Disaster assistance available to local producers, small businesses

By JOHN McCALLUM

Editor

West Plains and southwest Spokane County farmers, ranchers and small, non-farm businesses experiencing damages from disasters in 2007 may be eligible for some relief.

The United States Department of Agriculture's Farm Service Agency has announced several programs under which farmers and ranchers can receive low-interest loans to help with financial problems arising from drought and wildfires, not only in Spokane County, but similar disasters in Idaho that impacted area farmers.

Farmers who suffered losses may qualify for FSA emergency loans with 3.75 percent interest and payment terms up to 40 years with real estate security.

Loans based on losses to livestock and chattels could have terms of up to 20 years.

Loan applicants must be United States citizens or aliens with legal permanent residency status.

They must also be established farmers, have a family-sized farm, and have suffered an agricultural loss in designated counties or contiguous counties.

FSA will consider loans based upon extent of losses, security available and repayment ability.

“The federal government does not intend to compete with private business, so applicants must be unable to obtain credit elsewhere to finance their needs at reasonable rates and terms,” Steven King, farm loan manager for FSA, said in a press release.

FSA is accepting loan application through Nov. 30 for farmers and ranchers in 11 Eastern Washington counties, including Spokane, suffering losses from droughts and wildfires in 2007.

Additionally, farmers and ranchers in Spokane and three other counties suffering losses from drought in adjacent Idaho counties have until July 21 to apply for assistance.

Besides area producers, there's also disaster assistance for local, non-farm small businesses through the U.S. Small Business Administration.

Small businesses impacted by drought in Spokane County are eligible to apply for working capital loans up to $1.5 million to offset economic losses.

Loans have a 4 percent interest rate, and up to 30-year repayment terms. Businesses primarily engaged in farming or ranching are not eligible.

For information on how to apply for loans with FSA, call 509-924-7350.

For information on applying for an SBA loan, call 800-659-2955, or 800-877-8339 if hearing impaired.

Information is also available online at http://www.sba.gov/services/disasterassistance.

John McCallum can be reached at [email protected]