Contact: Antonia Ferrier (202) 224-5344
Thursday, May 18, 2006

WASHINGTON, D.C. – U.S. Senators Olympia J. Snowe (R-ME), Chair of the Senate Committee on Small Business and Entrepreneurship, and Susan Collins (R-ME), Chair of the Senate Committee on Homeland Security and Governmental Affairs, today pressed the Small Business Administration (SBA) to issue a disaster declaration for affected areas of Maine following the recent, devastating flooding. The declaration would clear the way for loans to affected small businesses, homeowners and renters under the Federal Disaster Loan Program. Snowe and Collins sent a letter to SBA Administrator Hector Barreto urging him to declare a disaster and immediately direct his staff to begin making loans available.

Over a foot of rain fell in the space of three days in some areas in Maine. Hundreds of homes have been evacuated, with families taking shelter in two emergency shelters that have been opened in the communities of Kennebunk and Sanford.

Following is the full text of the letter:

The Honorable Hector V. Barreto

Administrator

U.S. Small Business Administration

409 3rd Street, S.W.

Washington, D.C. 20416

Dear Hector:

As you are aware, the New England area, including the State of Maine, has been hit by torrential rains over the past several days. These storms have displaced many people and caused widespread damage to residences and businesses throughout the region.

We are writing to request that you declare that a disaster has occurred in New England, including the State of Maine, pursuant to your authority under Section 7(b)(2)(c) of the Small Business Act (15 U.S.C. 636(b)(2)(C)), and that you further direct the employees of the Small Business Administration (SBA) to immediately begin making loans available under the Federal Disaster Loan Program to those who have suffered, physical or economic damage as a result of this disaster.

As the Chairs of the Committee on Small Business and Entrepreneurship and the Committee on Homeland Security and Governmental Affairs, respectively, we are committed to doing everything in our power to provide immediate and meaningful support to the many people throughout New England who have been harmed by these storms. It is our expectation that you and the SBA will demonstrate the same dedication and cooperation in responding to this disaster.

Thank you for your prompt attention. If you have any questions or need any additional information, please contact Wes Coulam, Staff Director on the Committee on Small Business and Entrepreneurship, at (202) 224-5175, or Michael Bopp, Staff Director on the Committee on Homeland Security and Governmental Affairs at (202) 224-4751.

Sincerely,

OLYMPIA J. SNOWE SUSAN M. COLLINS

Chair Chair

Committee on Small Business and Committee on Homeland Security

Entrepreneurship and Governmental Affairs

###