Reopening Wrangell Information for Businesses
State Business Financial Assistance Program
To Wrangell Businesses:
PLEASE KEEP CHECKING ELIGIBILITY -- The changes to the State's assistance program will be posted when available. Major change to allow businesses that have received less than $5000 of the EIDL or PPP to still apply!!
The application is available at Credit Union 1 website.
The Alaska Department of Commerce, Community, and Economic Development (DCCED) and the Alaska Industrial Development and Export Authority (AIDEA) are partnering with Credit Union 1 to offer emergency relief to Alaskan small businesses. Instructions on eligibility and terms are listed below and available online as well. Go to for updates and application:
Paycheck Protection Program and the SBA
FEDERAL FINANCIAL ASSISTANCE
Paycheck Protection Program (PPP) HAS BEEN EXTENDED. APPLICATION PERIOD ENDS AUGUST 8.
The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. Loans will continue to be processed in the order in which they were received. In this new round of funding, there are some changes that benefit the seasonality of Alaska small businesses.
The U.S. Treasury has published a new interim final rule authorizing temporary changes to the Small Business Administration Paycheck Protection Program (PPP) (document is below). According to the guidance, "all lenders eligible to originate loans under the PPP [are allowed] to use an alternative criterion for calculating the maximum loan amount for PPP loans issued to seasonal employers."
Section 1102 of the Act permits seasonal employers to calculate their maximum loan amount by using their monthly average payments for payroll during “the 12-week period beginning February 15, 2019, or at the election of the eligible [borrower], March 1, 2019, and ending June 30, 2019."
Under this rule, loan amounts could increase for businesses that rely on seasonal employees.
If your business has not already applied for PPP funds, submit your request as soon as possible.
The amount of the EIDL advance received by a business will be deducted from the loan forgiveness amount if a PPP loan is also obtained.
The interest rate is 1% and must be repaid within two years. Only 75% of the loan can be for payroll, and only 25% can be used for rent,mortgage, lease, utilities.
The complete rules and procedures for what will be forgiven, the formula as to what is forgiven and the bank process for forgiveness for these loans have not yet been finalized, but they should be released soon. The earliest a recipient can ask for the loan forgiveness is in the 7th week.
It is VERY important that you stay in contact with the lender to make sure you are using the funds for their specific purpose and have the correct forms or records they will need.
Small Business Administration Economic Injury Disaster Assistance Loans for Small Businesses Impacted by Coronavirus (COVID-19) (EIDL)
THIS PROGRAM IS NOW OPEN AGAIN FOR AGRICULTURAL BUSINESSES
The SBA will continue processing loan and advance requests in the order in which they were received.
The SBA’s Economic Injury Disaster Loan program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
A loan advance of $1000 per employee will be made to applicants to provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Those funds started being disbursed to Alaska businesses on Tuesday, 4/14. If you applied using the streamlined application on or after March 30 and before April 16 you do not have to reapply. At some point the advance will be deposited and then later you should be contacted by an SBA employee by email regarding the loan portion. Make sure any email ends in sba.gov. You can receive the advance without having to accept the loan.
For technical info on SBA Disaster Loans or the application, contact the SBA Customer Service Center at 1-800-659-2955 or email firstname.lastname@example.org.
CITY & BOROUGH OF WRANGELL
P.O. BOX 531
CITY HALL - 205 BRUEGER ST.
WRANGELL, AK 99929
WRANGELL MEDICAL CENTER - SEARHC
P.O. BOX 1081
310 BENNETT ST.
WRANGELL, AK 99929
WRANGELL PUBLIC SCHOOL DISTRICT
P.O. BOX 2319
DISTRICT OFFICE - 350 BENNETT ST.
WRANGELL, AK 99929