TX SB1361

Expands the existing micro-business disaster recovery loan program to include small businesses, defined as independently owned, for-profit entities domiciled in Texas with 21-99 full-time employees

Requires at least 50% of total program loans in each fiscal biennium to go to micro-businesses (20 or fewer employees)

Adds new eligibility requirements: borrowers must have suffered physical or economic injury from the declared disaster and must have paid off any previous loans received under this program

Caps interest rates on disaster recovery loans at the prevailing rate for similar loans in Texas

Specifies that loan funds may be used for payroll costs, including continuation of employee health care benefits

Repeals Subchapter EE of Chapter 481, Government Code, and takes effect September 1, 2025