A bill to amend the Small Business Act.

Increases the appropriations authorized under the Small Business Act.

Empowers the Small Business Administration to make disaster loans necessary to assist small business concerns in effecting plant alterations imposed pursuant to Federal law. States that the interest rate for such loans may not be lower than the rate for loans made in connection with physical disasters.

Provides that the Small Business Administration may cancel $2,500 of specified loans, and/or reduce the interest rate, when such loans were made in connection with a disaster occurring between April 20, 1973, and July 1, 1975.

Expands disaster loans to include loans: (1) to persons raising livestock who suffer substantial economic injury as a result of animal disease; (2) for erosion disasters; and (3) to assist small businesses who have suffered economic injury as the result of the closing by the Federal government of a major military institution, or as a result of a severe reduction in the scope of operations at a military installation.

Requires the Small Business Administration to make an annual report to the President, the President of the Senate, and the Speaker of the House of Representatives on the state of small business.

Provides that the Administrator shall not discriminate against any person or small business concern, nor discriminate in favor of any person or small business concern receiving assistance from the Small Business Administration based on race, color, creed or national origin.