YourVoice.Now Summary
Transparency & AccountabilityTightens SBA disaster-loan oversight — requires a 24-hour Congress alert when loan funds run low and year-round monthly reports.
Transparency & Accountability
- Continuous monthly disaster loan reporting — Required year-round, not only during active disaster periods
- Funding depletion alert — Administrator must notify Congress within 24 hours when disaster loan funds fall below 10% threshold
- Disaster loan budget disclosures — Annual budget must compare disaster loan costs to 10-year averages and explain differences
- Forecasting improvement reporting — Administrator must report corrective actions and progress on budget forecasting deficiencies every 90 days
- Administrator travel funding — Frozen until overdue disaster loan reports are submitted
The details
The Disaster Loan Accountability and Reform Act tightens oversight of the SBA's disaster loan program, which provides loans to homeowners and businesses after federally declared disasters. The SBA Administrator must notify Congress within 24 hours whenever disaster loan funds fall below 10 percent of the 10-year average funding level, and monthly reports on the loan program are now required year-round — not just during active disaster periods — and must include updated depletion forecasts and explanations of changes to spending estimates. If the Administrator misses a required reporting deadline, official travel funding is frozen until the report is submitted. The bill also directs the GAO to study how 2023 and 2024 rule changes affected disaster loan costs and terms, and requires the SBA to report quarterly on corrections being made to improve its budget forecasting.
Congressional Summary
Disaster Loan Accountability and Reform Act or the DLARAThis 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 obligated 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 unobligated 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; andan 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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