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ignated by the President as a disaster area 
as a result of Hurricane Katrina of 2005 
(in this paragraph referred to as the ‘dis-
aster area’), and the refinanced amount 
shall be considered to be part of the new 
loan for purposes of this subparagraph. 
‘‘(ii) NO EFFECT ON ELIGIBILITY.—A 
refinancing under clause (i) by a small 
business concern shall be in addition to any 
other loan eligibility for that small business 
concern under this Act. 
‘‘(F) REFINANCING BUSINESS DEBT.— 
‘‘(i) IN GENERAL.—Any business debt 
of a small business concern that was out-
standing as to principal or interest on Au-
gust 24, 2005, may be refinanced by the 
small business concern if it is located in the 
disaster area. With respect to a refinancing 
under this clause, payments of principal 
shall be deferred, and interest may accrue, 
during the 1-year period following the date 
of refinancing, and the refinanced amount 
shall be considered to be part of a new loan 
for purposes of this subparagraph.
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‘‘(ii) RESUMPTION OF PAYMENTS.—At 
the end of the 1-year period described in 
clause (i), the payment of periodic install-
ments of principal and interest shall be re-
quired with respect to such loan, in the 
same manner and subject to the same terms 
and conditions as would otherwise be appli-
cable to any other loan made under this 
subsection. 
‘‘(G) TERMS.—A loan under subparagraph 
(E) or (F) shall be made at the same interest 
rate as economic injury loans under paragraph 
(2). 
‘‘(H) EXTENDED
APPLICATION
PERIOD.— 
Notwithstanding any other provision of law, the 
Administrator shall accept applications for as-
sistance under paragraphs (1) and (4) until one 
year after the date on which the President des-
ignated the area as a disaster area as a result 
of Hurricane Katrina. 
‘‘(I) NO SALE.—No loan under this sub-
section made as a result of Hurricane Katrina 
may be sold.’’. 
(B) CLERICAL AMENDMENTS.—Section 7(b) 
of the Small Business Act (15 U.S.C. 636(b)) is
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amended in the undesignated matter at the 
end— 
(i) by striking ‘‘, (2), and (4)’’ and in-
serting ‘‘and (2)’’; and 
(ii) by striking ‘‘, (2), or (4)’’ and in-
serting ‘‘(2)’’. 
(d) ENTREPRENEURIAL DEVELOPMENT.—In addition 
to any other amounts authorized for any fiscal year, there 
are authorized to be appropriated, and there is appro-
priated, to the Administration, to remain available until 
expended, for fiscal year 2006— 
(1) $21,000,000, to be used for activities of small 
business development centers pursuant to section 21 of 
the Small Business Act, $15,000,000 of which shall be 
non-matching funds and used to aid and assist small 
business concerns affected by Hurricane Katrina; 
(2) $2,000,000, to be used for the SCORE pro-
gram authorized by section 8(b)(1) of the Small Busi-
ness Act, for the activities described in section 
8(b)(1)(B)(ii) of that Act, $1,000,000 of which shall 
be used to aid and assist small business concerns af-
fected by Hurricane Katrina; 
(3) $4,500,000, to be used for activities of wom-
en’s business centers authorized by section 29(b) of the 
Small Business Act and for recipients of a grant
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under section 29(l) of that Act, $2,500,000 of which 
shall be non-matching funds used to aid and assist 
small business concerns affected by Hurricane 
Katrina, which may also be made available to a 
women’s business center whose 5-year project ended in 
fiscal year 2004; 
(4) $1,250,000, to be used for activities of the of-
fice of veteran’s business development pursuant to sec-
tion 32 of the Small Business Act, $750,000 of which 
shall be used to aid and assist small business concerns 
affected by Hurricane Katrina; and 
(5) $5,000,000, to be used for activities of the 
microloan program authorized by clauses (ii) and 
(iii) of section 7(m)(1)(G) of the Small Business Act 
to aid and assist small business concerns adversely af-
fected by Hurricane Katrina. 
(e) SMALL BUSINESS DEVELOPMENT CENTERS.—Sec-
tion 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 fis-
cal years 2005 and 2006, the Administrator has 
the authority to waive the maximum amount of 
$100,000 for grants under paragraph (C)(viii) 
for small business development centers assisting
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small business concerns adversely affected by 
Hurricane Katrina.’’. 
(f) HUBZONES.—Section 3(p)(1) of the Small Busi-
ness Act (15 U.S.C. 632(p)(1)) is amended— 
(1) in subparagraph (D), by striking ‘‘or’’; 
(2) in subparagraph (E), by striking the period 
and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(F) the Hurricane Katrina disaster area, 
as designated by the Administrator.’’. 
(g) OUTREACH PROGRAMS.— 
(1) IN GENERAL.—Not later than 90 days after 
the date of enactment of this Act, the Administrator 
of the Small Business Administration shall establish 
a contracting outreach and technical assistance pro-
gram for small business concerns which have had a 
primary place of business in, or other significant 
presence in the Hurricane Katrina disaster area at 
any time following the 60 days prior to the designa-
tion of such area by the Administrator. 
(2) ADMINISTRATOR
ACTION.—The Adminis-
trator may fulfill the requirement of paragraph (1) 
by acting through— 
(A) the Small Business Administration;
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(B) the Federal agency small business offi-
cials designated under Section 15(k)(1) of the 
Small Business Act (15 U.S.C. 644(k)(1)); and 
(C) any Federal, State, or local government 
entity, higher education institution, or private 
nonprofit organization that the Administrator 
may deem proper, upon conclusion of a memo-
randum of understanding or assistance agree-
ment, as appropriate, with the Administrator. 
(h) SMALL BUSINESS BONDING THRESHOLD.—Not-
withstanding any other provision of law, for all procure-
ments related to Hurricane Katrina, the Administrator 
may, upon such terms and conditions as it may prescribe, 
guarantee and enter into commitments to guarantee any 
surety against loss resulting from a breach of the terms of 
a bid bond, payment bond, performance bond, or bonds an-
cillary thereto, by a principal on any total work order or 
contract amount at the time of bond execution that does 
not exceed $10,000,000. 
(i) SUPPLEMENTAL EMERGENCY LOANS.— 
(1) IN
GENERAL.—Section 7(a) of the Small 
Business Act (15 U.S.C. 636(a)) is amended by add-
ing at the end the following: 
‘‘(32) SUPPLEMENTAL EMERGENCY LOANS AFTER 
HURRICANE KATRINA.—
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‘‘(A) LOAN
AUTHORITY.—In addition to 
any other loan authorized by this subsection, the 
Administrator shall 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 ad-
versely affected by Hurricane Katrina, subject to 
subparagraph (B). 
‘‘(B) OVERSIGHT PROTECTIONS.—In mak-
ing any loan under subparagraph (A)— 
‘‘(i) the borrower shall be made aware 
that such loans are for those adversely af-
fected by Hurricane Katrina; and 
‘‘(ii) for loans made in cooperation 
with a bank or other lending institution— 
‘‘(I) lenders shall document for the 
Administrator how the borrower was 
adversely 
affected 
by 
Hurricane 
Katrina, whether directly, or indi-
rectly; and 
‘‘(II) not later than 6 months 
after the date of enactment of this 
paragraph, and every 6 months there-
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after until the date that is 18 months 
after the date of enactment of this 
paragraph, the Comptroller General 
shall make a report regarding such 
loans to the Committee on Small Busi-
ness and Entrepreneurship of the Sen-
ate and the Committee on Small Busi-
ness of the House of Representatives, 
including verification that such loans 
are being used for purposes authorized 
by this paragraph. 
‘‘(C) FEES.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
any other provision of law, the Adminis-
trator shall, in lieu of the fee established 
under paragraph (23)(A), collect an annual 
fee of 0.25 percent of the outstanding bal-
ance of deferred participation loans made 
under this subsection to qualified borrowers 
for a period of 1 year after the date of en-
actment of this paragraph. 
‘‘(ii) 
GUARANTEE
FEES.—Notwith-
standing any other provision of law, the 
guarantee fee under paragraph (18)(A) for 
a period of 1 year after the date of enact-
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ment of this subparagraph shall be as fol-
lows: 
‘‘(I) A guarantee fee equal to 1 
percent of the deferred participation 
share of a total loan amount that is 
not more than $150,000. 
‘‘(II) A guarantee fee equal to 2.5 
percent of the deferred participation 
share of a total loan amount that is 
more than $150,000, but not more than 
$700,000. 
‘‘(III) A guarantee fee equal to 3.5 
percent of the deferred participation 
share of a total loan amount that is 
more than $700,000.’’. 
(2) APPROPRIATION.—There is authorized to be 
appropriated, and there is appropriated, $75,000,000 
to carry out the amendment made by paragraph (1). 
(j) SMALL BUSINESS PARTICIPATION.—In order to fa-
cilitate the maximum practicable participation of small 
business concerns in activities related to relief and recovery 
from Hurricane Katrina, the Administrator and the head 
of any Federal agency making procurements related to the 
aftermath of Hurricane Katrina, shall set a goal, to be met 
within a reasonable time, of awarding to small business
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concerns not less than 30 percent of amounts expended for 
prime contracts and not less than 40 percent of amounts 
expended for subcontracts on procurements such agency re-
lated to the aftermath of Hurricane Katrina. 
(k) ENERGY EMERGENCY RELIEF.— 
(1) SMALL BUSINESS AND FARM ENERGY EMER-
GENCY DISASTER LOAN PROGRAM.— 
(A) SMALL BUSINESS DISASTER LOAN AU-
THORITY.—Section 7(b) of the Small Business 
Act (15 U.S.C. 636(b)) is amended by inserting 
after paragraph (4), as added by this Act, the 
following: 
‘‘(5)(A) For purposes of this paragraph— 
‘‘(i) the term ‘base price index’ means the 
moving average of the closing unit price on the 
New York Mercantile Exchange for heating oil, 
natural gas, gasoline, or propane for the 10 
days, in each of the most recent 2 preceding 
years, which correspond to the trading days de-
scribed in clause (ii); 
‘‘(ii) the term ‘current price index’ means 
the moving average of the closing unit price on 
the New York Mercantile Exchange, for the 10 
most recent trading days, for contracts to pur-
chase heating oil, natural gas, gasoline, or pro-
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pane during the subsequent calendar month, 
commonly known as the ‘front month’; 
‘‘(iii) 
the 
term 
‘significant 
increase’ 
means— 
‘‘(I) with respect to the price of heating 
oil, natural gas, gasoline, or propane, any 
time the current price index exceeds the base 
price index by not less than 40 percent; and 
‘‘(II) with respect to the price of ker-
osene, any increase which the Adminis-
trator, in consultation with the Secretary of 
Energy, determines to be significant; and 
‘‘(iv) a small business concern engaged in 
the heating oil business is eligible for a loan, if 
the small business concern sells not more than 
10,000,000 gallons of heating oil per year. 
‘‘(B) The Administration may make such loans, 
either directly or in cooperation with banks or other 
lending institutions through agreements to participate 
on an immediate or deferred basis, to assist a small 
business concern that has suffered or that is likely to 
suffer substantial economic injury on or after Janu-
ary 1, 2005, as the result of a significant increase in 
the price of heating oil, natural gas, gasoline, pro-