Rep. Welch proposes new federal disaster relief program for small businesses
SOUTH BURLINGTON, Vt. – In meetings with Vermont small business owners in the aftermath of Tropical Storm Irene, Rep. Peter Welch heard one recurring message: Federal disaster relief programs did not always meet their urgent needs. In response, Welch today proposed a new federal disaster relief program tailored to meet the needs of small businesses affected by natural disasters.
In the days and weeks following Irene, SBA distributed over 1,900 business disaster loan applications. Only 234 businesses submitted a completed application, of which only 137 loans were approved.
In a letter sent today to the Small Business Administration (SBA), Welch is asking SBA Administrator Karen Mills to create a new microloan category within the existing SBA disaster loan program. Targeting businesses with fewer than 50 employees, this new loan program would provide smaller, expedited loans with reduced paperwork requirements.
Jul 9, 2012