LOS ANGELES (CNS) - Los Angeles County officials Friday are urging business owners impacted by the Santa Monica (10) Freeway fire, which closed one of the nation's busiest roadways for more than week, to apply for federal assistance.
Last week, the U.S. Small Business Administration opened a Business Recovery Center in downtown Los Angeles at 725 Crocker St., with the intention of providing financial assistance to small businesses that were economically impacted by the fire and subsequent road closures that occurred in November.
Following a request from Gov. Gavin Newsom in January, the SBA acted under its own authority to declare a disaster, the agency said.
The center is open weekdays from 8 a.m. to 4:30 p.m. On Feb. 15, the center will operate from 12:30 p.m to 4:30 p.m., and will resume normal hours afterward.
No appointments will be necessary, and officials said the center will remain open until further notice.
"I thank President Joe Biden for his diligent work to address the economic injury and personal impacts the fire and road closures have had on local businesses and workers in the area," County Supervisor Hilda Solis said in a statement.
She added, "By deploying the SBA to open a Business Recovery Center near the incident site, President Biden is doubling his commitment to uplift our small business community -- the backbone of our local economy."
Solis noted that the county also deployed resources to a Local Business Assistance Resource Center, a "one-stop shop" where those impacted by the emergency could obtain assistance, services and resources from government agencies and nonprofit organizations.
"Now that we have the SBA in town, the county stands ready to connect small business owners and workers to the vital loan program," Solis said. "Their success is our success."
While business owners will have until the end of October for their applications to be accepted, the SBA will have representatives at its center to walk applicants through the application process and answer questions about the disaster loan program, the agency announced.
The SBA also launched a virtual business recovery center. Impacted businesses can receive assistance online or over the phone by contacting FOCWAssistance@sba.gov or 916-735-1501, Monday through Friday from 8 a.m. to 4:30 p.m.
Business owners are encouraged to apply for assistance or initiate low- interest SBA loan applications. Eligibility will be based on the financial impact of the disaster only, and not on any actual property damage.
Applicants, if approved, will receive Economic Injury Disaster Loans, which are working capital loans to help businesses, among other groups.
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"These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can't be paid because of the disaster's impact," Associate Administrator Francisco Sánchez of the SBA's Office of Disaster Recovery & Resilience said in a statement last Friday, "Disaster loans can provide vital economic assistance to small businesses to help overcome the temporary loss of revenue they are experiencing."
Typically, these loans have a 4% interest rate, with terms up to 30 years. Shorter terms are available, as well.
Interest does not begin to accrue until 12 months from the date of the first disaster loan disbursement. SBA disaster loan repayment begins 12 months from the date of the first disbursement.
Applicants may also call SBA's Customer Service Center at 800-659-2955 or email disastercustomerservice@sba.gov for more information. For people who are deaf, hard of hearing or have a speech disability, dial 7-1-1 to access telecommunications relay services.
The declaration and SBA Business Recovery Center follows the immediate and collaborative action by the city and county of Los Angeles as well as Together for LA in November to mitigate the impacts of the fire for workers and small businesses.
Together for LA is a cross sector collaborative of public, private and social sector partners that formed to support small businesses during the pandemic and encourage economic resiliency.
The county and city's center was open Nov. 20-28, hosted 11 local, state and federal agencies and seven nonprofit partners, and served 117 impacted businesses and workers reporting $6,773,526.45 in damages from the fire with capital access, legal and immigration aid, health and mental health care, connections to small business and workforce resources, and food and other basic needs.
"We thank the SBA for their partnership to bring critical resources to those most heavily impacted by the 10 Freeway fire," Kevin McGowan, director of the county's Office of Emergency Management. "Successful recovery from any emergency or disaster requires a unified effort from a multitude of partners."
He added, "Following the success of the Local Business Assistance Center, this SBA declaration and the establishment of the SBA Business Recovery Center are welcomed next steps on this journey to recovery."
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