Civil Unrest Disaster Loans, New Grants Available In Lake County

WAUKEGAN, IL — Disaster loans of up to $2 million and a pair of new state grant programs are available for Lake County businesses that have suffered losses or interruption due to the coronavirus pandemic or property damage due to civil unrest over the past month.

Applications are open for economic relief administered by the U.S. Small Business Administration, or SBA, and the Illinois Department of Commerce and Economic Opportunity, or DCEO, local and federal officials announced this week.

"Without a question, COVID-19 has placed an unprecedented burden on businesses across our state, and recent damage sustained during civil unrest only makes matters more challenging for business owners," Michael Negron, acting director of the state commerce department, said in a release.

On Tuesday, Gov. J.B. Pritzker released applications two initiatives to distribute $85 million worth of grants to Illinois businesses. They mark the first round of $900 million in grants the governor announced last week.

The Rebuild Distressed Communities program will offer $25 million in economic relief to support businesses that suffered property damage "as a result of civil unrest during protest and demonstrations on or after May 25," according to DCEO's website.

The grants can cover the costs of repairing structural damages, electrical systems and exterior work. The program aims to give priority to businesses without insurance, those with a major community impact and those in areas that have experienced historic disinvestment, according to the department.

Starting Friday, DCEO will begin accepting applications for the first round of Business Interruption Grants, which will offer $60 million to businesses that have suffered from COVID-related closures or those located in areas hit by both coronavirus and civil unrest.

The program will offer 500 grants to gyms and fitness centers, 1,000 grants to barbershops and salons, 1,000 grants to bars and restaurants unable to offer outdoor service and 1,000 grants for businesses in ZIP codes disproportionately impacted by high rates of COVID-19 that have also seen significant recent property damage. They will range between $10,000 to $20,000, depending on various eligibility criteria.

“With small businesses suffering because of the global health pandemic and recent looting from civil unrest in our country, it is critical that we step up and play a role in saving these mom and pop shops,” State Rep. Emanuel "Chris" Welch (D-Westchester) said in a release.

On Thursday, Pritzker announced the SBA had approved the state's request for a federal disaster assistance to Cook, DuPage, Kane, Lake, McHenry and Will counties.

Those affected by recent civil unrest may apply for loans to cover the cost of repairs and other losses. Businesses can borrow up to $2 million, homeowners can get loans of up to $200,000 for real estate and renters are eligible to borrow up to $40,000 for their personal property. The SBA offers assistance via a virtual outreach center.

“The SBA is strongly committed to providing the people of Illinois with the most effective and customer-focused response possible to assist businesses of all sizes, homeowners and renters with federal disaster loans,” SBA Administrator Jovita Carranza said in a release. “Getting businesses and communities up and running after a disaster is our highest priority at SBA.”