A bill to amend the Small Business Act.
PL 93-237 (S.2482), enacted 01/02/1974

87 
STAT.] 
PUBLIC LAW 93-237-JAN. 2, 1974 
1023 
FREIGHT RATES FOR 
RECYCLABLES 
SEC. 603. The Commission shall, by expedited proceedings, adopt 
appropriate rules under the Interstate Commerce Act (49 U.S.C. 1 et 
seq.) which will eliminate discrimination against the shipment of 
recyclable materials in rate structures and in other Commission 
practices whei-e such discrimination exists. 
SEPARABILITY 
SEC. 604. If any provision of this Act or the application thereof to 
any person or circumstances is held invalid, the remainder of this Act 
and the application of such provision to other persons or circumstances 
shall not be affected thereby. 
Approved January 2, 1974. 
24 Stat. 379. 
Public Law 93-237 
AN ACT 
To amend the Small Business Act. 
January 2, 1974 
[S. 2482] 
Be it enacted by the Senate and House of Representatives 
of the 
United States of America in Congress assemhhd, 
AUTHORIZATION 
SECTION 1. Paragrapli (4) of section 4(c) of the Small Business Act 
is amended— 
(1) by striking out "$4,300,000,000'' and inserting in lieu thereof 
"$4,875,000,000"; 
(2) by striking out "$500,000,000" where it appears in clause 
(B) and inserting in lieu thereof "$556,250,000"; 
(3) by striking out "$500,000,000" where it appears in clause 
(C) and inserting in lieu thereof "$525,000,000"; and 
(4) by striking out "$350,000,000" and inserting in lieu thereof 
"$381,250,000". 
Any additional amounts authorized by this Act which are not obli-
gated by June 30,1974, shall no longer be available after that date. 
Small Business 
Act, amendments. 
80 Stat. 132; 
86 Stat. 382. 
15 u s e 633. 
LOAN TO MEET REGULATORY STANDARDS 
SEC. 2. (a) Section 7(b) (5) of the Small Business Act is amended to 
read as follows: 
"(5) to make such loans (either directly or in cooperation with 
banks or other lending institutions through agreements to partici-
pate on an immediate or deferred basis) as the Administration 
may determine to be necessary or appropriate to assist any small 
business concern in effecting additions to or alterations in its 
plant, facilities, or methods of operation to meet requirements 
imposed on such concern pursuant to any Federal law, any State 
law enacted in conformity therewith, or any regulation or order 
of a duly authorized. Federal, State, regional, or local agency 
issued in conformity with such Federal law, if the Administration 
determines that such concern is likely to suffer substantial eco-
nomic injury without assistance under this paragraph: Provided, 
That the maximum loan made to any small business concern under 
this paragraph shall not exceed the maximum loan which, under 
rules or regulations prescribed by the Administration, may be 
86 Stat. 1633. 
15 u s e 636. 
84 Stat. 1618. 
42 u s e 3142-1 
1024 
PUBLIC LAW 93-237-JAN. 2, 1974 
[87 STAT. 
made to any business enterprise under paragraph (1) of this sub-
section; and". 
84TtaI" 1618 
^^^ ^^^ Section 7(b) (6) of the Small Business Act is repealed. 
i5u?c636. " 
(2) Paragraph (7) of such section 7(b) is redesignated as para-
86 Stat. 555. 
g r a p h 
( 6 ) . 
(c) Section 28(d) of the Occupational Safety and Health Act of 
1970 (Public Law 91-596) is amended by striking out "7(b) (6)" and 
inserting in lieu thereof "7(b) (5)". 
(d) In no case shall the interest rate charged for loans to meet 
regulatory standards be lower than loans made in connection with 
physical disasters. 
COXFOUMING TKCIINICAL 
AMENDMENTS 
SEC. 3. (a) Subsection (g) of section 7 of the Small Business Act, as 
added by section 3(b) of the Small Business Investment Act Amend-
ments of 1972, is redesignated as subsection (h). 
_ _ 
_ 
(b) Subsection (c) of section 4 of the Small Business Act is amended 
15 use 633'. 
by striking out "7(g)" each place it appears in paragraphs (1) (B), 
(2), and (4) and inserting in lieu thereof "7(h)". 
AUTHORITY OF SECRETARY OF AGRICULTURE W I T H RESPECT TO NATURAL 
DISASTERS 
"^^'^' 
SEC. 4. Notwithstanding the provisions of Public Law 93-24, the 
Secretary of Agriculture shall continue to exercise his authority with 
respect to natural disasters which occurred after December 26, 1972, 
but prior to April 20,1973, in accordance with the provisions of section 
5 of Public Law 92-385 as such section was in effect prior to April 20, 
1973. 
L I V E S T O C K 
LOANS 
ss^^stat^so^ 
SEC. 5. Section 7(b) (4) of the Small Business Act is amended bv 
15 use 636. 
inserting before the semicolon at the end thereof the following: ": 
Provided, That loans under this paragraph include loans to persons 
who are engaged in the business of raising livestock (including but not 
limited to cattle, hogs, and poultry), and who suffer substantial eco-
nomic injury as a result of animal disease". 
86 Stat. 1316. 
80 Stat. 132; 
36 Stat. 1316 
86 Stat. 557. 
7 u s e 1969 
84 Stat. 1618. 
LOANS FOR ADJUSTMENT ASSISTANCE I N BASE CLOSINGS 
SEC. 6. Section 7(b) of the Small Business Act is amended by adding 
after paragraph (6) the following new paragraph: 
"(7) to make such loans (either directly or in cooperation with 
banks or other lending institutions through agreements to par-
ticipate on an immediate or deferred basis) as the Administration 
may determine to be necessary or appropriate to assist any small 
business concern in continuing in business at its existing location, 
in reestablishing its business, in purchasing a new business, or in 
establishing a new business if the Administration determines that 
such concern has suffered or will suffer substantial economic 
injury as the result of the closing by the Federal Government of a 
major military installation under the jurisdiction of the Depart-
ment of Defense, or as a result of a severe reduction in the scope 
and size of operations at a major military installation.". 
87 STAT. ] 
PUBLIC LAW 93-237-JAN. 2, 1974 
1025 
ANNUAL RKPORT OX STATE OF SMALL BUSINESS 
SEC. 7. The first sentence of subsection (a) of section 10 of the 
Small Business Act and the first word of the second sentence of such 
^ sut^- ^^^ 
subsection are amended to read as follows: "The Administration shall, 
as soon as practicable each calendar year make a comprehensive annual 
report to the President, the President of the Senate, and the Speaker 
of the House of Representatives. Such report shall include a descrip-
tion of the state of small business in the Nation and the several States, 
and a description of the operations of the Administration under this 
chapter, including, but not limited to, the general lending, disaster 
relief, Government regulation relief, procurement and property dis-
posal, research and development, technical assistance, dissemination 
of data and information, and other functions under the jurisdiction 
of the Administration during the previous calendar year. Such report 
shall contain recommendations for strengthening or improving such 
programs, or, when necessary or desirable to implement more effec-
tively congressional policies and proposals, for establishing new or 
alternative programs. In addition, such". 
ANTIDISCRIMINATORY AMENDMENT 
SEC. 8. Section 4(b) of the Small Business Act is amended by add- 
72 stat. 384. 
ing after "The Administrator shall not engage in any other business, 
^^ ^^^ ^^^• 
vocation, or employment than that of servmg as Administrator." the 
following new sentence: "In carrying out the programs administered 
by the Small Business Administration including its lending and guar-
anteeing functions, the Administrator shall not discriminate on the 
basis ol sex or marital status against any person or small business 
concern applying for or receiving assistance from the Small Business 
Administration, and the Small Business Administration shall give 
special consideration to veterans of the Armed Forces of the United 
States and their survivors or dependents.". 
SEC. 10. (a) Section 3 of Public Law 93-24 is amended by striking 
^"'*' P- ^^' 
therefrom: ", and are unable to obtain sufficient credit elsewhere to 
finance their actual needs at reasonable rates and terms, taking into 
consideration prevailing private and cooperative rates and terms in 
the community in or near which the applicant resides for loans for 
similar purposes and periods of time", and insert in lieu thereof the 
following: "Such loans shall be made without regard to whether the 
required financial assistance is otherwise available from private, 
cooperative, or other responsible sources". 
(b) The provisions of subsection (a) of this section shall be given 
effect with respect to all loan applications and loans made in connec-
tion with a disaster occurring on or after April 20, 1973. 
(c) With regard to all disasters occurring on or after December 27, 
1972, the Secretary of Agriculture shall extend for ninety days after 
the date of enactment of this section the deadline for seeking assistance 
under section 321 of the Consolidated Farm and Rural Development 
Act as amended by this section. 
infra. 
(d) Section 321(a) of Public Law 87-128, as amended, is hereby 
75 stat. 311. 
amended by striking "which cannot be met for temporary periods of 
^ ^^*^ ^^^^' 
time by private, cooperative, or other responsible sources (including 
loans the Secretary is authorized to make or insure under subtitles 
A and B of this title or any other Act of Congress), at reasonable 
rates and terms for loans for similar purposes and periods of time". 
The provisions of this subsection shall be given effect with respect to 
Effective date. 
all loan applications and loans made in connection with a disaster 
occurring on or after December 27,1972. 
Approved January 2, 1974. 
22-150 O - 75 - 67