SBA Amends Disaster Declaration for Louisiana

SACRAMENTO, Calif. – Low-interest federal disaster loans are now available to certain private nonprofit organizations in Iberville, Jefferson, St. Bernard and Tangipahoa parishes following the amendment to President Biden’s Sept. 23, major disaster declaration for Public Assistance as a result of Hurricane Francine that occurred Sept. 9-12, announced Administrator Isabella Casillas Guzman of the U.S. Small Business Administration. Private nonprofits that provide essential services of a governmental nature are eligible for assistance.

These low-interest federal disaster loans are available in Ascension, Assumption, East Baton Rouge, East Feliciana, Iberville, Jefferson, Lafourche, Livingston, Orleans, Plaquemines, St. Bernard, St. Charles, St. Helena, St. Martin, St. Mary, St. Tammany, Tangipahoa, Terrebonne, Washington and West Feliciana parishes.

“Private nonprofit organizations should contact your State Applicant Liaison, or email PASALS@la.gov or RPA.Help@la.gov, to obtain information about applicant briefings. At the briefings, private nonprofit representatives will need to provide information about their organization,” said Francisco Sánchez Jr., associate administrator for the Office of Disaster Recovery and Resilience at the Small Business Administration. 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. FEMA may provide the private nonprofit with a Public Assistance grant for their eligible costs. SBA encourages all private nonprofit organizations to apply with 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.

For certain private nonprofit organizations of any size, SBA also offers Economic Injury Disaster Loans to help meet 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 private nonprofit suffered any property damage.

“SBA’s disaster loan program offers an important advantage–the chance to incorporate measures that can reduce the risk of future damage,” Sánchez continued. “Work with contractors and mitigation professionals to strengthen your property and take advantage of the opportunity to request additional SBA disaster loan funds for these proactive improvements.”

The interest rate is 3.25 percent with terms up to 30 years. The deadline to apply for property damage is Nov. 22, 2024. The deadline to apply for economic injury is June 23, 2025.

Interest does not begin to accrue until 12 months from the date of the first disaster loan disbursement. SBA disaster loan repayment begins 12 months from the date of the first disbursement.

Applicants may apply online and receive additional disaster assistance information at SBA.gov/disaster. 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. For people who are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services.


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About the U.S. Small Business Administration
The U.S. Small Business Administration helps power the American dream of business ownership. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow, expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.