More disaster recovery money for small businesses - KWWL - Eastern Iowa Breaking News, Weather, Closings

More disaster recovery money for small businesses

CEDAR RAPIDS (KWWL) -- Small businesses impacted by storms and flooding will now be eligible for additional funding to help in their recovery.

Thursday, Congressman Dave Loebsack and Cedar Rapids Mayor Ron Corbett announced the good news for Iowa business owners from the Department of Housing and Urban Development (HUD). Officials from HUD have determined private loans will not be considered a duplication of benefits for disaster impacted businesses receiving federal funds.

"This is wonderful news for our businesses owners," said Loebsack. "I have been working with the Governor, Mayor Corbett, the Cedar Rapids Chamber of Commerce, small businesses owners, and the Small Business Recovery Group since the flood to see this HUD duplication of benefit ruling overturned.  This is a huge step forward on the road to recovery for Cedar Rapids.  I am thrilled that the meeting that we arranged for the Mayor and HUD ended with such great results."

The Iowa Department of Economic Development (IDED) will now be able to provide more dollars to affected businesses. Prior to this clarification, private bank loans had to be considered as duplicating the disaster funds and subtracted from the total amount available to an eligible business. Any business that has received CDBG disaster recovery funds prior to Thursday' s notice will receive additional dollars.


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