I 
116TH CONGRESS 
2D SESSION 
H. R. 7552 
To reauthorize and limit the pre-disaster mitigation program of the Small 
Business Administration, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 9, 2020 
Mr. MORELLE (for himself, Mr. BERGMAN, Mr. GOLDEN, Mr. STAUBER, Ms. 
STEFANIK, and Mrs. MURPHY of Florida) introduced the following bill; 
which was referred to the Committee on Small Business 
A BILL 
To reauthorize and limit the pre-disaster mitigation program 
of the Small Business Administration, and for other pur-
poses. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Providing Resources 
for Emergency Preparedness and Resilient Enterprises 
Act’’ or the ‘‘PREPARE Act’’. 
SEC. 2. PRE-DISASTER MITIGATION PROGRAM. 
(a) IN GENERAL.—Section 7(b) of the Small Busi-
ness Act (15 U.S.C. 636(b)) is amended— 
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(1) in paragraph (1)(C)— 
(A) by striking ‘‘during fiscal years 2000 
through 2004, to establish a predisaster mitiga-
tion program’’ and inserting ‘‘to establish a 
pre-disaster mitigation program’’; 
(B) by inserting ‘‘in accordance with para-
graph (16) and’’ before ‘‘as the Administrator 
may’’; 
(C) by striking ‘‘to enable small busi-
nesses’’ and inserting ‘‘to small business con-
cerns to enable such concerns’’; and 
(D) by striking ‘‘in support of a formal’’ 
and all that follows and inserting ‘‘to protect 
the commercial real estate, equipment, inven-
tory, supplies, and materials of such concerns 
from damages related to disasters;’’; and 
(2) by inserting after paragraph (15) the fol-
lowing new paragraph: 
‘‘(16) PRE-DISASTER
MITIGATION
PROGRAM 
LOANS.— 
‘‘(A) ANNUAL LOAN CAP.—The aggregate 
amount of loans made under the pre-disaster 
mitigation program under paragraph (1)(C) to 
a borrower may not exceed $500,000 in any 12- 
month period. 
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‘‘(B) OUTREACH.—In carrying out the pre- 
disaster mitigation program under paragraph 
(1)(C), the Administrator shall— 
‘‘(i) conduct outreach campaigns to 
small business concerns regarding such 
program, including— 
‘‘(I) advertising to educate such 
concerns on the importance of disaster 
mitigation; and 
‘‘(II) campaigns to promote par-
ticipation in such program by small 
business concerns located in economi-
cally depressed areas; 
‘‘(ii) provide instructions on how to 
participate in such program; and 
‘‘(iii) provide detailed information on 
the purposes for which funds from loans 
made under such program may be used. 
‘‘(C) RESERVATION OF FUNDS.—Not more 
than 4 percent of the funds made available to 
the Administrator to carry out the pre-disaster 
mitigation program under paragraph (1)(C) 
may be reserved by the Administrator for— 
‘‘(i) the administrative costs of such 
program; and 
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‘‘(ii) the activities described in sub-
paragraph (B).’’. 
(b) AUTHORIZATION OF APPROPRIATIONS.—Section 
20(c) of the Small Business Act (15 U.S.C. 631 note) is 
amended to read as follows: 
‘‘(c) PRE-DISASTER MITIGATION PROGRAM.—There 
is authorized to be appropriated for the purpose of car-
rying out the program established under section 
7(b)(1)(C) the following amounts: 
‘‘(1) $25,000,000 for fiscal year 2021. 
‘‘(2) $25,000,000 for fiscal year 2022. 
‘‘(3) $25,000,000 for fiscal year 2023. 
‘‘(4) $25,000,000 for fiscal year 2024. 
‘‘(5) $25,000,000 for fiscal year 2025.’’. 
(c) PROGRAM EVALUATION.—Not later than January 
31, 2025, the Administrator of the Small Business Admin-
istration 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 re-
port on the pre-disaster mitigation program under section 
7(b)(1)(C) of the Small Business Act (15 U.S.C. 
636(b)(1)(C)), as amended by this Act, including— 
(1) a list of the geographic areas in which re-
cipients of loans under the program are located; 
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(2) the number and dollar value of the loans 
made under the program; 
(3) the estimated aggregate value resulting 
from the use of mitigation techniques funded by 
loans made under the program, including— 
(A) the lost productivity and expenses that 
were avoided; and 
(B) the amount saved by the Federal Gov-
ernment; 
(4) the information required by paragraph (3) 
disaggregated by region, by State, and by industry; 
and 
(5) the estimated dollar value of loans that 
would have been made under section 7(b)(1)(A) of 
the Small Business Act (15 U.S.C. 636(b)(1)(A)) 
without the loans made under the program. 
(d) APPLICABILITY.—The amendments made by this 
Act shall apply only with respect to loans made under sec-
tion 7(b)(1)(C) of the Small Business Act (15 U.S.C. 
636(b)(1)(C)), as amended by this Act, on or after the 
date of the enactment of this Act. 
Æ 
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