S 1774 Introduced to Advance Chapter 9 Bankruptcy for Puerto Rico
Sharon Edmondson, Washington Legislative Team Member | July 22, 2015
Rep. Marino (R-PA), chairman of the House Judiciary Subcommittee on Regulatory Reform Commercial and Antitrust Law, is interested in advancing HR 870, a bill which would allow Puerto Rico’s government agencies to seek bankruptcy protection.
Rep. Pelosi (D-CA) supports the bill and is continuing to work to get the legislation to the House floor since Congress is back in full swing from the July 4 recess.
In related action in the Senate, Senator Blumenthal (D-Conn) introduced S 1774, a bill to amend title 11 of the US Code to treat Puerto Rico as a State for purposes of chapter 9 of such title relating to the adjustment of debts of municipalities, as a companion bill to HR 870. A copy of the Senate bill can be viewed here. The White House, which is not contemplating any bailout for Puerto Rico, urged Congress to examine the Chapter 9 legislation which has been introduced in both chambers of Congress.