Why do business in Nebraska?

Businesses and nonprofit organizations in parts of Nebraska and Iowa can now apply for federal disaster loans following severe weather associated with the remnants of Hurricane Polo.

The U.S. Small Business Administration announced the assistance October 29, 2026.

The disaster declaration covers five Nebraska counties and one neighboring Iowa county affected by the September 30 through October 1 weather event.

Eligible businesses may seek financing for physical property damage or qualifying economic losses connected to the disaster.

Six Counties Included in Declaration

The federal declaration covers Dodge, Douglas, Sarpy, Saunders, and Washington counties in Nebraska.

Pottawattamie County, Iowa, is also included.

The SBA issued the declaration following an October 19 request from Nebraska Governor Jim Pillen.

The designation establishes geographic eligibility for qualifying disaster assistance.

Businesses must still satisfy program requirements and demonstrate eligible losses associated with the declared event.

Physical Disaster Loans Can Reach $2 Million

Businesses and private nonprofit organizations may apply for physical disaster loans to repair or replace damaged property.

Eligible expenses can include buildings, machinery, equipment, inventory, and other qualifying business assets.

Business physical disaster loans may provide up to $2 million.

The actual amount available depends on verified damage, applicable program limits, and the SBA’s assessment of the applicant.

These loans are intended to support recovery from documented disaster losses rather than general business expansion.

Economic Injury Assistance Available

Some businesses may experience financial losses even when their buildings and equipment remain undamaged.

The SBA’s Economic Injury Disaster Loan program addresses qualifying financial difficulties resulting directly from a declared disaster.

Eligible small businesses, small agricultural cooperatives, and private nonprofit organizations may apply.

The program can provide working capital for expenses such as payroll, fixed debts, accounts payable, and other financial obligations.

Applicants must demonstrate that their financial difficulties are connected to the disaster.

The SBA generally excludes agricultural producers, farmers, and ranchers from these disaster loan programs, except for qualifying aquaculture enterprises.

Interest Rates and Repayment Terms

According to the SBA, disaster loan interest rates are as low as 4% for businesses and 3.625% for nonprofit organizations.

Repayment terms may extend up to 30 years.

Interest does not begin accruing, and payments are not due, until 12 months after the first loan disbursement.

The SBA determines individual loan amounts and repayment terms based on the applicant’s financial circumstances.

Disaster loans must be repaid and should not be confused with unrestricted government grants.

In-Person Assistance Available in Omaha

The SBA opened a Disaster Loan Outreach Center in Douglas County on October 30.

The center is located at Mockingbird Hills Community Center, 10242 Mockingbird Drive, Omaha, Nebraska 68127.

Regular hours are Monday through Friday from 8 a.m. to 5 p.m.

The center will be closed November 3 and November 11.

It is scheduled to close permanently at 5 p.m. November 13.

Business owners may visit the center to obtain application assistance or ask questions about the disaster loan programs.

Two Application Deadlines

Applications involving physical property damage must be submitted by December 28, 2026.

The deadline for economic injury applications is July 26, 2027.

Applicants may also apply through the SBA’s online disaster assistance system.

Business owners should review the requirements for their particular losses and prepare supporting documentation before submitting an application.

For businesses in the six designated counties, the declaration provides access to federal financing intended to support recovery from the late-September and early-October severe weather event.

Nebraska has received federal approval for 28 census tracts to participate in the next generation of the Opportunity Zones program, creating new opportunities for qualifying private investment in communities throughout the state.

Governor Jim Pillen announced the approvals October 30, 2026.

The designated areas include locations in 15 Nebraska cities, with representation across all three congressional districts.

The new designations will take effect January 1, 2027.

What Are Opportunity Zones?

Opportunity Zones are designated geographic areas where qualifying investments may receive preferential federal tax treatment.

The program is intended to encourage private investment in communities experiencing economic challenges.

Investors generally participate through Qualified Opportunity Funds, which are investment vehicles established to hold qualifying assets.

Depending on applicable federal requirements, investments may qualify for tax benefits involving capital gains.

Qualifying activities can include investments in businesses, commercial properties, and certain development projects.

However, an Opportunity Zone designation does not automatically provide grants or loans to every business located within the designated area.

Omaha and Lincoln Receive Multiple Designations

Omaha received ten approved census tracts, the largest number among Nebraska cities.

Lincoln received five designations.

Additional approved locations include Bellevue, Columbus, Fremont, and Norfolk.

The state’s third congressional district includes designated areas in Alliance, Beatrice, Crete, Hastings, Lexington, McCook, North Platte, Ogallala, and Scottsbluff.

The 28 approved tracts include both urban and rural communities.

Importantly, the designations apply to specific census tracts rather than entire municipalities.

A business located in Omaha, Lincoln, or another participating city is not necessarily located within an approved Opportunity Zone.

New Federal Framework Includes Rural Investment Benefits

The latest designations were approved under the updated Opportunity Zones 2.0 framework.

The program includes additional tax provisions intended to encourage investment in qualifying rural areas.

According to Nebraska officials, qualifying investments through Qualified Rural Opportunity Funds may receive a 30% basis increase after satisfying applicable holding-period requirements.

That compares with a 10% basis increase available for certain qualifying investments through standard Opportunity Funds.

The updated framework also reduces the substantial improvement threshold for certain qualifying rural property investments from 100% to 50%.

These benefits depend on federal tax rules and individual investment circumstances.

Designations Begin January 1

The newly approved areas will become active January 1, 2027.

The updated federal program establishes ten-year geographic designation periods, with additional designation cycles scheduled in the future.

Investors and businesses interested in participating should verify specific property locations against the official census tract map.

They should also distinguish between receiving investment from an Opportunity Fund and qualifying personally for federal tax benefits.

What Nebraska Businesses Should Watch

The designations may create additional interest in commercial property development, business investment, and workforce housing within participating areas.

However, the October 30 announcement does not identify specific investment commitments, new employers, or confirmed job creation resulting from the designations.

Those developments will depend on future investment decisions.

For Nebraska communities, the approval establishes 28 additional geographic areas where qualifying private investment may receive federal tax incentives beginning in 2027.