Deadline Approaching to Apply for EIDL Loans for Drought Emergency

The deadline to apply for SBA working capital loans for drought-related reasons is rapidly approaching. Businesses in six states have until November 5, 2021 to apply for an SBA federal disaster loan for economic injury. The Economic Injury Disaster Loans can be used by these businesses to pay fixed debts, payroll, accounts payable and other bills.

The Looming EIDL Deadline for Drought Relief

With only a couple of weeks to the November 5 deadline, the loans are designed to help businesses suffering economic losses brought on by the drought that began on January 1, 2021. This includes the following counties and states:

  • Primary Utah Counties: Beaver, Box Elder, Carbon, Duchesne, Emery, Garfield, Grand, Iron, Juab, Kane, Millard, San Juan, Sevier, Tooele, Uintah, Washington and Wayne

Neighboring Counties

  • Utah counties: Cache, Daggett, Davis, Piute, Salt Lake, Sanpete, Summit, Utah, Wasatch and Weber
  • Arizona counties: Apache, Coconino, Mohave and Navajo
  • Colorado counties: Dolores, Garfield, Mesa, Moffat, Montezuma, Montrose, Rio Blanco and San Miguel
  • Idaho counties: Cassia and Oneida
  • Nevada counties: Elko, Lincoln and White Pine
  • New Mexico county: San Juan

The SBA makes EIDL funds available when the U.S. Secretary of Agriculture designates an agricultural disaster. In this case, the declaration for the disaster was announced on March 5, 2021, by the Secretary. Tanya N. Garfield (Director of the U.S. Small Business Administration’s Disaster Field Operations Center West), stated that small non-farm businesses, small agriculture cooperatives, small aquaculture businesses, and most private nonprofit organisations of any size can apply for EIDL. Garfield states that these businesses may apply for loans up to $2,000,000 to meet working capital requirements caused by the disaster. Due to the damage caused by the disaster, this could mean that they are unable to pay their bills.

Garfield continues, “SBA eligibility covers both economic impacts on businesses that are dependent on farmers or ranchers who have suffered losses in agricultural production due to the disaster and businesses directly affected by the disaster.” Economic injury assistance is available regardless of whether the applicant suffered any property damage.”

EIDL Applicants

When a business applies for the EIDL, they get a 3% interest rate, and it goes down to 2% for private nonprofit organizations with terms up to 30 years for both. The SBA determines the amount and terms of each loan, taking into consideration the applicant’s financial situation.

The SBA points out that businesses that are primarily involved in agriculture or ranching will not be eligible for SBA Disaster Assistance. For information on the U.S. Department of Agriculture, contact the Farm Services Agency.

You can get disaster assistance information, download applications, and apply online at

You can also call the SBA’s Customer Service Center at (800) 659-2955 or email them at

If you are deaf or hard of hearing you may call (800) 877-8339.

Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.

Image: Depositphotos

Michael Guta

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