Not Every Area Hit By Floods Will Get Grants?

I was very much surprised by the process that determines whether or not an area will get a grant (as opposed to loan) help. For instance, in northern

Virginia area residents sustained a lot of flood damage. FEMA denied them disaster assistance.

Instead the SBA will spearhead a loan program for qualified residents at a lower interest rate. Number one I don't understand why its the SBA and not another agency that is handling this since it was always my thought that the SBA had to do with businesses and not personal residences. Number 2 I would love to know the reason why disaster assistance was denied for this particular area/region.



Of course when the residents heard of FEMA's decision they were outraged and they sent letters to that effect. It can take a lot of weeks before a

decision is made as to whether or not an affected area will get disaster relief from FEMA.

In the meantime the the residents still have to make a decision as to what they are going to do as far as repairing the damage to their residences.

Some of them had no flood insurance which - of course - makes the whole situation worse for them.



So instead of grants, eligible residents can apply for loans at a rate as low as less than 3 percent interest. $200,000.00 is available for structural

damage and $40,000.00 is available to replace personal property. I don't know whether or not these loans are secured

loans or not so its best to check the fine print BEFORE you

sign anything. If you have bad credit then - as far as I know - this shouldn't affect you

appling for this type of loan - but again - be sure to check first!



If you do have bad credit then you should get a a copy of your credit report. The law

says that you are entitled to a free credit report every year so you should take advantage

of that and get a copy of credit report for free.




Again, I would love to know the reason why FEMA denied this assistance?

Does Your Home Have Flood Damage?

Then here is some information that you should know.

If you own a house in an area where federal assistance has been approved you may want to contact FEMA to see if you can qualify for grants to help repair the damage in your home.

You will need to provide specific information such as addresses, insurance policies, bank account numbers, phone numbers and Social Security numbers. Have this information ready when you contact FEMA. You can visit their website and register online or you can call their toll-free 1-800 number as well. Their phone lines are open from 6am - to midnight. If you apply by phone, an intake officer will interview you. That will take about 20 minutes.

After registering, FEMA inspectors should come to your property within about a week. You don’t have to wait to start repairs, but document any work done and make sure it’s properly permitted. Take photos and keep receipts.

Keep in mind that while FEMA can grant as much as $30,300 for repair work, the average covered is less – $6,000 to $7,000. Grants will just pay for what’s needed to make a building safe and livable. Also, if insurance covers it, FEMA won’t. Money for repairs should arrive a week or so after inspection.

There may be other grant programs that one may also be eligible for including grant money to replace personal property, clothing, vehicles and medical needs.

Grant Programs For Minorities! Here is an excerpt from another online site: There are a multitude of grants for minorities to start a business or a non-profit organization. These grants for minorities are funded by the federal government as the government realizes that it had can be hard to get ahead in life, especially if you are a minority. Minority groups are not often given the chances required to make the most of their talents and skills, until now, when hundreds of thousands of dollars are available in grants for minorities. Do you have a great business idea but are unable to come with the capitol required to build the business? Perhaps you are part of a minority group that can make a difference in the community. There are grants available to start a business and even a non-for-profit organization to better the community. Taking the time to craft the grant letter and the business plan that is associated with the grant application can make all the difference in the approval. The grant committee is seeking business ideas and non-for-profit organizations that can make a substantial income for the grant applicant and allowing the individual to create an organization that can increase the viability of a community. There is one major benefit to grants for minorities. There are multiple grants for minorities available and very few minority groups that apply for the grants. Therefore, the chances of being approved for the grant that is being applied for is significantly improved with a minority grant.

Did you know that some community colleges offer a discount or free college tuition for seniors?

A for-profit business has been awarded a $5 million grant from one state’s funding program which helps the state with economic recruitment and expansion by providing financial assistance through local governments to attract business projects that will stimulate economic activity and create new jobs. Through the use of this Fund, more than 30,000 jobs and $4.5 billion in investment have been created since 2001!

Are You An Artist That Was Effected By Hurricane Katrina?

There have been a number of artists who have been able to continue their work with the help of some financial grant programs available for those artists who have been affected by hurrincane Katrina.

For instance one artist whose home was destroyed because of Katrina was able to escape the wreckage and continue to work because an art organization offered him a two-month residency that included a stipend, room and board, and studio space.

There is another arts organization that has established a fund to help artists living in the hurricane-damaged area, and the one university in Baton Rouge, collected art supplies for artist-evacuees. A New York City-based foundation has paid at least $450,000 in grants to more than 80 artists affected by Hurricane Katrina and Hurricane Rita.

Every time a disaster happens, the process of creating or reviving relief funds starts again. One Recovery Fund, created by a New York Foundation has distributed $4,635,000 to organizations and individuals in New York City after the terrorist attacks of 9/11. There is a Washington, DC-based organization that has established an emergency relief fund which has given over $100,000 to different art organizations located in the Gulf Coast region. Over $400,000 has been provided to individual artists!

There is also an emergency relief fund for "Crafters" which has spearheaded the coalition, distributed between $200,000 and $300,000 to Gulf Coast craftspeople after Katrina. Additionally, the organization brokered free and discounted supplies and equipment, free booth space at craft shows, and free workshops for artisans in the region.

State unemployment insurance agencies provide disaster unemployment aid to the self-employed but only when future income is predictable.

Grants versus Loans? Your Opinion?

Here is an interesting question:

Do you think that the government should provide loans or grants to areas affected by flooding?

There are so many variables to consider here. For one you have to remember that the government doesn't have an endless stream of money. And also too the money that is being provided is coming from taxpayer dollars.

The government wants to provide a t0 / 50 split between government grants and loans. That is half the money would be provided in government grants and forgiveable loans and the other half would be repayable loans.

Of course to the individual or business that needs the money the answer would of course be to have the grant instead of the loan.

But remember just in this year alone we have seen a lot of flood-affected areas that have been declared a state of emergency which makes them eligible for federal funding. And thats not including areas affected in past years.

There have been claims by those applying for federal assistance that the process has been made too difficult or complicated to apply for. Other complaints include businesses being told that it would be much better for them if they applied for the loans instead of the grant programs. Understandably businesses would rather apply for the grants because on top of them having their businesses being affected by flooding they don't want to incur more debt by applying for a loan.

The government's side does raise some valid points though. You have to remember that each area eligible for federal assistance has to be (or should be) treated the same - meaning if one area is eligible for grants then any other area affected should also be eligible for grants - again - meaning a 50/50 split. There shouldn't just be one area that can get grants and then another area with the same problems only being eligible for loans.

However I have to be on the side of the possible applicants because if one's business has been devasted by flood-related weather if they don't get the money to be able to revive their business then they may not want to revive it and then that makes the economy in that area go down. It will mean loss of jobs and loss of income for that area.

But what do you think about this?

Remember that your opinion counts and while some people think that they don't - they really do.

Disaster Loans That Are Forgivable?

Dear sirs:

I obtained an sba disaster loan in 2002. Is there a possibility that the loan can be forgiven in five years. There is a rumor going around that it can happen. Is it true?

Thank you

Well I guess my blog (and my website about grants look more professional than I thought! I'm certainly not a "Sir"

Thank you for your email. However the problem with your email is that you don't say what kind of loan it is that you obtained. The SBA has specific titles/names/reference numbers of all of their loan programs and that information you did not provide.

There are forgivable loans that become forgiveable in 3 - 5 years regarding disaster loans but a lot of them require that you take an additional loan from the SBA. (Meaning that the "forgiveable" loan was provided by someone other than the SBA) So that leaves the question of whether or not your loan was only from the SBA or was it obtained from more than one entity.

There are lots of programs that offer forgivable loans. For instance:

Grant Funds, if available may be used to assist economic recovery by providing:

• Low-interest loans to businesses
  

• Revolving loan programs to help businesses reestablish themselves
  

• Forgivable loans over 3-5 years
  

• Commercial rehab assistance

However the above program is not from the SBA.

You also did not mention whether or not you received the loan for your personal residence or business. It does make a difference. You also didn't mention what area the loan was for. For example in Minnesota flood victims were eligable for forgivable loans ONLY if they applied for additional funding from both FEMA and the SBA. If you did not qualify for the FEMA or SBA loans THEN you could apply for the forgivable loan elsewhere. Flood victims qualified for up to $23,000 in forgivable loans!

So unfortunately you have just not given me enough information.

Flood Victims Eligible For Government Assistance

Those affected by the Northwood tornado in North Dakota are eligible for financial assistance. If you have been affected you can contact FEMA via their website or by calling them via their toll-free number.

Financial Assistance can include:

• Medical, dental and funeral expenses
  
  
• funding for repairs to homes damaged by the flood
  
  
• Personal property
  
  
• Transportation
  
  
• and other expenses

Other Individual Assistance can include grants to help pay for temporary housing, home repairs and other disaster-related expenses not covered by insurance or other aid programs. Low-interest disaster loans from the U.S. Small Business Administration (SBA) will also be available to cover residential and business losses not fully compensated by insurance. Grants do not have to be repaid, but loans from the SBA must be repaid.

You should apply for assistance even if you have insurance, because you may find you are under-insured or have unmet needs after your insurance settlement. If you have not already contacted your insurance agent to file a claim, please do this as soon as possible. Failure to file a claim with your insurance company may affect your eligibility for assistance. Insurance is your main source for money to put your life back in order after a disaster. But there are many things that insurance does not cover, so disaster programs may be able to help.

Is Your Flood Area Eligible For A Federal Grant From FEMA?

Not Every Area Hit By Floods Will Get Grants?

I was very much surprised by the process that determines whether or not an area will get grant (as opposed to loan) help. For instance, in northern Virginia area residents sustained a lot of flood damage. FEMA denied them disaster assistance. Instead the SBA will spearhead a loan program for qualified residents at a lower interest rate. Number one I don't understand why its the SBA and not another agency that is handling this since it was always my thought that the SBA had to do with businesses and not personal residences. Number 2 I would love to know the reason why disaster assistance was denied for this particular area/region.

Of course when the residents heard of FEMA's decision they were outraged and they sent letters to that effect. It can take a lot of weeks before a decision is made as to whether or not an affected area will get disaster relief from FEMA. In the meantime the the residents still have to make a decision as to what they are going to do as far as repairing the damage to their residences. Some of them had no flood insurance which - of course - makes the whole situation worse for them.

So instead of grants, eligible residents can apply for loans at a rate as low as less than 3 percent interest. $200,000.00 is available for structural damage and $40,000.00 is available to replace personal property.

Again, I would love to know the reason why FEMA denied this assistance?