Today, U.S. Representatives Carolyn B. Maloney (D-Manhattan, Queens), Jerrold Nadler (D-Manhattan, Brooklyn), Michael Grimm (R-Staten Island, Brooklyn), Carolyn McCarthy (D-Nassau), and Yvette Clarke (D-Brooklyn) joined Commissioner Robert Walsh of the New York City Department of Small Business Services on the steps of New York City Hall to announce that the lawmakers were requesting that the Federal Emergency Management Association (FEMA) extend the December 31^st deadline for small businesses to apply for disaster aid to help them recover from losses stemming from Superstorm Sandy.

At today’s news conference, the Members of Congress released a joint letter they were sending to FEMA Administrator Craig Fugate (see text of letter, below), which was also signed by Representatives Charles Rangel (D-Manhattan), Peter King (R-Nassau), Eliot Engel (D-Bronx, Rockland, Westchester), and Joseph Crowley (D-Queens, Bronx).

Congresswoman Maloney said, “Many small businesses struggling to recover from Superstorm Sandy are still assessing the extent of their property damage and economic losses. These businesses are the backbone of our economy – and unless they get the help they need, many of them will close their doors. Entire neighborhoods are in trouble – and we want to be able to extend a helping hand so that those businesses come back. Sixty days is just not enough time to allow the hundreds of thousands of affected businesses a chance to file their claims. That’s why we are joining today in a bipartisan effort to ask FEMA to extend its deadline for disaster aid applications to ensure that every small business eligible for relief has the opportunity to conduct a comprehensive assessment of damage and losses and to apply for assistance.”

Congressman Nadler said, “Hurricane Sandy displaced tens of thousands of New Yorkers and shuttered or destroyed thousands of businesses. Despite the tireless work by so many to rebuild and get business and life back to normal, we are still a long way off.  Our constituents and businesses still need time to regroup and rebuild and, as such, we are asking FEMA to extend the deadline for small business claims to May 1 to give them a real opportunity to get what they need and deserve.”

Congressman Grimm said, “Many businesses throughout Staten Island have been devastated by Hurricane Sandy. Some business owners were hit twice – also losing their homes – adding another costly and time-consuming burden. As business owners continue to work with their insurance companies to assess damage and file claims, time is running out to apply for loans. Extending the deadline would give local business owners the extra time they need to fully assess the damage and apply for the appropriate amount of assistance, so that they may open their doors and get back to work as quickly as possible.”

Congresswoman McCarthy said, “It’s not going to be a happy new year for a lot of people if FEMA doesn’t extend its December 31st deadline for disaster loans. Folks are just starting to get their properties and paperwork back in order and they need more time to find out about and apply for these critical resources.”

Congresswoman Clarke said, “Small businesses are literally the lifeline of our communities. In order to rebuild our city, we must support the stability and growth of our small businesses who strengthen our economy by providing employment to the residents of our community. There are several small business entrepreneurs who continue to struggle with reopening their doors five weeks after Hurricane Sandy. Today, I stand with my colleagues to urge FEMA to extend its deadlines which would provide ample time for eligible applicants to file their claims.”

Commissioner Walsh said, “Financial assistance is an important part of helping the City’s small businesses impacted by Hurricane Sandy, and our NYC Business Solutions Centers have been working with hundreds of small businesses on loan applications, both for the City’s Emergency Loan Fund, and also for SBA loans. Many NYC businesses are back on their feet, but many are also still working to open their doors, and I thank Congresswoman Carolyn Maloney and the New York delegation for working with SBA to extend the deadline for registering for SBA loans.”

Other Members of New York’s congressional delegation were unable to attend today’s news conference but signed on to the joint letter to FEMA and submitted statements.

Congressman Rangel (D-Manhattan) said, “Sandy has wreaked havoc on our City. Many of the small businesses have been hit hard. This extension would provide adequate time for the owners to thoroughly assess their damages and properly file their claims. I join my Colleagues today in urging FEMA to give some relief to the small businesses during these difficult times.”

Congressman Engel said, “It is not easy to ask for help in reorganizing your business when it was leveled by a storm like Sandy. I’m asking FEMA to be reasonable and extend the deadline for small business owners to get their lives back together as well as their businesses. We cannot extend a hand to help and then take it back prematurely. We must extend this deadline so that all small businesses who need help can apply for it with the knowledge that what they are asking for is a true estimation of what they need. We will be a long time fixing the damage from this storm. We do not need to take shortcuts now that can only hurt people who need help.”

Background:

So far, 245,703 New Yorkers have registered with FEMA. Since Superstorm Sandy struck New York, the FEMA has provided survivors $745 million to help individuals and families in New York recover from the disaster.  FEMA is reaching out to all the 13 declared counties with attention to the hardest hit areas of New York State. To date, assistance to the hardest hit areas includes: 

•         Bronx              $1.8 million

•         Kings               $152.1 million

•         Nassau             $246.7 million

•         New York       $10.5 million

•         Queens            $190 million

•         Richmond       $73.9 million

• Suffolk            $54.6 million

(NOTE:  The counties and amounts above are for the counties or boroughs most affected by the Superstorm, and do not reflect all the assistance provided by FEMA and other federal agencies and partners.)

The U.S. Small Business Administration (SBA) has approved nearly $85.5 million in disaster loans to homeowners, renters and businesses. The SBA has staff members at 19 Business Recovery Centers in the New York area to provide one-on-one help to business owners seeking disaster assistance. The SBA disaster loan application, part of the FEMA grant process, can lead to other forms of assistance, including additional grants. Disaster loans with rates as low as 1.688 percent are available for homeowners and renters in counties designated for FEMA Individual Assistance. Loan terms may be up to 30 years to make payments affordable. For more information, call the SBA Disaster Customer Service Center toll-free number, 800-659-2955 (TTY 800-877-8339.) Assistance is also available by sending an email to DisasterCustomerService@sba.gov or by visiting www.sba.gov.[1]

A recent Goldman Sachs report, “Marking Sandy to Market,” indicates that Superstorm Sandy has exerted a measurable economic impact, with greater-than-expected hikes in unemployment claims and disruptions to industrial activity.[2]

[1] Source: Federal Emergency Management Agency

2 Source: The Goldman Sachs Group, Inc., “Marking Sandy to Market”, US Economics Analyst, Issue No. 12/47, November 21, 2012

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December 7, 2012

The Honorable Craig Fugate

Administrator

Federal Emergency Management Agency

500 C Street, SW

Suite 700

Washington, DC 20472

Dear Administrator Fugate:

We, the undersigned Members of Congress, are writing to request an extension of the application deadlines for businesses affected by Tropical Storm Sandy until May 1, 2013. For small business owners seeking help with physical damage to their premises, the current deadline of December 31, 2012 does not provide enough time to evaluate the damages their businesses have incurred and properly fill out their applications.

Small business owners around our districts report that they are still assessing the damage, and that it may take months for them to fully understand its true extent. Some businesses that remain without power cannot even begin assessment until their electrical system is restored.  Further, because of the volume of claims, many business owners are having a hard time reaching their insurance companies or making an appointment with a claims adjustor. Others are having difficulty finding contractors to give them a cost for the project. If the FEMA deadline is extended until May 1, 2013, businesses will be in a better position to file their claims.

Accordingly, we request that the deadlines be extended to May 1, 2013 to give all of those affected a chance to apply, consistent with all applicable rules and regulations. Thank you for your consideration.

Sincerely,

CAROLYN B. MALONEY

JERROLD NADLER
MICHAEL GRIMM
CAROLYN McCARTHY

YVETTE CLARKE

CHARLES B. RANGEL

PETER T. KING

ELIOT ENGEL

JOSEPH CROWLEY