A bill to amend the Small Business Act to reduce the rate of interest on disaster relief loans under such act, to apply special provisions of such act to such loans made in connection with major disasters occurring after April 1, 1977, and before June 6, 1977.

Amends the Small Business Act to reduce to three percent per year the interest rate on the Small Business Administration's share of any loan made with respect to a major disaster occurring on or after April 1, 1977, and prior to June 6, 1977. Authorizes the Administrator of the Small Business Administration to grant to the recipient of a disaster loan up to $5,000 to provide immediate relief from the effects of such disaster. Allows cancellation of loans made with respect to disasters occurring on or after April, 1977, and prior to June 6, 1977, according to provisions of the Small Business Act.