This bill tightens oversight of the Small Business Administration’s disaster loans. It requires clearer, more frequent reporting about funding, including the dates when money is projected to drop below 10% and when it will run out; if a required report is late, the SBA Administrator can’t spend funds on official travel until it’s submitted . Budget requests must show 10‑year averages and explain differences for both standard SBA disaster loans and COVID‑EIDL loans . The SBA cannot forgive these loans unless Congress explicitly allows it, and if the SBA can’t discharge a debt, it must send it to the Treasury for collection .

When disaster loan funds get low, the SBA must alert Congress within 24 hours. Until more money is approved, the SBA may only make new loans at amounts that require collateral, and an older authority to expand no‑collateral loans is repealed . The SBA is also blocked from issuing new rules that would raise the program’s cost. Independent reviews are ordered: the Government Accountability Office will examine recent rule changes and their effect on loan terms and subsidies, and the SBA’s Inspector General will review the 2024 funding shortfall and recommend fixes . The SBA must file a plan within 30 days to improve budgeting and forecasting, with updates every 90 days until all corrections are in place .

• Who is affected: Applicants and borrowers in the SBA disaster loan program; SBA officials who manage and report on the program .
• What changes: Stronger reporting and budget transparency; tighter limits on loan forgiveness; restrictions on lending when funds are low; no new rules that raise program costs; outside reviews of recent changes and past shortfalls .
• When: Low‑funding alerts within 24 hours; Inspector General report due within 180 days; SBA budgeting fixes due in 30 days with 90‑day updates thereafter .