[Congressional Record Volume 167, Number 132 (Wednesday, July 28, 2021)]
[Senate]
[Pages S5143-S5144]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. REED (for himself, Mr. Merkley, Mr. Brown, Mr. Van Hollen,
Ms. Smith, Mr. Booker, Mr. Blumenthal, Mr. Schatz, Mrs.
Feinstein, Mr. Warnock, Mr. Leahy, and Mr. Wyden):
S. 2508. A bill to amend the Truth in Lending Act to extend the
consumer credit protections provided to members of the Armed Forces and
their dependents under title 10, United States Code, to all consumers;
to the Committee on Banking, Housing, and Urban Affairs.
Mr. REED. Mr. President, today I am reintroducing the Veterans and
Consumers Fair Credit Act (VCFCA) along with Senator Merkley, Senate
Banking Committee Chairman Brown, and many of my colleagues. This
important legislation would extend the bipartisan Military Lending
Act's (MLA) protections for active-duty servicemembers and their
families to all Americans by imposing a nationwide 36 percent cap on
the annual percentage rate (APR) for most extensions of consumer
credit.
The MLA was enacted on a bipartisan basis in 2006 to rein in payday
and other unscrupulous lenders that targeted American troops with
abusive and predatory loans. Unfortunately, the MLA does not protect
veterans or Gold Star families from these exploitative practices. Our
servicemembers and their families should not lose important consumer
protections simply because they retire, separate from honorable
service, or lose their loved ones. As such, our legislation would
extend the MLA' s protections to veterans and Gold Star families as
well as ensure that all Americans are shielded from predatory loans.
Hundreds of millions of American consumers could benefit from a 36
percent APR cap. In states that do not have such a cap, predatory
lenders are permitted to offer loans with triple-digit APRs that trap
individuals in cycles of debt. For instance, the Consumer Financial
Protection Bureau found that 80 percent of payday loans are rolled over
or renewed within two weeks. This practice can cause borrowers to pay
more in fees than the amount of money they originally borrowed, which
is a sign of predatory lending and poor underwriting.
According to a coalition of community organizations, payday lenders
are known to target the most vulnerable, including seniors, veterans,
and low-income borrowers. Many in these communities were already
struggling to make ends meet before the pandemic, and continuing to pay
exorbitant APRs may cause them to fall deeper into economic insecurity.
This is why it's important to extend strong protections against
unscrupulous lenders to all Americans.
The MLA's successful track record demonstrates that providing for
reasonable, responsible limits on interest rates does not cut off
consumers' access to credit. According to a May 2021 report from the
Department of Defense, ``credit cards, auto loans, and personal loans
are widely available at risk-based rates under the 36 percent
[military] APR'' and ``[s]ervice members continue to have ample access
to necessary credit.''
Moreover, this legislation would follow the trend in many states
towards greater protections against predatory loans. Eighteen states
and the District of Columbia have enacted APR caps of 36% or lower for
payday loans or banned them altogether. Lenders in these states have
incentives to offer more affordable loans that borrowers have an
ability to repay. The same incentives should apply across the nation.
I thank the bill's supporters, including the Consumer Federation of
America, the National Consumer Law Center (on behalf of its low income
clients), the Center for Responsible Lending, Americans for Financial
Reform, Veterans Education Success, the Military Officers Association
of America, and the National Military Family Association.
I urge our colleagues to join us in supporting this important
legislation.
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By Mr. KAINE (for himself and Mr. Rubio):
S. 2509. A bill to authorize the New Partnerships Initiative to
expand and diversify the partner base of the United States Agency for
International Development and to provide more entry points for
organizations to work with USAID; to the Committee on Foreign
Relations.
Mr. KAINE. Mr. President. The United States Agency for International
Development's (USAID) New Partnerships Initiative (NPI) was formed to
help small and local nonprofit organizations partner with the agency on
humanitarian work, and was inspired in part by requests from Congress
for USAID to cooperate more closely with these organizations. The
program was founded on the principle that greater diversity and
competition among the USAID partner base would lead to better and more
effective development
[[Page S5144]]
work. Since its creation, NPI has helped USAID expand its collaboration
with local nonprofits to undertake critical work overseas, but this
vital program needs a clearly defined foundation in statute and long-
term authorization of funding to sustain its progress well beyond 2021.
Today, I am pleased to introduce the New Partnerships Initiative
Authorization Act with Senator Rubio. This legislation would cement
USAID's commitment to diversifying its nonprofit partner base by
authorizing the program and necessary funding through Fiscal Year 2026.
Additionally, the New Partnerships Initiative Authorization Act would
improve outcomes at the NPI program by outlining in statute core
elements of the program, and requiring the USAID Administrator to
adhere to certain criteria regarding program management and nonprofit
recruitment.
This bipartisan legislation is an opportunity to ensure that the New
Partnerships Initiative continues to be an effective tool for
diversifying USAID's partner base through the inclusion of locally
based and underutilized partners. I look forward to working with USAID
leadership and my colleagues on the Foreign Relations Committee to
swiftly consider and implement the New Partnerships Initiative
Authorization Act.
Thank you, Mr. President.
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By Ms. CORTEZ MASTO (for herself and Mr. Boozman):
S. 2513. A bill to amend title 38, United States Code, to improve the
application and review process of the Department of Veterans Affairs
for clothing allowance claims submitted by veterans, and for other
purposes; to the Committee on Veterans' Affairs.
Ms. CORTEZ MASTO. Mr. President, I rise today to tell you about Brian
Neuman, an Iraq combat veteran who was wounded while serving our Nation
overseas in 2004.
Brian has spent years working with the Wounded Warrior Project to
help other veterans get the benefits that they need.
Years after returning home, Brian applied for an annual clothing
allowance of $841. This allowance should be available to veterans like
Brian when a medication or a medical device causes irregular wear or
damage to their clothing.
As many vets with service injuries will tell you, their clothes wear
down much faster than other people's, and the prosthetics can rip or
tear clothes as well. Some veterans need tailoring to make clothing fit
more comfortably around their injuries. Others have to treat skin
conditions with creams that damage their clothes.
These veterans get compensation for the expenses associated with
their injuries--and rightly so. Our veterans have given this country so
much, and Congress has a responsibility to hold up its end of the
bargain, to care for them when they are injured during their service to
our Nation.
But right now, this benefit isn't accessible for many veterans, and
that is wrong, and we need to change it.
In the case of the clothing allowance benefits, as Brian discovered,
the VA currently requires veterans to be evaluated for this benefit in
person, every year. One year, Brian physically went to a VA clinic to
submit the clothing allowance application, and his request was denied
because the VA had no record that he received a prosthetic at that
specific clinic. At that point, like many vets, Brian gave up on the
process in frustration.
That is just unacceptable. These are brave men and women who are
living with severe burns or who wear prosthetic devices as a result of
their service. In many cases, the VA already knows these veterans have
a medical condition that isn't going to change year from year.
And that didn't make any sense to Brian, so he did something about
it. He reached out to see if Congress could solve the problem. He did.
He did it, he says, less for himself, but more for the many veterans in
rural States, like mine in Nevada, who live hours away from the nearest
VA Brian knows that many of them are so worn out by the process of
applying for what is owed them that they just give up.
These men and women are tired of jumping through hoops to access
their earned benefits. So why are we forcing them to navigate this
complicated bureaucracy? There are certainly places to cut costs, but
this isn't one of them.
The Senate can fix this problem easily, and I have introduced a
bipartisan bill to do just that. I am glad to be working across the
aisle with my colleague Senator Boozman to support injured and disabled
veterans. Our bill makes it easier for them to get clothing that works
for their specific needs. My legislation requires the VA to
automatically renew this clothing allowance. Veterans can get it until
they say they don't need it anymore or until the VA's records indicate
that they don't require it. This will make sure they aren't forced to
drive long distances to access a VA benefit they are owed.
I am looking forward to moving this legislation through Congress so
we can make life a little easier for the 40,000 wounded warriors who
currently receive this benefit and for the thousands more who qualify.
There shouldn't be any redtape stopping veterans from getting their
benefits, so let's pass this bill and fix this problem.
I am going to continue to work in every way I can to make sure that
veterans in Nevada and across the country get the Federal resources
they need
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