Protecting Families from Government Shutdowns Act

Bill: 116-hr-819
Sponsor: full_name: Rep. Lieu, Ted [D-CA-33]
Introduced: 2019-01-28
Policy area: Government Operations and Politics
Subjects: Administrative law and regulatory procedures

Appropriations

Civil actions and liability

Contracts and agency

Credit and credit markets

Debt collection

Executive agency funding and structure

Federal Trade Commission (FTC)

Interest, dividends, interest rates

Landlord and tenant

State and local government operations
Latest action: action_date: 2019-01-29
text: Referred to the Subcommittee on Consumer Protection and Commerce.

Summaries:
action_date: 2019-01-28
action_desc: Introduced in House
text: <p><strong>Protecting Families from Government Shutdowns Act</strong></p> <p>This bill makes it unlawful for an entity to do any of the following with respect to a person if the person is unable to meet an obligation because government service is unavailable during a lapse in appropriations: (1) debt collection; (2) collection of interest on loans accrued during the lapse; (3) eviction; (4) foreclosure; (5) acceleration or downgrading of credit; or (6) enforcement of any other obligation required by law or contract that relies on a government service that is unavailable during a lapse in appropriations.</p> <p> Penalty provisions in a contract for services that is violated because of a lapse in appropriations and services shall be unenforceable.</p> <p>The Federal Trade Commission and the states are given authority to enforce this bill.</p>

tv_txt: I 116th CONGRESS 1st Session H. R. 819 IN THE HOUSE OF REPRESENTATIVES January 28, 2019 Mr. Ted Lieu of California (for himself and Mr. Gallego ) introduced the following bill; which was referred to the Committee on Energy and Commerce A BILL To protect the public from the harmful consequences of the Federal Government shutdown by prohibiting certain actions, to provide enforcement for such prohibition by the Federal Trade Commission, and for other purposes.

1. Short title This Act may be cited as the Protecting Families from Government Shutdowns Act . 2. Actions prohibited during a Federal Government shutdown (a) Conduct prohibited (1) Reliance on Government service It shall be unlawful for an entity to do any of the following with respect to a person if that person is unable to meet an obligation because of Government service is not available during a lapse in appropriations: (A) Debt collection. (B) Collect interest on loans accrued during the lapse. (C) Eviction. (D) Foreclosure. (E) Acceleration or downgrading of credit. (F) Require any other obligation required by law or contract that relies on a Government service not available during a lapse in appropriations. (2) Service contracts It shall be unlawful for an entity to enforce any penalty provision in a contract for services that is violated as the result of a lapse in appropriations and services being stopped. (b) Enforcement by the Federal Trade Commission (1) In general A violation of subsection (a) shall be treated as an unfair and deceptive act or practice in violation of a regulation issued under section 18(a)(1)(B) of the Federal Trade Commission Act ( 15 U.S.C. 57a(a)(1)(B) ). (2) Promulgation of rule Not later than 180 days after the date of enactment of this Act, the Federal Trade Commission shall, in accordance with section 553 of title 5, United States Code, promulgate rules to prohibit, as an unfair and deceptive act or practice, the conduct described in subsection (a). A violation of such rules shall be treated as a violation of a rule defining an unfair or deceptive act or practice under section 18(a)(1)(B) of the Federal Trade Commission Act ( 15 U.S.C. 57a(a)(1)(B) ). The Commission shall enforce such rules in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act were incorporated into and made a part of this Act. Any person who violates this Act shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act ( 15 U.S.C. 41 et seq.). (c) Enforcement by States (1) Authorization Subject to paragraph (2), in any case in which the attorney general of a State has reason to believe that an interest of the residents of the State has been or is threatened or adversely affected by a violation of subsection (a), the attorney general of the State may, as parens patriae, bring a civil action on behalf of the residents of the State in an appropriate district court of the United States to obtain appropriate relief. (2) Rights of Federal Trade Commission (A) Notice to FTC (i) In general Except as provided in clause (iii), the attorney general of a State shall notify the Federal Trade Commission in writing that the attorney general intends to bring a civil action under paragraph (1) before initiating the civil action against a person for a violation of subsection (a). (ii) Contents The notification required by clause (i) with respect to a civil action shall include a copy of the complaint to be filed to initiate the civil action. (iii) Exception If it is not feasible for the attorney general of a State to provide the notification required by clause (i) before initiating a civil action under paragraph (1), the attorney general shall notify the Commission immediately upon instituting the civil action. (B) Intervention by the FTC The Federal Trade Commission may— (i) intervene in any civil action brought by the attorney general of a State under paragraph (1); and (ii) upon intervening, be heard on all matters arising in the civil action, and file petitions for appeal of a decision in the civil action. (3) Pending action by the Federal Trade Commission If the Federal Trade Commission institutes a civil action or an administrative action with respect to a violation of subsection (a), the attorney general of a State may not, during the pendency of such action, bring a civil action under paragraph (1) against any defendant named in the complaint of the Commission for the violation with respect to which the Commission instituted such action. (d) Prohibition on enforcement of agency penalties (1) In general An agency may not enforce any agency penalty (including for a loan, an application deadline, or other deadline) for a violation that was the result of a lapse in appropriations for that agency. An agency shall extend any such deadline to expire 30 days after the date on which there is no longer a lapse in such appropriations. This prohibition does not create any private right of action. (2) Applicability Any agency that enforced a penalty during the period beginning one year before the date of the enactment of this Act and ending on the date of the enactment of this Act shall reverse and nullify any such enforcement to the greatest extent possible. (e) Agency guidance Not later than 180 days after the date of the enactment of this Act, the head of each agency shall issue guidance on how that agency— (1) will not enforce any penalties occurring as a result of a lapse in appropriations for that agency, including financial, administrative, and any deadline missed; and (2) will notify the public about the guidance issued pursuant to this subsection. (f) Agency defined The term agency has the meaning given that term in section 551 of title 5, United States Code.