Baldwin Rolls Out Bill to Provide Relief for Wisconsin Small Businesses Impacted by Warm Winters

WASHINGTON, D.C. - Today, U.S. Senator Tammy Baldwin (D-WI) introduced new legislation to ensure businesses that rely on winter weather are eligible for disaster relief during mild winters that do not produce enough snow. The Winter Recreation Small Business Recovery Act introduction comes after Wisconsin businesses suffered during last winter's low snowfall and snow cover. The issue came into focus during last year's winter, in which Senator Baldwin and Wisconsin Governor Tony Evers successfully pushed the U.S. Small Business Administration (SBA) to provide disaster coverage to businesses impacted by Wisconsin's unusually warm weather conditions. Baldwin's legislation would ensure that businesses are eligible for relief should Wisconsin experience another winter without enough snow.

"Wisconsin winters attract visitors to our state from around the world, and our small businesses work hard to make that possible. Our snowy winters are not just another season, they are a huge economic driver, particularly in the Northern part of the state," said Senator Baldwin. "I'm fighting to give these businesses a lifeline so they can continue to contribute to our local economies, create jobs in our communities, and stay open for business for Wisconsinites and visitors alike."

"Small businesses and the tourism industry are the hearts of our Northern communities here in Wisconsin, and supporting these economic drivers is critical, especially when lack of snow and traditional winter weather impacts their bottom line," said Governor Evers. "Below-average snow cover can be detrimental to businesses that rely on outdoor recreation to keep their doors open, which is why Senator Baldwin and I worked around the clock earlier this year fighting to make sure businesses in Northern Wisconsin could access available disaster resources. With this new legislation, Senator Baldwin is working to make sure businesses, especially those impacted by winter drought, will be eligible to get help when they need it moving forward."

The Winter Recreation Small Business Recovery Act would ensure that during winters with below average snowfall or snow cover, small businesses are eligible for disaster relief through the SBA's Injury Disaster Loans. This existing loan program at SBA is designed to provide small businesses with the funds they need to operate while they recover from a natural or other disaster. Under current law, qualifying disasters include droughts and ice storms or blizzards, but do not account for winters without enough snow.

Last winter, small businesses across Wisconsin suffered losses and were forced to close or cut staff due to the lack of visitors who are usually drawn to the area for seasonal recreation, including snowmobiling, cross-country skiing, snowshoeing, and ice fishing. Senator Baldwin and Governor Evers successfully pushed the SBA to ensure that Northern Wisconsin businesses hurt by last winter's low snowfall could access disaster coverage. However, without Baldwin's bill, low snowfall remains off the list of eligible natural or other disasters that businesses can use to apply for SBA relief.

"I fully support Senator Baldwin's Winter Recreation Small Business Recovery Act, which will provide much-needed relief for small businesses in Washburn and across Northern Wisconsin. This legislation addresses a critical gap in disaster relief by ensuring that businesses impacted by mild winters, like those dependent on winter tourism, can access essential financial support. The ability to qualify for Economic Injury Disaster Loans will be a lifeline for many business owners who face both unpredictable winter weather and other economic challenges. This bill is vital for the survival and resilience of our community's small businesses now and in the future," said Melissa Martinez, Director of the Washburn Area Chamber of Commerce.

"For Florence County, the 2023-2024 winter season was extremely hard on many of our businesses. With over 180 miles of snowmobile trails we normally have many snowmobilers that stop and visit our eateries, taverns and other establishments. There were no snowmobilers all season. We had to cancel a handful of events such as ice fishing tournaments, snow shoeing and there was no cross-country skiing," said Eric Pintz, Director of the Florence County Economic Development Corporation. "Our Bed & Breakfast had so many cancellations they're closing in October as they can't chance what occurred last season. Florence County relies on tourism as a large part of our economy and we're all hopeful that we may see some snow this upcoming season. If not, I support the Senator's change to the current EIDL legislation. There were a handful of businesses that applied earlier this year and they shared that it wasn't an easy process."

"The Winter Recreation Small Business Recovery Act is a lifeline for the small businesses that are the heart of our local economies and communities-local families, friendly faces, and trusted neighbors who make our towns thrive. By providing a safety net when mild winters threaten their livelihoods, this legislation will help protect jobs, sustain tourism, and preserve the unique spirit of our hometowns," said Ben Nelson, Executive Director of the Kewaunee County Economic Development Corporation.

"On behalf of the Bayfield County Economic Development Corporation, I am writing to express our support for Senator Baldwin's proposal for the Winter Recreation Small Business Recovery Act. Bayfield County relies heavily on snowfall for a wide range of winter recreational activities. A winter season with insufficient or no snow creates extreme hardship for many of our businesses. Legislative support that simplifies the business loan process would be greatly beneficial to everyone involved," said Cole Rabska, Executive Director of the Bayfield County Economic Development Corporation.

The Winter Recreation Small Business Recovery Act is co-sponsored by Senator Tina Smith (D-MN) and supported by the Bayfield County Economic Development Corporation, Florence County Economic Development Corporation, Iron County Economic Development Corporation, Kewaunee County Economic Development Corporation, and Washburn Chamber of Commerce.

Full text of this legislation is available here. A one-pager on the legislation is available here.

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