On May 5, the U.S. Small Business Administration (SBA) announced the availability of low-interest federal disaster loans for Oklahoma businesses, private nonprofits, and residents affected by the severe weather, tornadoes, and straight-line winds that occurred on April 23.
The SBA issued a disaster declaration after a request from Governor Kevin Stitt on April 30, marking the start of recovery efforts in the affected areas.
Disaster Declaration and Affected Areas
The disaster declaration includes the following counties in Oklahoma:
- Alfalfa
- Garfield
- Grant
- Kay
- Kingfisher
- Logan
- Major
- Noble
Businesses, nonprofits, and residents in these counties are eligible to apply for federal disaster loans to help repair damage caused by the severe weather.
Loan Details and Eligibility
The SBA is offering several types of loans to support recovery efforts, including:
- Business Physical Disaster Loans: Available to businesses and nonprofit organizations, these loans can cover up to $2 million to repair or replace damaged real estate or other physical assets.
- Homeowner Loans: Homeowners can borrow up to $500,000 to repair or replace their primary residence. Additionally, renters and homeowners can apply for up to $100,000 for personal property losses, such as furniture, clothing, or vehicles.
- Mitigation Loans: For those seeking to make improvements that reduce future damage from disasters, applicants may qualify for an increase in their loan amount — up to 20% of verified physical damage. This can include adding mitigation measures like insulating pipes or installing storm windows.
- Economic Injury Disaster Loans (EIDL): These loans are specifically for small businesses and nonprofit organizations facing financial losses as a result of the disaster, even if there was no physical damage. The funds can be used for essential working capital needs such as paying fixed debts, payroll, or other operating expenses.
Interest Rates and Loan Terms
The interest rates for SBA disaster loans are as follows:
- 4% for businesses
- 3.625% for nonprofits
- 2.875% for homeowners and renters
The loans come with terms extending up to 30 years, and payments are deferred for 12 months after the first disbursement. This allows borrowers some time before beginning repayment.
Disaster Loan Outreach Center
To assist residents with the application process, the SBA has opened a Disaster Loan Outreach Center in Enid at the Former Community Church of the Plains.
The center will be open from May 5 to May 22, with staff available Monday through Saturday to help individuals understand their loan options and complete their applications. Those unable to visit in person can also apply online at sba.gov/disaster.
Statements from SBA Officials
Chris Stallings, Associate Administrator of the Office of Disaster Recovery and Resilience at the SBA, stated, “When disasters strike, SBA’s Disaster Loan Outreach Centers perform an important role by assisting small businesses and their communities.”
About the U.S. Small Business Administration
Founded in 1953, the U.S. Small Business Administration (SBA) has been dedicated to supporting small businesses across the United States.
As the only cabinet-level federal agency focused exclusively on small businesses, the SBA provides resources such as counseling services, capital access programs, and disaster recovery loans to assist businesses during times of crisis.
The agency follows clear communication guidelines under the Plain Writing Act of 2010, ensuring that their services are accessible to all.
The SBA’s mission includes supporting small businesses through financial assistance, government contracts, and advocacy. It has become a vital resource for small businesses seeking assistance to recover from disasters like the one that affected Oklahoma in April.
