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Spring this year has brought devastating storms, tornadoes, flooding and, in some cases, severe drought, to states across the country including Florida, Georgia, Alabama, California and Idaho. To help small businesses that have been impacted by the severe weather, the Small Business Administration (SBA) is making low-interest disaster loans available to residents, business owners and non-profit organizations to aid in the recovery in federally-declared disaster areas.
Deadlines to apply and approved loan amounts can vary, depending on when the damage happened and financial need, as verified by SBA. For example, the SBA issued a press release on May 23 regarding disaster loans for residents in Escambia, Jackson, Okaloosa, Santa Rosa and Walton counties in northern Florida, an area that sustained damages due to storm damage from floods, tornadoes and strong winds that took place in late April and early May. Economic injury loans can cover items such as payroll, fixed debts, accounts payable and other related expenses. A similar press release also was released for residents of the Alabama counties of Baldwin, Blount, Dekalb, Etowah, Jefferson, Lee, Limestone, Mobile and Tuscaloosa. Economic injury loans are available small businesses and most nonprofits in some adjacent counties in Alabama, Florida, Tennessee and Mississippi. Getting assistance for disaster-related incidents can be done by calling the Federal Emergency Management Agency (FEMA).

Get Free Updates!Stay in the loop with a weekly newsletter, with all our news from the previous week. Marta Anne Thompson, an Associate in Hogan Lovells’ Government Contracts Practice, contributed to this post.
On October 2, 2013, the Small Business Administration (SBA) issued a final rule amending the regulations that govern small business set-asides (full, partial and reserves) under Multiple Award Contracts (MAC), including procedures for setting aside task and delivery orders.
According to the final rule, the period of performance used to determine compliance with the limitation on subcontracting and nonmanufacturer rules will vary for a small business subcontractor depending on the type of contract the order is issued against. The final rule gives COs greater discretion to “on ramp” and “off ramp” contractors on small business contracts.  The new regulations provide that when a small business with a total or partial set-aside MAC contract, becomes other than small, the CO has the choice to either terminate the contract or “off ramp” the contractor. The final rule provides an exemption to the SBA affiliation rules for small businesses that enter into teaming agreements to compete for bundled contracts with a reserve.  Bundled contracts are those which bundle the acquisition of supplies or services, which were previously provided for under smaller individual contracts, into a single contract or MAC that is likely to be unsuitable for award to a small business concern. Subscribe to all posts by entering your email below, or subscribe to notifications by practice area. Small business trends is the foremost source of data, information and advice masking issues of key significance to the small trade market..

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And, economic injury loans are available even in cases where there was no physical damage sustained. Prior to the issuance of the final rule, questions were raised as to whether a concern only had to recertify when it was acquired.  The final rule clarifies that a small business must recertify when it is acquired by another entity and when it acquires another entity.

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