Congress Stalemate Causes Major Backlog in Disaster Aid for North Carolina After Hurricane Helene

Congress Stalemate Causes Major Backlog in Disaster Aid for North Carolina After Hurricane Helene

The aftermath of Hurricane Helene has left North Carolina struggling with not just physical destruction but also financial distress due to delays in federal aid. The Small Business Administration (SBA) provides emergency loans to help businesses and homeowners recover after such disasters. However, a congressional stalemate has hindered the replenishment of the SBA’s disaster loan fund, creating a significant backlog of applications.

The situation has placed considerable strain on local businesses in communities like Brevard, North Carolina, which rely heavily on tourism. Mayor Maureen Copelof noted that businesses such as “Local Color,” a hand-crafted gift shop, saw sales drop drastically, with one weekend’s revenue totaling just a single bar of soap. Many other businesses, like the Pisgah Fish Camp restaurant, faced extensive damage, including equipment worth nearly $300,000. Unfortunately, these businesses have been forced to either close temporarily or operate at a fraction of their usual capacity.

While emergency loans are vital for businesses to rebuild and offset lost sales, a congressional delay has put the much-needed relief on hold. In October, the Biden administration warned that the disaster loan fund would run out of money, but Congress recessed before providing the necessary funding. As of early November, lawmakers have not passed a bill to replenish the fund, and no date has been set for a vote.

The delay has caused growing frustration among both business owners and local officials. North Carolina Republican Sen. Ted Budd stated that the funds were “needed yesterday,” and his colleague Sen. Thom Tillis emphasized that communities are still grappling with the long-term impact of the storm. In response, many communities have launched local fundraisers to support businesses during this difficult time. For instance, a concert in Transylvania County raised $200,000 to help bridge the gap until federal loans arrive.

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For more detailed coverage on the funding situation and community responses, visit NewsTalk 941.

The Path Forward

As lawmakers continue to debate the issue, North Carolina’s recovery depends on timely federal assistance. It’s critical that Congress act swiftly to approve the necessary funding so that communities can fully recover and rebuild in the face of both immediate challenges and long-term economic impacts.

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