I 
110TH CONGRESS 
1ST SESSION 
H. R. 564 
To amend the Small Business Act to ensure that when a small business 
participating in the 8(a) business development program is affected by 
a catastrophic incident, the period in which it can participate is extended 
by 18 months. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 18, 2007 
Mr. JEFFERSON introduced the following bill; which was referred to the 
Committee on Small Business 
A BILL 
To amend the Small Business Act to ensure that when 
a small business participating in the 8(a) business devel-
opment program is affected by a catastrophic incident, 
the period in which it can participate is extended by 
18 months. 
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 ‘‘Disadvantaged Busi-
ness Disaster Eligibility Act’’. 
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SEC. 2. AVAILABILITY OF DISASTER LOANS FOR CATA-
STROPHIC INCIDENTS. 
Section 7 of the Small Business Act (15 U.S.C. 636) 
is amended in subsection (j)(10) by adding at the end the 
following new subparagraph: 
‘‘(K) EXTENSION OF PARTICIPATION FOR 
CATASTROPHIC INCIDENTS.— 
‘‘(i) DEFINITION.—In this subpara-
graph, the term ‘catastrophic incident’ 
means a disaster that— 
‘‘(I) results in extraordinary lev-
els of mass casualties, damage, or dis-
ruption severely affecting the popu-
lation, infrastructure, environment, 
economy, national morale, or govern-
ment functions; 
‘‘(II) has the potential to result 
in sustained national impacts over a 
prolonged period of time; 
‘‘(III) almost immediately ex-
ceeds resources normally available to 
State, local, tribal, and private-sector 
authorities in the impacted area; and 
‘‘(IV) 
significantly 
interrupts 
governmental operations and emer-
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gency services to such an extent that 
national security could be threatened. 
‘‘(ii) 
EXTENSION
OF
PARTICIPA-
TION.—If a small business concern is af-
fected by a catastrophic incident while par-
ticipating in any program or activity under 
the authority of this paragraph, the period 
during which the small business concern is 
permitted continuing participation and eli-
gibility in such program or activity shall be 
extended for an additional 18 months.’’. 
SEC. 3. RETROACTIVITY FOR VICTIMS OF HURRICANES 
KATRINA, RITA, AND WILMA. 
(a) RETROACTIVITY.—Subparagraph (K) of section 
7(j)(10) of the Small Business Act, as added by section 
2 of this Act, applies to all catastrophic incidents occur-
ring on or after August 29, 2005. 
(b) HURRICANES KATRINA, RITA, AND WILMA.—For 
purposes of such subparagraph (K), Hurricanes Katrina, 
Rita, and Wilma of 2005 are hereby deemed to be cata-
strophic incidents. 
(c) REVIEW AND COMPLIANCE.—The Administrator 
of the Small Business Administration shall ensure that the 
case of every small business concern participating before 
the date of the enactment of this Act in a program or 
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activity covered by such subparagraph (K) is reviewed and 
brought into compliance with this section. 
Æ 
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