[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3609 Introduced in House (IH)]







110th CONGRESS
  1st Session
                                H. R. 3609

      To amend title 11 of the United States Code with respect to 
  modification of certain mortgages on principal residences, and for 
                            other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 20, 2007

  Mr. Miller of North Carolina (for himself, Ms. Linda T. Sanchez of 
 California, Mr. Frank of Massachusetts, Mrs. Maloney of New York, and 
  Mr. Watt) introduced the following bill; which was referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
      To amend title 11 of the United States Code with respect to 
  modification of certain mortgages on principal residences, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Emergency Home Ownership and 
Mortgage Equity Protection Act of 2007''.

SEC. 2. DETERMINATION OF SECURED STATUS.

    Section 506(b) of title 11, the United States Code, is amended by 
adding at the end the following:
``While a case is pending, no fee, costs, or charges may be added to a 
debt that is provided for in a chapter 13 plan and is secured by the 
debtor's principal residence unless the holder of the secured claim 
gives timely notice of such fee, costs, or charge to the debtor and to 
the trustee.''.

SEC. 3. LIMITATION OF 1978 EXEMPTION THAT PREVENTS FEDERAL BANKRUPTCY 
              COURTS FROM MAKING MODIFICATIONS TO THE TERMS OF A 
              MORTGAGE ON A DEBTOR'S PRINCIPAL RESIDENCE.

    Section 1322(b)(2) of title 11, United States Code, is amended by 
striking ``, other than a claim secured only by a security interest in 
real property that is the debtor's principal residence,''.

SEC. 4. MODIFICATION OF CLAIMS SECURED BY DEBTOR'S PRINCIPAL RESIDENCE.

    (a) Contents of Plan.--Section 1322(b) of title 11, the United 
States Code, is amended--
            (1) in paragraph (10) by striking ``and'' at the end,
            (2) by redesignating paragraph (11) as paragraph (12), and
            (3) by inserting after paragraph (10) the following:
            ``(11) provide for payment of allowed claims secured by the 
        debtor's principal residence consistent with section 
        1325(a)(5), over a period exceeding the period permitted under 
        section 1322(d); and''.
    (b) Confirmation of Plan.--Section 1325(b)(5) of title 11, the 
United States Code, is amended by inserting ``except as otherwise 
provided in section 1322(b),'' after ``(5)''.

SEC. 5. ELIMINATION OF CREDIT COUNSELING REQUIREMENT FOR CHAPTER 13 
              DEBTORS FACING FORECLOSURE.

    Section 109(h) of title 11, United States Code, is amended by 
adding at the end the following:
    ``(5) The requirements of paragraph (1) shall not apply with 
respect to a debtor in a case under chapter 13 who submits to the court 
a certification that the holder of a claim secured by the debtor's 
principal residence has initiated a judicial or non-judicial 
foreclosure on the debtor's principal residence.''.

SEC. 6. CONFIRMATION OF PLAN.

    Section 1325(a) of title 11, the United States Code, is amended--
            (1) in paragraph (8) by striking ``and'' at the end,
            (2) in paragraph (9) by striking the period at the end and 
        inserting ``; and'', and
            (3) by inserting after paragraph (9) the following:
            ``(10) notwithstanding paragraph (5)(B)(i)(I), the holder 
        of a claim that is paid pursuant to section 1322(b)(11) shall 
        retain the lien securing such claim until payment of such 
        claim.''.

SEC. 7. DISCHARGE.

    Section 1328 of title 11, the United States Code, is amended--
            (1) in subsection (a)--
                    (A) by inserting ``(other than payments to holders 
                of allowed claims provided for under section 
                1322(b)(11)'' after ``paid'' the 1st place it appears, 
                and
                    (B) in paragraph (1) by inserting ``or 
                1322(b)(11)'' after ``1322(b)(5)'', and
            (2) in subsection (c)(1) by inserting ``or 1322(b)(11)'' 
        after ``1322(b)(5)''.
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