Gov. Tony Evers and U.S. Sen. Tammy Baldwin announced in a press release today that many Wisconsin businesses may be eligible for a federal disaster loan program if they have suffered losses due to this year’s unusually mild winter, which lacked Wisconsin’s typical snowfall in many areas of the state.
Evers and Baldwin have been advocating for the U.S. Small Business Administration (SBA) to confirm this disaster coverage extends to businesses impacted by Wisconsin’s extraordinary winter conditions. Following those conversations, SBA has confirmed that it will consider business loss from recent low snowfalls over the winter months to be related to the drought and eligible for assistance. The lack of snow has impacted travel and recreation businesses that depend on it for activities such as downhill and cross-country skiing, snowshoeing, and snowmobiling.
Many counties in the state are already covered by a preexisting disaster designation for drought from the U.S. Department of Agriculture. This designation allows businesses in counties identified as drought disaster areas to be eligible for emergency loans to offset their business losses in those counties if their business loss is related to the drought.
Impacted businesses in counties with a drought declaration can apply for the U.S. SBA Economic Impact Disaster Loans (EIDL). The loans are designed to help businesses get through emergency situations that have impacted their economic well-being. Under the EIDL program, businesses can borrow up to $2 million to cover their actual losses. Businesses pay no interest on the loan for the first year and a maximum rate of 4% for the rest of the loan period. In order to take advantage of the program, businesses must apply by the application deadline for their county. For Dane County businesses, the deadline is July 31.
Businesses may submit applications and find additional disaster assistance information here.
