[Code of Federal Regulations]

[Title 13, Volume 1]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 13CFR123.4]



[Page 344]

 

                TITLE 13--BUSINESS CREDIT AND ASSISTANCE

 

                CHAPTER I--SMALL BUSINESS ADMINISTRATION

 

PART 123_DISASTER LOAN PROGRAM--Table of Contents

 

                           Subpart A_Overview

 

Sec. 123.4  What is a disaster area and why is it important?



    Each disaster declaration defines the geographical areas affected by 

the disaster. Only those victims located in the declared disaster area 

are eligible to apply for SBA disaster loans. When the President 

declares a major disaster, the Federal Emergency Management Agency 

defines the disaster area. In major disasters, economic injury disaster 

loans may be made for victims in contiguous counties or other political 

subdivisions, provided, however, that with respect to major disasters 

which authorize public assistance only, SBA shall not make economic 

injury disaster loans in counties contiguous to the disaster area. 

Disaster declarations issued by the Administrator of SBA include 

contiguous counties for both physical and economic injury assistance. 

Contiguous counties or other political subdivisions are those land areas 

which abut the land area of the declared disaster area without 

geographic separation other than by a minor body of water, not to exceed 

one mile between the land areas of such counties.



[61 FR 3304, Jan. 31, 1996, as amended at 67 FR 64519, Oct. 21, 2002]