Mild winter triggers financial support for Wisconsin businesses

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By Good Info News Wire

February 27, 2024

Businesses in Wisconsin that experienced losses due to this year’s unusually mild winter may now be eligible for federal disaster loans.

Governor Tony Evers and U.S. Senator Tammy Baldwin announced that the U.S. Small Business Administration (SBA) has confirmed that such businesses can apply for Economic Injury Disaster Loans (EIDL).These officials have been advocating for the SBA to extend disaster coverage to businesses impacted by the lack of typical snowfall in many areas of the state.

The snow deficit has had significant economic impact on travel and recreation businesses that depend on it for activities like downhill and cross-country skiing, snowshoeing, and snowmobiling. Many counties in Wisconsin are already covered by a pre-existing disaster designation for drought from the U.S. Department of Agriculture. As a result, businesses in those counties can access emergency loans to offset their losses if they prove that their loss is related to the drought.

According to the National Weather Service, the state’s snowfall this winter has been 20 to 30 inches below average. In the Lake Superior snowbelt, snowfall was 40 to 70 inches below normal.Impacted businesses in counties with a drought declaration can apply for the U.S. SBA Economic Impact Disaster Loans.

The EIDL program allows businesses to borrow up to $2 million to cover their actual losses, with no interest for the first year and a maximum rate of four percent for the remaining loan period. Applications can be made through the SBA’s website or by contacting SBA’s Customer Service Center.

As part of their announcement, Gov. Evers and Sen. Baldwin also urged Wisconsinites to support local businesses by using Travel Wisconsin resources to find alternative activities in the northern and central parts of the state, if their original plans were weather-impacted.

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This article first appeared on Good Info News Wire and is republished here under a Creative Commons license.