The U.S. Small Business Administration (SBA) authorized low-interest federal disaster loans for businesses and residents affected by severe storms, flooding and landslides during the “Kona low” weather system that took place throughout the state from Dec. 5-10, 2021.

The loans are available to businesses and residents of the City and County of Honolulu, County of Maui (including Molokaʻi and Lānaʻi), and contiguous County of Kalawao. Loan applications will be accepted through “virtual assistance centers” starting Monday, and are available for download immediately at https://disasterloanassistance.sba.gov/ela/s/ .

HI-EMA worked with the counties and the Federal Emergency Management Agency to assess damages from the storm. Gov. David Y. Ige submitted a formal request for a disaster declaration, which SBA received Wednesday.

The programs that were approved make available disaster loans of up to $200,000 for homeowners to repair or replace damaged or destroyed real estate, and up to $40,000 for homeowners or renters to repair or replace personal property that was damaged or destroyed. The loans have terms of up to 30 years at interest rates as low as 1.438%.

Businesses and private nonprofit organizations may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets. The up-to-30-year loans have interest rates as low as 2.83% for businesses and 1.875% for private nonprofit organizations.

SBA can also lend additional funds to businesses and homeowners to help pay for improvements to protect, prevent or minimize the same type of disaster damage from occurring in the future.

Small businesses (including aquaculture), small agricultural cooperatives, and most private nonprofits may be eligible for Economic Injury Disaster Loans to help meet working capital needs caused by the disaster, even if the business did not suffer property damage.

To assist with loan applications while protecting against the risk of COVID-19, SBA will open a Virtual Business Recovery Center and Virtual Disaster Loan Outreach Center starting Monday, Jan. 31, 2022. Customer service representatives can answer questions, explain the application process and help with filing an online loan application.  The centers will operate Monday through Friday from 8 am – 8 pm and can be reached at (800) 659-2955 or FOCWAssistance@sba.gov.

The deadline to apply for property damage is March 29, 2022; economic injury applications must be filed by Oct. 28, 2022.