,,ii #aadth ,,congress #ast ,session ,s4 #adgj ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #ca1 #bjae ,mr4 ,vitter introduced the following bill2 which was read twice and referred to the ,committee on ,small ,business and ,entrepreneurship ,a ,,bill ,to amend the ,small ,business ,act to provide additional assistance to small business concerns for disaster recovery1 and for other purposes4 #a4 ,short title2 table of contents 7a7 ,short title ,this ,act may be cited as the ,recovery ,improvements for ,small ,entities ,after ,disaster ,act of #bjae or the ,,rise ,after ,disaster ,act of #bjae4 7b7 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title2 table of contents4 ,sec4 #b4 ,definitions4 ,,title ,i--,improvements of disaster response and loans ,sec4 #aja4 ,use of data sharing4 ,sec4 #ajb4 ,additional awards to small business development centers1 women's business centers1 ,,score1 and ,,fast recipients for disaster recovery4 ,sec4 #ajc4 ,collateral requirements for disaster loans4 ,sec4 #ajd4 ,assistance to out-of-,state business concerns to aid in disaster recovery4 ,sec4 #aje4 ,fast-track ,,sbic applications4 ,sec4 #ajf4 ,,fast priorities4 ,sec4 #ajg4 ,use of ,federal surplus property in disaster areas4 ,sec4 #ajh4 ,recovery opportunity loans4 ,sec4 #aji4 ,contractor malfeasance4 ,sec4 #aaj4 ,local contracting preferences and incentives4 ,,title ,,ii--,disaster planning and mitigation ,sec4 #bja4 ,use of physical damage disaster loans4 ,sec4 #bjb4 ,business recovery centers4 ,,title ,,iii--,other provisions ,sec4 #cja4 ,increased oversight of economic injury disaster loans4 ,sec4 #cjb4 ,reduction of paperwork burden4 ,sec4 #cjc4 ,report on web portal for disaster loan applicants4 ,sec4 #cjd4 ,local disaster contracting fairness4 #b4 ,definitions ,in this ,act-- 7#a7 the term #g7;b7 loan program means assistance provided by the ,administration under section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b772 7#b7 the terms ,administration and ,administrator mean the ,small ,business ,administration and the ,administrator thereof1 respectively2 7#c7 the term covered supplemental appropriations means amounts made available to the ,administration through supplemental appropriations for-- 7,a7 the cost of direct loans authorized under section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 for necessary expenses related to the consequences of a major disaster declared by the ,president under section #dja of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eagj72 and 7,b7 the direct administrative expenses of making and servicing those loans2 7#d7 the term major disaster means a major disaster declared by the ,president under section #dja of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eagj72 and 7#e7 the term small business concern has the meaning given that term under section #c of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb74 ,i ,improvements of disaster response and loans #aja4 ,use of data sharing ,section #cab of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eaee7 is amended by adding at the end the following3 7e7 ,use of data sharing 7#a7 ,definition ,in this subsection1 the term agency has the meaning given the term in section #eeb;a of title #e1 ,united ,states ,code4 7#b7 ,exemption from certain matching program requirements ,any action taken by an agency to prevent1 investigate1 or recover duplicative ,federal assistance under this section shall not be subject to subsections 7e77#ab71 7o71 7q71 7r71 and 7u7 of section #eeb;a of title #e1 ,united ,states ,code4 7#c7 ,fraudulent acquisition of assistance ,an investigation conducted by an agency relating to the fraudulent acquisition of duplicative ,federal assistance under this section shall not be subject to section #eeb;a7p7 of title #e1 ,united ,states ,code4 4 #ajb4 ,additional awards to small business development centers1 women's business centers1 ,,score1 and ,,fast recipients for disaster recovery ,section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 is amended by inserting before the undesignated matter following paragraph 7#i7 the following3 7#aj7 ,additional awards to small business development centers1 women's business centers1 ,,score1 and ,,fast recipients for disaster recovery 7,a7 ,in general ,the ,administration may provide financial assistance to a small business development center1 a women's business center described in section #bi1 the ,service ,corps of ,retired ,executives1 a entity1 organization1 or individual that receives an award or has in effect a cooperative agreement under section #cd1 or any proposed consortium of such individuals or entities to spur disaster recovery and growth of small business concerns located in an area for which the ,president has declared a major disaster4 7,b7 ,form of financial assistance ,financial assistance provided under this paragraph shall be in the form of a grant1 contract1 or cooperative agreement4 7,c7 ,no matching funds required ,matching funds shall not be required for any grant1 contract1 or cooperative agreement under this paragraph4 7,d7 ,requirements ,a recipient of financial assistance under this paragraph shall provide counseling1 training1 and other related services1 such as promoting long-term resiliency1 to small business concerns and entrepreneurs impacted by a major disaster4 7,e7 ,performance 7i7 ,in general ,the ,administrator1 in cooperation with the recipients of financial assistance under this paragraph1 shall establish metrics and goals for performance of grants1 contracts1 and cooperative agreements under this paragraph1 which shall include recovery of sales1 recovery of employment1 reestablishment of business premises1 and establishment of new small business concerns4 7ii7 ,use of estimates ,the ,administrator shall base the goals and metrics for performance established under clause 7i71 in part1 on the estimates of disaster impact prepared by the ,office of ,disaster ,assistance for purposes of estimating loan-making requirements4 7,f7 ,term 7i7 ,in general ,the term of any grant1 contract1 or cooperative agreement under this paragraph shall be for not more than #b years4 7ii7 ,extension ,the ,administrator may make #a extension of a grant1 contract1 or cooperative agreement under this paragraph for a period of not more than #a year1 upon a showing of good cause and need for the extension4 7,g7 ,exemption from other program requirements ,financial assistance provided under this paragraph is in addition to1 and wholly separate from1 any other form of assistance provided by the ,administrator under this ,act4 7,h7 ,competitive basis ,the ,administration shall award financial assistance under this paragraph on a competitive basis4 4 #ajc4 ,collateral requirements for disaster loans 7a7 ,in general ,section #g7;d77#f7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;d77#f77 is amended in the third proviso-- 7#a7 by striking #ad1jjj and inserting #be1jjj2 and 7#b7 by striking major disaster and inserting disaster4 7b7 ,sunset ,effective on the date that is #c years after the date of enactment of this ,act1 section #g7;d77#f7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;d77#f77 is amended in the third proviso-- 7#a7 by striking #be1jjj and inserting #ad1jjj2 and 7#b7 by inserting major before disaster4 7c7 ,report ,not later than #ahj days before the date on which the amendments made by subsection 7b7 are to take effect1 the ,administrator shall submit to ,committee on ,small ,business and ,entrepreneurship of the ,senate and the ,committee on ,small ,business of the ,house of ,representatives a report on the effects of the amendments made by subsection 7a71 which shall include-- 7#a7 an assessment of the impact and benefits resulting from the amendments2 and 7#b7 a recommendation as to whether the amendments should be made permanent4 #ajd4 ,assistance to out-of-,state business concerns to aid in disaster recovery 7a7 ,in general ,section #ba7;b77#c7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fdh7;b77#c77 is amended-- 7#a7 by striking 7#c7 ,at the discretion and inserting the following3 7#c7 ,assistance to out-of-state small business concerns 7,a7 ,in general ,at the discretion 2 and 7#b7 by adding at the end the following3 7,b7 ,disaster recovery assistance 7i7 ,in general ,at the discretion of the ,administrator1 the ,administrator may authorize a small business development center to provide advice1 information1 and assistance1 as described in subsection 7c71 to a small business concern located outside of the ,state1 without regard to geographic proximity to the small business development center1 if the small business concern is located in an area for which the ,president has declared a major disaster4 7ii7 ,term 7,i7 ,in general ,a small business development center may provide advice1 information1 and assistance to a small business concern under clause 7i7 for a period of not more than #b years after the date on which the ,president declared a major disaster for the area in which the small business concern is located4 7,,ii7 ,extension ,the ,administrator may1 at the discretion of the ,administrator1 extend the period described in subclause 7,i74 7iii7 ,continuity of services ,a small business development center that provides counselors to an area described in clause 7i7 shall1 to the maximum extent practicable1 ensure continuity of services in any ,state in which the small business development center otherwise provides services4 7iv7 ,access to disaster recovery facilities ,for purposes of this subparagraph1 the ,administrator shall1 to the maximum extent practicable1 permit the personnel of a small business development center to use any site or facility designated by the ,administrator for use to provide disaster recovery assistance4 4 7b7 ,sense of ,congress ,it is the sense of ,congress that1 subject to the availability of funds1 the ,administrator should1 to the extent practicable1 ensure that a small business development center is appropriately reimbursed for any legitimate expenses incurred in carrying out activities under section #ba7;b77#c77;,b7 of the ,small ,business ,act1 as added by subsection 7a74 #aje4 ,fast-track ,,sbic applications ,section #cja7;c77#b7 of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #fha7;c77#b77 is amended by adding at the end the following3 7,c7 ,priority for applicants located in disaster areas 7i7 ,definition ,in this subparagraph1 the term disaster area means the area for which the ,president has declared a major disaster 7as defined in section #ajb of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eabb771 during the period of the declaration4 7ii7 ,priority ,the ,administrator shall give priority to an application for a license to operate as a small business investment company that is from an applicant located in a disaster area4 4 #ajf4 ,,fast priorities 7a7 ,definitions ,section #cd7;a7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #feg;d7a77 is amended-- 7#a7 by redesignating paragraphs 7#c7 through 7#i7 as 7#d7 through 7#aj71 respectively2 and 7#b7 by inserting after paragraph 7#b7 the following3 7#c7 ,catastrophic disaster ,the term catastrophic disaster means a catastrophic disaster1 as determined by the ,administrator4 4 7b7 ,priority ,section #cd7;c77#b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #feg;d7c77#b77 is amended-- 7#a7 in subparagraph 7,a71 by striking and at the end2 7#b7 in subparagraph 7,b77vi77,,iii71 by striking the period at the end and inserting 2 and2 and 7#c7 by adding at the end the following3 7,c7 shall give special consideration to an applicant that is located in an area affected by a catastrophic disaster4 4 7c7 ,additional assistance ,section #cd7;c7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #feg;d7c77 is amended by adding at the end the following3 7#e7 ,additional assistance for catastrophic disasters ,upon application by an applicant that receives an award or has in effect a cooperative agreement under this section and that is located in an area affected by a catastrophic disaster1 the ,administrator may provide additional assistance to the applicant4 4 #ajg4 ,use of ,federal surplus property in disaster areas ,section #g7;j77#ac77;,f7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;j77#ac77;,f77 is amended-- 7#a7 by inserting 7i7 after 7,f72 and 7#b7 by adding at the end the following3 7ii7 7,i7 ,in this clause-- 7aa7 the term covered period means the #b-year period beginning on the date on which the ,president declared the applicable major disaster2 and 7bb7 the term disaster area means the area for which the ,president has declared a major disaster1 during the covered period4 7,,ii7 ,the ,administrator may transfer technology or surplus property under clause 7i7 on a priority basis to a small business concern located in a disaster area if-- 7aa7 the small business concern meets the requirements for such a transfer1 without regard to whether the small business concern is a ,program ,participant2 and 7bb7 for a small business concern that is a ,program ,participant1 on and after the date on which the ,president declared the applicable major disaster1 the small business concern has not received property under this subparagraph on the basis of the status of the small business concern as a ,program ,participant4 7,,iii7 ,for any transfer of property under this clause to a small business concern1 the terms and conditions shall be the same as a transfer to a ,program ,participant1 except that the small business concern shall agree not to sell or transfer the property to any party other than the ,federal ,government during the covered period4 7,,iv7 ,a small business concern that receives a transfer of property under this clause may not receive a transfer of property under clause 7i7 during the covered period4 7,v7 ,if a small business concern sells or transfers property in violation of the agreement described in subclause 7,,iii71 the ,administrator may initiate proceedings to prohibit the small business concern from receiving a transfer of property under this clause or clause 7i71 in addition to any other remedy available to the ,administrator4 4 #ajh4 ,recovery opportunity loans ,section #g7;a77#ca7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;a77#ca77 is amended-- 7#a7 in subparagraph 7,a7-- 7,a7 by redesignating clauses 7i71 7ii71 and 7iii7 as clauses 7ii71 7iii71 and 7iv71 respectively2 and 7,b7 by inserting before clause 7ii71 as so redesignated1 the following3 7i7 ,the term disaster area means the area for which the ,president has declared a major disaster1 during the #e-year period beginning on the date of the declaration4 2 7#b7 by adding at the end the following3 7,g7 ,recovery opportunity loans 7i7 ,in general ,the ,administrator may guarantee an express loan to a small business concern located in a disaster area in accordance with this subparagraph4 7ii7 ,maximums ,for a loan guaranteed under clause 7i7-- 7,i7 the maximum loan amount is #aej1jjj2 and 7,,ii7 the guarantee rate shall be not more than #he percent4 7iii7 ,overall cap ,a loan guaranteed under clause 7i7 shall not be counted in determining the amount of loans made to a borrower for purposes of subparagraph 7,d74 7iv7 ,existing debt ,a loan guaranteed under clause 7i7 may be used to refinance existing debt arising from the applicable major disaster1 subject to section #abj4bja of title #ac1 ,code of ,federal ,regulations1 or any successor thereto4 7v7 ,operations ,a small business concern receiving a loan guaranteed under clause 7i7 shall certify that the small business concern was in operation on the date on which the applicable major disaster occurred as a condition of receiving the loan4 7vi7 ,repayment ability ,a loan guaranteed under clause 7i7 may only be made to a small business concern that demonstrates1 to the satisfaction of the ,administrator1 sufficient capacity to repay the loan4 7vii7 ,timing of payment of guarantees 7,i7 ,in general ,not later than #ij days after the date on which the ,administrator receives notice of a default on a loan guaranteed under clause 7i71 the ,administrator shall determine whether to pay the guaranteed portion of the loan4 7,,ii7 ,recapture ,unless there is a fraud relating to a loan guaranteed under clause 7i71 on and after the date that is #f months after the date on which the ,administrator determines to pay the guaranteed portion of the loan1 the ,administrator may not attempt to recapture the paid guarantee4 4 #aji4 ,contractor malfeasance ,section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 is amended by inserting before the undesignated matter following paragraph 7#aj71 as added by section #ajb of this ,act1 the following3 7#aa7 ,supplemental assistance for contractor malfeasance 7,a7 ,in general ,if a contractor or other person engages in malfeasance in connection with repairs to1 rehabilitation of1 or replacement of real or personal property relating to which a loan was made under this subsection and the malfeasance results in substantial economic damage to the recipient of the loan or substantial risks to health or safety1 upon receiving documentation of the substantial economic damage or the substantial risk to health and safety from an independent loss verifier1 and subject to subparagraph 7,b71 the ,administrator may increase the amount of the loan under this subsection1 as necessary for the cost of repairs1 rehabilitation1 or replacement needed to address the cause of the economic damage or health or safety risk4 7,b7 ,requirements ,the ,administrator may only increase the amount of a loan under subparagraph 7,a7 upon receiving an appropriate certification from the borrower and person performing the mitigation attesting to the reasonableness of the mitigation costs and an assignment of any proceeds received from the person engaging in the malfeasance4 ,the assignment of proceeds recovered from the person engaging in the malfeasance shall be equal to the amount of the loan under this section4 ,any mitigation activities shall be subject to audit and independent verification of completeness and cost reasonableness4 4 #aaj4 ,local contracting preferences and incentives ,section #ae of the ,small ,business ,act 7#ae ,u4,s4,c4 #fdd7 is amended by inserting after subsection 7e7 the following3 7f7 ,contracting preference for small business concerns in a major disaster area 7#a7 ,definition ,in this subsection1 the term disaster area means the area for which the ,president has declared a major disaster1 during the period of the declaration4 7#b7 ,contracting preference ,an agency shall provide a contracting preference for a small business concern located in a disaster area if the small business concern will perform the work required under the contract in the disaster area4 7#c7 ,credit for meeting contracting goals ,if an agency awards a contract to a small business concern under the circumstances described in paragraph 7#b71 the value of the contract shall be doubled for purposes of determining compliance with the goals for procurement contracts under subsection 7g77#a77;,a74 4 ,,ii ,disaster planning and mitigation #bja4 ,use of physical damage disaster loans ,section #g7;b77#a77;,a7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77#a77;,a77 is amended in the second proviso-- 7#a7 by striking the ,administration may increase and inserting the ,administration may1 subject to section #ah7;a71 increase2 and 7#b7 by striking and modifying structures and inserting 1 and modifying structures 7including construction of a safe room or similar storm shelter designed to protect property and occupants from tornadoes or other natural disasters74 #bjb4 ,business recovery centers ,section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 is amended by inserting before the undesignated matter following paragraph 7#aa71 as added by section #aji of this ,act1 the following3 7#ab7 ,business recovery centers 7,a7 ,in general ,the ,administrator1 acting through the district offices of the ,administration1 shall identify locations that may be used as recovery centers by the ,administration in the event of a disaster declared under this subsection or a major disaster4 7,b7 ,requirements for identification ,each district office of the ,administration shall-- 7i7 identify a location described in subparagraph 7,a7 in each county1 parish1 or similar unit of general local government in the area served by the district office2 and 7ii7 ensure that the locations identified under subparagraph 7,a7 may be used as a recovery center without cost to the ,government1 to the extent practicable4 4 ,,iii ,other provisions #cja4 ,increased oversight of economic injury disaster loans 7a7 ,in general ,section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 is amended by inserting before the undesignated matter following paragraph 7#ab71 as added by section #bjb of this ,act1 the following3 7#ac7 ,increased oversight of economic injury disaster loans ,the ,administrator shall increase oversight of entities receiving loans under paragraph 7#b71 including through-- 7,a7 scheduled site visits to ensure borrower eligibility and compliance with requirements established by the ,administrator2 and 7,b7 reviews of the use of the loan proceeds by an entity described in paragraph 7#b7 to ensure compliance with requirements established by the ,administrator4 4 7b7 ,sense of ,congress relating to using existing funds ,it is the sense of ,congress that no additional ,federal funds should be made available to carry out the amendments made by this section4 #cjb4 ,reduction of paperwork burden 7a7 ,sense of ,congress ,it is the sense of ,congress that the ,administrator should-- 7#a7 reduce paperwork burdens pursuant to section #ceja of title #dd1 ,united ,states ,code1 on small business concerns applying for disaster assistance under section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b772 and 7#b7 ensure that the application for disaster assistance under section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 facilitates deterring and detecting potential incidents of waste1 fraud1 and abuse4 7b7 ,reduction ,section #g7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcf7;b77 is amended by inserting before the undesignated matter following paragraph 7#ac71 as added by section #cja of this ,act1 the following3 7#ad7 ,paperwork reduction ,the ,administrator shall take steps to reduce1 to the maximum extent practicable1 the paperwork associated with the application for a loan under this subsection4 4 #cjc4 ,report on web portal for disaster loan applicants ,section #ch of the ,small ,business ,act 7#ae ,u4,s4,c4 #feg;j7 is amended by adding at the end the following3 7c7 ,report on web portal for disaster loan application status 7#a7 ,in general ,not later than #ij days after the date of enactment of this subsection1 the ,administrator shall submit to the ,committee on ,small ,business and ,entrepreneurship of the ,senate and the ,committee on ,small ,business of the ,house of ,representatives a report relating to the creation of a web portal to the track the status of applications for disaster assistance under section #g7;b74 7#b7 ,contents ,the report under paragraph 7#a7 shall include-- 7,a7 information on the progress of the ,administration in implementing the information system under subsection 7a72 7,b7 recommendations from the ,administration relating to the creation of a web portal for applicants to check the status of an application for disaster assistance under section #g7;b71 including a review of best practices and web portal models from the private sector2 7,c7 information on any related costs or staffing needed to implement such a web portal2 7,d7 information on whether such a web portal can maintain high standards for data privacy and data security2 7,e7 information on whether such a web portal will minimize redundancy among ,administration disaster programs1 improve management of the number of inquiries made by disaster applicants to employees located in the area affected by the disaster and to call centers1 and reduce paperwork burdens on disaster victims2 and 7,f7 such additional information as is determined necessary by the ,administrator4 4 #cjd4 ,local disaster contracting fairness 7a7 ,definitions ,in this section-- 7#a7 the term executive agency has the meaning given that term in section #acc of title #da1 ,united ,states ,code2 7#b7 the term local subcontractor means1 with respect to a contract1 a subcontractor who has a principal place of business or regularly conducts operations in the area in which work is to be performed under the contract by the subcontractor2 and 7#c7 the term natural disaster reconstruction efforts means reconstruction efforts undertaken in an area for which the ,president has declared a major disaster under section #dja of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eagj74 7b7 ,federal contracting requirements 7#a7 ,in general ,the head of an executive agency may not enter into an agreement for debris removal or demolition services in connection with natural disaster reconstruction efforts unless the agreement specifies that-- 7,a7 all of the work under the contract will be performed by the prime contractor or #a or more subcontractors at #a tier under the contract2 7,b7 any work performed under the contract by subcontractors will be performed by local subcontractors1 except to the extent that local subcontractors are not available to perform such work2 7,c7 the prime contractor will act as the project manager or construction manager for the contract2 and 7,d7 the prime contractor-- 7i7 has primary responsibility for managing all work under the contract2 and 7ii7 will be paid a certain percentage of the overall value of the contract as sole compensation for assuming the risk associated with such responsibility4 7#b7 ,preference for subcontractors affected by natural disasters ,in entering into an agreement for debris removal or demolition services in connection with natural disaster reconstruction efforts1 the head of an executive agency shall give a preference in the source selection process to each offeror who certifies that any work that is to be performed under the contract by subcontractors will be performed by local subcontractors4 7c7 ,applicability ,the requirements under subsection 7b7 shall apply to agreements entered into on or after the date of enactment of this ,act4