Treasurer Fitzpatrick Launches New Program to Aid Small Business and Farm Disaster Recovery
Treasurer Fitzpatrick Launches New Program to Aid Small Business and Farm Recovery Following Natural Disasters
Jefferson City, MO – Missouri State Treasurer Scott Fitzpatrick today announced the launch of LIFT, Linked Deposits to Invest and Fund a Timely Recovery, to assist small business owners and farmers who have been economically impacted by natural disasters including the recent tornadoes, damaging storms, and long-term flooding across the state. LIFT will use linked deposits to partner with Missouri financial institutions to provide low interest loans to impacted small businesses and farmers as they recover.
The LIFT program authorizes:
- A linked deposit loan of up to $2 million for borrowers impacted by natural disasters (double the $1 million limit for Missouri FIRST participants)
- The maximum statutory discount to lending institutions for each linked deposit loan, lowering the interest rate and maximizing savings for the borrower
- Refinancing of existing debt
- Expedited approval notification (once due diligence is completed)
“I know how important access to affordable capital can be for a small business in challenging times from personal experience in business,” Treasurer Fitzpatrick said. “That’s why we worked hard to create a program that can help Missouri farmers and small business owners pick up the pieces and get back to work. Small businesses and farms are a vital part of the Missouri economy and I am proud to be part of the recovery effort.”
“Even in the best situations, it can be difficult for small businesses to simply keep the doors open. However, being hit by a natural disaster can easily overwhelm many small businesses, causing a loss of jobs and creating economic problems in the impacted area. With this year’s flooding and tornado activity, many businesses and communities around the state are experiencing this right now,” Daniel P. Mehan, President and CEO of the Missouri Chamber of Commerce and Industry, said. “The Missouri Chamber is grateful for the leadership of Treasurer Fitzpatrick as he utilizes the state’s linked deposit program to support small businesses as they begin recovering from this devastation.”
“Missouri’s farming community has been hit hard by the flooding—but this program will provide some relief as farmers begin moving forward and looking to the future,” Andy Clay, State Board Member, Missouri Farm Bureau, said. “The expanded opportunities in this program will certainly make it a useful tool for recovery.”
To participate in the LIFT program, loan applicants must have sustained damage in a county with a Major Disaster Declaration from FEMA and provide proof of economic injury and/or damages caused by a natural disaster occurring in Missouri in 2019. More information about these requirements can be found here.
LIFT will go into effect beginning today and will accept applications for small business and farms in the following FEMA-declared counties: Andrew, Atchison, Boone, Buchanan, Carroll, Chariton, Cole, Greene, Holt, Jackson, Jasper, Lafayette, Lincoln, Livingston, Miller, Mississippi, New Madrid, Osage, Pemiscot, Perry, Pike, Platte, Pulaski, Ray, St. Charles, and St. Genevieve.