Small businesses in Maine affected by devastating storms in December and January may soon receive relief from a new legislation that sets aside $50 million in state funds to provide financial assistance. The bill’s journey through the Legislature began on Tuesday with a public hearing before the Innovation, Development, Economic Advancement and Business Committee (IDEA Committee), and it has already gained significant support.
The proposed Small Business Weather Emergency Relief Program aims to provide one-time payments to small businesses impacted by “severe weather-related events” like the storms that hit Maine in December and January. These payments would come from the state’s general fund, and the legislation is a much-needed lifeline for small businesses struggling to recover from the storms.
Senator Craig Hickman, D-Winthrop, sponsoring the bill, emphasized the importance of small businesses in Maine’s economy and urged the IDEA Committee to move the legislation forward as quickly as possible. The committee did not question the need for the bill but focused on determining which businesses would qualify for aid.
The storms that hit Maine in December and January were some of the most severe weather-related events in recent history. In December, nearly 6 inches of rain fell on central and western Maine just before Christmas, causing catastrophic flooding along the Androscoggin and Kennebec rivers and killing three people. The damage costs could exceed $20 million, according to reports from residents, businesses, municipalities, and counties.
In mid-January, two powerful storms brought heavy rain, flooding, ocean swells, record high tides, and 60 mph winds along Maine’s coast. According to preliminary estimates from the Maine Coast Fishermen’s Association, the high tides ripped away entire wharves and fish houses, severely damaging or destroying 60% of Maine’s working waterfront. Nearly 1,200 businesses submitted damage reports from January storms to the Maine Emergency Management Agency, which could help the state qualify for federal disaster relief.
However, most businesses do not have insurance as a fallback, and many small business owners fear they will have to close their businesses if they do not receive financial assistance soon. This is where the proposed Small Business Weather Emergency Relief Program comes in, providing hope and support for companies struggling to stay afloat.
The legislation has already gained significant support from both sides of the political aisle, with no one testifying in opposition to the bill during the public hearing. It is expected to move through the Legislature quickly, providing much-needed relief to small businesses that severe weather-related events in Maine have impacted.
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