SBA Administrator Calls on Newsom for Disaster Declaration

On Monday, Kelly Loeffler, the administrator of the Small Business Administration (SBA), urged California Governor Gavin Newsom to seek a disaster declaration from federal agencies. This would enable the SBA to extend emergency aid to small businesses impacted by the recent riots in Los Angeles.

Loeffler stated, “This is an opportunity for Gavin Newsom to shift focus from monitoring undocumented immigrants for crimes and instead support law-abiding citizens, many of whom have lost everything due to the violence in Los Angeles.”

She emphasized the damage caused by the riots, mentioning looting and vandalism that have severely affected local businesses. According to her, while local authorities have failed to manage the situation, federal assistance is ready to help rebuild.

If Newsom proceeds with the SBA’s Economic Injury Disaster Loan (EIDL) declaration, it would allow the SBA to provide immediate assistance to those harmed by the chaos in the city.

However, a source familiar with the matter indicated that Los Angeles County had not yet made a request for assistance, suggesting that a disaster declaration from the SBA might not be on the horizon.

Loeffler also mentioned the SBA’s plan to relocate its regional office from Los Angeles due to the city’s refusal to cooperate with Immigration and Customs Enforcement (ICE). She expressed concern that Los Angeles seems to prioritize undocumented immigrants over American businesses and citizens.

She concluded with a reminder that the SBA has shared the necessary information with California to facilitate an EIDL request, which would allow affected businesses in Los Angeles to access long-term loans of up to $2 million to support their recovery.