ENGROSSED ORIGINAL
1
A BILL 1
2
25-118 3
4
IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 5
6
________________ 7
8
9
To amend Chapter 38 of Title 28 of the District of Columbia Official Code to require credit 10
reporting agencies to accept a personal statement from a consumer indicating the 11
consumer experienced financial hardship resulting from a public health emergency; to 12
prohibit users of credit reports from taking into consideration adverse information in a 13
report that was the result of the consumer’s action or inaction that occurred during the 14
public health emergency; to require credit reporting agencies to notify residents of the 15
right to request a personal statement; and to provide for a civil action for violations of 16
these requirements. 17
18
BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 19
act may be cited as the “Public Health Emergency Credit Alert Amendment Act of 2023”. 20
Sec. 2. Chapter 38 of Title 28 of the District of Columbia Official Code is amended as 21
follows: 22
(a) The table of contents is amended by adding a new subchapter designation to read as 23
follows: 24
“Subchapter IV. Public Health Emergency Credit Alert. 25
“28-3871. Public health emergency credit alert. 26
(b) Section 28-3861(2) is amended to read as follows: 27
“(2) “Credit report” means any written, oral, or other communication of any 28
information by a credit reporting agency bearing on a consumer’s creditworthiness, credit 29 ENGROSSED ORIGINAL
2
standing, credit capacity, character, general reputation, personal characteristics, or mode of 30
living, which is used or expected to be used or collected in whole or in part for the purpose of 31
serving as a factor in establishing the consumer’s eligibility for: 32
“(A) Credit or insurance to be used primarily for person, family, or household 33
purposes; 34
“(B) Employment purposes; or 35
“(C) Any other purpose authorized under the Fair Credit Reporting Act, approved 36
October 26, 1970 (84. Stat. 1127; 15 U.S.C. § 1681 et seq.).”. 37
(c) A new subchapter IV is added to read as follows: 38
“Subchapter IV. Public Health Emergency Credit Alert. 39
Ҥ 28-3871. Public health emergency credit alert. 40
“(a)(1) If a consumer reports in good faith that the consumer has experienced financial 41
hardship resulting directly or indirectly from a public health emergency declared pursuant to § 7-42
2304.01, a credit reporting agency maintaining a file on the consumer shall accept and include in 43
that file a personal statement furnished by the consumer indicating that the consumer has been 44
financially impacted by the public health emergency. 45
“(2) A credit reporting agency shall provide that personal statement, along with 46
any credit report provided by the agency, beginning on the date the credit reporting agency 47
receives the personal statement, unless the consumer requests that the personal statement be 48
removed. 49 ENGROSSED ORIGINAL
3
“(b) This section shall not apply to a federal credit union, as defined by 12 U.S.C. § 50
1752(1), a national bank, as defined by 12 U.S.C. § 25b(a)(1), or a federal savings association, as 51
defined by 12 U.S.C. § 1462(3); except, that an exception granted by this subsection shall not 52
apply to any entity to which the savings clause at 12 U.S.C. § 25b(b)(2) applies. 53
“(c)(1) No user of a credit report shall consider adverse information in a report that was 54
the result of an action or inaction of a consumer that occurred during, and was directly or 55
indirectly the result of, a public health emergency declared pursuant to § 7-2304.01, if: 56
(A) The credit report includes a personal statement pursuant to subsection 57
(a) of this section; or 58
(B) The consumer provides a written statement to the user of a credit 59
report that indicates in good faith that the consumer has experienced financial hardship resulting 60
directly or indirectly from the public health emergency declared pursuant to § 7-2304.01, before 61
the user of the credit report makes a determination. 62
“(2) If the consumer receives a denial or rejection by the user of a credit report 63
due to adverse information that was the result of an action or inaction of a consumer that 64
occurred during, and was directly or indirectly the result of, the public health emergency 65
declared pursuant to § 7-2304.01, the user must inform the consumer of the consumer’s right to 66
provide a written statement pursuant to paragraph (1) of this subsection. 67 ENGROSSED ORIGINAL
4
“(d) When a District resident requests a copy of a credit report pursuant to 15 U.S.C. § 68
1681j, the entity providing the credit report must notify the resident of the right to request that a 69
personal statement accompany the credit report as set forth in subsection (a) of this section. 70
“(e) If a credit reporting agency willfully fails to comply with any requirement imposed 71
under this section, the affected consumer may bring a civil action against the agency in the 72
Superior Court for the District of Columbia to recover:. 73
“(1) Any actual damages sustained by the consumer as a result of the failure or 74
damages of not less than $100 and not more than $1,000; 75
“(2) Such amount of punitive damages as the court may allow; and 76
“(3) In the case of any successful action brought under this subsection, the costs 77
of the action together with reasonable attorney’s fees as determined by the court. 78
“(f)(1) The Attorney General may petition the Superior Court of the District of Columbia 79
to obtain temporary or permanent injunctive relief prohibiting the use of a method, practice, or 80
act that violates this section and requiring the violator to take affirmative action, including the 81
restitution of money. 82
“(2) In addition, in an action under this subsection, the Attorney General may 83
recover: 84
“(A) A civil penalty not to exceed $1,000 for each violation of this 85
section; and 86
“(B) Reasonable attorney’s fees and costs of the action. 87 ENGROSSED ORIGINAL
5
“(g) The following terms shall have the same meaning as set forth in § 28-3861: 88
“(1) “Consumer”; 89
“(2) “Credit report”; and 90
“(3) “Credit reporting agency”. 91
“(h) This section shall not be construed in a manner inconsistent with the Fair Credit 92
Reporting Act, approved October 26, 1970 (84. Stat. 1127; 15 U.S.C. § 1681 et seq.), or any 93
other federal law or regulation.”. 94
Sec. 3. Fiscal impact statement. 95
The Council adopts the fiscal impact statement in the committee report as the fiscal 96
impact statement required by section 4a of the General Legislative Procedures Act of 1975, 97
approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a). 98
Sec. 4. Effective date. 99
This act shall take effect following approval by the Mayor (or in the event of veto by the 100
Mayor, action by the Council to override the veto), a 30-day period of congressional review as 101
provided in sections 602(c)(1) of the District of Columbia Home Rule Act, approved December 102
24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)), and publication in the District of 103
Columbia Register. 104