Disaster relief hurricane loan program precariously low on funds
Only $1.6 billion remains in a federal program to help small businesses impacted by hurricanes and natural disasters — enough funding for only a few more weeks without emergency intervention by Congress. Multiple Biden administration and congressional sources told CBS News there are concerns funding will be depleted by the end of this month.
The remaining pot of funding in the Small Business Administration’s disaster loan fund is being severely strained by the damage of Hurricane Helene, CBS News has learned, and the Small Business Administration has received at least 3,000 applications every day since Hurricane Helene struck the Southeast. One administration official said there is not sufficient money to last until Congress’ scheduled return to Washington after the November elections.
Congress failed to include additional funding for the disaster fund when it passed a short-term spending bill to fund the federal government in September. Although there is optimism that sufficient money remains to help offset the costs of the Federal Emergency Management Agency until Congress returns during the week of Nov. 12, there are growing concerns that the Small Business Administration disaster money will run dry.
Scott MacFarlane
Source: cbsnews.com