Sponsors (15)
The bill provides broad, immediate financial, legal, and benefit protections for federal workers and their families during funding lapses, at the cost of substantial fiscal exposure, greater burdens and legal risks for creditors/servicers/insurers, and increased court and administrative workloads.
Federal employees who lose pay during a shutdown can delay paying federal income tax and other scheduled payments (rent, mortgage, student loans) and avoid interest on certain deferments during the covered period, easing immediate cash-flow strain.
Federal employees and their families are protected from many enforcement actions during shutdowns—courts can stay or vacate garnishments, attachments, evictions, foreclosures, liens, and debt collection—giving workers legal breathing room to preserve housing and assets.
Federal employees and their dependents keep health, life, disability, and auto insurance coverage during a shutdown even if premium payments are missed, reducing immediate health and financial risk to families.
Taxpayers and the federal budget could face substantial fiscal costs and higher administrative burdens from deferred collections, reimbursing or backstopping missed payments, and expanded shutdown-triggered benefits (including risks if debt-limit breaches are treated as shutdowns).
Lenders, landlords, insurers, and servicers face delayed payments, lost revenue, increased administrative and compliance costs, and criminal-liability risks for enforcement actions during covered periods, which could be passed on to consumers through higher prices or tighter underwriting.
Courts and government agencies will likely see substantial increases in filings, stay requests, and adjudications (including material-effect determinations), creating backlogs, slower case resolution, and higher administrative costs for taxpayers and litigants.
Based on analysis of 13 sections of legislative text.
Gives federal workers harmed by a shutdown temporary stays or deferrals of taxes, insurance cancellations, evictions, foreclosures, lien enforcement, and student loan collections, with court oversight.
Introduced October 8, 2025 by Brendan Francis Boyle · Last progress October 8, 2025
Provides temporary legal and financial relief to Federal employees (including contractor employees) whose ability to pay is materially harmed by a Federal government shutdown. It allows deferral of certain tax collections, pauses interest and penalties, stops or delays evictions, foreclosures, lien enforcement, insurance lapses, and student loan collections while a shutdown is underway and for a short period afterward, and gives courts authority to stay or adjust civil obligations. The Attorney General and private parties can enforce the law, and knowing violations carry civil penalties and possible criminal sanctions.