SECTION 1. SHORT TITLE.

    This Act may be cited as the ``SBA Emergency Authorization 
Extension Act of 2004''.

SEC. 2. SBA PROGRAM AUTHORIZATIONS.

    (a) In General.--Section 1 of Public Law 108-172 (117 Stat. 2065) 
is amended--
            (1) in subsection (a), by striking ``March 15'' each place 
        that term appears and inserting ``May 15''; and
            (2) by adding at the end the following:
    ``(c) Exception for Other Programs.--Notwithstanding subsection 
(a), title V of the Small Business Investment Act of 1958 (15 U.S.C. 
661 et seq.) and section 29 of the Small Business Act (15 U.S.C. 656), 
including any pilot program, shall remain authorized through September 
30, 2004.''.
    (b) Conforming Amendment.--Section 503(f) of the Small Business 
Investment Act of 1958 (15 U.S.C. 697(f)) is amended by striking 
``October 1, 2003'' and inserting ``October 1, 2004''.

SEC. 3. WOMEN'S BUSINESS CENTERS.

    (a) In General.--Section 29(k) of the Small Business Act (15 U.S.C. 
656(k)) is amended--
            (1) in paragraph (2), by adding at the end the following:
                    ``(C) Funding priority.--Subject to available 
                funds, and reservation of funds, the Administration 
                shall, for each fiscal year, allocate--
                            ``(i) $150,000 for each women's business 
                        center established under subsection (b), except 
                        for any center that requests a lesser amount;
                            ``(ii) from the remaining funds, not more 
                        than $125,000, in equal amounts, to each 
                        women's business center established under 
                        subsection (l), to the extent such funds are 
                        reserved under subsection (k)(4)(A), except for 
                        any center that requests a lesser amount; and
                            ``(iii) any funds remaining after 
                        allocations are made under clauses (i) and (ii) 
                        to new eligible women's business centers and 
                        eligible women's business centers that did not 
                        receive funding in the prior fiscal year under 
                        subsection (b).''; and
            (2) in paragraph (4)(A), by adding at the end the 
        following:
                            ``(v) For fiscal year 2004, 48 percent.''.
    (b) Sunset Date.--The amendments made by this section are repealed 
on October 1, 2004.

SEC. 4. 7(A) LOAN GUARANTEE PROGRAM.

    (a) Combination Loans.--
            (1) In general.--Section 7(a) of the Small Business Act (15 
        U.S.C. 636(a)) is amended by adding at the end the following:
            ``(31) Combination loans.--
                    ``(A) Defined term.--As used in this paragraph, the 
                term `combination loan' means a financing comprised of 
                a loan guaranteed under this subsection and a loan not 
                guaranteed by Federal, State, or local government.
                    ``(B) Authority.--
                            ``(i) In general.--A small business concern 
                        may combine a loan guaranteed under this 
                        subsection with a loan that is not guaranteed 
                        by Federal, State, or local government.
                            ``(ii) Lender.--The nonguaranteed loan 
                        under clause (i) may be made by--
                                    ``(I) the lender that provided the 
                                financing under this subsection or a 
                                different lender; or
                                    ``(II) a lender in the Preferred 
                                Lenders Program.
                            ``(iii) Security.--The nonguaranteed loan 
                        under clause (i) may be secured by a senior 
                        lien and the guaranteed loan under this 
subsection may be secured by a subordinated lien.
                            ``(iv) Application.--A loan guarantee under 
                        this subsection on behalf of a small business 
                        concern, which is approved within 120 days of 
                        the date on which a nonguaranteed loan is 
                        obtained by the same small business concern, 
                        shall be subject to the provisions of this 
                        paragraph.
                    ``(C) Fee on combination loan.--The lender shall 
                pay a one-time fee of 0.5 percent of the amount of the 
                nonguaranteed loan if the nonguaranteed portion of the 
                loan has a senior credit position to the guaranteed 
                portion of the loan. This fee shall be in addition to 
                any other lender fees and shall not be charged to the 
                borrower.
                    ``(D) Loan size.--
                            ``(i) Preferred lenders program.--If the 
                        loan guaranteed under this subsection is 
                        processed under delegated authority under the 
                        Preferred Lenders Program, the maximum amount 
                        of the nonguaranteed loan may not exceed--
                                    ``(I) $1,000,000; or
                                    ``(II) a combination of $2,000,000 
                                gross loan amount of a loan guaranteed 
                                by the Administration and an additional 
                                nonguaranteed loan of $1,000,000.
                            ``(ii) Small business administration.--If 
                        the loan guaranteed under this subsection is 
                        processed and approved by Administration staff, 
                        the amount of the nonguaranteed loan may not 
                        exceed--
                                    ``(I) $2,000,000; or
                                    ``(II) a combination of $2,000,000 
                                gross loan amount of a loan guaranteed 
                                by the Administration and an additional 
                                nonguaranteed loan of $2,000,000.
                    ``(E) Use of proceeds.--All proceeds from the fee 
                collected under this subparagraph shall be used to 
                offset the cost (as defined in section 502 of the 
                Credit Reform Act of 1990) to the Administration of 
                guaranteeing loans under this subsection.''.
    (b) Termination of Lender Authority to Retain Guarantee Fees.--
Section 7(a)(18)(B) of the Small Business Act (15 U.S.C. 636(a)(18)(B)) 
is amended to read as follows:
                    ``(B) Retention of certain fees.--
                            ``(i) In general.--Except as provided under 
                        clause (ii), lenders participating in the 
                        programs established under this subsection may 
                        retain not more than 25 percent of a fee 
                        collected under subparagraph (A)(i).
                            ``(ii) Fiscal year 2004.--Beginning on the 
                        date of enactment of this clause and ending on 
                        September 30, 2004, the Administration or its 
                        agent shall collect all fees under subparagraph 
                        (A)(i). All proceeds from fees collected under 
                        this paragraph shall be used to offset the cost 
                        (as defined in section 502 of the Credit Reform 
                        Act of 1990) to the Small Business 
                        Administration of guaranteeing loans under this 
                        subsection.''.
    (c) Temporary Modification of Annual Lender Fee.--Section 7(a)(23) 
of the Small Business Act (15 U.S.C. 636(a)) is amended--
            (1) by striking ``0.25 percent'' and inserting ``0.35 
        percent''; and
            (2) by adding at the end the following: ``All proceeds from 
        the fee collected under this paragraph shall be used to offset 
        the cost (as defined in section 502 of the Credit Reform Act of 
        1990) to the Administration of guaranteeing loans under this 
        subsection.''.
    (d) Lifting Loan Restrictions and Priority Processing of Rejected 
Applications.--
            (1) In general.--The Small Business Administration shall--
                    (A) eliminate the program restrictions imposed by 
                policy notices 5000-902 and 0000-1709 to allow for the 
                processing and approval of loan applications cancelled 
                or returned because of the program shutdown or 
                restrictions imposed by policy notices 5000-902, 0000-
                1707, or 0000-1709;
                    (B) permit a small business or lender to resubmit 
                any loan application that was not considered or 
                approved because of the program shutdown or 
                restrictions imposed by policy notices 5000-902, 0000-
                1707, or 0000-1709;
                    (C) give priority to processing any application 
                submitted before January 8, 2004, that was not 
                considered because of the program shutdown or loan 
restrictions imposed by policy notices 5000-902, 0000-1707, or 0000-
1709;
                    (D) give priority, to the extent possible, to 
                approving all eligible loans that were cancelled or 
                returned because of the program shutdown or 
                restrictions imposed by policy notices 5000-902, 0000-
                1707, or 0000-1709, in the order in which the 
                applications were originally submitted; and
                    (E) give priority to processing all eligible loans 
                to any small business that has received financing under 
                section 7(a)(14) of the Small Business Act (15 U.S.C. 
                636(a)(14) and requests a renewal of such financing, 
                regardless of temporary restrictions imposed by the 
                Small Business Administration through the policy 
                notices referred to in this paragraph, and approve such 
                loans, if the small business is otherwise eligible for 
                such financing under that section.
            (2) Proof of application.--An application shall not be 
        denied consideration or approval because the Small Business 
        Administration failed to retain a record of receiving an 
        application if the lender or borrower supplies proof that the 
        application was submitted by mail, fax, or electronic means 
        before January 8, 2004.
            (3) Reservation and application of fee proceeds.--All 
        proceeds from fees authorized under section 7(a) of the Small 
        Business Act (15 U.S.C. 636(a)) shall be combined with any 
        amounts appropriated to carry out such section and used--
                    (A) first, to process and fund loan guarantees 
                approved pursuant to paragraph (d)(1); and
                    (B) second, to process and fund other loan 
                guarantees under section 7(a) of the Small Business 
                Act.
            (4) Notification requirement.--The Small Business 
        Administration shall not make any significant policy or 
        administrative changes affecting the operation of the loan 
        program authorized under section 7(a) of the Small Business Act 
        (15 U.S.C. 636(a)) unless, not later than 15 business days 
        before such change, the Administrator of the Small Business 
        Administration submits, under the Administrator's signature, a 
        report that specifically describes the proposed changes and the 
        duration of those changes to--
                    (A) the chairman and ranking member of the 
                Committee on Small Business and Entrepreneurship of the 
                Senate; and
                    (B) the chairman and ranking member of the 
                Committee on Small Business of the House of 
                Representatives.
    (e) Sunset Date.--This section and the amendments made by this 
section are repealed on October 1, 2004.

SEC. 5. RESUBMISSION OF DISASTER LOAN APPLICATIONS FOR CERTAIN 
              BUSINESSES.

    (a) Resubmission of Applications.--During the 30-day period 
beginning on the date of enactment of this Act, a small business 
concern may resubmit an application for a loan that was not approved 
under section 7(b)(2) of the Small Business Act (15 U.S.C. 636(b)(2)) 
if the following conditions are met:
            (1) Original application.--The small business concern 
        originally submitted an application before January 1, 2003, in 
        response to the events associated with Small Business 
        Administration Disaster Declaration 3364.
            (2) Location.--On the date of the original submission of 
        the application and on the date of the resubmission, the 
        applicant operates a facility in Bronx, Kings, Nassau, New 
        York, Queens, Richmond, or Westchester county in the State of 
        New York.
            (3) Inability to operate.--Without regard to physical 
        damage to a facility, the applicant was unable to operate at a 
        facility because of a prohibition on the use of the facility, 
        in whole or in part, by an order or other action of a Federal, 
        State, or local government (or any instrumentality of any of 
        the foregoing) for 20 or more consecutive days, occurring as a 
        result of the events associated with Small Business 
        Administration Disaster Declaration 3364.
    (b) Standard for Approval.--The Administrator shall approve 
(without regard to any requirements applicable under section 7(b) of 
the Small Business Act (15 U.S.C. 636(b))), a loan with respect to any 
application resubmitted under subsection (a) if the applicant has a 
debt coverage ratio, as attested to by a qualified, independent, third-
party auditor, of not less than 1.15 for the applicant's last taxable 
year ending before the date of the submission of the original 
application. For purposes of determining the debt coverage ratio under 
this subsection, the Administrator shall not take into account any 
Federal or State tax lien or obligation other than a judgment lien.
    (c) Minimum Loan Amount.--The Administrator shall not approve a 
loan under this section for an amount that is less than 80 percent of 
the documented losses shown on the application submitted under 
subsection (a).
    (d) Coordination With Other Loan Limits.--No loan made under this 
section shall be taken into account under section 7(b)(3)(E) of the 
Small Business Act (15 U.S.C. 636(b)(3)(E)).
SBA Emergency Authorization Extension Act of 2004 - Extends through: (1) May 15 (currently March 15), 2004, any program, authority, or provision, including any pilot program, that is authorized under the Small Business Act or the Small Business Investment Act of 1958 as of September 30, 2003; and (2) FY 2004 the Small Business Administration (SBA) guaranteed loan programs authorized under such Acts.

Amends the Small Business Act with respect to the women's business centers program to provide SBA funding authority for nonprofit organizations conducting projects for the benefit of small businesses owned and controlled by women. Increases from 30 to 48 the percentage of appropriated women's business center funds to be used during FY 2004 for sustained women's business center projects.

Amends the SBA loan guarantee program to authorize a small business to combine an SBA-guaranteed loan with a loan not guaranteed by a Federal, State, or local government. Allows the nonguaranteed loan to be made by: (1) the lender that provided the financing under the guaranteed loan or a different lender; or (2) a lender in the Preferred Lenders Program. Requires the lender to pay a fee with respect to the nonguaranteed portion of a combination loan. Provides maximum amounts of the nonguaranteed loan when processed either under the Preferred Lenders Program or by SBA staff. Terminates, until the end of FY 2004, the authority of lenders to retain loan guarantee fees collected with respect to SBA-guaranteed loans. Directs the SBA to: (1) eliminate certain loan program shutdowns or restrictions imposed by policy notices (thereby allowing for the processing and approval of previous loan applications that were not considered or approved due to a shutdown or restriction); and (2) give priority to the processing of such loans. Requires all combination loan fee proceeds to be used only to administer such loans.

Authorizes the resubmission of certain small business disaster loan applications submitted before January 1, 2003, in response to the events associated with SBA Disaster Declaration 3364 with respect to areas of New York City and Westchester County, New York.
A bill to temporarily extend the programs under the Small Business Act and the Small Business Investment Act of 1958, through May 15, 2004, and for other purposes.