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Federal Employee Protection During Government Shutdowns

This act protects federal employees and contractors from adverse financial and legal consequences during government shutdowns. It provides temporary suspension of certain civil obligations like rent, mortgages, taxes, and student loan repayments, helping them manage without pay.
Key points
Eviction Protection: Landlords cannot evict federal workers from residences during a shutdown without a court order.
Mortgage Protection: Property sales or foreclosures due to unpaid mortgages are prohibited during a shutdown without court approval.
Student Loan Deferment: Federal workers can defer student loan payments, and interest will not accrue during this period.
Tax Payment Deferral: Federal income tax payments can be deferred for up to 90 days after a shutdown ends, without interest or penalties.
Insurance Protection: Insurance policies (health, life, disability, auto) will not lapse due to non-payment of premiums during a shutdown.
No Credit Impact: Utilizing these protections cannot negatively affect creditworthiness or lead to future credit denials.
Penalties for Violations: Individuals violating the act's provisions may face fines or imprisonment.
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Additional Information
Print number: 117_S_2900
Sponsor: Sen. Schatz, Brian [D-HI]
Process start date: 2021-09-29