The U.S. Small Business Administration moved Friday to ease the financial strain on drought-affected businesses across a wide swath of southeastern Colorado, approving disaster assistance loans tied to drought conditions that began affecting the region on July 7.
The counties made eligible for the program span the southeast corner of the state and include El Paso, Teller, Fremont, Douglas, Elbert, Pueblo, Crowley, and Lincoln. The approval places El Paso County and the broader Pikes Peak region squarely within the program's reach for the first time under this round of relief.
Qualifying borrowers may receive as much as $2 million to offset operational costs attributable to drought, with interest rates beginning at 4% for small businesses and 3.625% for private nonprofits — and no payments or interest coming due during the first year.
This is not the first time the SBA has extended such relief in the region this year; six other counties in southeastern Colorado, along with parts of Kansas, were already covered under earlier approvals. The scope of last year's program was even broader, reaching nearly every county across the state.
The underlying conditions prompting federal action remain in place, with every part of southeastern Colorado currently sitting somewhere between moderate and exceptional drought according to the U.S. Drought Monitor. Eligible businesses and nonprofits should monitor the SBA for any announced application deadline.