Brown Calls on Administration to Provide Disaster Loans to Small Businesses Affected by May Explosion in Downtown Youngstown

WASHINGTON, D.C. - Today, U.S. Senator Sherrod Brown (D-OH) called on the Biden Administration to grant Ohio's request to make Economic Injury Disaster Loans (EIDL) available to Youngstown businesses impacted by the downtown Realty Tower explosion on May 28, 2024.

In a letter to U.S. Small Business Administration (SBA) Administrator Isabella Casillas Guzman and Associate Administrator Francisco Sánchez Jr., Brown detailed the impact of the explosion on local businesses and urged SBA to provide assistance. The letter follows an official request from the state that was submitted on Monday.

"While downtown businesses have re-opened, many were significantly impacted and have requested help. Following the May explosion, I heard directly from businesses, workers, and residents who were negatively affected by the explosion. Business owners shared the economic challenges this emergency brought, and I urge you to answer their call for support," Brown wrote.

In July, Brown called on the Secretary of the Treasury and the IRS Commissioner to declare that relief payments Youngstown residents received from the Red Cross, the United Way, and Enbridge Gas in connection to the explosion be deemed tax exempt. Brown is pushing the IRS to declare the tragic explosion "of a catastrophic nature," and qualify the payments as nontaxable. Earlier that week, Brown hosted a roundtable with government officials, businesses, workers and residents of downtown Youngstown who have been negatively affected by the May 28 Realty Tower Explosion. Brown and residents discussed the ongoing recovery efforts.

Full text of the letter can be found HEREor below.

Dear Administrator Casillas Guzman and Administrator Sanchez:

I write to urge you to act swiftly on the request by Ohio Governor Mike DeWine for the Small Business Administration (SBA) to make Economic Injury Disaster Loans (EIDL) available to Youngstown businesses impacted by the downtown explosion on May 28, 2024.

The explosion resulted in one fatality, nine serious injuries, and massive property damage. In addition, the event displaced hundreds of residents from their homes, forced several businesses to close temporarily, and required the demolition of a historic building.

While downtown businesses have re-opened, many were significantly impacted and have requested help. Following the May explosion, I heard directly from businesses, workers, and residents who were negatively affected by the explosion. Business owners shared the economic challenges this emergency brought, and I urge you to answer their call for support. In his request for SBA EIDL assistance, Governor DeWine has found that the sustained losses to businesses meet the threshold for SBA disaster assistance and that businesses are in need of financial assistance not otherwise available on reasonable terms.

I fully support Governor DeWine's request and urge your prompt consideration. Thank you for your attention to this urgent matter.

Thank you,

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