Economic Injury Disaster Loans from the federal government could become available to small businesses in Silverton and Durango hurt by the 416 Fire.
Dan Nordberg, regional administrator of the Small Business Administration Region VIII, said his office has been in contact with Gov. John Hickenlooper and the Colorado Division of Homeland Security and Emergency Management, about a possible request by the state to seek a federal disaster designation for areas impacted by the 416 Fire.
The designation would make available SBA assistance to deal with the economic impacts of the fire.
The state must request federal assistance before the SBA Economic Injury Disaster Loans become available, Nordberg said.
As of Tuesday, Hickenlooper has not yet sought federal disaster designation for the area harmed by the 416 Fire.
“It is under the evaluation process, and that will involve documenting the impact from the fire for several businesses,” Nordberg said.
If Economic Injury Disaster Loans become available, they would provide a loan of up to $2 million to a small business hurt by the fire. Terms could be as long as 30 years and the interest rate would not exceed 4 percent, Nordberg said.
Besides being available to small businesses the loans also would be available to small agricultural cooperatives and private, nonprofit organizations.