The floodwaters in Hays County and surrounding areas wreaked havoc in October and over Halloween 2013. Federal emergency aid is available for those who qualify and apply in time. (Photo by Moses Leos III) |
By Andy Sevilla.
Homeowners and renters who suffered property losses from the 2013 Halloween flood have until Jan. 21 to apply for low-interest-rate loans from the Small Business Administration.
The SBA, under a request by Texas Gov. Rick Perry, has offered low-interest federal disaster loans for homeowners, renters and others who lost property or income because of the Oct. 31 flood that dropped as much as 15 inches of rain in parts of Hays County.
Acting under its own authority, the SBA issued a disaster declaration for flood-affected counties in Texas setting the stage for assistance in the primary counties of Hays, Caldwell and Travis, as well as eight neighboring counties.
“The U.S. Small Business Administration is strongly committed to providing Texas with the most effective and customer-focused response possible, and we will be there to provide access to federal disaster loans to help finance recovery for residents and businesses affected by the disaster,” SBA Acting Administrator Jeanne Hulit said in a Nov. 22 statement.
In late December, the U.S. Federal Emergency Management Agency notified the state, that the federal agency would not award individual assistance to those affected by the flood.
“The Federal emergency Management Agency (FEMA) initially denied the state’s request for grants for individuals who suffered losses,” said Hays County Emergency Management Coordinator Kharley Smith, adding that losses in Hays, Caldwell and Travis counties apparently did not meet minimum requirements to trigger that aid. The state has since filed an appeal and is awaiting a decision, Smith said.
President Barack Obama, however, declared a disaster for the floods, thus FEMA will send aid to state and local governments who responded to flood emergencies. Hays County officials have estimated $2 million in damages to schools, parks, public buildings and roads within its boundaries.
Further, the U.S. Department of Agriculture is offering low-interest emergency loans to producers after the President’s Dec. 22 disaster declaration. Under this designation, producers in the primary counties, as well as in the eight contiguous disaster counties are eligible for the federal aid, the agency said in a statement.
“The disaster designation is welcome relief to producers because it allows all qualified operators in primary and contiguous counties to apply for a low interest emergency (EM) loan,” Raecene Randall, Farm Loan Manager said in a statement.
Producers have until Aug. 22 to apply for the USDA emergency loan assistance. The Texas Farm Service Agency (FSA) will consider each loan application on its security available, repayment ability and taking the extent of losses into account, the statement said. Producers can borrow up to 100 percent of actual production or physical losses, to a maximum amount of $500,000 at a 2.875 interest rate.
SBA disaster loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate at a 2.25 percent interest rate. Homeowners and renters are eligible for up to $40,000 for damaged personal property.
Businesses, large or small, and nonprofits may borrow up to $2 million from the SBA to repair or replace damaged or destroyed real estate, machinery and equipment, inventory, and other business assets. Businesses can borrow at a 4 percent interest rate, and nonprofits and private organizations can borrow at 2.625 percent, county officials said.
