Hmmm ... I am assuming the Kerry Small biz people are on this ...

[beachmom]

http://www.eagletribune.com/punews/local_story_055001251.html

Where's the help? Feds promise low-interest loans to Lawrence fire victims and then deny their applications

By Crystal Bozek and Courtney Paquette
Staff Writers


LAWRENCE — They never figured they would need to qualify to be fire victims.

But it's a hard truth this week for the victims of January's devastating fire, after every property owner who applied for a federal disaster loan to help rebuild was denied the money.

...

Sooknanan was devastated as she watched the roof of her triple decker at 372 Market St. collapse and several parts of the home burn. She found hope from her legislators — everyone from Sen. John Kerry to Gov. Deval Patrick — who walked the scene, handing out business cards, promising loans that would get fire victims like her back on track.

"It was all smiles," she said. "I should have known."

She had expected to be in a house by now. Instead she is living with her son, his three young children and her dog in a cramped, one-bedroom apartment on Beacon Avenue — her only place to go as she waits on an insurance process that could take several more months.

A letter cited "lack of repayment ability" for her loan denial.

...

"I want to tell these legislators, these government people, come live in our shoes for the month," he said. "No one has helped us. It's not the story people want to hear."

Kerry, who toured the site during the fire, e-mailed a statement for this story, promising help to the victims.

"For those who have been denied, we'll work with them to double-check their applications, make sure it's correct and try to help cut through the red tape. People have gone through hard times, a complicated application process," Kerry's press release said.

Congresswoman Niki Tsongas, D-Lowell, also encouraged victims to contact her office.

"Our office will continue working with these individuals during the upcoming six-month SBA appeal process period," Tsongas said in a statement. "My office is here as a resource for anyone who has been affected by the fire."




This is not the best article, so I just hope Kerry can help these people. It doesn't seem right to blame them for the SBA; OTOH, they are the elected officials who promised to help, so I really hope this works out.

[Mass]

1. The scandal is that there is a solvability clause. How can people in poverty qualify then as they

have probably lost the only thing they owned in this fire. I hope that they can be helped.

BTW, this article is missing the point. The problem is not the SBA or the elected officials. It is the insurance companies that will take months to close the case. Where are these people supposed to live in the meantime?

[karynnj]

2. I think they are blaming the SBA, not the Small Business Committee

They will blame their elected people if they don't now act as their advocates. Kerry heading the committee that oversees this agency is doubly responsible to act as their advocate - as he did for people in New Orleans who he said were not treated fairly.

Kerry himself has blasted the SBA regularly - especially under their previous commissioner. He was extremely negative about their performance in New Orleans. (Read the Kerry comment embedded in TayTay's comment here - how often has anyone used language this strong in the Senate. http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=273&topic_id=114010#114023 )

It is not a good story and Kerry needs to follow up his answer with action and I assume he will.

[TayTay]

3. carefully

Ahm, the mortgage foreclosure crisis happened, in part, because people got loans they couldn't afford. That was a terrible thing to do and had repercussions. So, how do you make sure people get good loans that actually help them and not debts that they can't repay?

I agree, follow up is always good.