Central Ohio Today

State Representative Tracy Richardson (R-Marysville) has announced that farmers and small businesses in Union County affected by the United States Agriculture Department's declaration of a natural disaster due to ongoing drought conditions can now apply for federal emergency loans.

The USDA has declared 22 Ohio counties, including Athens, Belmont, Fairfield, Fayette, Gallia, Guernsey, Harrison, Highland, Hocking, Jackson, Jefferson, Madison, Monroe, Morgan, Muskingum, Noble, Perry, Pickaway, Pike, Ross, Vinton and Washington as natural disaster areas because of the state's exceptionally hot and dry summer. Additionally, 18 surrounding counties are eligible to apply for the U.S. Small Business Administration’s Economic Injury Disaster Loan (EIDL), which includes Union County.

Under this declaration, the SBA’s EIDL program is available to eligible farm-related and nonfarm-related entities that have suffered financial losses directly resulting from this disaster.

“This has been a very dry and challenging summer for residents in my district,” Richardson said. “I am hoping that this disaster loan program will provide the assistance needed for those suffering financial losses.”

The loan amount can be up to $2 million with interest rates of 4% for small businesses and 3.25% for private nonprofit organizations. The terms can extend up to 30 years. Interest does not accrue and payments are not due until 12 months from the date of the first loan disbursement. The SBA determines loan amounts and terms based on each applicant’s financial condition. Eligibility is based on the size of the applicant, type of activity and its financial resources. These working capital loans may be used to pay fixed debts, payrolls, accounts payable and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits.

For more information and to apply online visit SBA.gov/disaster. Applicants may also call the SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov.