SBA Makes Low Interest Disaster Loans Available for Severe Storms and Tornadoes Victims

Low-interest disaster loans will be made available by the U.S. Small Business Administration to Alabama residents and businesses affected by the severe storms and tornadoes on February 5 - 6, 2008, SBA Administrator Steve Preston announced today.

Administrator Preston took this action following a February 20 letter from Alabama Governor Bob Riley requesting a disaster declaration by the SBA. The declaration covers Lawrence and Walker counties and the adjacent counties of Blount, Colbert, Cullman, Fayette, Franklin, Jefferson, Lauderdale, Limestone, Marion, Morgan, Tuscaloosa and Winston in the State of Alabama.

"We look forward to working with residents of Alabama who were affected by these storms and tornadoes," said Preston. "We will work as hard as we can to make SBA disaster recovery loans available so the people of Alabama can rebuild their lives, their homes, their businesses and their communities."

Frank Skaggs, Director of Disaster Field Operations Center East said, "Residents, both homeowners and renters, are eligible for loans up to $40,000 to repair or replace damaged or destroyed personal property. Loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. The SBA's Customer Service Representatives will be on hand at the Disaster Loan Outreach Centers to issue loan applications, answer questions about the SBA's disaster loan program, explain the application process and help individuals complete their application."

The Centers will be located in the following communities and will open as indicated:

Lawrence County

Moulton Recreation Center

13550 Court Street

Moulton, Alabama 35650

Opens: Saturday, Feb. 23 form 9 a.m. to 5 p.m.

Hours: Monday, Feb. 25 through Friday, Feb. 29; 9 a.m. to 5:30 p.m.

Saturday, March 1; 10 a.m. to 2 p.m.

Monday, March 3 through Thursday, March 6; 9 a.m. to 5:30 p.m.

Center closes on Thursday, March 6, 2008, at the close of business

Walker County

Alabama Emergency Management Agency Office

(Directly behind the Midway McCollum Fire Department)

16781 Highway 69 South

Jasper, Alabama 35501

Opens: Saturday, Feb. 23 from 9 a.m. to 5 p.m.

Hours: Monday, Feb. 25 through Friday, Feb. 29; 9 a.m. to 5:30 p.m.

Saturday, March 1; 10 a.m. to 2 p.m.

Monday, March 3 through Thursday, March 6; 9 a.m. to 5:30 p.m.

Center closes on Thursday, March 6, 2008, at the close of business

Raymond Hembree, SBA's Alabama Acting District Director stresses, "Low-interest Federal disaster loans are available to renters, homeowners, businesses of all sizes and private, non-profit organizations whose property was damaged or destroyed by the severe storms and tornadoes."

Businesses of any size and private non-profit organizations may borrow up to $1.5 million to repair or replace damaged or destroyed real estate, machinery, equipment, inventory, and other business assets. The SBA can also lend additional funds to help with the cost of making improvements that protect, prevent or minimize the same type of disaster damage from occurring in the future.

For small businesses only, the SBA offers Economic Injury Disaster Loans to help meet working capital needs caused by the disaster. Economic Injury Disaster Loans assistance is available regardless of whether the business suffered any physical property damage.

Individuals and businesses unable to visit the Centers in person may obtain information and loan applications by calling toll-free (800) 659-2955. Hearing impaired individuals may call (800) 8778339.

The filing deadline to return applications for physical property damage is April 21, 2008. The deadline to return economic injury applications is November 21, 2008.

For more information about the SBA's Disaster Loan Programs, visit our
website at http://www.sba.gov.