H.R. 7833 — Puerto Rican People’s Power Restoration Act of 2026

This section modifies the termination criteria for a PROMESA Oversight Board by providing that the Board shall terminate the day after the enactment, by the Commonwealth of Puerto Rico on or after the date of enactment of this section, of legislation designating or establishing a successor entity to the Board, notwithstanding the existing requirements for certification of adequate credit access and four consecutive fiscal years of balanced budgets under modified accrual accounting standards. (As background, the Oversight Board—established by the Puerto Rico Oversight, Management, and Economic Stability Act—was created to oversee Puerto Rico's fiscal plan, budget, and restructuring amid its public debt crisis.)

This section revises the designation of the Oversight Board as representative of the debtor in cases under PROMESA Title VI (48 U.S.C. 2175(b)) by establishing an exception for the Puerto Rico Electric Power Authority (PREPA). On and after the date of enactment of applicable Puerto Rico legislation designating or establishing an entity as described in section 209(b), PREPA, its governing board, or other specified successor entity serves as the debtor representative for all such cases initiated on or after that date, and all professionals, advisors, and counsel previously engaged by the Oversight Board are retained by the substitute representative unless the legislation explicitly provides otherwise.

This section provides rules of construction clarifying that the amendments made by this Act do not (1) alter confirmation requirements under section 314 of the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA); (2) invalidate any fiscal plan or budget certified before enactment until modified by a representative substituted per section 3 of this Act or by plan of adjustment confirmation; or (3) affect the jurisdiction of the U.S. District Court for the District of Puerto Rico under section 306 of PROMESA.