[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H. Con. Res. 257 Introduced in House (IH)]







109th CONGRESS
  1st Session
H. CON. RES. 257

Expressing the sense of the Congress with regard to a moratorium on the 
   payment of principal or interest on certain mortgage loans, small 
business loans, and consumer loans for residents of a Federal disaster 
                                 area.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 29, 2005

   Mr. Renzi (for himself and Mr. Matheson) submitted the following 
concurrent resolution; which was referred to the Committee on Financial 
                                Services

_______________________________________________________________________

                         CONCURRENT RESOLUTION


 
Expressing the sense of the Congress with regard to a moratorium on the 
   payment of principal or interest on certain mortgage loans, small 
business loans, and consumer loans for residents of a Federal disaster 
                                 area.

Whereas every American heart goes out to the people hurt or displaced by 
        Hurricane Katrina and Hurricane Rita and their aftermath--collectively 
        one of the worst natural disasters ever experienced by the United States 
        of America;
Whereas the suffering of the people caught by Hurricane Katrina or Hurricane 
        Rita will continue, at the very least, for the next few months;
Whereas our financial institutions have done and are doing an excellent job of 
        dealing with many of the dislocations caused by Hurricane Katrina and 
        Hurricane Rita;
Whereas a suspension of mortgage loan, small business loan, and consumer loan 
        payments in the affected areas, for those who are not in a position to 
        pay, would be both a tremendous help and a humanitarian gesture to aid 
        those afflicted; and
Whereas the Congress of the United States wants to do everything humanly 
        possible to assist in aiding those in need and returning matters to 
        normalcy: Now, therefore, be it
    Resolved by the House of Representatives (the Senate concurring), 
That it is the sense of the Congress that--
            (1) a voluntary moratorium on the payment of both principal 
        and interest, by those who are not in a position to pay, on 
        mortgage loans, small business loans, and consumer loans should 
        be recognized by creditors, to the extent permitted by law 
        including regulations, for a 90-day period beginning on August 
        28, 2005, with respect to borrowers who as of such date resided 
        in, or whose businesses were located within, an area in which 
        the President, pursuant to section 401 of the Robert T. 
        Stafford Disaster Relief and Emergency Assistance Act, 
        determined, on or after August 28, 2005, that a major disaster 
        exists;
            (2) creditors should take into account the effect of this 
        dislocation and, to the extent permitted by law including 
        regulations, provide flexibility to affected consumers when 
        considering applications for new loans and credit accounts from 
        consumers who resided in the devastated communities on August 
        28, 2005;
            (3) Federal financial institution regulatory agencies 
        should--
                    (A) provide written guidance for financial 
                institutions in implementing a voluntary moratorium 
                described in paragraph (1), and any other permissible 
                forbearance, to ensure that such financial institutions 
                are not negatively impacted by acting in accordance 
                with the intention of the Congress; and
                    (B) take this forbearance policy into consideration 
                as they examine or audit the financial status of 
                regulated financial institutions; and
            (4) creditors should refrain from negative reporting with 
        respect to any such loans to any consumer reporting agency 
        during this period.
                                 <all>