Title: Protect Federal Workers' Credit Act
Policy area: Finance and Financial Sector

Summary:
Protect Federal Workers' Credit Act
This bill generally restricts the inclusion of certain negative credit information on credit reports upon notification that an individual was affected by a federal government shutdown. Specifically, the bill prohibits (1) an individual from reporting such negative credit information to a consumer reporting agency and (2) the inclusion of such negative credit information on a credit report. The Consumer Financial Protection Bureau must maintain a database of affected federal employees and contractors and make the database accessible to consumer reporting agencies. Subsequently, consumer reporting agencies must delete all negative credit information from the relevant time period regarding affected federal employees and contractors. Consumer reporting agencies must also make additional free credit reports available to an affected individual upon request.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 535 Introduced in Senate (IS)]

<DOC>






116th CONGRESS
  1st Session
                                 S. 535

  To enable Federal employees and contractors to correct their credit 
reports to remove adverse items of information reported as a result of 
                  a shutdown, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 14, 2019

 Mr. Schatz (for himself, Mr. Warner, and Mr. Kennedy) introduced the 
 following bill; which was read twice and referred to the Committee on 
                  Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
  To enable Federal employees and contractors to correct their credit 
reports to remove adverse items of information reported as a result of 
                  a shutdown, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Protect Federal Workers' Credit 
Act''.

SEC. 2. DEFINITIONS.

    Section 603 of the Fair Credit Reporting Act (15 U.S.C. 1681a) is 
amended by adding at the end the following:
    ``(bb) Contractor.--The term `contractor' has the meaning given the 
term in section 7101 of title 41, United States Code.
    ``(cc) Covered Period.--The term `covered period' means--
            ``(1) the period beginning on the date on which a shutdown 
        begins and ending on the date that is 30 days after the date on 
        which the shutdown ends; and
            ``(2) with respect to the shutdown that began on December 
        21, 2018, and ended on January 25, 2019, the 60-day period 
        beginning on the date of enactment of this Act.
    ``(dd) Federal Worker.--The term `Federal worker'--
            ``(1) means an employee of a Government agency that had a 
        lapse in appropriations as a result of a shutdown; and
            ``(2) includes an employee of a contractor that has a 
        contract with a Government agency that had a lapse in 
        appropriations as a result of a shutdown.
    ``(ee) Shutdown.--The term `shutdown' means any period in which 
there is more than a 24-hour lapse in appropriations for any Government 
agency or Federal department as a result of a failure to enact a 
regular appropriations bill or continuing resolution that results in a 
delay or loss of payment or wages to a Federal worker.
    ``(ff) Small Business Concern.--The term `small business concern' 
has the meaning given the term in section 3 of the Small Business Act 
(15 U.S.C. 632).''.

SEC. 3. LIMITATION ON FURNISHING AN ADVERSE ITEM OF INFORMATION 
              RESULTING FROM THE SHUTDOWN.

    Section 623 of the Fair Credit Reporting Act (15 U.S.C. 1681s-2) is 
amended by adding at the end the following:
    ``(f) Limitation on Furnishing Adverse Information Resulting From a 
Shutdown.--A person shall not furnish any adverse item of information 
relating to a consumer during a covered period to any consumer 
reporting agency if the person has been notified by the consumer that--
            ``(1) the ability of the consumer to make an on-time 
        payment during the covered period has been materially affected 
        by a shutdown; or
            ``(2) the late or missed payment by the consumer during the 
        covered period was a result of a shutdown.''.

SEC. 4. PROHIBITION ON INCLUDING AN ADVERSE ITEM OF INFORMATION IN 
              CONSUMER REPORTS.

    Section 605(a) of the Fair Credit Reporting Act (15 U.S.C. 
1681c(a)) is amended by adding at the end the following:
            ``(9) An adverse item of information reported to the 
        consumer reporting agency relating to a consumer during a 
        covered period if--
                    ``(A) the consumer is a Federal worker listed in 
                the database described in section 611(h)(2); or
                    ``(B) the consumer has successfully requested the 
                removal of an adverse item of information contained in 
                the consumer's file pursuant to the process described 
                in section 611(h)(4).''.

SEC. 5. PROCESS FOR DELETING NEGATIVE INFORMATION FROM CONSUMER 
              REPORTS.

    The Fair Credit Reporting Act (15 U.S.C. 1681 et seq.) is amended--
            (1) in section 609(c)(1)(B) (15 U.S.C. 1681g(c)(1)(B))--
                    (A) in clause (v), by striking ``and'' at the end;
                    (B) in clause (vi), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
                            ``(vi) the right of a consumer to--
                                    ``(I) request the deletion of 
                                adverse items of information under 
                                section 611(h)(4); and
                                    ``(II) request 2 consumer reports, 
                                without charge to the consumer, under 
                                section 611(h)(5).''; and
            (2) in section 611 (15 U.S.C. 1681i)--
                    (A) in subsection (a)(1)(A), by inserting ``and 
                subsection (h)'' before ``, if the completeness''; and
                    (B) by adding at the end the following:
    ``(h) Deletion of Adverse Items of Information Resulting From a 
Shutdown.--
            ``(1) Requirement to provide list of impacted federal 
        workers.--
                    ``(A) Recent shutdown.--Not later than 30 days 
                after the date of enactment of this subsection--
                            ``(i) each Government agency for which 
                        there was a lapse in appropriations during the 
                        shutdown that ended on January 25, 2019, shall 
                        provide to the Bureau a list of each Federal 
                        worker who was furloughed or required to work 
                        without pay for any period of time during a 
                        shutdown; and
                            ``(ii) each Federal contractor impacted by 
                        the shutdown that ended on January 25, 2019, 
                        shall provide to the Bureau a list of each 
                        employee whose pay was reduced or delayed as a 
                        result of a shutdown.
                    ``(B) Subsequent shutdowns.--With respect to a 
                shutdown beginning after January 25, 2019, not later 
                than 3 days after the date on which the shutdown ends--
                            ``(i) each Government agency for which 
                        there was a lapse in appropriations shall 
                        provide to the Bureau a list of each Federal 
                        worker who was furloughed or required to work 
                        without pay for any period of time during the 
                        shutdown; and
                            ``(ii) each Federal contractor impacted by 
                        the shutdown shall provide to the Bureau a list 
                        of each employee whose pay was reduced or 
                        delayed as a result of the shutdown.
            ``(2) Database.--The Bureau shall establish and maintain a 
        secure database that--
                    ``(A) is accessible to consumer reporting agencies 
                described in section 603(p) and nationwide specialty 
                consumer reporting agencies to check and automatically 
                delete any adverse item of information reported during 
                a covered period with respect to a Federal worker under 
                paragraph (3); and
                    ``(B) contains the information reported under 
                paragraph (1).
            ``(3) Deletion of adverse items of information by 
        nationwide consumer reporting and nationwide specialty consumer 
        reporting agencies.--
                    ``(A) In general.--Each consumer reporting agency 
                described in section 603(p) and each nationwide 
                specialty consumer reporting agency shall, using the 
                information contained in the database established under 
                paragraph (2), delete from the file of each Federal 
                worker named in the database each adverse item of 
                information reported to the agency during the covered 
                period.
                    ``(B) Timeline.--Each agency described in 
                subparagraph (A) shall--
                            ``(i) delete adverse items of information 
                        as soon as practicable after information that 
                        is reported under paragraph (1) appears in the 
                        database established under paragraph (2); and
                            ``(ii) not later than the date that is 3 
                        days after the end of a covered period, delete 
                        any remaining adverse items of information that 
                        were reported between the date on which adverse 
                        items of information were deleted under clause 
                        (i) and the end of the covered period.
            ``(4) Request for deletion of adverse items of 
        information.--
                    ``(A) In general.--A consumer who is an employee or 
                owner of a small business concern and who was 
                materially affected by a shutdown may submit a request, 
                without charge to the consumer, to a consumer reporting 
                agency to delete from the consumer's file an adverse 
                item of information reported to the consumer reporting 
                agency during the covered period.
                    ``(B) Timing.--A consumer may submit a request 
                under subparagraph (A)--
                            ``(i) with respect to the shutdown that 
                        ended on January 25, 2019, not later than 90 
                        days after the date of enactment of this 
                        subsection; and
                            ``(ii) with respect to a shutdown beginning 
                        after January 25, 2019, not later than 90 days 
                        after the date on which the shutdown ends.
                    ``(C) Removal and notification.--Upon receiving a 
                request under this paragraph to delete an adverse item 
                of information, a consumer reporting agency shall--
                            ``(i) delete the adverse item of 
                        information from the consumer's file if the 
                        consumer provides documentation to the consumer 
                        reporting agency that the consumer is--
                                    ``(I) a Federal worker whose pay 
                                was delayed or reduced during the 
                                covered period; or
                                    ``(II) an employee or owner of a 
                                small business concern who was 
                                materially affected by a shutdown; and
                            ``(ii) notify the consumer and the 
                        furnisher of the adverse item of information of 
                        the deletion.
            ``(5) Free credit reports.--
                    ``(A) In general.--A consumer reporting agency 
                shall make all disclosures pursuant to section 609 
                twice during the 12-month period following the end of a 
                shutdown upon request by a consumer impacted by the 
                shutdown and without charge to the consumer--
                            ``(i) with respect to the shutdown that 
                        ended on January 25, 2019, if the consumer 
                        makes a request within 180 days after the date 
                        of enactment of this subsection; and
                            ``(ii) with respect to a shutdown beginning 
                        after January 25, 2019, if the consumer makes a 
                        request within 180 days after the date on which 
                        the shutdown ends.
                    ``(B) Timing.--A consumer reporting agency shall 
                provide a consumer report under subparagraph (A) not 
                later than 15 days after the date on which the request 
                is received under subparagraph (A).
                    ``(C) Additional reports.--A consumer report 
                provided under subparagraph (A) shall be in addition to 
                any report requested by the consumer under section 
                612(a).
                    ``(D) Prohibition.--A consumer reporting agency 
                that receives a request under subparagraph (A) may not 
                request or require any documentation from the consumer 
                that demonstrates that the consumer was impacted by a 
                shutdown as a condition of receiving the consumer 
                report.
            ``(6) Posting of rights.--Not later than 30 days after the 
        date of enactment of this Act, and immediately after the 
        beginning of a shutdown, each consumer reporting agency shall 
        prominently post and maintain a direct link on the homepage of 
        the public website of the consumer reporting agency information 
        relating to the right of consumers to--
                    ``(A) request the deletion of adverse items of 
                information under paragraph (4); and
                    ``(B) request 2 consumer reports, without charge to 
                the consumer, under paragraph (5).''.
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