City Councilman Wants Better Terms For Disaster Loans For Small Businesses

NEW YORK (CBSNewYork/AP) -- With many small businesses seeking federal loans to recover from the damage wrought by Superstorm Sandy, New York City Council Member Domenic Recchia Jr. (D-47th) wants the federal government to give those businesses more time and lower interest rates.

Recchia said Sunday that he is calling for an extension to a Dec. 31 deadline for filing disaster loan applications with the federal Small Business Administration. He has also pressed members of Congress to lower the business loan interest rates, now 4 percent and higher.

Recchia represents Coney Island and some other storm-swamped parts of Brooklyn. He said small business owners in his district are juggling multiple insurance and disaster assistance claims.

The agency had no immediate response.

On Small Business Saturday, Mayor Michael Bloomberg announced a new $5.5 million grant program to help small businesses that suffered damage to Sandy. He said banks have also pledged another $5 million to an existing $10 million emergency fund, the Associated Press reported.

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