Whitmer asking Feds to create new paths of relief for businesses impacted by low-snow winters

NEWS RELEASE
GOVERNOR GRETCHEN WHITMER
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LANSING — Yesterday, Governor Gretchen Whitmer sent a letter to congressional leadership and the heads of the Small Business Administration (SBA) and Federal Emergency Management Agency (FEMA) urging them to create new paths of federal relief for those impacted by exceptionally warm winters. Amid the warmest winter on record, Governor Whitmer worked with the federal government to secure assistance for businesses in previously designated drought areas, but some counties in the Upper Peninsula and most of the Lower Peninsula are not currently eligible under current federal guidelines.   

"Michiganders are used to tough winters, but this year’s record-setting warm winter has been tough in a different way, causing economic hardships for small businesses and regional economies that rely on snow,” said Governor Whitmer. “I appreciate the federal government working with us to deliver financial relief to businesses in 43 counties around the state. However, this solution left out many counties that truly need assistance, which is why I’m asking the federal government to create new paths of federal relief for all impacted. We know climate change will only exacerbate this issue in future years, and there needs to be reliable and well-tailored programs to help in those cases.” 

View the full letter here.    

In addition to encouraging the federal government to develop regulatory or legislative solutions that can ensure businesses impacted by an exceptionally “warm winter” can seek appropriate federal relief, the governor announced that the SBA approved a new declaration that extends relief to Houghton County, bringing the total areas eligible for assistance to 43 counties. Note that due to unique drought conditions, the new Houghton County declaration covers business impacts from February 20, 2024 and beyond only. The SBA also extended the deadlines for businesses to apply for assistance in some counties, which will allow owners more time to calculate losses and submit those for federal financial assistance.   

Record-Breaking Winter  

• The UP200 was cancelled for the second year in a row because of warm weather.   
• 16% of the Great Lakes froze over this winter, compared to 53% normally.  
• Marquette has seen 72.6 inches of snow this season, compared to 127 inches on average.   
• The CopperDog 150 in the Keweenaw Peninsula was cancelled due to weather.  
• The Tahquamenon Country Sled Dog Race in Newberry was cancelled due to weather.  
• Detroit reached 73 degrees on February 27, the hottest February day in recorded history—dating back to 1874.  
• Snowfall in Grand Rapids is more than three feet—36 inches—below the seasonal average.    

Drought Designation  

Under the expanded declaration, 43 Michigan counties are covered by a disaster designation for drought from the U.S. Department of Agriculture. Through SBA declarations related to those designations, businesses in these counties may be eligible for emergency loans that offset their business losses if the loss is related to the drought.   

There are the 43 counties covered by five different SBA drought declarations. Where two declarations cover one county, businesses can apply under either declaration. Applicable SBA declarations and relevant deadlines are as follows:  

1. Alcona – Drought Declaration #20175, Deadline 9/26/2024  
2. Alger – Drought Declaration #20175, Deadline 9/26/2024  
3. Alpena – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024   
4. Antrim – Drought Declaration #20133, Deadline 9/26/2024 
5. Arenac – Drought Declaration #20133, Deadline 9/26/2024 
6. Bay – Drought Declaration #20133, Deadline 9/26/2024 
7. Benzie – Drought Declaration #20133, Deadline 9/26/2024 
8. Charlevoix – Drought Declaration #20133, Deadline 9/26/2024 
9. Cheboygan – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
10. Clare – Drought Declaration #20133, Deadline 9/26/2024 
11. Crawford – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
12. Delta – Drought Declaration #20175, Deadline 9/26/2024  
13. Dickinson – Drought Declaration #20209, Deadline 11/27/24  
14. Emmet – Drought Declaration #20133, Deadline 9/26/2024 
15. Gladwin – Drought Declaration #20133, Deadline 9/26/2024 
16. Gogebic – Drought Declaration #18175, Deadline 9/26/2024  
17. Grand Traverse – Drought Declaration #20133, Deadline 9/26/2024 
18. Gratiot – Drought Declaration #20133, Deadline 9/26/2024 
19. Houghton – Drought Declaration #20239, Deadline 12/26/2024 (covering impacts from February 20, 2024 and beyond only) 
20. Iosco – Drought Declaration #20175, Deadline 9/26/2024  
21. Iron – Drought Declaration #18175, Deadline 9/26/2024 
22. Isabella – Drought Declaration #20133, Deadline 9/26/2024 
23. Kalkaska – Drought Declaration #20133, Deadline 9/26/2024 
24. Leelanau – Drought Declaration #20133, Deadline 9/26/2024 
25. Luce – Drought Declaration #20175, Deadline 9/26/2024  
26. Mackinac – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
27. Manistee – Drought Declaration #20133, Deadline 9/26/2024 
28. Marquette – Drought Declaration #20175, Deadline 9/26/2024  
29. Mecosta – Drought Declaration #20133, Deadline 9/26/2024 
30. Menominee – Drought Declaration #20175, Deadline 9/26/2024  
31. Midland – Drought Declaration #20133, Deadline 9/26/2024 
32. Missaukee – Drought Declaration #20133, Deadline 9/26/2024 
33. Montmorency – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
34. Ogemaw – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
35. Ontonagon – Drought Declaration #18175, Deadline 9/26/2024 
36. Osceola – Drought Declaration #20133, Deadline 9/26/2024 
37. Oscoda – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
38. Otsego – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
39. Presque Isle – Drought Declaration #20133, Deadline 9/26/2024 OR Drought Declaration #20175, Deadline 9/26/2024  
40. Schoolcraft – Drought Declaration #20175, Deadline 9/26/2024  
41. Roscommon – Drought Declaration #20133, Deadline 9/26/2024 
42. Saginaw – Drought Declaration #20133, Deadline 9/26/2024 
43. Wexford – Drought Declaration #20133, Deadline 9/26/2024 

SBA Economic Injury Disaster Loans  

SBA Economic Injury Disaster Loans are designed to help businesses through disaster situations that have impacted their economic well-being. Loans are up to $2 million to help meet financial obligations and operating expenses that could have been met had the disaster not occurred. Businesses pay no interest on the loan for the first year and a maximum rate of 4% for the rest of the loan period. Businesses must apply by the application deadline for their county.   

Applicants are encouraged to contact the Michigan Small Business Development Center at 1-833-522-0025 or email [email protected] for assistance in the application process.  Submit applications and find additional disaster assistance information at https://lending.sba.gov. Call SBA’s Customer Service Center at (800) 659-2955 or email [email protected] for more information on SBA disaster assistance. If you are deaf, hard of hearing, or have a speech-related disability, please dial 7-1-1 to access telecommunications relay services.  

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