Low-interest federal disaster loans are now available to certain private nonprofit organizations in Louisiana following President Biden’s federal disaster declaration for Public Assistance as a result of severe winter storms that occurred Feb. 11-19, 2021 Private nonprofits that provide essential services of a governmental nature are eligible for assistance.
These low-interest federal disaster loans are available in Allen, Beauregard, Bossier, Caddo, Catahoula, Concordia, De Soto, East Baton Rouge, Grant, La Salle, Lincoln, Ouachita, St. Helena, Union, and Washington parishes.
“Private nonprofit organizations should contact LaKeivea Warren, group lead of the state applicant liaison group of the Governor’s Office of Homeland Security and Emergency Preparedness by calling (225) 324-6073 or by emailing lakeivea.warren@la.gov to obtain information about applicant briefings,” said Director Tanya N. Garfield of SBA’s Disaster Field Operations Center-West. “At the briefings, private nonprofit representatives will need to provide information about their organization,” continued Garfield. The Federal Emergency Management Agency will use that information to determine if the private nonprofit provides an “essential governmental service” and is a “critical facility” as defined by law. If so, FEMA may provide the private nonprofit with a Public Assistance grant for their eligible costs. If not, FEMA may refer the private nonprofit to SBA for disaster loan assistance.
SBA may lend private nonprofits up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets. SBA can also lend additional funds to help with the cost of improvements to protect, prevent or minimize the same type of disaster damage from occurring in the future.
For certain private nonprofit organizations of any size, SBA offers Economic Injury Disaster Loans to help with meeting working capital needs caused by the disaster. Economic Injury Disaster Loans may be used to pay fixed debts, payroll, accounts payable and other bills that cannot be paid because of the disaster’s impact. Economic injury assistance is available regardless of whether the nonprofit suffered any property damage.
The interest rate is 2 percent with terms up to 30 years. The deadline to apply for property damage is Aug. 23, 2021. The deadline to apply for economic injury is March 22, 2022.
Applicants may apply online, receive additional disaster assistance information and download applications at https://disasterloanassistance.sba.gov/. Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. Individuals who are deaf or hard of hearing may call (800) 877-8339.