The U.S. Small Business Administration has approved more than $2 million in federal disaster loans to support small businesses and private nonprofit organizations affected by the sinkholes on Interstate 80 in Wharton that opened up starting on Dec. 26, 2024.
Two eastbound lanes were reopened on May 21 and the New Jersey Department of Transportation plans to have two westbound lanes in Wharton reopened by late tonight, weather permitting, and all lanes in both directions are scheduled to reopen June 25.
“Surpassing $2 million in disaster loans reflects more than just numbers – it represents small businesses reopening, families returning home and communities rebuilding stronger,” said Chris Stallings, associate administrator for the SBA’s Office of Disaster Recovery and Resilience. “These loans provide vital support for recovery, and we encourage anyone still in need to apply before the deadline.”
The SBA’s Economic Injury Disaster Loan program is still available to small businesses and private nonprofit organizations for working capital needs caused by the disaster, according to SBA Atlantic Regional Administrator Matt Coleman, who oversees the SBA’s operations, offices, programs, and personnel throughout New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands.
“We’ve ensured SBA disaster recovery & resiliency personnel have been on the ground for weeks, working with local stakeholders, and operating the agency’s Business Recovery Center in Wharton – advising impacted small business owners to apply for an SBA Economic Injury Disaster Loan if they’ve suffered any economic impact,” Coleman added.
EIDLs are available regardless of whether the organization suffered any physical property damage. The loans may be used to pay fixed debts, payroll, accounts payable, and other bills not paid because of the disaster. The loan amount can be up to $2 million with interest rates as low as 4% for small businesses, 3.62% for nonprofits, with terms 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 sets loan amounts and terms based on each applicant’s financial condition.
