YourVoice.Now Summary
Transparency & AccountabilityDisaster loan rules stay the same — but the SBA would owe Congress monthly reports and 24-hour low-funds alerts.
Transparency & Accountability
Right now the SBA files these monthly reports only while a major disaster is active. Each report would also have to explain why its spending estimates changed, and show the data behind the change.
The alert fires when money left for these loans drops below 10 percent of the program's average yearly cost over the past decade. Four committees in Congress must be told.
If a monthly report is late, no money can be approved for the SBA head's official trips until it is filed. This is the only penalty in the bill.
The president's yearly budget would have to show what is being asked for disaster loans, and for COVID-era emergency loans, next to the 10-year average cost. Any gap between the two must be explained.
One report, due in 180 days, looks at how fast money reaches home and business borrowers. The other, due in a year, prices two recent rule changes that raised loan limits and eased borrowing terms.
The SBA would have 30 days to say how it will fix its data and cost estimates. Then it would report progress every 90 days until the fixes are done.
More about this bill
Most people would see no change in daily life. If you need a disaster loan from the Small Business Administration after a storm or fire, the rules stay the same. Nothing here changes who qualifies, how much you can borrow, or what you owe back. What changes is how closely Congress watches the money. The SBA would report on its disaster loan program every month, year-round. Today it reports only while a major disaster is active. Each report would name the date the loan fund drops to 10 percent of its last funding. It would also name the date the money runs dry. If the fund does fall that low, the agency's head would have 24 hours to warn Congress. Miss a report deadline, and that official's travel money would be frozen until the report arrives. Government auditors would study how fast loan money reaches borrowers. A second study would price two recent rule changes.
Congressional Summary
Disaster Loan Accountability and Reform Act or the DLARA This bill modifies the Small Business Administration (SBA) disaster loan program to require additional oversight and reports regarding the program. First, the bill requires the SBA to report monthly on the operation of the disaster loan program. (Currently, the SBA must report only during the applicable period for a major disaster.) The report must estimate the date on which available funding for such loans will reach 10% of the most recent appropriation and the date on which the funds will be depleted. If a report is not submitted by the required date, no funds may be appropriated for official travel by the SBA Administrator until the report is submitted. Second, the President's annual budget must include separate statements regarding the appropriations request for SBA disaster loans and COVID-19 Economic Injury Disaster Loans (EIDL), including explanations for any difference between the amount requested and the 10-year average cost for such loans. Third, the SBA must notify Congress when the balance of amounts available for disaster loans is less than 10% of the 10-year average annual cost provided in the most recent presidential budget. Finally, the bill requires additional oversight of the disaster loan program, including Government Accountability Office reports on the disbursement of disaster loans and the cost of specified SBA rules that modified the loan program; and an SBA report on its actions to improve forecasting, data quality, and budget assumptions for the cost of disaster loans.
Legislative Subjects
Details
- Congress
- 119th
- Chamber
- House
- Status
- summarized
- Action
- Reported to House
- Action Date
- 2026-06-11
- Date Added
- 2026-06-19
- Source
- Congress.gov →
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