Disaster relief loans available for Michigan businesses hurt by lack of snow

• The U.S. Department of Agriculture declared 42 counties drought disaster areas due to lack of snow  
• Small businesses in the Upper Peninsula and northern Michigan can apply for federal relief 
• Businesses can apply for loans up to $2 million

Ski resorts, cozy cabins and other small businesses impacted by the lack of snow this winter can apply for federal funding from the Small Business Administration as the state is experiencing one of its warmest winters on record.

The U.S. Department of Agriculture has declared a drought in 42 counties, and small businesses in the affected counties can apply for emergency loans from the Small Business Administration that may offset business losses.

"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 Gretchen Whitmer in a statement.

 “I know how hard this winter has been on families and communities who rely on winter tourism revenue and all the associated business that comes with it — hotels, restaurants, and shops. Fortunately, businesses in these 42 counties in the UP and the Northern Lower Peninsula can apply for support right now.” 

Related:

• Michigan residents mourn loss of snow, fear for future as winters vanish
• Michigan climate change: How fish, forests, farms, moose, ticks will change
• Climate change is erasing Michigan winters, taking our heritage with them

Sault Ste. Marie, Alpena and Gaylord are among a few cities that hit record-high temperatures of over 70 degrees on Feb. 27, according to the National Weather Service. 

In the case of Sault Ste. Marie, the last time temperatures in February were that high was in 1921. While the warm weather can be a break from Michigan’s harsh winters, businesses that rely on months of cold temperatures and piles of snow to make it through the season are negatively impacted. 

“This has been a challenging winter all across the state but we will persevere, and even with the mild temperatures, many Michigan ski areas are still open to welcome guests,” said Mickey MacWilliams, president and executive director of the Michigan Snowsports Industries Association in a statement. 

Eligible small businesses can apply for a loan of up to $2 million to help meet financial needs and won’t have to pay interest on the loan for the first year.

More information about how to apply can be found here.  Business owners can also contact the Small Business Administration’s customer service center (800) 659-2955 or send an email to disastercustomerservice@sba.gov for more information about drought disaster relief.