Farm Progress

SBA announces economic injury loans for 2016 fruit frost and freeze losses

March 23, 2017

1 Min Read
FROZEN REVENUER: Fruit vines and trees damaged by last year’s early frost and freeze are eligible for more federal assistance.KatarinaGondova/iStock/Thinkstock

Just as Pennsylvania and Maryland fruit growers began suffering this winter’s freeze damage, the U.S. Small Business Administration last week announced economic injury disaster loans for revenue losses from frost and freeze damage in April 2016.

Pennsylvania counties covered include Adams, Columbia, Cumberland, Dauphin, Franklin, Juniata, Lancaster, Lycoming Montour, Northumberland, Perry, Schuylkill, Snyder, Union and York. Maryland’s contiguous counties of Baltimore, Carroll, Frederick and Harford are also eligible. Again, this is for last spring’s federally declared disasters.

Who’s eligible
Farms, private nonprofits and small businesses in those counties can apply for emergency loans to repay expenses from the 2016 frost and freeze. To qualify, you must have lost at least 30% of the primary crop.

SBA offers loans up to $2 million at 4% interest to pay debts, payroll and bills incurred from that revenue loss. Loan terms can be up to 30 years. Completed loan applications must be returned to SBA no later than Oct. 24, 2017.

Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition, according to Frank Skaggs, director of SBA’s Field Operations Center East. These working capital loans may be used to pay fixed debts, payroll, accounts payable and other bills that could have been paid had the disaster not occurred. The loans aren’t intended to replace lost sales or profits.

More details on the disaster loan and application forms may be obtained by calling the SBA’s Customer Service Center at 800-659-2955 or by sending an email. You can apply online using the Electronic Loan Application (ELA) via SBA’s secure website,

Source: U.S. Small Business Administration

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