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NYC 9/11 Public Portal Document

City-State Immediate Assistance Plan ($975 Million)

WTC Disaster Recovery Loan Program 20 percent loan guarantee fund to support bridge loans to small businesses affected by the attack, most of which will eventually qualify for SBA Disaster Loans. - Participating banks will approve loans within 2 days of application, unlike SBA loans, which can take weeks to process. - With a guarantee fund of $125 million, banks will be able to lend up to $625 million to affected businesses.

Enhancement of SBA Disaster Loan Program. - Expanded eligibility and enhanced benefits for entities receiving SBA loans.

Uninsured Physical Damage Assistance Up to $60 million in grants to firms which have suffered uninsured physical damages. Assistance will cover the first $10,000 of uninsured losses and 10% of the amount thereafter, up to a maximum amount of $100,000 per firm.

Per-Employee Relocation Assistance for Displaced Businesses - Up to $750 million in grants to ensure that displaced office tenants are not burdened by dramatically increased operating costs as a result of the attack. - The maximum provided to any business will be $10,000 per employee over three years. To qualify, businesses must (i) have been located within the commercial office space that was destroyed or rendered uninhabitable by the attack and relocate anywhere within New York City or (ii) relocate into Lower Manhattan as new tenants.

Tax-exempt Reconstruction Bonds - Authorize up to $15 billion in tax-exempt bonds on behalf of private developers. - The bonds would finance the construction and/or renovation of the approximately 25 million square feet of commercial space lost or seriously damaged in the attack. - Reducing interest costs will make construction at competitive rents financially feasible - Priority will be given to projects in or around the area impacted by the attack. - The total space financed with these bonds will not exceed 25 million square feet.

Federal Guarantees for Reconstruction Bonds - The combination of a federal guarantee with tax-exempt reconstruction bonds could result in interest rates as low as 4%. - This cost reduction would make replacement office space with offers reasonable occupancy costs far more likely. The federal guarantee on the tax-exempt debt would be available only for office space redeveloped in Lower Manhattan.

Tourism Marketing and Promotion Assistance Program To ensure the recovery and ongoing health of the City's tourism industry, federal funds should be made available to fund market research and special promotional activities. The estimated cost of this assistance is $40 million.

NYC-WTC 000136281