As anticipation grows for the approach of Hurricane Hilary toward Santa Barbara County this weekend, the Small Business Administration sent a notice of new low-interest loans made available to individuals and businesses suffering damage from the storms spanning February through July 2023.
The help comes from the Rural Communities Act signed by President Biden in December 2022, and offers assistance to homes, small businesses, private nonprofits, and small agricultural cooperatives with significant, uninsured damages from the past winter’s storms. In the case of Santa Barbara County, the damage has taken the form of lost wages for agricultural workers, crop damage due to flooding or wind, and physical damage to homes and businesses, as well as damaged or destroyed inventory, supplies, machinery, and equipment, said Jackie Ruiz, with the county’s Office of Emergency Management.
For qualifying businesses and private nonprofits, up to $2 million in loans is available, with interest rates as low as 4 percent for businesses and 2.375 percent for nonprofits. Homeowners are eligible for $500,000 to repair or replace damaged or destroyed real estate, and both owners and renters can qualify for $100,000 to repair and replace personal property, including vehicles. Interest rates are as low as 2.375 percent for owners and renters. Interest doesn’t accrue until 12 months from loan disbursement.