Legislation PROPOSED BY JONATHON MOSELEY, AMERICANS FOR THE TRUMP AGENDA, to be enacted by the U.S. Senate in 2020

Calendar No. _____


SR. ____

June ____, 2020

Sponsor: __________________________


To promote the economic recovery of the United States of America after a natural disaster created by the spread of disease, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,




WHEREAS, the economy of the United States of America has been severely damages by efforts to control and restrain the spread and damage from a new disease that suddenly arose that has been termed COVID-19 which has characteristics of spreading quickly and easily among humans, which sometimes results in a catastrophic spiral often resulting in death which medical researchers now believe is related to a “cytokine storm” in which the immune system causes mass death in sensitive tissue like the lining of the lungs, and about which medical professionals and government officials knew little at first, and

WHEREAS, the nation, its people, their prosperity, and the economy have been greatly harmed through no fault of their own by plans to shut down social interactions and economy commerce to try to limit the spread of the disease especially when medical professionals were just learning about the nature an behavior of the disease, and

WHEREAS, total nonfarm payroll employment in the United States fell by 20.5 million in April, and the unemployment rate rose to 14.7 percent, the U.S. Bureau of Labor Statistics” reported on May 8, and

WHEREAS, the U.S. economy is in severe danger of slipping in to a recession or depression, although swift and effective action should be able to prevent those consequences if the Congress and Executive Branch work effectively to heal our economy just as we work to heal the people afflicted by the disease, and

WHEREAS, because of the partial shut down of the U.S. economy mandated to prevent the spread of the COVID-19 disease, many businesses have not received payment for their invoices and services, because of a cascading liquidity challenge of their own clients not being paid or not able to work for an income, and

WHEREAS, landlords and mortgage lenders were stopped from undertaking evictions or foreclosures, but once the economy reopens and those freezes are lifted, some business and residential tenants and mortgage borrowers will face probably 2 to 5 months of overdue rent or mortgage payments, which many will be unable to bring current instantly, leading to homelessness and business interruption just as the economy is struggling to get strong again, and

WHEREAS, utility companies were stopped from shutting off water, electricity, natural gas, and internet, but once the economy reopens and those freezes are lifted, some business and residential tenants and mortgage borrowers will face probably 2 to 5 months of overdue utility bills, which many will be unable to bring current instantly, putting some businesses and residential renters or homeowners in the dark with no electricity or water just as we are trying to get the economy restarted, and
WHEREAS, the United States of America has the creditworthy financial strength to hold invoices and receivables for a much longer time period than struggling small businesses, and

WHEREAS, small businesses in particular often cannot survive carrying unpaid invoices and receivables for long periods of time, and

WHEREAS, when small businesses in particular are able to spend money in the conduct of their businesses, this activity stimulates and sustains the economy including through the economic “multiplier effect” taught by economists, and

WHEREAS, the U.S. Treasury has donated generously to sustain and heal the U.S. economy, but the U.S. Treasury’s ability to donate money is limited, and

WHEREAS, after the Savings & Loan crisis, the government created a private corporation backed by the U.S. Treasury, called the Resolution Trust Corp. The RTC took over failing banks and slowly liquidated their assets at opportune times, and

WHEREAS during the 2008 mortgage crisis bailouts, allegedly the U.S. Treasury turned a profit eventually when the government sold the stock it acquired in the bail outs at a time of distress (at low prices) and then sold them after the economy had grown healthy (at high stock prices).



(a) The creation of a quasi-governmental corporation with the suggested name of the “U.S. Receivables Liquidity Corporation” (RLC) is hereby authorized.

(b) The Secretary of the U.S. Treasury with the assistance of his subordinate officers shall take all necessary actions to establish the RLC as a government sponsored or quasi-governmental corporation. On consultation between the Small Business Administration and the Treasury, the RLC may be established as a project sponsored and overseen by the Small Business Administration if in their judgment it is a practical plan for success.

(c) The goals and mission of the RLC shall be to provide liquidity to the economy and help restart the U.S. economy by purchasing from private businesses, public utilities, local governments, governmental corporations, and the like unpaid accounts receivable, invoices, distressed property, overdue mortgage or other loan payments, and the like.

(d) The RLC shall develop clear standards and guidance to prioritize businesses, utilities, and the like most at risk from carrying unpaid invoices and accounts receivable. The RLC should also consider whether the debtor owing the invoices or accounts receivables would be economically harmed by collection activity. The RLC shall publicize such guidance and standards in advance of any application by any party to sell its invoices, accounts receivable, distressed property, overdue mortgage or other loan payments, etc.

(e) Purchase of the invoices or receivables or distressed property by the RLC shall operate as an assignment or factoring of the same such that payment will be owed to the RLC and the RLC shall have all rights that the creditor had for collection, restructuring, novation, agreements, or any other contractual or financial transaction rights, including the right of resale.

(f) The RLC shall establish rules for purchasing invoices, receivables or distressed property from a creditor to whom they are owed by a debtor, such that the debtor must agree to

(i) waive rights to discharge that particular debt in any bankruptcy unless the RLC decides on application to relinquish that right on showing of hardship,

(ii) provide the owner’s personal guarantee if the amount is owed by a business,

(iii) waive the statute of limitations with respect to the RLC,

(iv) consent to deduction from tax refunds,

(v) certify that they do not dispute the debt or identify to what extent (in what amount and for what reason) the receivable or invoice is disputed, and

(vi) add interest if the invoice or receivable originally did not provide for it, at a rate not to exceed the highest interest rate charged by the Small Business Administration for loans to small businesses.

(g) In return for such agreements in the foregoing paragraph the debtor shall receive a grace period of at least one year or more before having to start repaying the invoice(s) (with a possible hardship extension if circumstances warrant on application). The debtor shall be entitled to enter into a reasonable installment plan which is feasible under the circumstances to pay back the amount over time with the first payment due no earlier than the conclusion of the one year grace period.

(h) If the debtor who owes the invoice or receivable to the creditor which is being sold to the RLC does not agree to the terms they would remain subject to immediate collection action from the RLC to the same extent as previously to the creditor.

(i) If the Director of the RLC upon considered evaluation and evaluation of the available funds decides, after applying priorities established by the Director, that purchases of invoices, accounts receivable, distress property, overdue mortgage or other loan payments, or the like would promote economic recovery, the RLC may include in its operations debts that existed before the start of the COVID-19 crisis or which were created or incurred after the economy has reopened. The mission of the RLC is to promote the liquidity needed for the economy to recover in general by helping businesses to survive, keep operating, and keep participating in economic activity.

(j) The RLC shall have a life of no more than ten (10) years unless renewed by the Congress, with the purchase of assets, invoices, receivables, distressed property, etc. limited to being conducted during the next three (3) years after the passage of this legislation, and the collection on invoices or accounts receivable and disposition of property acquired to be concluded during the subsequent seven (3) years.

(k) The RLC shall return to the funding sources the proceeds of eventual collections and disposition of assets including as it winds up at the end of its life.

(l) If the Director of the RLC, after consultation with the Secretary of the Treasury Department and after considering any correspondence solicited or unsolicited, finds that there are private financial institutions which could be engaged to perform some or all of this work but which the RLC would compete with unfairly to the detriment of the private sector, on terms consistent with the goals of the RLC, the Director of the RLC may carry out some or all of its activities by engaging such private financial institutions at the Director’s reasoned and professional judgment and discretion.


For the purposes of funding the Receivables Liquidity Corporation authorized and created under this Act,

(a) A Congressional authorization of funding from the U.S. Treasury of $50 billion is authorized for this purpose, subject to the appropriations process of the U.S. Congress.

(b) The RLC is authorized to borrow funds from the Federal Reserve in the same manner as a nationally-charttered bank or other financial institution in the amount deemed appropriate by the Federal Reserve. Repayment to the Federal Reserve from funds recovered by the RLC shall take precedence over payment of funds recovered to the U.S. Treasury.

(c) The RLC shall have the power to borrow money generally. Repayment to general lenders from the funds collected by the RLC shall take precedence over repayment of funds to the U.S. Treasury or Federal Reserve.

(d) The Secretary of the Treasury with the assistance of the Internal Revenue Service shall establish by regulation the ability of lenders to buy bonds or provide loans to the RLC on tax advantaged terms recognizing that such lenders may not receive repayment in full but may benefit largely through tax benefits of the program, drawing on the Treasury’s expertise and experience with past tax advantaged programs.

Legislation PROPOSED for passage by the U.S. Congress, by DEBT COLLECTION ATTORNEY JONATHON MOSELEY. (703) 656-1230

Available and interested to help set up and operate this project as a former U.S. Government employee with vested automatic life-time reinstatement rights

One comment

  1. Tracy McAdams says:

    From what I understand of this it would be helpful once all of the practices that were implemented are no longer in effect. However, providers that HAVE shut off utilities and basic internet for families with school age children should be fined and all late charges caused by the effects of the pandemic should be dismissed. Basically allowing families to start where they left off rather than having the added late fees which, in some cases, are in excess of thousands of dollars.

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