By Elliot Brandt
BUFFALO — Homeowners, renters, businesses and nonprofits in six Western New York counties hit by the Sept. 3 flash flooding can now apply for low-interest federal disaster loans. The window for physical damage claims closes Dec. 18.
The U.S. Small Business Administration issued an administrative disaster declaration on Oct. 19. Erie County is the primary county, and Niagara, Genesee, Wyoming, Cattaraugus and Chautauqua counties are covered as neighboring counties, according to the notice published in the Federal Register on Oct. 22. The SBA said it acted on an Oct. 16 request from Gov. Kathy Hochul.
“New Yorkers deserve every dollar possible to help rebuild from these devastating floods,” Ms. Hochul said in her office’s announcement. “I’m thankful for our federal partners who helped to secure this declaration and the critical funds necessary to help get Western New York back on its feet.”
Who can borrow, and how much
Matt Coleman, the SBA’s regional administrator for the Atlantic Region, laid out the program in a statement published by Niagara Frontier Publications.
“Impacted businesses, private nonprofit organizations, homeowners and renters in six Western New York counties may borrow from the SBA disaster program for repairs covering physical damage and if they experienced economic injury due to this federally-declared disaster,” Mr. Coleman said.
The loan limits are:
- Homeowners: up to $500,000 to repair or replace a primary residence.
- Homeowners and renters: up to $100,000 to repair or replace personal property such as clothing, furniture, cars and appliances.
- Businesses and private nonprofits: up to $2 million for damaged real estate, machinery, equipment, inventory and other assets.
- Economic injury loans: up to $2 million in working capital for small businesses, small agricultural cooperatives and private nonprofits, including faith-based groups, even if they had no physical damage.
Borrowers may also qualify for up to 20 percent more than their verified physical damage to pay for mitigation work that guards against future disasters, the agency said.
The rates depend on your other options
Officials have advertised rates “as low as” 3 percent for homeowners and renters, 4 percent for businesses and 3.625 percent for nonprofits, with terms of up to 30 years. The SBA said interest does not start to accrue, and no payments are due, until 12 months after the first disbursement.
The Federal Register notice shows those floor rates apply to applicants the SBA finds have no credit available elsewhere. Homeowners who can get credit elsewhere would pay 6 percent, and businesses that can would pay 8 percent. Nonprofits pay 3.625 percent either way. The SBA sets each loan’s amount and terms based on the applicant’s finances.
The SBA does not make these loans to farmers, ranchers or other agricultural producers, except aquaculture businesses.
North Buffalo and Hertel Avenue
Local officials who pushed for the declaration pointed to damage in North Buffalo, including along Hertel Avenue.
“September’s historic rainfall brought destructive flash flooding to North Buffalo,” Buffalo Mayor Sean Ryan said in the governor’s announcement. “Our administration mobilized resources the very next day, visited businesses and homes, and worked with our neighbors to document the damage and advocate for assistance.”
State Sen. April N.M. Baskin said the flooding “caused significant damage to businesses along Hertel Avenue that are now facing the cost of repairs and recovery.”
Common Council President Joel Feroleto, who represents the area, said, “I am pleased that New York State listened to the residents of Buffalo. This declaration provides a vital lifeline for our businesses and residents to recover from the financial toll of this disaster.”
Erie County Executive Mark C. Poloncarz said, “When disaster strikes, homeowners and businesses can be left out in the cold if no assistance is available to help them rebuild.”
State Homeland Security and Emergency Services Commissioner Terry O’Leary said those affected “now have access to vital funding that will aid in the recovery process.”
Wet weather has strained infrastructure elsewhere in the region, too. In Niagara County, sewer officials point to storm-driven overflows as they pause sewer approvals for large new developments, a story The Chronicle reports today.
A loan program, not grants
The declaration is an SBA administrative declaration, not a presidential major disaster declaration. That means the federal help is a loan program run by the SBA, not FEMA grants to individuals. The governor’s announcement did not say whether the state will seek more federal aid for the Sept. 3 storms.
How to apply
Applications are taken online through the MySBA Loan Portal at lending.sba.gov. Applicants can also reach the SBA’s disaster customer service center at 1-800-659-2955 or disastercustomerservice@sba.gov. Deaf and hard-of-hearing callers and people with speech disabilities can dial 7-1-1 for relay services.
The deadlines:
- Physical damage loans: Dec. 18, 2026.
- Economic injury loans: July 19, 2027.
The SBA’s disaster numbers for the declaration are 219756 for physical damage and 219760 for economic injury, according to the Federal Register notice.
The Chronicle is asking the SBA whether it plans an in-person recovery center in Erie County, and asking City Hall how many homes and businesses documented damage. This story will be updated with any responses.
Photo: Hertel Avenue in North Buffalo, in a file photo taken before the flooding. Andre Carrotflower / Wikimedia Commons, CC BY-SA 3.0.
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