Summary: S.1305 — 95th Congress (1977-1978)All Information (Except Text)

Bill summaries are authored by CRS.

Shown Here:
Reported to Senate with amendment(s) (05/12/1977)

(Reported to Senate from the Select Committee on Small Business with amendment, S. Rept. 95-138)

=Title I: Economic Disaster Designation= - Amends the Small Business Act to authorize the making of economic injury disaster loans not in excess of $100,000 each to small businesses where no disaster has been declared, provided that the Small Business Administration has determined that such businesses have suffered economic injury as a result of the disaster and are in need of financial assistance which is not available on reasonable terms in the disaster stricken area.

=Title II: Interest Rate Reductions for Physical Disaster Loans= - Amends the Small Business Act to set the interest rate for Federal disaster loans to repair uninsured residences and personal property, damaged on or after July 1, 1976, at one percent for the first $5,000 of damage, two percent on the next $5,000 of damage, and three percent on all damage valued above $10,000. Sets the interest rate for all other loans made with respect to a physical disaster occurring on or after July 1, 1976, at five percent. Cancels a portion of the principal of disaster loans made with regard to a primary residence which has incurred damage of at least ten percent of its fair market value.

Authorizes the Administrator of the Small Business Administration to defer interest payments on certain disaster loans for up to three years.