SBA brings disaster loan support to counties hit hardest by Elk and Lee fires

By Jen Schumann | Rocky Mountain Voice

Small businesses on the Western Slope are still digging out from the economic fallout of the Lee and Elk Fires—and the mudslides and debris flows that followed in August. The Lee Fire grew at a pace that stunned fire officials, blowing past 100,000 acres in about a week and briefly becoming the fourth-largest wildfire in Colorado history before later mapping placed it as the fifth-largest.

Federal disaster loans are now available to help cover those losses, and the declaration extends across Garfield, Moffat, Rio Blanco and Routt counties, plus Utah’s Uintah County.

Rio Blanco County—where the SBA will place its Business Recovery Center—has some of the highest exposure in the region. Local officials estimate more than 80 percent of the county’s economy comes from natural resource industries like grazing, outfitting, oil and gas—and even the natural soda operation near Meeker. That mix meant the fires and mudslides touched almost every sector at once, and state estimates already put direct damage in Rio Blanco at more than $27 million.

Separate assessments show more than $24 million in damage to energy infrastructure alone, including systems tied to natural gas production in the Piceance Basin. That matters because the Piceance Basin depends on several of the utility lines damaged during the fires and produces an estimated 2 to 5 percent of the nation’s daily natural gas supply.

Storms hit burn scars for weeks after the fires, causing flooding and sending debris downslope. Mudslides forced closure of county roads. And runoff raised concerns about drinking water for Rangely. Ranching, tourism and everyday business operations have all taken a hit.

“SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery,” said Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience. He noted that the loans “not only help business owners get back on their feet but also play a key role in sustaining local economies in the aftermath of a disaster.”

On Monday, Dec. 1, the SBA is opening a Business Recovery Center at Meeker Town Hall and staff will be available to answer questions and help with loan paperwork. Appointments aren’t necessary and it’ll be open weekdays until closing on Friday, Dec. 12.

Loan approvals can reach up to $2 million, with interest set at 4 percent for businesses and 3.625 percent for private nonprofits. Borrowers get a year before payments start, and interest doesn’t kick in until twelve months after the first disbursement. Loan amounts and terms are based on the applicant’s financial condition.

Business owners who need extra time to sort through the financial fallout have it—as local officials say a years-long recovery is ahead due to the flooding and infrastructure damage. SBA’s application deadline is Aug. 18, 2026.

Apply online at sba.gov/disaster. To ask questions or gain assistance, contact the SBA at 800-659-2955 or [email protected].