SHAHEEN: SMALL BUSINESSES DAMAGED IN 2008 ICE STORM ELIGIBLE FOR DISASTER LOANS FROM SMALL BUSINESS ADMINISTRATION

(Washington, D.C.) – U.S. Senator Jeanne Shaheen announced today that the Small Business Administration (SBA) has determined that businesses that suffered economic harm from the December 2008 ice storm are eligible to receive Economic Injury Disaster Loans (EIDL). Shaheen wrote to the SBA on February 27 in support of a request to certify New Hampshire businesses as eligible for such loans.

 

“I’m pleased the SBA has recognized the serious challenges that many New Hampshire businesses face due to the severe ice storm last December,” said Shaheen. “Businesses across the state are struggling during this economic crisis, and the ice storm made it that much harder for many small businesses to keep their doors open. I was glad to advocate on behalf of New Hampshire businesses that needed this assistance, and I applaud the SBA for supporting our businesses as they confront this challenge.”

 

Shaheen, who sits on the U.S. Senate Committee on Small Business and Entrepreneurship, wrote to the SBA Office of Disaster Assistance requesting help for the many small businesses across the state that experienced loss of inventory, customer loss, damage to their facilities and other economic harms due to the storm.

 

The SBA provides EIDLs up to $2 million based on each business’ actual economic injury and financial need. The interest rate on EIDLs cannot exceed four percent per year and the term of these loans cannot exceed 30 years. The loan term is determined by the business’ ability to repay the loan. Small businesses that need further information on how to apply for an EIDL should contact:

 

Small Business Administration Customer Service Center

Toll-free Phone: (800) 659-2955

Fax: (716) 843-4281

Email: disastercustomerservice@sba.gov.

 

The full text of Senator Shaheen’s letter to the SBA follows:

 

February 27, 2009

Mr. Frank Skaggs

U.S. Small Business Administration

Office of Disaster Assistance

Field Operations Center – East

One Baltimore Place, Suite 300

Atlanta, GA 30308

 

Dear Director Skaggs:

In December an unprecedented ice storm resulted in the loss of power for hundreds of thousands of individuals and businesses across New Hampshire for days and, in some cases, weeks.  I write to you today in support of Governor John Lynch’s letter of February 20, 2009 certifying the damage to small businesses in the wake of the December 11, 2008 ice storm and requesting subsidized loans from the Small Business Administration to the affected businesses. 

The New Hampshire Division of Economic Development surveyed businesses in Grafton, Hillsborough, Merrimack, Rockingham and Strafford counties and found that more than five small businesses in each county had suffered considerable economic losses as a result of the storm.  These businesses experienced loss of inventory, customer loss for multiple days, and damage to their facilities. 

Federal assistance following the storm of December 11, 2008 is critical to the future of many small businesses throughout New Hampshire, and I respectfully request that the Small Business Administration give Governor Lynch’s request every consideration and make these loans available. 

Should you require any additional information about this matter, please contact Michael Vlacich, my New Hampshire State Director.  Mike can be reached at (603) 647-7500 or by e-mail at mike_vlacich@shaheen.senate.gov.

Thank you for your assistance with this request.                           

Sincerely,

 

Jeanne Shaheen

U.S. Senator

 

Cc: Darryl Hairston, Acting Administrator, U.S. Small Business Administration

      Witmer H. Jones, New Hampshire District Director, U.S. Small Business Administration