Before being seen at the center flood victims need to start the claims process by calling 1 (800) , to register their claim first.

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1 The Jones County disaster recovery center will open on Friday, October 22nd at the Jones County Civic Center. It will be open from 8:30AM till 6:30PM. The center is scheduled to be open 7 days a week for as long as it takes to assist our neighbors. Before being seen at the center flood victims need to start the claims process by calling 1 (800) , to register their claim first. The FEMA representatives stress that you must REGISTER your claim first. If you go to the disaster recovery center and have not registered they will simply point you to the phone bank so you can start the process by registering via phone first. Please pass this along to your family and neighbors who have had damage caused by the storm to call so they can get their home inspected. The FEMA representatives stated their goal is to make your home "safe, sanitary, and functional" and they are here to get people back on their feet as quickly as possible. When applying for help, be sure to have the following information handy: Current telephone number Address at the time of the disaster and current address Social Security number, if available A general list of damages and losses If you have insurance, the name of insurance company, the agent s name and your policy number Your bank account routing and account information to speed up assistance by using direct deposit

2 PROGRAMS BASIC FACTS ABOUT SBA DISASTER LOAN In the wake of hurricanes, floods, earthquakes, wildfires, tornadoes and other physical disasters, the U.S. Small Business Administration (SBA) plays a major role. SBA s disaster loans are the primary form of federal assistance for nonfarm, private sector disaster losses. For this reason, the disaster loan program is the only form of SBA assistance not limited to small businesses. Disaster loans from SBA help homeowners, renters, businesses of all sizes and nonprofit organizations fund rebuilding. SBA s disaster loans are a critical source of economic stimulation in disaster ravaged communities, helping to spur employment and stabilize tax bases. By providing disaster assistance in the form of loans, which are repaid to the Treasury, the SBA disaster loan program helps reduce federal disaster costs compared to other forms of assistance, such as grants. When disaster victims need to borrow to repair uninsured damages, the low-interest rates and long-terms available from SBA make recovery affordable. Because SBA tailors the repayment of each disaster loan to the borrower s financial capability, unnecessary interest subsidies paid by the taxpayers are avoided. Moreover, providing disaster assistance in the form of a loan rather than a grant, avoids creating an incentive for property owners to underinsure against risk. Disaster loans require borrowers to maintain appropriate hazard and flood insurance coverage, thereby reducing the need for future disaster assistance. The need for SBA disaster loans is as unpredictable as the weather. In the aftermath of the Gulf Coast 2005 hurricanes SBA approved 169,983 loans for $11.2 billion in FY In FY 2007, SBA approved 14,014 new loans for $819.7 million. Since the inception of the program in 1953, SBA has approved over 1.8 million disaster loans for more than $46 billion. The SBA is authorized by the Small Business Act to make two types of disaster loans: Physical disaster loans are a primary source of funding for permanent rebuilding and replacement of uninsured or underinsured disaster damages to privately-owned real and/or personal property. SBA s physical disaster loans are available to homeowners, renters, businesses of all sizes and nonprofit organizations. Economic injury disaster loans provide necessary working capital until normal operations resume after a physical disaster. The law restricts economic injury disaster loans to small businesses, small agricultural cooperatives and certain private, non-profit organizations of all sizes. The disaster program is SBA s largest direct loan program, and the only SBA program for entities other than small businesses. By law, neither governmental units nor agricultural enterprises are eligible; agricultural producers may seek disaster assistance from specialized programs at the U.S. Department of Agriculture. Disaster victims must repay SBA disaster loans. SBA can only approve loans to applicants with a reasonable ability to repay the loan and other obligations from earnings. The terms of each loan are established in accordance with each borrower s ability to repay. The law gives SBA several powerful tools to make disaster loans affordable: low-interest rates (around 4 percent), long-terms (up to 30 years), and refinancing of prior liens (in some cases). As required by law, the interest rate for each loan is based on SBA s determination of whether each applicant does or does not have credit available elsewhere (the ability to borrow or use their own resources to overcome the disaster). SBA delivers disaster assistance through our four specialized centers: Customer Service Center - Buffalo, NY; Field Operations Center East - Atlanta, GA; Field Operations Center West - Sacramento, CA and the Loan Processing and Disbursement Center - Fort Worth, TX. For more information, visit SBA s website at call our Customer Service Center at , or by at disastercustomerservice@sba.gov. Rev. 0808

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4 U. S. SMALL BUSINESS ADMINISTRATION FACT SHEET - DISASTER LOANS NORTH CAROLINA #12353 & #12354 (Disaster #NC-00030) For the Counties of Beaufort, Bertie, Craven, Hertford, Onslow and Tyrrell and for Economic Injury Only the contiguous counties of Carteret, Chowan, Dare, Duplin, Gates, Halifax, Hyde, Jones, Lenoir, Martin, Northampton, Pamlico, Pender, Pitt and Washington in the State of NC; and contiguous Southampton County in the Commonwealth of Virginia. Severe Storms, Flooding and Straight-line Winds associated with remnants of Tropical Storm Nicole Occurred September 27, 2010 through October 1, 2010 Filing Deadline for applications for Physical Damage to homes, personal property, businesses: December 13, 2010 Filing Deadline for applications for Economic Injury: July 14, 2011 Whether you rent or own your own home, own your own business, or own a small agricultural cooperative located in a declared disaster area, and are the victim of a disaster, you may be eligible for financial assistance from the U. S. Small Business Administration (SBA). What Types of Disaster Loans are Available? Home Disaster Loans Loans to homeowners or renters to repair or replace disaster damaged real estate or personal property owned by the victim. Renters are eligible for their personal property losses, including automobiles. Business Physical Disaster Loans Loans to businesses to repair or replace disaster-damaged property owned by the business, including real estate, inventories, supplies, machinery and equipment. Businesses of any size are eligible. Private, non-profit organizations such as charities, churches, private universities, etc., are also eligible. Economic Injury Disaster Loans (EIDLs) are working capital loans to help small businesses, small agricultural cooperatives and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period. EIDL assistance is available only to entities and their owners who cannot provide for their own recovery from nongovernment sources, as determined by the U.S. Small Business Administration (SBA). What are Mitigation Loans? If your loan application is approved, you may be eligible for additional funds to cover the cost of improvements that will protect your property against future damage. Examples of improvements include retaining walls, seawalls, sump pumps, etc. Mitigation loan money would be in addition to the amount of the approved loan, but may not exceed 20 percent of total amount of disaster damage to real estate and/or leasehold improvements, as verified by SBA to a maximum of $200,000 for home loans. It is not necessary for the description of improvements and cost estimates to be submitted with the application. SBA approval of the mitigating measures will be required before any loan increase. What are the Credit Requirements? Credit History Applicants must have a credit history acceptable to SBA. Repayment Applicants must show the ability to repay all loans. Collateral Collateral is required for physical loss loans over $14,000 and all EIDL loans over $5,000. SBA takes real estate as collateral when it is available. SBA will not decline a loan for lack of collateral, but requires you to pledge what is available. What are the Interest Rates By law, the interest rates depend on whether each applicant has Credit Available Elsewhere. An applicant does not have Credit Available Elsewhere when SBA determines the applicant does not have sufficient funds or other resources, or the ability to borrow from nongovernment sources, to provide for its own disaster recovery. An applicant, which SBA determines to have the ability to provide for his or her own recovery is deemed to have Credit Available Elsewhere. Interest rates are fixed for the term of the loan. The interest rates applicable for this disaster are: No Credit Available Credit Available Elsewhere Elsewhere Home Loans 2.500% 5.000% Business Loans 4.000% 6.000% Non-Profit Organizations 3.000% 3.625% Economic Injury Loans Businesses and Small Agricultural Cooperatives 4.000% N/A Economic Injury Loans Non-Profit Organizations 3.000% N/A

5 What are Loan Terms? The maximum term is 30 years. However, the law restricts businesses with credit available elsewhere to a maximum 3-years term. SBA sets the installment payment amount and corresponding maturity based upon each borrower s ability to repay. What are the Loan Amount Limits? Home Loans SBA regulations limit home loans to $200,000 for the repair or replacement of real estate and $40,000 to repair or replace personal property. Subject to these maximums, loan amounts cannot exceed the verified uninsured disaster loss. Business Loans The law limits business loans to $2,000,000 for the repair or replacement of real estate, inventories, machinery, equipment and all other physical losses. Subject to this maximum, loan amounts cannot exceed the verified uninsured disaster loss. Economic Injury Disaster Loans (EIDL) The law limits EIDL(s) to $2,000,000 for alleviating economic injury caused by the disaster. The actual amount of each loan is limited to the economic injury determined by SBA, less business interruption insurance and other recoveries up to the administrative lending limit. SBA also considers potential contributions that are available from the business and/or its owner(s) or affiliates. Business Loan Ceiling The $2,000,000 statutory limit for business loans applies to the combination of physical and economic injury, and applies to all disaster loans to a business and its affiliates for each disaster. If a business is a major source of employment, SBA has the authority to waive the $2,000,000 statutory limit. What Restrictions are there on Loan Eligibility? Uninsured Losses Only uninsured or otherwise uncompensated disaster losses are eligible. Any insurance proceeds which are required to be applied against outstanding mortgages are not available to fund disaster repairs and do not reduce loan eligibility. However, any insurance proceeds voluntarily applied to any outstanding mortgages do reduce loan eligibility. Ineligible Property Secondary homes, personal pleasure boats, airplanes, recreational vehicles and similar property are not eligible, unless used for business purposes. Property such as antiques and collections are eligible only to the extent of their functional value. Amounts for landscaping, swimming pools, etc., are limited. Noncompliance Applicants who have not complied with the terms of previous SBA loans are not eligible. This includes borrowers who did not maintain flood and/or hazard insurance on previous SBA or Federally Insured loans. Is There Help Available for Refinancing? SBA can refinance all or part of prior mortgages that are evidenced by a recorded lien, when the applicant (1) does not have credit available elsewhere, (2) has suffered substantial uncompensated disaster damage (40 percent or more of the value of the property), and (3) intends to repair the damage. Homes Homeowners may be eligible for the refinancing of existing liens or mortgages on homes, in some cases up to the amount of the loan for real estate repair or replacement. Businesses Business owners may be eligible for the refinancing of existing mortgages or liens on real estate, machinery and equipment, in some cases up to the amount of the loan for the repair or replacement of real estate, machinery, and equipment. What if I Decide to Relocate? You may use your SBA disaster loan to relocate. The amount of the relocation loan depends on whether you relocate voluntarily or involuntarily. If you are interested in relocation, an SBA representative can provide you with more details on your specific situation. Are There Insurance Requirements for Loans? To protect each borrower and the Agency, SBA may require you to obtain and maintain appropriate insurance. By law, borrowers whose damaged or collateral property is located in a special flood hazard area must purchase and maintain flood insurance for the full insurable value of the property for the life of the loan. For more information, contact SBA Disaster Assistance Customer Service Center at (800) or disastercustomerservice@sba.gov

6 DISASTER NEWS Loans for Homeowners, Renters and Businesses of All Sizes SBA Disaster Assistance Field Operations Center- East 101 Marietta Street, NW, Suite 700, Atlanta, GA Release Date: October 15, 2010 Contact: Michael Lampton Release Number: , NC 12353/12354 Phone: SBA Stands Ready to Assist North Carolina Residents Affected by Severe Storms, Flooding and Winds Associated with Tropical Storm Nicole WASHINGTON U.S. Small Business Administration Administrator Karen G. Mills issued the following statement after the announcement of the Presidential disaster declaration for several counties in North Carolina, that were affected by the severe storms, flooding and winds associated with remnants of Tropical Storm Nicole on Sept. 27 through Oct. 1, 2010: The U.S. Small Business Administration is strongly committed to providing the people of North Carolina with the most effective and customer-focused response possible to assist homeowners, renters, and businesses with federal disaster loans. Getting businesses and communities up and running after a disaster is our highest priority at SBA. The disaster declaration covers Beaufort, Bertie, Craven, Hertford, Onslow and Tyrell counties in North Carolina which are eligible for both Physical and Economic Injury Disaster Loans from the SBA. Small businesses and most private non-profit organizations in the following adjacent counties are eligible to apply only for SBA Economic Injury Disaster Loans: Carteret, Chowan, Dare, Duplin, Gates, Halifax, Hyde, Jones, Lenoir, Martin, Northampton, Pamlico, Pender, Pitt and Washington in North Carolina and Southampton in Virginia. Disaster loans up to $200,000 are available to homeowners to repair or replace disaster damaged or destroyed real estate. Homeowners and renters are eligible up to $40,000 to repair or replace disaster damaged or destroyed personal property. Businesses and private non-profit organizations of any size may borrow up to $2 million to repair or replace disaster damaged or destroyed real estate, machinery and equipment, inventory, and other business assets. The SBA may increase a loan up to 20 percent of the total amount of disaster damage to real estate and/or leasehold improvements, as verified by SBA, to make improvements that lessen the risk of property damage by future disasters of the same kind. For small businesses and most private non-profit organizations of all sizes, the SBA offers Economic Injury Disaster Loans to help meet working capital needs caused by the disaster. Economic Injury Disaster Loan assistance is available regardless of whether the business suffered any physical property damage. -more-

7 Interest rates are as low as 2.5 percent for homeowners and renters, 3 percent for non-profit organizations and 4 percent for businesses with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant s financial condition. To be considered for all forms of disaster assistance call the Federal Emergency Management Agency (FEMA) at FEMA (3362), TTY for people with speech or hearing disabilities. The locations of Disaster Recovery Centers and the loan application process can be obtained by calling the SBA Customer Service Center at ( for people with speech or hearing disabilities) Monday through Friday from 8 a.m. to 6 p.m. EDT or by sending an to disastercustomerservice@sba.gov. Those affected by this disaster may fill out a loan application online by visiting SBA s secure website at The filing deadline to return applications for physical property damage is December 13, The deadline to return economic injury applications is July 14, # # # For more information about the SBA s Disaster Loan Programs, visit our website at