Hochul: SBA loan offer for victims of Long Island's August storms

Long Islanders with homes or businesses flooded in August during a powerful storm can apply for low-interest federal loans to make repairs, Gov. Kathy Hochul’s office announced Wednesday.

The loan offer, from the Small Business Administration, comes after the Federal Emergency Management Agency and President Joe Biden denied a request by the governor for individual assistance for Long Island after the Aug. 18-19 storms.

"Long Islanders are still feeling the effects of August’s extreme weather, and alongside our federal partners, we’re ensuring that communities have the resources they need to recover," Hochul said in a statement Wednesday. "Resiliency is part of our DNA as New Yorkers, and my Administration is working diligently to provide support for those impacted by this flooding."

Long Island officials have said the storm damage may total $100 million. Suffolk County so far has reported more than $40 million in damage from the storm that dropped more than 10 inches on the North Shore. Floodwaters washed away roads and damaged dormitories and other buildings at Stony Brook University, as well as the Smithtown Library. 

Suffolk County officials could not immediately reached for comment Wednesday. 

Damage was also reported in Brookhaven and Huntington, as well as Nassau County’s North Shore.

Brookhaven Town officials said about 50 homes were damaged in the storm. FEMA wrote in a letter earlier this month that the damage to homes "was not of the severity and magnitude " for individual federal assistance.

Biden did approve a separate major emergency declaration in October to provide federal funding for public assistance projects by local governments and nonprofits to rebuild infrastructure like roads, bridges and washed out waterways.

Hochul's office said residents can apply for low-interest SBA loans of up to $100,000 to repair or replace personal property. Homeowners can also apply for loans up to $500,000 to repair or restore their homes to pre-disaster condition.

Businesses or nonprofit organizations can apply for loans up to $2 million.

The deadline to file for physical property damage is Jan. 27 and economic injury applications must be returned by Aug. 26, 2025, according to Hochul's office.

Applications can be downloaded or submitted online. Residents can also call the SBA at 800-659-2955 or email disastercustomerservice@sba.gov.

The SBA noted on its website that the agency is accepting and reviewing disaster loan applications, but warned "new loan offers will be delayed due to a lapse in congressional funding."

Sen. Kirsten Gillibrand said in a statement the SBA loans will help "accelerate the recovery process after severe weather events."

"August’s heavy rain and unprecedented flooding caused devastation to homes and businesses across Long Island," Gillibrand said. "These disaster loans are a lifeline for Long Islanders, providing critical support to help them rebuild and restore their livelihoods."

By John Asbury

john.asbury@newsday.comJohnAsbury

John Asbury is a breaking news and general assignment reporter. He has been with Newsday since 2014 and previously worked at The Press-Enterprise in Riverside, California.