Hogan Order Prohibits Garnishment of New Federal Stimulus Payments

Governor Larry Hogan this week issued an emergency order prohibiting garnishment of Economic Impact Payments provided under H.R. 1319, the American Rescue Plan Act of 2021. As previously reported on Conduit Street, the American Rescue Plan Act of 2021 includes direct payments of up to $1,400 to most Americans.

“For more than a year now, COVID-19 has caused incredible hardships for the people of our nation and our state,” said Governor Hogan. “This funding is intended to support working families and struggling Marylanders, and we are committed to doing everything possible to protect this much-needed relief for those who need it most.”

According to a press release:

The governor’s order provides that (1) American Rescue Plan Act Economic Impact Payments are exempt from, and shall not be subject to, garnishment; and (2) all financial institutions are ordered to consider these payments as protected and cannot be subject to a court-ordered garnishment.

In April, the governor issued an emergency order prohibiting garnishments of CARES Act Recovery Rebates.

Visit the Governor’s website for more information.

Useful Links

Previous Conduit Street Coverage: $1.9 Trillion American Rescue Plan: State and Local Effects

Governor Hogan’s Emergency Order