SBA Offers Low-Interest Disaster Loans to Survivors of May 16 Tornadoes

Staff report

BLOOMINGTON, Ind. — Residents and business owners impacted by the devastating tornadoes and severe storms that swept through Monroe County and surrounding areas on May 16, 2025, are now eligible for low-interest disaster assistance through the U.S. Small Business Administration (SBA).

The SBA has opened a Disaster Loan Outreach Center at Ivy Tech Community College, located at 200 Daniels Way, Room B201, in Bloomington. The center is open Monday through Friday from 8 a.m. to 5 p.m., and Saturdays from 10 a.m. to 2 p.m. It will permanently close at 3 p.m. on Wednesday, June 18.

The federal disaster declaration (Disaster #21112) enables homeowners, renters, businesses, and nonprofit organizations to apply for low-interest loans to help repair or replace property damaged in the storm — including real estate, personal belongings, inventory, and equipment. The deadline to apply for physical damage loans is July 29, 2025.

According to SBA Public Affairs Specialist Stephen A. Clark, disaster survivors should not wait for insurance claims to be settled before applying. “If a survivor does not know how much of their loss will be covered by insurance or other sources, SBA can make a low-interest disaster loan for the total loss up to its loan limits,” Clark said. Any insurance payments received later can be used to pay down the loan.

Additionally, the SBA is offering Economic Injury Disaster Loans (EIDL) to small businesses and private nonprofits that did not suffer physical damage but are experiencing revenue losses. These loans are intended to cover operating expenses while organizations recover.

Key highlights of the SBA Disaster Loan Program:

• No application fee
• No obligation to accept the loan after approval
• No prepayment penalty
• No interest for the first 12 months
• No required payments for the first 12 months

Applications can be submitted in person at the outreach center or online at:
https://lending.sba.gov/search-disaster/?disaster=IN-20011

For questions or to request outreach events and presentations, survivors and community leaders can contact Stephen A. Clark at (571) 564-0240 or stephen.clark@sba.gov.

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