By Bob Katzen

The House gave initial approval to a bill that amends a current law which provides that a non-profit group lose its civil liability protection if it pays any amount of stipend to a board member. The bill would allow the non-profit to retain its civil liability protection as long as the stipend is not more than $500.

Sponsor Rep. Alice Peisch (D-Wellesley) noted that federal law currently allows this $500 stipend. “This change would allow nonprofits to provide board members with this modest stipend, facilitating their service and improving board representation,” said Peisch.

DEBT COLLECTION PRACTICES (H 4429) – The House gave initial approval to a bill that would make some changes in the current state laws about debt collection practices.

The measure includes increasing from 85 percent to 90 percent the percentage of a person’s wages that is protected from garnishment. Another provision reduces from the current 12 percent to 3 percent the maximum interest rate that can be charged for judgements issued after 2024.

Supporters said the bill would help people to eventually pay off their debts without being overburdened by them and will ensure that no one in Massachusetts will be imprisoned for failure to pay a consumer debt.

“The [measure] creates common-sense consumer protections to prevent wage garnishment, reduce interest rates on debts and keep more money in the pockets of working families,” said co-sponsor Rep. Christine Barber (D-Somerville.)

Co-sponsor Rep. Tram Nguyen (D-Andover) did not respond to repeated requests by Beacon Hill Roll Call asking her to comment on the passage of her bill.