WASHINGTON — The U.S. Small Business Administration announced low-interest federal disaster loans are now available to Colorado communities because of the Willow Fire, the Elk Fire, and the Ouray County wildfires, flooding, and mudslides. The SBA issued three disaster declarations in response to the Oct. 22 request from Governor Jared Polis.
The declarations cover the following Colorado counties:
- Wildfires, Flooding, and Mudslides (June 27 – July 29, 2026): Businesses, private nonprofits, homeowners, and renters in Ouray County are eligible for physical disaster loans. Eligible small businesses and private nonprofits in Ouray County may also apply for Economic Injury Disaster Loans.
- Willow Fire (June 28 – Sept. 16, 2026): Eligible small businesses and private nonprofits in Chaffee, Eagle, Lake, Park, Pitkin, and Summit counties may apply for Economic Injury Disaster Loans.
- Elk Fire (July 9 – Oct. 1, 2026): Eligible small businesses and private nonprofits in Archuleta, Gunnison, Hinsdale, La Plata, Mineral, Ouray, Saguache, and San Juan counties may apply for Economic Injury Disaster Loans.
In Ouray County, businesses and nonprofits affected by wildfires, flooding, and mudslides are eligible 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 in Ouray County 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.
Physical damage 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 may include strengthening structures to protect against fire damage, upgrading to wind-rated garage doors, and installing a safe room or storm shelter to help protect property and occupants from future damage.
Under all three declarations, SBA’s Economic Injury Disaster Loan program is available to eligible small businesses, small agricultural cooperatives, and private nonprofit organizations — including faith-based organizations — with financial losses directly related to these disasters. 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 disasters and are available even if the 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 disasters.
“SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery,” said Chris Stallings, Associate Administrator for the Office of Disaster Recovery. “These loans not only help business owners get back on their feet but also play a key role in sustaining local economies in the aftermath of a disaster.”
The loan amount can be up to $2 million with interest rates as low as 4% for businesses, 3.625% for private nonprofits, and 2.875% for homeowners and renters in Ouray County only, all with terms up to 30 years. Interest does not 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.
To apply online, visit sba.gov/disaster. Applicants may also call SBA’s National Support Network Center at (866) SBA-HELP 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 for Ouray County is Dec. 22. The deadline to return economic injury applications for all three declarations is July 23, 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.