Repo Alliance – Let’s Not Lose our Minds

Government Shutdown Update

The Repo Alliance lobbyists have been monitoring all bills being introduced in Congress. Yes, as reported a bill was introduced in the House that would prohibit federal employees, federal contractors, and their families from being evicted, foreclosed, or having cars or property repossessed during a government shutdown, and for 30 days after. It also includes protection for falling behind on student loans, insurance premiums and other bills without negatively impacting their credit history.

Consistent with House procedure, it was referred to the House Committees on Oversight, Financial Services, Ways and Means, Judiciary, Education and Workforce, and House Administration. Because the House is currently not in session, no formal review of the bill is taking place, nor can it move through the legislative process.

On the other hand, the Senate has been in session throughout the government shutdown. A companion piece of legislation, S.2982, was introduced by Senator Schatz and 17 other Democrat Senators, including Democratic Leader Chuck Schumer (D-NY), Senator Bernie Sanders (I-VT), and both Virginia Senators, Tim Kaine (D-VA) and Mark Warner (D-VA).

The bill has also garnered the support of several unions, including the National Treasury Employees Union (NTEU) and the American Federation of Government Employees (AFGE). The Senate bill was referred to the Senate Finance Committee where it awaits review before it can be scheduled for a vote.

It is important to remember that, in order for either bill to move forward the Republican majority must take action. Typically, Republicans have not supported these sorts of moratoriums. However, it is worth nothing that because this is the first government shutdown that includes a dispute between Republicans in the Executive and Legislative branches on providing backpay to federal workers, there could be efforts at some point to pass a bill settling that dispute. If so, efforts to also protect federal workers from foreclosures and repossessions could potentially be addressed.

Everyone else in the space has to guess about Congresses mind set. The Repo Alliance has something most do not have, direct contact. We are at the table listening and developing strategies. We will not raise the red flag while the jury is out. We will bring you the facts as they become available.