Private Non Profits Eligible for Low Interest Disaster Assistance Loans | Kentucky
FRANKFORT, Ky. (KT) – Due to the presidential declaration of disaster for Kentucky for the February snow and ice storms, the Federal Small Business Administration has low-rate disaster assistance loans interest available to some private nonprofit, or PNP, in 44 counties.
Examples of eligible PNP organizations, which are described as those that do not provide essential services of a government nature, include catering kitchens, homeless shelters, museums, libraries, community centers, schools and colleges.
PNPs can borrow up to $ 2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets. The interest rate is 2% with terms of up to 30 years. Applicants may be eligible for an increase in the loan amount up to 20 percent of their physical damage, as verified by the SBA, for mitigation purposes. Qualifying mitigation upgrades may include a safe room or storm shelter, sump pump, French drain, or retaining wall to help protect property and occupants from future damage from a similar disaster.
The SBA also offers economic disaster loans to help meet working capital needs, such as ongoing operating expenses to PNP organizations. This assistance is available regardless of whether the organization has suffered material damage or not.
PNPs located in Bath, Boyd, Boyle, Breathitt, Carter, Casey, Clark, Clay, Clinton, Elliott, Estill, Fleming, Floyd, Garrard, Greenup, Harlan, Jefferson, Johnson, Laurel, Lawrence, Lee, Leslie, Lewis, Lincoln , Madison, Magoffin, Marion, Martin, McCreary, Menifee, Mercer, Montgomery, Morgan, Nelson, Nicholas, Owsley, Perry, Powell, Pulaski, Rockcastle, Rowan, Wayne, Whitley and Wolfe counties can apply.
PNPs are urged to contact their county emergency manager for information on their organization. The information will be submitted to FEMA to determine eligibility for a public assistance grant or whether the PNP should be referred to the SBA for disaster loan assistance.
Applicants can apply online using the electronic loan application through the SBA’s secure website at DisasterLoan.sba.gov. Disaster loan information and application forms can also be obtained by calling the SBA at 800-659-2955, or by sending an email to [email protected]. Loan applications can also be downloaded from sba.gov/disaster.
The deadline for submitting physical property damage claims is May 31, 2021. The deadline for submitting claims for economic damage is January 3, 2022.