Disaster assistance available for agriculture businesses

Small, non-farm businesses in 162 Texas counties (plus neighboring counties in New Mexico and Oklahoma) may now apply for low-interest disaster loans from the U.S. Small Business Administration.

The disaster loans offset economic losses because of reduced revenues caused by drought, above-normal temperatures, and associated wildfires beginning Jan. 1, 2009, said Alfred E. Judd, director of SBA's Disaster Field Operations Center- West.

A number of Texas counties are eligible including Bell, Blanco, Burnet, Coryell, Hamilton, Lampasas, Llano, Limestone, McCulloch, McLennan, Mills, San Saba and Travis.

Small businesses and most private, non-profit organizations of any size may qualify for Economic Injury Disaster Loans of up to $2 million to meet financial obligations and operating expenses which could have been met had the disaster not occurred.

"Eligibility for these working capital loans is based on the financial impact of the disaster only and not on any actual property damage," said Judd. Loans have an interest rate of 4 percent, a maximum term of 30 years, and are available to small businesses and most private, non-profits without the financial ability to offset the adverse impact without hardship.

By law, SBA makes EIDLs available when the U.S. Secretary of Agriculture designates an agricultural disaster. Secretary Tom Vilsack declared the disaster at the request of Gov. Rick Perry.

Businesses primarily engaged in farming or ranching are not eligible for SBA disaster assistance. Agricultural enterprises should contact the Farm Services Agency about U.S. Department of Agriculture assistance made available by the secretary's declaration.

Information and application forms are available from SBA's Customer Service Center by calling (800) 659-2955, e-mailing disastercustomerservice@sba.gov, or by visiting SBA's Web site at www.sba.gov/services/disasterassistance.

Deadline to apply for the loans is December 28.