Mississippi's governor is requesting an Economic Disaster Declaration from the Small Business Administration to help companies hit financially by the Coronavirus outbreak. MPB's Desare Frazier reports.
Governor Tate Reeves tells the Mississippi Economic Council the state qualifies for expedited Small Business Administration loans. He spoke to business leaders online yesterday. Reeves remains self-quarantined since his return from Spain over the weekend, even though he and his family don't have symptoms. Reeves is urging small business owners to submit their financial losses related to the Coronavirus to their local emergency management agencies.
"Work through them. Provide them information and data in terms of what the business losses are in your communities. Because the more information that we have the stronger case we can make to the SBA to get this done more quickly," said Reeves.
The SBA loans provide up to $2 million for temporary losses. Reeves told business leaders the Trump Administration is working to provide cash relief to Americans to keep the economy going, which would also help Mississippians. House Democrat Bryant Clark of Ebenezer talked about the possible financial fallout from the Coronavirus before lawmakers suspended the legislative session this week.
"I think the world economy is going to dip and just from my experience when a recession hits, it usually hits twice as hard in Mississippi," said Clark.
There's at least $1 billion in reserve accounts including the state's Rainy Day Fund. House Republican Randy Rushing of Decatur says now's the time to use it if needed.
"It's certainly going to be a impact on the state budget but there again that is what the Rainy Day Fund is there for. This is the Rainy Day," said Rushing.
Governor Reeves says small businesses are the backbone of the state's economy and deserve a helping hand during this trying time.