Connecticut Senate Bill SB00437

Connecticut 2019 Regular Session

• Introduced: 1/23/19
• Refer: 1/23/19

Caption

An Act Protecting Homeowners Who Face Foreclosure As A Result Of The Federal Government Shutdown.

Impact

If enacted, SB00437 will amend chapter 846 of the general statutes. This amendment would establish specific protections for homeowners facing foreclosure due to circumstances beyond their control, namely federal government disruptions. By providing these protections, the bill aims to ensure that families are not unjustly displaced from their homes during periods when they face unexpected and severe financial distress caused by federal actions. Such legislative action may also foster a broader conversation about the vulnerability of homeowners in economic crises.

Summary

SB00437, titled 'An Act Protecting Homeowners Who Face Foreclosure As A Result Of The Federal Government Shutdown', aims to provide legal protections for homeowners who are at risk of foreclosure due to financial difficulties arising from a federal government shutdown. The bill is introduced in response to the economic hardships faced by families whose incomes were impacted when the government ceased operations. This legislation seeks to mitigate the effects of such shutdowns on housing stability and provide a safety net for affected homeowners.

Contention

While the bill may be seen as a necessary intervention for protecting citizens during prolonged government shutdowns, it could also spark debate on the extent of state involvement in housing matters and the implications for mortgage lenders. Opponents may argue that such interventions might lead to complexities in foreclosure proceedings or put undue burdens on lenders. It is also critical to consider how these protections will be funded and whether they will inadvertently encourage fiscal irresponsibility among homeowners, potentially leading to more significant long-term housing market challenges.