Mccall Testimony

Summary

Written testimony of Rebecca K. McCall, County Commissioner of Henderson County NC, dated September 22, 2025, titled SBA's Hurricane Helene Response: One Year Later. It describes the effects of Hurricane Helene on Henderson County after September 27, 2024, including flooding, landslides, power outages and damage to over 425 miles of roads and over 200 bridges. The testimony describes SBA's presence at the county's Disaster Relief Center and states that the biggest issue raised by those who did not apply was that the assistance took the form of loans, not grants. It reports over $9 million in damages among 130 businesses in the county, $10,500,000 lost in the agro-tourism industry and over $4 million in stored apples lost. It suggests that grant opportunities or loan forgiveness would have increased the number of businesses turning to SBA.

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                                                               Rebecca K. McCall
                                                               County Commissioner
                                                               Henderson County NC


Testimony September 22, 2025: SBA’s Hurricane Helene Response: One Year Later

        September 27, 2024, one year ago, will be a day that we will long remember in
Henderson County and Western North Carolina. Hurricane Helene hit us with full force.
Not only was there an enormous amount of rainfall that resulted in flooding as deep as
30 feet in some areas, there were also over 2000 landslides, 80 of which were in
Henderson County. The landslides uprooted giant oak and pine trees and dislodged
mammoth boulders that could otherwise only be moved by heavy equipment. These
landslides took out everything in their path from homes to businesses. In the Hickory
Nut Gorge area, the river grew three times wider than normal. Small businesses along
the river were washed away, as well as the land they once stood on. The power
outages registered to 1.5 million in the multi-county area with 95% of Henderson County
affected. These outages lasted up to two weeks in most areas. Over 425 miles of
roads and over 200 bridges were severely damaged in Henderson County alone. All of
this impacted our businesses, especially small businesses. Those that were not
severely damaged by flooding or fallen trees were still affected by power outages and,
most importantly, loss of business. Residents were focused on survival and potential
visitors/tourists, who many of our businesses depend on, stopped coming, for obvious
reasons. Even after power was restored, the water receded and the main roads were
opened up, we were left with the cleanup and rebuilding that continues today, one year
later. As a result, many businesses lost weeks of sales. Having been a small business
owner, I am aware that one week of slow business is tolerable, two weeks is concerning
but three weeks and beyond can be devastating. There was also the ripple down affect
where loss of sales leads to loss of inventory purchase which affects other businesses,
layoff of employees and, for the county, reduced sales tax income.

        Within a few days, organizations showed up to offer assistance. SBA was one of
those organizations. We quickly established a Disaster Relief Center (DRC) that was
large enough to handle our own local non-profit organizations as well as FEMA and
other State and Federal agencies. SBA had a presence at the DRC to answer
questions and assist in application filing for loans. SBA was a critical part of the DRC’s
one-stop-shop. Once we opened those doors to the public, SBA representatives were
there to speak with residents about the possibility of loans to rebuild. Our staff conveyed
how SBA was there eager and ready to assist anyone who needed it. The staff who
manned the table were friendly, accommodating, and helpful. We commend SBA on
their presence and willingness to jump right in and help our citizens. We are also
grateful for their continued support not just in the immediate aftermath, but for staying in
our DRC long after that to continue helping people who were still needing assistance.

      While we spent the first few months in the midst of life-saving work, we have
spent a lot of time since then thinking about the long-term recovery of Henderson
County. The SBA was and continues to be a vital part of that recovery.

       The benefits of the SBA program are numbered. The paperwork is
straightforward and the loans are favorable, with low interest rates. The challenges of
the program are also apparent, especially when asking people why they didn’t
apply. The biggest issue we heard was that these were loans, not grants. While
recovering, many individuals and businesses didn’t feel comfortable with taking on
another loan that they would have to pay back, especially as they were uncertain about
their source of income in the coming months. Some businesses chose not to reopen
due to the extent of damages they faced and the lack of insurance to cover those
damages. Some businesses are still undergoing repairs so that they can eventually re-
open. Some businesses embraced the opportunity to become better than they were
before and their businesses are thriving once more. Even 9-months after the storm, half
of businesses in Western North Carolina were still earning 20% less than they were
before Helene.1

       The damages to small businesses in the county are hard to quantify, but we do
know that across Western North Carolina, 96% of small businesses across were
impacted by the hurricane.2 This includes 83% of businesses that had to close for some
period of time.3 In Henderson County specifically, of 130 businesses we have data on,
over $9 million were reported in damages.4

        Small businesses struggled most in the immediate aftermath of the storm, when
the devastation of this natural disaster compounded with a lack of internet and limited
tourism. The lack of internet wasn’t just an issue for communication and safety, but also
for financial transactions. We live in a world of credit cards and Apple Pay. Losing
access to these meant, for many people, losing access to purchasing anything. Though
businesses were flexible, their customer base struggled to purchase goods in the new
cash economy. Businesses needed support in this moment to meet the demands of the
moment but until infrastructure was restored, they were on their own. There is room for
growth and research about how we can solve these issues and better support
businesses and the challenges they face in the immediate aftermath instead of only
monetarily after the fact.

        Henderson County’s economy changed completely in the immediate aftermath of
the storm. The infrastructure of the region was not capable of supporting the usual fall
tourists, and the local businesses suffered a loss of revenue as a result. $10,500,000
were lost in the agro-tourism industry alone as a result of Hurricane Helene. That impact
cannot be overstated. Even businesses that didn’t suffer direct damages struggled as
narratives of total devastation across Western North Carolina deterred
consumers. While our TDA did a great job reminding folks that there were areas of the
County open for business, we lost over $4 million in stored apples that were ready for
distribution.

       The hesitancy to use SBA loans for some of these losses speaks to locals’ fear of
taking on debt in such a challenging economic situation. Though the terms are
favorable, residents’ concerns about duplication of benefits and their ability to repay
such a sum impacted their involvement in the program. Adjustments to the SBA,
including the addition of grant opportunities or loan forgiveness for businesses
rebuilding and continuing to operate post-natural disaster would have increased the
amount of businesses turning to SBA for assistance.

       In conclusion, we are extremely grateful for the role SBA’s Disaster Recovery
Loans played in our recovery from Hurricane Helene. We have learned many lessons
from this storm of how to be better prepared to support businesses in the wake of
natural disasters and we hope that we can work together with the SBA to implement
these changes to better respond to future disasters.


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