MOBILE, Alabama – Ten counties in Alabama are eligible for low-interest rate loans from the U.S. Small Business Administration, according to a news release issued by Gov. Robert Bentley's office.
The counties were those affected by a powerful storm that struck southern Alabama on Christmas Day.
They include Mobile and Pike counties – the two that were hardest hit – and those that are contiguous; Baldwin, Barbour, Bullock, Coffee, Crenshaw, Dale, Montgomery and Washington counties.
"This will allow many homeowners, businesses and nonprofit organizations that suffered damage from the Christmas Day tornado outbreak to receive financial assistance at low interest rates," Bentley said in a news release. "I appreciate the Small Business Administration approving Alabama's request for assistance."
Mobile Mayor Sam Jones also said he was appreciative of the SBA assistance, but urged Bentley to pursue a disaster declaration through the Federal Emergency Management Agency.
Jones sent Bentley a letter requesting the governor combine the damages from the Dec. 20 and 25 storms into one package for FEMA relief assistance. The state is the only entity allowed to approach FEMA requesting disaster relief.
"I would prefer FEMA to turn us down than us not making a request," Jones said. "Two tornadoes in five days in the same spot is unheard of. I think we have a special exception here and need special attention for that."
Jones said there has been a precedent for packaging storms together under one application for help, most notably the storms that struck other parts of the state in mid-April. The state's EMA director, Art Faulkner, said today he didn't think the damage caused to Mobile and Pike counties on Dec. 25, along with the Dec. 20 tornado, would meet the threshold to get FEMA assistance.
Faulkner also said that had Bentley pursued FEMA help, it might have jeopardized assistance the state got from the SBA.
Faulkner, though, said there is still time to pursue FEMA, and that he's been in communication with Jones and others in Mobile County.
"If FEMA turns us down or says we don't meet a threshold, we will ask for an exception," Jones said. "
Faulkner said ultimately it's the White House's decision on whether the two storms are packaged together for one disaster declaration.
"That's a decision only the president can make," he said.
For now, homeowners, renters, businesses and nonprofit organizations that qualify for assistance will have the following options from the SBA, according to Bentley's office:
Home Disaster Loans:
- Renters and homeowners alike may borrow up to $40,000 to repair or replace clothing, furniture, cars, appliances, etc., damaged or destroyed in the disaster.
- Homeowners may apply for up to $200,000 to repair or replace their primary residence to its pre-disaster condition.
Business Physical Disaster Loans:
- Loans of up to $2 million to repair or replace disaster-damaged property owned by the business, including real estate, inventories, supplies, machinery and equipment.
- Businesses of any size are eligible. Private, nonprofit organizations such as charities, churches, private universities, etc., are also eligible.
Economic Injury Disaster Loans:
- If a small business or private, nonprofit organization has suffered economic injury, regardless of physical damage, and is located in an SBA-declared disaster area, they may be eligible for financial assistance of up to $2 million from the U.S. Small Business Administration.
Those interested in applying for SBA low-interest rate loans can receive more information by calling the SBA's Customer Service Center at 800-659-2955 (or 800-877-8339 for the deaf and hard-of-hearing). Additional information, including SBA disaster loan fact sheets, can be found on the SBA's website at www.sba.gov.
Serve Alabama, Bentley's Office of Faith-Based and Volunteer Service, continues to encourage storm survivors in need of assistance to call 211 (or 888-421-1266). Operators can give callers more information on recovery resources available in various communities.