H.R.886 - Beat Bad Bureaucrats Act (119th Congress)
Summary
H.R.886, the Beat Bad Bureaucrats Act, aims to protect Social Security benefits from garnishment by the Small Business Administration (SBA) in cases of identity theft related to covered loans. The bill specifically targets individuals whose names were fraudulently used to obtain SBA loans. It requires the SBA to revise its rules to include information on reporting identity theft.
Expected Effects
The Act will prevent the SBA from garnishing Social Security benefits from individuals who are victims of identity theft related to SBA loans. This provides financial relief to those wrongly burdened with debt. The revision of SBA rules will also increase awareness and reporting of identity theft.
Potential Benefits
- Protects vulnerable individuals from financial hardship due to identity theft.
- Ensures Social Security benefits are not unjustly garnished.
- Increases awareness of identity theft reporting procedures within the SBA.
- Provides a mechanism for victims of identity theft to seek relief.
- Potentially reduces the burden on victims to prove their innocence in debt recovery processes.
Potential Disadvantages
- May create a loophole for individuals to falsely claim identity theft to avoid loan repayment.
- Could increase administrative burden on the SBA to investigate identity theft claims.
- Potential for increased fraud if the identity theft reporting process is not robust.
- May require additional resources for the SBA to implement and enforce the new regulations.
- The exception clause in subsection (b) could be used to deny legitimate claims.
Constitutional Alignment
The bill appears to align with the general welfare clause of the Constitution, as it seeks to protect vulnerable individuals from financial hardship. It does not appear to infringe upon any specific constitutional rights or limitations. The bill falls under the legislative powers granted to Congress under Article I, Section 8, which includes the power to regulate commerce and enact laws necessary and proper for carrying out its enumerated powers.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).