outreach Center (DLOC) in Tuscaloosa County on Tuesday, July 27 at noon as indicated below.

Tuscaloosa County
Northport Civic Center
3500 McFarland Blvd
Northport, AL 35476
Opening: Tuesday, July 27 at noon
Hours: Monday – Friday from 9:00 a.m. – 6:00 p.m.
Open: Saturday, July 31, from 10:00 a.m. – 2:00 p.m.
Open this Saturday Only
Closed: Sunday
Closes Permanently: Thursday, Aug. 5 at 6 p.m.

Virtual customer support representatives are available to help applicants who cannot come to the DLOC complete the online application during these hours:
Open: Monday – Sunday (7 days/week)
Hours: 8 a.m. – 8 p.m. EDT
Email: FOCE-Help@sba.gov
Phone: (800) 659-2955

Customer Service Representatives will be available at the DLOC to answer questions about the disaster loan program and help individuals complete their applications. Due to the ongoing COVID-19 pandemic, the SBA has established protocols to help protect the health and safety of the public. All visitors to the DLOC are encouraged to wear a face mask.

For small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations, the SBA offers Economic Injury Disaster Loans (EIDL)to help meet working capital needs caused by the disaster. EIDL Loan assistance is available regardless of whether the business suffered any physical property damage.

Applicants may be eligible for a loan amount increase up to 20 percent of their physical damages, as verified by the SBA for mitigation purposes. Eligible mitigation improvements may include a safe room or storm shelter, sump pump, French drain or retaining wall to help protect property and occupants from future damage caused by a similar disaster.

Applicants may apply online using the Electronic Loan Application (ELA) via SBA’s secure website at DisasterLoanAssistance.sba.gov/ela/s and should apply under SBA declaration #17050, not for the COVID-19 incident.

Disaster loan information and application forms may also be obtained by calling the SBA’s Customer Service Center at 800-659-2955 (800-877-8339 for the deaf and hard-of-hearing) or by emailing DisasterCustomerService@sba.gov. Loan applications may be downloaded at sba.gov/disaster Completed applications should be returned to the center or mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.

Deadlines: The filing deadline to return applications for physical property damage is Sept. 20, 2021. The deadline to return economic injury applications is April 22, 2022.

This is not a grant. This is not COVID-related.