Federal Disaster Loans For Complex Fires

6-5 Fire in Chinese Camp—CAL Fire TCU photo

Sonora, CA – Low-interest federal disaster assistance loans for businesses, private nonprofits, and residents impacted by the TCU September Lightning Complex Fire are now available.

The U.S. Small Business Administration (SBA) issued a disaster declaration in response to a request received from the California Governor’s Office of Emergency Services (Cal OES) Director Nancy Ward on Sept. 22. The declaration covers Alpine, Calaveras, Madera, Mariposa, Merced, Mono, Stanislaus, and Tuolumne counties. The loans are intended to cover physical and economic damages caused by lightning strikes following storms that swept over the region on September 2nd. The last two fires, 6-5 (Chinese Camp) and 6-2, which started near Lake Don Pedro, were contained on the 13th, as reported here.

The SBA provided these loan details:

• Businesses and nonprofits are eligible to apply for business 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 be eligible for a loan increase of up to 20% of their physical damage, as verified by the SBA, for mitigation purposes. Eligible mitigation improvements include insulating pipes, walls, and attics; weather stripping doors and windows; and installing storm windows to help protect property and occupants from future disasters.
• SBA’s Economic Injury Disaster Loan (EIDL) program is available to eligible small businesses, small agricultural cooperatives, nurseries, and private nonprofit (PNP) 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.
• EIDLs are for working capital needs caused by the disaster and are available even if the business or PNP did not suffer any physical damage. They may be used to pay fixed debts, payroll, accounts payable, and other bills not paid due to the disaster.
• Interest rates are as low as 4% for businesses, 3.625% for nonprofits, and 3% 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 sets loan amounts and terms based on each applicant’s financial condition.

Beginning today, Friday, September 26, 2025, SBA customer service specialists will be available at the following Disaster Loan Outreach Centers (DLOC) to answer questions about the SBA’s disaster loan program, explain the application procedure, and assist each client with completing their application. Walk-ins are welcome, but in-person appointments are encouraged, which can be scheduled by clicking here. 

“When disasters strike, SBA’s Disaster Loan Outreach Centers play a vital role in helping small businesses and their communities recover,” said Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. “At these centers, SBA specialists assist business owners and residents with disaster loan applications and provide information on the full range of recovery programs available.”

SBA provided these locations and hours listed below:

TUOLUMNE COUNTY: Disaster Loan Outreach Center

Mother Lode Job Training at 197 Mono Way, Ste. B, Sonora, CA  95370

Opens 12 p.m. Friday, Sept. 26

Mondays–Fridays, 8:00 a.m.–4:30 p.m.

• Closed Monday, Oct. 13, in observance of Columbus Day
• Closes permanently at COB Tuesday, Oct. 21

To apply online, click here or call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on 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 physical damage application deadline is Nov. 24, 2025, and the economic injury deadline is June 24, 2026.