Disaster Relief Amendments

Disaster Relief Amendments - Amends the Small Business Act to cancel $5,000 of the principal of a loan made in connection with the snow storms in Massachusetts on February 6 or 7, 1978, upon proof of loss and a bona fide estimate of the cost to rectify such loss. Limits the total amount cancelled plus the total amount of any grant under the Disaster Relief Act of 1974 to change eligibility for direct grants for disaster related expenses. Increases the Federal share in the matching grant program from 75 to 80 percent. Increases the amount of Federal loans available to a local government for disaster relief from 25 to 30 percent of such government's annual operating budget. Shortens from three to two years the period of time before repayment of such loans can be cancelled in the event of the inability of such local governments to meet their expenses.