[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 2482 Introduced in Senate (IS)]








109th CONGRESS
  2d Session
                                S. 2482

 To authorize funding for State-administered bridge loan programs, to 
  increase the access of small businesses to export assistance center 
services in areas in which the President declared a major disaster as a 
    result of Hurricane Katrina of 2005, Hurricane Rita of 2005, or 
  Hurricane Wilma of 2005, to authorize additional disaster loans, to 
  require reporting regarding the administration of the disaster loan 
                   programs, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 30, 2006

Ms. Landrieu (for herself and Mr. Kerry) introduced the following bill; 
 which was read twice and referred to the Committee on Small Business 
                          and Entrepreneurship

_______________________________________________________________________

                                 A BILL


 
 To authorize funding for State-administered bridge loan programs, to 
  increase the access of small businesses to export assistance center 
services in areas in which the President declared a major disaster as a 
    result of Hurricane Katrina of 2005, Hurricane Rita of 2005, or 
  Hurricane Wilma of 2005, to authorize additional disaster loans, to 
  require reporting regarding the administration of the disaster loan 
                   programs, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Gulf Coast Open for Business Act of 
2006''.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) 43 percent of businesses that close following a natural 
        disaster never reopen;
            (2) an additional 29 percent of businesses close down 
        permanently within 2 years of a natural disaster;
            (3) Hurricane Katrina struck the Gulf Coast of the United 
        States on August 29, 2005, negatively impacting small business 
        concerns and disrupting commerce in the States of Louisiana, 
        Mississippi, and Alabama;
            (4) Hurricane Rita struck the Gulf Coast of the United 
        States on September 24, 2005, negatively impacting small 
        business concerns and disrupting commerce in the States of 
        Texas and Louisiana;
            (5) Hurricane Wilma struck the Gulf Coast of the United 
        States on October 24, 2005, negatively impacting small business 
        concerns and disrupting commerce in the State of Florida;
            (6) according to the United States Chamber of Commerce, 
        more than 125,000 small and medium-sized businesses in the Gulf 
        Coast were disrupted by Hurricane Katrina or Hurricane Rita 
        and, as of March 2006, local chambers of commerce reported that 
        as many as \2/3\ of their members had not resumed business 
        operations;
            (7) as of March 29, 2006, 7 months will have passed since 
        Hurricane Katrina impacted the Gulf Coast, yet despite that 
        passage of time, small business concerns in the affected States 
        are still in need of assistance;
            (8) due to a slow initial Federal response and the 
        widespread devastation in the affected States, businesses 
        impacted by Hurricane Katrina are in dire need of increased 
        access to capital, access to State and Federal recovery 
        contracts, and technical assistance to recover and prosper; and
            (9) without the full recovery and prosperity of affected 
        businesses, the Gulf Coast, and the rest of the United States, 
        will be negatively impacted.

SEC. 3. DEFINITIONS.

    In this Act--
            (1) the terms ``Administration'' and ``Administrator'' mean 
        the Small Business Administration and the Administrator 
        thereof, respectively;
            (2) the term ``disaster loan program'' means the disaster 
        loan program authorized under section 7 of the Small Business 
        Act (15 U.S.C. 636);
            (3) the term ``Disaster Area'' means an area in which the 
        President has declared a major disaster in response to 
        Hurricane Katrina of 2005, Hurricane Rita of 2005, or Hurricane 
        Wilma of 2005;
            (4) the term ``major disaster'' has the meaning given the 
        term in section 102 of the Robert T. Stafford Disaster Relief 
        and Emergency Assistance Act (42 U.S.C. 5122);
            (5) the term ``relevant area'' means an area in which the 
        President has declared a major disaster, during the period in 
        which such declaration is in effect;
            (6) the term ``small business concern'' has the meaning 
        given the term in section 3 of the Small Business Act (15 
        U.S.C. 632); and
            (7) the term ``2006 Atlantic hurricane season'' means the 
        period beginning on June 1, 2006, and ending on November 30, 
        2006.

SEC. 4. STATE BRIDGE LOAN PROGRAMS.

    (a) In General.--There is authorized to be appropriated to the 
Secretary of Commerce $50,000,000 for the Economic Development 
Administration of the Department of Commerce to make grants to the 
appropriate State government agencies in Louisiana, Alabama, 
Mississippi, Texas, and Florida, to carry out this section.
    (b) Disbursement of Funds.--The Department of Commerce shall 
disburse the funds authorized under subsection (a) in the most 
expeditious manner possible to the designated States, based on--
            (1) the number of businesses directly damaged or disrupted 
        by Hurricane Katrina of 2005, Hurricane Rita of 2005, or 
        Hurricane Wilma of 2005, in the State;
            (2) the number of residents displaced from the State by 
        Hurricane Katrina of 2005, Hurricane Rita of 2005, or Hurricane 
        Wilma of 2005;
            (3) the number of jobs lost or disrupted by Hurricane 
        Katrina of 2005, Hurricane Rita of 2005, or Hurricane Wilma of 
        2005, in the State;
            (4) the extent of economic disruption by Hurricane Katrina 
        of 2005, Hurricane Rita of 2005, or Hurricane Wilma of 2005, in 
        the State; and
            (5) the number of evacuees from any other State due to 
        Hurricane Katrina of 2005, Hurricane Rita of 2005, or Hurricane 
        Wilma of 2005, to whom the designated State is providing 
        assistance.
    (c) Use of Funds.--
            (1) In general.--Grants awarded to a State under subsection 
        (a) shall be used by the State to provide bridge loans, which 
        may be made to any person located in a Disaster Area who was 
        negatively impacted by Hurricane Katrina of 2005, Hurricane 
        Rita of 2005, or Hurricane Wilma of 2005, to assist such person 
        in covering costs until the person is able to obtain loans 
        through Administration assistance programs or other sources.
            (2) Reimbursement.--A State may use a grant awarded under 
        subsection (a) as reimbursement for any State funds used to 
        provide bridge loans to any person located in a Disaster Area 
        who was negatively impacted by Hurricane Katrina of 2005, 
        Hurricane Rita of 2005, or Hurricane Wilma of 2005, before the 
        date on which the funds authorized under subsection (a) are 
        disbursed.
            (3) Criteria.--Notwithstanding any other provision of law, 
        in making bridge loans under paragraph (1), the State may use 
        such criteria as the State determines appropriate, and shall 
        not be required to apply eligibility criteria for programs 
        administered by the Federal Government, including the 
        Department of Commerce.
            (4) Terms.--Any loan made by a State under paragraph (1) 
        may initially be a noncollateralized, low-interest loan.
            (5) Administrative expenses.--The Department of Commerce 
        may use not more than $1,000,000 of the funds authorized under 
        subsection (a) to administer the provision of grants to the 
        designated States under this subsection.

SEC. 5. TRADE OUTREACH AT GULF COAST UNITED STATES EXPORT ASSISTANCE 
              CENTERS.

    (a) Increase in Small Business International Trade Staff.--The 
Administrator shall hire 1 full-time international finance specialist 
for the Office of International Trade of the Administration.
    (b) Location and Service Area.--The international finance 
specialist hired under subsection (a)--
            (1) may be located in the New Orleans, Louisiana United 
        States Export Assistance Center or in the Jackson, Mississippi 
        United States Export Assistance Center; and
            (2) shall--
                    (A) help to carry out the export promotion efforts 
                described in section 22 of the Small Business Act (15 
                U.S.C. 649); and
                    (B) provide such services in the States of 
                Louisiana, Mississippi, Alabama, and Arkansas.
    (c) Authorization of Appropriations.--
            (1) In general.--There are authorized to be appropriated to 
        the Administration to carry out this section--
                    (A) $105,475 for each of fiscal years 2006 through 
                2011; and
                    (B) such sums as are necessary for each fiscal year 
                thereafter.
            (2) Availability of funds.--Amounts made available under 
        this subsection shall remain available until expended.

SEC. 6. SMALL BUSINESS DEVELOPMENT CENTERS.

    (a) Waiver of Maximum Amount.--Section 21(a)(4) of the Small 
Business Act (15 U.S.C. 648(a)(4)) is amended by adding at the end the 
following:
            ``(D) Fiscal years 2005 and 2006.--For fiscal years 2005 
        and 2006, the Administrator has the authority to waive the 
        maximum amount of $100,000 for grants under subparagraph 
        (C)(viii), and such grants shall be made available for small 
        business development centers assisting small business concerns 
        adversely affected by Hurricane Katrina of 2005, Hurricane Rita 
        of 2005, or Hurricane Wilma of 2005.''.
    (b) Assistance After Hurricane Katrina, Hurricane Rita, and 
Hurricane Wilma.--Section 21(b) of the Small Business Act (15 U.S.C. 
648(b)) is amended by adding at the end the following:
    ``(4) Assistance after hurricane katrina, hurricane rita, and 
hurricane wilma.--
            ``(A) In general.--The Administration shall authorize any 
        small business development center, regardless of location, to 
        provide advice, information, and assistance, as described in 
        subsection (c), to a small business concern located in an area 
        in which the President has designated as a major disaster (as 
        that term is defined in section 102 of the Robert T. Stafford 
        Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122)) 
        as a result of Hurricane Katrina of 2005, Hurricane Rita of 
        2005, Hurricane Wilma of 2005.
            ``(B) Continuity of services.--A small business development 
        center that provides counselors to an area described in 
        subparagraph (A) shall, to the maximum extent practicable, 
        ensure continuity of services in the State it currently 
        serves.''.

SEC. 7. DISASTER LOANS AFTER HURRICANE KATRINA, HURRICANE RITA, AND 
              HURRICANE WILMA.

    (a) In a Disaster Area.--Section 7(b) of the Small Business Act (15 
U.S.C. 636(b)) is amended by inserting immediately after paragraph (3) 
the following:
            ``(4) Authority for lenders to process disaster loans.--The 
        Administrator may enter into an agreement with a qualified 
        lender, as determined by the Administrator, to process loans 
        under this section, under which the Administrator shall pay the 
        lender a fee for each loan processed.
            ``(5) Authority for the administrator to contract with 
        lenders for loan loss verification services.--The Administrator 
        may enter into an agreement with a qualified lender or loss 
        verification professional, as determined by the Administrator, 
        to verify losses for loans under this section, under which the 
        Administrator shall pay the lender or verification professional 
        a fee for each loan for which such lender or verification 
        professional verifies losses.
            ``(6) Disaster loans after hurricane katrina, hurricane 
        rita, and hurricane wilma in a disaster area.--
                    ``(A) Definitions.--In this paragraph--
                            ``(i) the term `Disaster Area' means an 
                        area in which the President has declared a 
                        major disaster in response to Hurricane Katrina 
                        of 2005, Hurricane Rita of 2005, or Hurricane 
                        Wilma of 2005; and
                            ``(ii) the term `qualified borrower' means 
                        a person to whom the Administrator made a loan 
                        under this section because of Hurricane Katrina 
                        of 2005, Hurricane Rita of 2005, or Hurricane 
                        Wilma of 2005.
                    ``(B) Loans to nonprofits.--In addition to any 
                other loan authorized by this subsection, the 
                Administrator may make such loans under this subsection 
                (either directly or in cooperation with banks or other 
                lending institutions through agreements to participate 
                on an immediate or deferred basis) as the Administrator 
                determines appropriate to a nonprofit organization, 
                including a religious organization, that was located in 
                a Disaster Area on August 29, 2005, and was negatively 
                impacted or is providing services to persons who were 
                negatively impacted by Hurricane Katrina of 2005, 
                Hurricane Rita of 2005, or Hurricane Wilma of 2005.
                    ``(C) Deferment of disaster loan payments.--
                            ``(i) In general.--Notwithstanding any 
                        other provision of law, payments of principal 
                        and interest on a loan to a qualified borrower 
                        made before August 24, 2007, shall be deferred, 
                        and no interest shall accrue with respect to 
                        such loan, during the time period described in 
                        clause (ii).
                            ``(ii) Time period.--The time period for 
                        purposes of clause (i) shall be 1 year from the 
                        later of the date of enactment of this 
                        paragraph or the date on which funds are 
                        distributed under a loan described in clause 
                        (i), but may be extended to 2 years from such 
                        date, at the discretion of the Administrator.
                            ``(iii) Resumption of payments.--At the end 
                        of the time period described in clause (ii), 
                        the payment of periodic installments of 
                        principal and interest shall be required with 
                        respect to such loan, in the same manner and 
                        subject to the same terms and conditions as 
                        would otherwise be applicable to any other loan 
                        made under this subsection.
                    ``(D) Extended application period.--Notwithstanding 
                any other provision of law, the Administrator shall 
                accept applications for assistance under this 
                subsection as a result of Hurricane Katrina of 2005, 
                Hurricane Rita of 2005, or Hurricane Wilma of 2005 
                until 1 year after the date on which the President 
                declared a major disaster, as that term is defined in 
                section 102 of the Robert T. Stafford Disaster Relief 
                and Emergency Assistance Act (42 U.S.C. 5122), as a 
                result of Hurricane Katrina of 2005, Hurricane Rita of 
                2005, or Hurricane Wilma of 2005, as the case may be.
                    ``(E) Prohibition on sale of disaster loans.--No 
                loan under this subsection made as a result of 
                Hurricane Katrina of 2005, Hurricane Rita of 2005, or 
                Hurricane Wilma of 2005 may be sold.''.
    (b) Nationwide Disaster Loans.--Section 7(b) of the Small Business 
Act (15 U.S.C. 636(b)), as amended by this Act, is amended by inserting 
immediately after paragraph (6) the following:
            ``(7) Nationwide loans after hurricane katrina, hurricane 
        rita, and hurricane wilma.--In addition to any other loan 
        authorized by this subsection, the Administrator may make such 
        loans under this subsection (either directly or in cooperation 
        with banks or other lending institutions through agreements to 
        participate on an immediate or deferred basis) as the 
        Administrator determines appropriate to a small business 
        concern, small agricultural cooperative, small nursery, or 
        small producer cooperative located anywhere in the United 
        States that demonstrates a direct adverse economic impact 
        caused by Hurricane Katrina of 2005, Hurricane Rita of 2005, or 
        Hurricane Wilma of 2005, based on such criteria as the 
        Administrator may set by rule, regulation, or order.''.
    (c) Disaster Mitigation.--
            (1) In general.--Section 7(b)(1)(A) of the Small Business 
        Act (15 U.S.C. 636(b)(1)(A)) is amended by inserting ``of the 
        aggregate costs of such damage or destruction (whether or not 
        compensated for by insurance or otherwise)'' after ``20 per 
        centum''.
            (2) Effective date.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the amendment made by paragraph (1) shall apply 
                with respect to a loan or guarantee made after the date 
                of enactment of this Act.
                    (B) Loans in a disaster area.--For any loan or 
                guarantee to a person located in a Disaster Area, the 
                amendment made by paragraph (1), shall apply with 
                respect to a loan or guarantee under which funds are 
                disbursed on or after the date on which the President 
                declared a major disaster as a result of Hurricane 
                Katrina of 2005, Hurricane Rita of 2005, or Hurricane 
                Wilma of 2005, as the case may be.
    (d) Monthly Accounting Report to Congress.--
            (1) In general.--On the first Monday of each month, the 
        Administrator shall provide to the Committee on Small Business 
        and Entrepreneurship of the Senate and to the Committee on 
        Small Business of the House of Representatives a report on the 
        disaster loan program for the preceding month.
            (2) Contents.--Each report under paragraph (1) shall 
        include--
                    (A) the daily average lending volume, in number of 
                loans and dollars, and the percent by which each 
                category has increased or decreased since the previous 
                report under paragraph (1);
                    (B) the weekly average lending volume, in number of 
                loans and dollars, and the percent by which each 
                category has increased or decreased since the previous 
                report under paragraph (1);
                    (C) the amount of funding spent over the month for 
                loans, both in appropriations and program level, and 
                the percent by which each category has increased or 
                decreased since the previous report under paragraph 
                (1);
                    (D) the amount of funding available for loans, both 
                in appropriations and program level, and the percent by 
                which each category has increased or decreased, noting 
                the source of any additional funding;
                    (E) an estimate of how long the available funding 
                for such loans will last, based on the spending rate;
                    (F) the amount of funding spent over the month for 
                staff, along with the number of staff, and the percent 
                by which each category has increased or decreased since 
                the previous report under paragraph (1);
                    (G) the amount of funding spent over the month for 
                administrative costs, and the percent by which spending 
                has increased or decreased since the previous report 
                under paragraph (1);
                    (H) the amount of funding available for salaries 
                and expenses combined, and the percent by which funding 
                has increased or decreased, noting the source of any 
                additional funding; and
                    (I) an estimate of how long the available funding 
                for salaries and expenses will last, based on the 
                spending rate.
    (e) Daily Disaster Updates to Congress for Presidentially Declared 
Disasters.--
            (1) In general.--During the period beginning on the date on 
        which the President declares a major disaster and ending on the 
        date on which such declaration terminates, on each day, 
        excluding Federal holidays and weekends, the Administrator 
        shall provide to the Committee on Small Business and 
        Entrepreneurship of the Senate and to the Committee on Small 
        Business of the House of Representatives a report on the 
        operation of the disaster loan program for the area in which 
        the President declared such major disaster.
            (2) Contents.--Each report under paragraph (1) shall 
        include--
                    (A) the allocations of loan processing, loss 
                verification, and additional field staff at 
                Administration offices nationwide, as well as the 
                allocations of such staff at the various disaster field 
                offices, disaster recovery centers, and workshops in 
                each State in the relevant area;
                    (B) the daily number of applications received from 
                applicants in the relevant area, as well as a breakdown 
                of such figures by State;
                    (C) the daily number of applications pending 
                application entry from applicants in the relevant area, 
                as well as a breakdown of such figures by State;
                    (D) the daily number of applications withdrawn by 
                applicants in the relevant area, as well as a breakdown 
                of such figures by State;
                    (E) the daily number of applications summarily 
                declined by the Administrator from applicants in the 
                relevant area, as well as a breakdown of such figures 
                by State;
                    (F) the daily number of applications declined by 
                the Administrator from applicants in the relevant area, 
                as well as a breakdown of such figures by State;
                    (G) the daily number of applications in process 
                from applicants in the relevant area, as well as a 
                breakdown of such figures by State;
                    (H) the daily number of applications approved by 
                the Administrator from applicants in the relevant area, 
                as well as a breakdown of such figures by State;
                    (I) the daily dollar amount of applications 
                approved by the Administrator from applicants in the 
                relevant area, as well as a breakdown of such figures 
                by State;
                    (J) the daily amount of loans dispersed, both 
                partially and fully, by the Administrator to applicants 
                in the relevant area, as well as a breakdown of such 
                figures by State;
                    (K) the daily dollar amount of loans dispersed, 
                both partially and fully, from the Disaster Area, as 
                well as a breakdown of such figures by State;
                    (L) the number of applications approved, including 
                dollar amount approved, as well as applications 
                partially and fully dispersed, including dollar 
                amounts, since the last report under paragraph (1); and
                    (M) the declaration date, physical damage closing 
                date, economic injury closing date, and number of 
                counties included in the declaration of a major 
                disaster.
    (f) Technical Amendments.--Section 7(b) of the Small Business Act 
(15 U.S.C. 636(b)) is amended--
            (1) in the matter preceding paragraph (1), by striking 
        ``the, Administration'' and inserting ``the Administration'';
            (2) in paragraph (2)(A), by striking ``Disaster Relief and 
        Emergency Assistance Act'' and inserting ``Robert T. Stafford 
        Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et 
        seq.)''; and
            (3) in the undesignated matter at the end--
                    (A) by striking ``, (2), and (4)'' and inserting 
                ``and (2)''; and
                    (B) by striking ``, (2), or (4)'' and inserting 
                ``(2)''.

SEC. 8. HUBZONES.

    (a) In General.--Section 3(p)(1) of the Small Business Act (15 
U.S.C. 632(p)(1)) is amended--
            (1) in subparagraph (D), by striking ``or'' at the end;
            (2) in subparagraph (E), by striking the period at the end 
        and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(F) an area in which the President has declared a 
                major disaster, as that term is defined in 102 of the 
                Robert T. Stafford Disaster Relief and Emergency 
                Assistance Act (42 U.S.C. 5122), in response to 
                Hurricane Katrina of 2005, Hurricane Rita of 2005, or 
                Hurricane Wilma of 2005''.
    (b) Termination.--
            (1) In general.--The amendments made by subsection (a) are 
        repealed effective on the date that is 5 years after the date 
        of enactment of this Act.
            (2) Report.--Not later than the date described in paragraph 
        (1), 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--
                    (A) describing the impact of designating as a 
                HUBZone any area that the President declared a major 
                disaster as a result of Hurricane Katrina of 2005, 
                Hurricane Rita of 2005, or Hurricane Wilma of 2005;
                    (B) assessing the efficacy of the designation 
                described in subparagraph (A) in creating a positive 
                economic impact in the area described in subparagraph 
                (A); and
                    (C) making recommendations, if any, regarding the 
                extension of the designation described in subparagraph 
                (A).

SEC. 9. SMALL BUSINESS PARTICIPATION.

    (a) In General.--It is the policy of the United States that small 
business concerns with headquarters in the region affected by Hurricane 
Katrina of 2005, Hurricane Rita of 2005, or Hurricane Wilma of 2005, or 
employing a significant number of individuals from that region, shall 
have the maximum practicable opportunity to participate in the 
performance of contracts let by any Federal agency for activities 
related to relief, recovery, or reconstruction as a result of Hurricane 
Katrina of 2005, Hurricane Rita of 2005, or Hurricane Wilma of 2005.
    (b) Goals.--To facilitate the maximum practicable utilization of 
small business concerns in the federally funded projects described in 
subsection (a), the Administrator and the head of any Federal agency 
making procurements related to relief, recovery, or reconstruction in 
the region described in subsection (a) shall set a goal, effective not 
later than 90 days after the date of enactment of this Act, to award 
not less than 30 percent of amounts expended for prime contracts and 
not less than 40 percent of amounts expended for subcontracts on 
procurements by such agency related to the aftermath of Hurricane 
Katrina of 2005, Hurricane Rita of 2005, or Hurricane Wilma of 2005 to 
small business concerns described in subsection (a).
    (c) Report.--Not later than 7 days after the date of enactment of 
this Act, and every 7 days thereafter, the Administrator shall compile 
data using the Federal Procurement Data System and provide to the 
Committee on Small Business and Entrepreneurship of the Senate and the 
Committee on Small Business of the House of Representatives a report of 
the utilization of small business concerns and amount of contracts 
awarded to small business concerns for disaster relief, recovery, and 
reconstruction related to the aftermath of Hurricane Katrina of 2005, 
Hurricane Rita of 2005, and Hurricane Wilma of 2005.

SEC. 10. USE OF LOCAL FIRMS AND INDIVIDUALS.

    Section 307 of the Robert T. Stafford Disaster Relief and Emergency 
Assistance Act (42 U.S.C. 5150) is amended to read as follows:

``SEC. 307. USE OF LOCAL FIRMS AND INDIVIDUALS.

    ``In the expenditure of Federal funds for debris clearance, 
distribution of supplies, reconstruction, and other major disaster or 
emergency assistance activities which may be carried out by contract or 
agreement with private organizations, firms, or individuals, preference 
shall be given, to the maximum extent practicable, to those 
organizations, firms, and individuals residing or doing business 
primarily in the area affected by such disaster or emergency. The 
Federal Government shall establish a goal to award not less than 10 
percent of such contracts to firms within or in close proximity of the 
area in which the President has declared a major disaster during the 
term of such designation. This section shall not be considered to 
restrict the use of Department of Defense resources in the provision of 
major disaster assistance under this Act.''.

SEC. 11. NONDISCRIMINATION IN DISASTER ASSISTANCE.

    Section 308(b) of the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5151(b)) is amended by adding at 
the end the following: ``The requirements of this subsection shall also 
apply to the awarding of contracts for debris clearance, distribution 
of supplies, reconstruction, and other major disaster or emergency 
assistance activities and shall require governmental bodies to fully 
consider the utilization of expedited procurement tools for small 
business concerns, small business concerns owned and controlled by 
service-disabled veterans, and HUBZone small business concerns, as such 
terms are defined in section 3 of the Small Business Act (15 U.S.C. 
632) and for small business concerns owned and controlled by socially 
and economically disadvantaged individuals, as such term is defined in 
section 8 of the Small Business Act (15 U.S.C. 637).''.

SEC. 12. REMOVING BARRIERS TO BONDING FOR SMALL BUSINESSES.

    (a) Requisitions.--Notwithstanding any other provision of law, for 
any procurement related to Hurricane Katrina of 2005, Hurricane Rita of 
2005, or Hurricane Wilma of 2005 that has been set-aside for small 
business concerns, the Administrator shall negotiate with the head of 
the Federal agency making such procurement an agreement to permit 
contracting officers to submit requisitions on a biweekly basis.
    (b) Sureties.--
            (1) In general.--The Administrator shall waive any increase 
        in guarantee fees for a surety providing guarantees related to 
        contracts for disaster relief, recovery, or reconstruction 
        related to the aftermath of Hurricane Katrina of 2005, 
        Hurricane Rita of 2005, or Hurricane Wilma of 2005 under the 
        Surety Bond Guarantee Program under part B of title IV of the 
        Small Business Investment Act of 1958 (15 U.S.C. 694a et seq.) 
        during the 5-year period beginning on the date of enactment of 
        this Act.
            (2) Preferred program.--For any contract for relief, 
        recovery, or reconstruction related to the aftermath of 
        Hurricane Katrina of 2005, Hurricane Rita of 2005, or Hurricane 
        Wilma of 2005, the Administrator may permit a surety 
        participating in the Preferred Surety Bond Guarantee Program 
        under section 411(a)(3) of the Small Business Investment Act of 
        1958 (15 U.S.C. 694b(a)(3)) to use rates approved by the 
        insurance commissioner in the State in which such contract will 
        be performed.
            (3) Reporting.--Not later than 180 days after the date of 
        enactment of this Act and annually thereafter, the 
        Administrator shall report to the Committee on Small Business 
        and Entrepreneurship of the Senate and the Committee on Small 
        Business of the House of Representatives on availability of 
        bonds to small business concerns performing contracts for 
        disaster relief, recovery, or reconstruction related to the 
        aftermath of Hurricane Katrina of 2005, Hurricane Rita of 2005, 
        or Hurricane Wilma of 2005.

SEC. 13. HURRICANE RESPONSE PLAN FOR THE 2006 HURRICANE SEASON.

    (a) In General.--Not later than May 31, 2006, 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 2006 Atlantic hurricane season disaster response 
plan.
    (b) Contents.--The disaster response plan required under subsection 
(a) shall include--
            (1) the plan of the Administrator for responding quickly 
        and efficiently after the occurrence of a major disaster during 
        the 2006 Atlantic hurricane season, including a plan on 
        prepositioning disaster response resources and staff, such as 
        loss verifiers and small business development center staff;
            (2) a description of how the Administrator plans to 
        integrate and coordinate the response to a major disaster with 
        the staff and resources of the Federal Emergency Management 
        Agency, including details on where and when joint training 
        simulations are planned during the 2006 Atlantic hurricane 
        season;
            (3) a description of how the Administrator plans to 
        integrate and coordinate the response to a major disaster with 
        the technical assistance programs of the Administration, 
        including the small business development centers;
            (4) the contingency plans of the Administration, if any, 
        for handling increases in the volume of applications under the 
        disaster loan program during the 2006 Atlantic hurricane 
        season, including detailed plans for using local banks, credit 
        unions, and businesses in an area in which the President 
        declares a major disaster or the hiring of additional loan 
        processing and loss verification staff;
            (5) figures and job descriptions regarding the full-time 
        planning and full-time disaster response staff of the 
        Administration;
            (6) the in-service and pre-service training procedures for 
        disaster response staff of the Administration;
            (7) the standard operating procedures of the Administration 
        for responding to hurricanes; and
            (8) a description of the findings and recommendations, if 
        any, based on a review of the response of the Administration to 
        Hurricane Katrina of 2005, Hurricane Rita of 2005, and 
        Hurricane Wilma of 2005.
                                 <all>