Senator Ted Budd (R-N.C.) chaired a Senate Committee on Small Business and Entrepreneurship field hearing titled “Small Business Association’s (SBA) Hurricane Helene Response: One Year Later.” The hearing addressed the federal government’s response to Hurricane Helene, which made landfall nearly a year ago, causing significant damage across 11 states, including Western North Carolina.
In his opening statement, Senator Budd described the storm’s impact. “Almost one year ago today, Hurricane Helene made landfall in Florida before continuing northward and devastating Western North Carolina,” he said. He noted that the hurricane brought high winds and heavy rainfall, resulting in catastrophic flooding and mudslides that claimed 108 lives in North Carolina.
Budd highlighted that 39 counties in North Carolina were eligible for federal assistance after the storm. These counties represent 40 percent of the state’s population and 45 percent of its GDP. He commended local efforts during recovery but criticized the federal response under President Biden’s administration.
“Frankly, I wish the same could have been said for our federal government, but unfortunately, under President Biden, they were unprepared and asleep at the wheel,” Budd stated. He explained that while SBA disaster loans are vital for recovery—offering up to $500,000 for individuals and up to $2 million for businesses—many residents faced difficulties due to what he called mismanagement by the previous administration.
According to Budd, new regulations increased costs associated with issuing disaster loans. Additionally, as funds ran low within the SBA’s program, there was a failure to notify Congress promptly. This resulted in a 66-day funding shortfall from October 12th through December 20th of last year, affecting 97 percent of business loan applicants in North Carolina.
“We must ensure a crisis like this will never happen again,” Budd said. He reported that since operations resumed, over 3,500 North Carolinians had received assistance from the SBA program following Hurricane Helene.
To address these issues going forward, Budd introduced the Disaster Loan Accountability and Reform Act earlier this year. The bill would require annual appropriations for SBA disaster loans and mandate timely reporting to Congress when funds run low. It has advanced through committee with bipartisan support.
Budd also acknowledged changes implemented by the Trump Administration aimed at improving reporting procedures and coordination at local levels since January.
He concluded by emphasizing ongoing recovery needs: “Returning Western North Carolina to normal… hinges on our federal government and its agencies working in coordination with one another.”
“I will continue to engage with each of our cabinet agencies to ensure that our federal government is responsive to the needs of Western North Carolina,” Budd said.
