This bill would amend the War Hazards Compensation Act and the Longshore and Harbor Workers’ Compensation Act so the federal government must pay interest when reimbursement payments are made late. The change is aimed at workers, employers, insurers, and other parties that rely on timely repayment under those compensation systems. In practical terms, the bill would add a financial penalty for delayed federal reimbursements and could make the government bear some of the cost of late payment. It is a targeted administrative change rather than a broad rewrite of either compensation program.
What This Bill Does
- Requires interest on late federal reimbursements under the War Hazards Compensation Act.
- Applies to reimbursement timing in the Longshore and Harbor Workers’ Compensation Act.
- Creates a financial penalty when the federal government pays late.
- Does not expand eligibility for compensation benefits; it changes payment timing rules.
Who This Bill Affects
If you are an employer, insurer, or other party waiting on reimbursement under the War Hazards Compensation Act or the Longshore and Harbor Workers’ Compensation Act, this bill would help by requiring the federal government to pay interest when it is late. That means delayed payments would become more expensive for the government and more financially fair to the recipient, but it would not change eligibility or benefit levels for the underlying compensation programs. For most people outside those systems, the bill would have no direct day-to-day effect.
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- Employers that advance compensation payments These employers want the government to repay them promptly when reimbursement is owed. Interest on late payments helps cover financing costs and prevents businesses from being punished for delays they did not cause.
- Workers’ compensation insurers Insurers argue that timely reimbursement is part of basic claim administration. If the government pays late, interest makes the delay less costly to the recipient and encourages faster processing.
- Longshore industry employers Companies in ports and maritime work often operate on tight cash flow and complex claim systems. They may support the bill because it reduces the burden of waiting for federal repayment in cases covered by the compensation laws.
- Federal budget watchdogs They may object that the bill adds another mandatory cost to federal payments. Even small interest obligations can add up if reimbursements are routinely delayed, increasing pressure on federal spending.
- Agency administrators Administrators may worry that a statutory interest requirement creates more litigation and compliance pressure around reimbursement timing. That could make claim processing more formal and costly if deadlines are missed.
- Taxpayers Some taxpayers may see the bill as shifting the financial consequences of administrative delay onto the public. They may prefer stronger internal agency processing rules instead of paying interest from federal funds.
Key Implications
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““require that the Federal government pay interest on late reimbursements””
This is the core change: if a reimbursement is paid after it is due, the government would owe extra money for the delay. In real terms, that compensates the recipient for lost time value and makes late payment more costly for the federal government.
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““amend the War Hazards Compensation Act””
This would affect reimbursement rules tied to injuries or deaths connected to war hazards. The practical impact is limited to the specialized parties who file or receive payments under that program.
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““and the Longshore and Harbor Workers’ Compensation Act””
This extends the same late-payment rule to a separate workers’ compensation framework used in maritime and harbor-related employment. Employers and insurers in those sectors are the main entities that would notice the change.
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““and for other purposes””
This standard legislative phrase leaves room for related technical changes during the legislative process. In practice, it signals that the bill could be adjusted with additional clarifying or administrative provisions.
Official Source & Bill Facts
BillBoard checks this page against public Congress.gov metadata, then adds plain-English analysis where available.
- Bill
- HR 9520
- Congress
- 119th Congress
- Official title
- To amend the War Hazards Compensation Act and the Longshore and Harbor Workers' Compensation Act to require that the Federal government pay interest on late reimbursements, and for other purposes.
- Policy area
- Labor & Employment
- Latest action
- Referred to the House Committee on Education and Workforce. (June 29, 2026)
- Last updated
- June 30, 2026
Latest Status
June 29, 2026
Referred to the House Committee on Education and Workforce.
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Ask AI about this billData sourced from api.congress.gov.