Hickenlooper, State Leaders Seek SBA Recovery Funding for Aspen Acres and Gold Mountain Fires, Appeals Hazard Mitigation Grant Denial

WASHINGTON - Today, U.S. Senator John Hickenlooper joined Governor Jared Polis in announcing that Colorado has requested U.S. Small Business Administration (SBA) disaster assistance to help individuals, families, homeowners, renters, and businesses recover from the Aspen Acres and Gold Mountain Fires and burn scar flooding. Colorado has also appealed the federal denial of Hazard Mitigation Grant Program (HMGP) funding to help affected communities reduce the risk of future disaster damage. In September, the Trump Administration approved the Public Assistance (PA) portion of Colorado's Major Disaster Declaration (MDD) request and denied the Individual Assistance and HMGP funding portions.

"Losing a home to wildfire doesn't end when the fire does," said Hickenlooper. "Colorado families are still sorting through insurance claims, unsure how they'll pay for basic repairs. Every week they wait is another week they can't start rebuilding. Federal disaster loans are the fastest way to help families and local businesses move forward."

"Today, I have submitted Colorado's request for SBA assistance and have appealed the denial of hazard mitigation funding. Doing so will allow Aspen Acres and Gold Mountain communities to access more federal resources as quickly as possible. This SBA assistance will allow homeowners, families, and businesses an opportunity to start work on home repairs and replacements, personal property damaged by the disasters, and help small businesses," said Polis.

To expedite SBA assistance, Colorado will not appeal the President's denial of FEMA Individual Assistance (IA). Federal procedures prevent the SBA from declaring an independent physical disaster while a FEMA IA appeal is active or pending, requiring Colorado to resolve the appeal before SBA assistance can proceed. An IA appeal could take months, with no federal deadline for the President to decide on a state's MDD appeal request. Given that uncertainty and recent delays in disaster assistance nationwide, Colorado is pursuing SBA assistance as the most reliable and immediate path to additional recovery resources for affected families and businesses.

"The families and communities devastated by the Aspen Acres and Gold Mountain Fires have already endured tremendous loss. They should not have to navigate unnecessary delays and bureaucratic hurdles to get the help they need to rebuild. This recovery will take years, and we need to make sure our communities have the resources to rebuild safely and protect against future disasters. I will continue working with state and local leaders, regardless of party, to make sure Western and Southern Colorado are not left behind," said U.S. Representative Jeff Hurd.

"Some of our communities in Colorado lost everything and are still trying to rebuild after the devastating wildfires this summer. These fires were just the final straw for so many business owners, and it's essential they get the support they need to move forward and rebuild," said U.S. Representative Brittney Pettersen.

"The Small Business Administration provides a wide variety of tools for homeowners, non-profits, and businesses impacted by this disaster. This decision will allow them to get on the ground quickly to start meeting with community members in order to provide financial assistance for the rebuilding and recovery process," said Trevor Denney, Director of the Colorado Office of Emergency Management.

"Since the Aspen Acres Fire began on June 29, our residents have been waiting for a clear path to rebuild, and SBA assistance gives them one they can act on now. These are loans that must be repaid, so Pueblo County will keep pushing for every dollar of hazard mitigation funding and will stand with families as they decide what's right for them," said Pueblo County Commissioner Miles Lucero.

SBA disaster assistance provides low-interest loans that must be repaid. Subject to SBA approval and individual eligibility, available assistance can include:

• Home repairs and replacement: Up to $500,000 for homeowners to repair or replace a damaged primary residence.
• Personal property: Up to $100,000 for homeowners and renters to repair or replace disaster-damaged belongings, including furniture, appliances, and vehicles.
• Business and nonprofit recovery: Up to $2 million for eligible businesses and private nonprofits to repair or replace damaged property, equipment, and inventory. Qualified rental properties may also be eligible.
• Small business operating expenses: Economic Injury Disaster Loans can provide working capital to help eligible small businesses meet expenses during recovery, even without physical property damage.

Colorado's separate HMGP appeal seeks funding for long-term disaster prevention, including flood prevention, stormwater upgrades, and wildfire risk reduction. FEMA research shows that disaster risk reduction grants save an average of $6 for every $1 spent.

Colorado received federal approval for PA for the Aspen Acres and Gold Mountain Fires on September 4th, supporting eligible recovery work by affected communities. On September 18th, Colorado learned that IA and HMGP funding had been denied. On October 2, Governor Polis announced that the State would cover 75% of Ouray, Pueblo, and Custer County's cost-share for Emergency Watershed Protection efforts through the USDA's Natural Resources Conservation Service. The HMGP appeal and pursuit of SBA assistance builds on the PA already approved.

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