SBA is expanding loan program for Sandy victims

The U.S. Small Business Administration has announced a new Hurricane Sandy disaster loan program that extends, expands and improves access to federal disaster loans.

SBA Administrator Maria Contreras-Sweet announced that the new deadline to submit applications for physical damage and economic injury losses is Dec. 1, 2016. Contreras-Sweet reopened the filing period for SBA disaster loans effective Dec. 2, following the recent approval of the Recovery Improvements for Small Entities After Disaster Act of 2015. The act allows those affected by Sandy another opportunity to apply for low-interest disaster loans.

“Loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate,” said Frank Skaggs, director of the SBA’s Field Operations Center East, in Atlanta. “Homeowners and renters are eligible for loans up to $40,000 to repair or replace damaged or destroyed personal property.” Interest rates are as low as 4 percent for businesses, 3 percent for nonprofit organizations and 1.688 percent for homeowners and renters, with terms of up to 30 years.

SBA officials say they plan to call and email everyone who had applied for assistance from the Federal Emergency Management Agency, and that people are welcome to apply for SBA loans even if they didn’t apply for FEMA funds. Those who have already applied for or received SBA loans can apply for new ones if they have outstanding needs. SBA will treat this re-opening as if it followed a more recent disaster.

The program reopens Sandy disaster assistance applications because many survivors did not file for disaster loans. In some cases they were given inaccurate information, they had a preference for grants, or they had duplication-of-benefits concerns. Many others believed that their flood insurance and federal grants would address their unmet needs, but now find that they do not have the resources to rebuild.

In order to reduce closing and disbursement delays, the SBA will inform applicants that submitting all application materials initially will result in faster processing.

Two local offices are open: The Wantagh Park Administrative Building, at 1 King Road in Wantagh, from 9 a.m. to 5 p.m. Monday through Friday, and the Nickerson Administrative Building, at 880 Lido Blvd. in Lido Beach, from 9 a.m. to 5p.m. on weekdays. Applicants may also apply online, using an electronic loan application, at SBA’s secure website, https://disasterloan.sba.gov/ela.

Businesses and individuals may also obtain information and loan applications by calling the SBA’s Customer Service Center at (800) 659-2955 — or (800) 877-8339 for the deaf and hearing-impaired — or by emailing disastercustomerservice@sba.gov.