Once the President approves the waiver request and HUD issues its guidance for the funds, assuming that guidance allows it, RLSB lenders will update awards for all current applicants, regardless of their stage in the program.
Today, the Louisiana Office of Community Development said additional funding might be available for applicants in the Restore Louisiana Small Business Loan Program because recent changes to federal law state that Small Business Administration loans for disaster recovery will no longer count as a duplication of benefits.
"The Governor has been working for this change to SBA loan policy since the Great Floods of 2016," Pat Forbes, OCD executive director, said. "In the past, the Federal Emergency Management Agency insisted that survivors apply for an SBA loan without fully disclosing it could affect their ability to access other federal funding later. This kept many of Louisiana’s homeowners from getting the assistance they needed to recover. We are waiting to hear from the U.S. Department of Housing and Urban Development to see if this change will apply to our small businesses, too."
President Trump signed the legislation into law in early October and the Governor has submitted the required request for a waiver. Once the President approves the waiver request and HUD issues its guidance for the funds, assuming that guidance allows it, RLSB lenders will update awards for all current applicants, regardless of their stage in the program.
OCD noted the following:
---If a business affected by the SBA DOB policy applied to or received an award in the program, the owner should contact the lender that serviced the application.
---If a business did not apply to the program because of an SBA loan, the owner should contact an RLSB lender in that parish to discuss possible participation in the program.
RLSB lenders are available to answer questions and provide help.
Contact information for RLSB lenders and the parishes they serve is located at restore.la.gov on the Small Business Assistance page under the Recovery Assistance menu tab.
Contributed by Restore La. Task Force