AUSTIN, Texas - Officials held a virtual news conference to provide more details about the Austin Economic Injury Bridge Loan Program which launches on April 22.
The program provides loans up to $35,000 for daily needs like rent, payroll, and debt. The news conference is scheduled for noon and FOX 7 Austin will air it here online and on our Facebook page.
Get breaking news alerts in the FOX 7 Austin News app. It is FREE!
The loan is intended to “bridge the gap” between the time a major catastrophe hits and when a business secures recovery resources. Officials say the loan is not designed to the primary source of assistance to affected businesses.
The Austin Economic Injury Bridge Loan Program terms require payment of loan dollars up to 12 months at 3.75%. Officials say the repayment provision allows the City of Austin to make additional loans to other small businesses.
Eligible local businesses must be able to demonstrate an economic loss associated with the COVID-19 global pandemic and must be headquartered in a City of Austin Council district and have applied for the U.S. Small Business Administration (SBA) Economic Injury Disaster Loan.
When the Austin City Council approved Resolution 20200326-088, non-profit organizations were included on the list of eligible businesses. Austin’s Economic Development Department also needed approval from the U.S. Department of Housing and Urban Development (HUD) before launching the program since the loans are financed through the federal Section 108 Loan Guarantee Program. HUD did not approve the City’s request to offer loans to non-profits.
FOX 7 Austin is working to keep you up to date with coronavirus, with both local and national developments. Every weekday we're live at 12 p.m. with a special show reporting the latest news, prevention tips and treatment information.
You can also get the latest COVID-19 news from around the country at coronavirusnow.com.