U.S. Sen. Thom Tillis (R-NC) on Tuesday proposed a bill that would protect American consumers from price-gouging during nationally declared emergencies.
“Low-life price gougers who try to rip-off their fellow Americans and our medical professionals need to be criminally prosecuted to the fullest extent of the law,” Sen. Tillis said. “My bill will make them think twice before they try to price gouge Americans during an emergency, and if they still try to price gouge, my bill will hold them accountable.”
Sen. Tillis sponsored the Ending Price-Gouging During Emergencies Act, S. 3574, to punish price gougers and help ensure that prices for critically needed goods cannot rise to excessive levels during a nationally declared state of emergency, according to a one-page summary of the bill provided by his office.
If enacted, S. 3574 would authorize the Federal Emergency Management Agency (FEMA) to identify lists of goods and services deemed necessary for disaster response and recovery following an emergency declaration made by the president under the Stafford Act.
Additionally, the bill would authorize fines and penalties for an individual or business if they attempt to price gouge an item or service on FEMA’s lists by charging a price that “grossly exceeds” the item’s previous price before the emergency declaration, or at a price that “grossly exceeds” the average price of the same or similar product or service offered by other retailers, according to the bill summary.
The bill also would direct the Federal Trade Commission and the U.S. Attorney General to investigate and prosecute price gougers based on the percent price increase from the average price of the good two weeks prior to the president’s Stafford Act declaration, the summary says.
“I’ve heard from North Carolina families and medical professionals about shady individuals and businesses who are trying to exploit the coronavirus pandemic to personally profit and rip-off North Carolinians. Price gougers are even using the current shortage of masks and medical supplies to rip off our health care providers, offering these vital goods at exorbitant, marked-up prices,” said Sen. Tillis. “Enough is enough.”