To amend the Small Business Act to reduce the interest rates on disaster loans provided by the Small Business Administration for losses resulting from flooding in Midwest communities participating in the national flood insurance program.

Amends the Small Business Act to reduce to one percent per year (currently, varying rates of up to eight percent) the interest rate on the Federal share of disaster loans provided by the Small Business Administration to homeowners and businesses (including agricultural cooperatives) unable to obtain credit elsewhere for losses resulting from flooding in Midwest communities between June 1, 1993, and May 31, 1994, as long as such communities are participants in the national flood insurance program.