WASHINGTON — The U.S. Small Business Administration announced the availability of low‑interest federal disaster loans to California businesses, private nonprofit organizations, and residents to offset physical and economic losses from the Foster City Sea Spray Fire occurring Aug 2 – 3. The SBA issued a disaster declaration in response to a request from California Governor’s Office of Emergency Services Director Caroline Thomas Jacobs Aug. 31.
The declaration covers the California counties of Alameda, San Francisco, San Mateo, Santa Clara, and Santa Cruz.
Businesses and nonprofits are eligible to apply for physical disaster loans and may borrow up to $2 million to repair or replace disaster-damaged or destroyed real estate, machinery, and equipment, inventory, and other business assets.
Homeowners and renters are eligible to apply for home and personal property loans and may borrow up to $100,000 to replace or repair personal property, such as clothing, furniture, cars, and appliances. Homeowners may apply for up to $500,000 to replace or repair their primary residence.
Applicants may also be eligible for a loan increase of up to 20% of their physical damage, as verified by SBA, for mitigation purposes. Eligible mitigation improvements include strengthening structures to protect against high wind damage, upgrading to wind rated garage doors, and installing a safe room or storm shelter to help protect property and occupants from future damage.
The SBA’s Economic Injury Disaster Loan program is available to eligible small businesses, small agricultural cooperatives, and private nonprofit organizations — including faith‑based organizations — impacted by financial losses directly related to this disaster. The SBA is unable to provide disaster loans to agricultural producers, farmers, or ranchers, except for aquaculture enterprises.
Economic Injury Disaster Loans are for working capital needs caused by the disaster and are available even if the small business or private nonprofit did not suffer any physical damage. The loans may be used to pay fixed debts, payroll, accounts payable, and other bills which could not be paid due to the disaster.
Interest rates are as low as 4% for businesses, 3.625% for nonprofits, and 2.875% for homeowners and renters, with terms up to 30 years. Interest does not begin to accrue, and payments are not due until 12 months from the date of the first loan disbursement. The SBA determines eligibility and sets loan amounts and terms based on each applicant’s financial condition.
“When disasters strike, SBA’s Disaster Loan Outreach Centers perform an important role by assisting small businesses and their communities,” said Chris Stallings, Associate Administrator of the Office of Disaster Recovery and Resilience at SBA. “At these centers, our SBA specialists help business owners and residents apply for disaster loans and learn about the full range of programs available to support their recovery.”
Beginning Tuesday, Sept. 8, SBA customer service representatives will be on hand at the Disaster Loan Outreach Center below to answer questions about SBA’s disaster loan program, explain the application process and help people complete their application. Walk-ins are welcome, and you can schedule an in-person appointment in advance at appointment.sba.gov.
The center’s hours of operation are listed below:
SAN MATEO COUNTY
Disaster Loan Outreach Center
Foster City – City Hall
Emergency Operations Center (EOC)
610 Foster City Blvd.
Foster City, CA 94404
Opens Tuesday, Sept. 8 at 1 p.m.
Monday-Friday, 8 a.m. – 5 p.m.
Closes permanently Thursday, Oct. 1 at 5 p.m.
To apply online, visit sba.gov/disaster. Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. For people who are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services.
The deadline to return physical damage applications is Nov. 3. The deadline to return economic injury applications is June 4, 2027.
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About the U.S. Small Business Administration
The U.S. Small Business Administration helps power the American dream of business ownership. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow, expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.