Amends the Small Business Act to empower the Small Business Administration (SBA) to make loans repayable in not more than three years to small business concerns which have been adversely affected by an extraordinary, local economic or weather condition. Permits the SBA to allow the deferral of repayment of such loans for a period not to exceed one year where it determines such action would be appropriate.

Permits the SBA to assume or suspend, for a period not to exceed five years, any small business concern's obligation only if the small business concern would otherwise become insolvent or remain insolvent or if, with the assumption or suspension, the small business concern would become or remain a viable business entity.

Sets forth the acceptable terms of payment for such loans.