[Congressional Record Volume 142, Number 117 (Friday, August 2, 1996)]
[Senate]
[Pages S9664-S9666]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              BANKRUPTCY TECHNICAL CORRECTIONS ACT OF 1996

  Mr. STEVENS. Mr. President, I ask unanimous consent that the Senate 
proceed to the consideration of calendar No. 434, S. 1559.
  The PRESIDING OFFICER. The clerk will report.
  The assistant legislative clerk read as follows:

       A bill (S. 1559) to make technical corrections to title 11, 
     United States Code, and for other purposes.

  The PRESIDING OFFICER. Is there objection to the immediate 
consideration of the bill?
  There being no objection, the Senate proceeded to consider the bill, 
which had been reported from the Committee on the Judiciary, with an 
amendment to strike all after the enacting clause and insert in lieu 
thereof the following:
       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 ``Bankruptcy Technical 
     Corrections Act of 1996''.

     SEC. 2. DEFINITIONS.

       Section 101 of title 11, United States Code, is amended--
       (1) by striking ``In this title--'' and inserting ``In this 
     title:'';
       (2) in paragraph (51B)--
       (A) by inserting ``family farms or'' after ``other than''; 
     and
       (B) by striking all after ``thereto'' and inserting a 
     semicolon;
       (3) by reordering the paragraphs so that the terms defined 
     in the section are in alphabetical order and redesignating 
     the paragraphs accordingly;
       (4) in paragraph (37)(B) (defining insured depository 
     institution), as redesignated by paragraph (3) of this 
     section, by striking ``paragraphs (21B) and (33)(A)'' and 
     inserting ``paragraphs (23) and (35)(A)'';
       (5) in each paragraph, by inserting a heading, the text of 
     which is comprised of the term defined in the paragraph;
       (6) by inserting ``The term'' after each paragraph heading; 
     and
       (7) by striking the semicolon at the end of each paragraph 
     and ``; and'' at the end of paragraphs (35) and (38) and 
     inserting a period.

     SEC. 3. ADJUSTMENT OF DOLLAR AMOUNTS.

       Section 104 of title 11, United States Code, is amended by 
     inserting ``522(f)(3),'' after ``522(d),'' each place it 
     appears.

     SEC. 4. COMPENSATION TO OFFICERS.

       Section 330(a) of title 11, United States Code, is 
     amended--
       (1) in paragraph (1), by inserting ``, or the debtor's 
     attorney'' after ``1103''; and
       (2) in paragraph (3), by striking ``(3)(A) In'' and 
     inserting ``(3) In''.

     SEC. 5. EFFECT OF CONVERSION.

       Section 348(f)(2) of title 11, United States Code, is 
     amended by inserting ``of the estate'' after ``property'' the 
     first place it appears.

     SEC. 6. EXECUTORY CONTRACTS AND UNEXPIRED LEASES.

       Section 365 of title 11, United States Code, is amended--
       (1) in subsection (c)--
       (A) in paragraph (2), by adding ``or'' at the end;
       (B) in paragraph (3), by striking ``or'' at the end and 
     inserting a period; and
       (C) by striking paragraph (4);
       (2) in subsection (d), by striking paragraphs (5) through 
     (9); and
       (3) in subsection (f)(1), by striking ``; except that'' and 
     all that follows through the end of the paragraph and 
     inserting a period.

     SEC. 7. ALLOWANCE OF ADMINISTRATIVE EXPENSES.

       Section 503(b)(4) of title 11, United States Code, is 
     amended by inserting ``subparagraph (A), (B), (C), (D), or 
     (E) of'' before ``paragraph (3)''.

     SEC. 8. PRIORITIES.

       Section 507(a)(7) of title 11, United States Code, is 
     amended by inserting ``unsecured'' after ``allowed''.

     SEC. 9. EXEMPTIONS.

       Section 522 of title 11, United States Code, is amended--
       (1) in each of subsections (b)(1) and (d)(10)(E), by 
     striking ``unless'' and inserting ``but only to the extent 
     that'';
       (2) in subsection (f)(1)(A)(ii)(II), by striking 
     ``support.;'' and inserting ``support;''; and
       (3) in subsection (g)(2), by striking ``subsection (f)(2)'' 
     and inserting ``subsection (f)(1)(B)''.

     SEC. 10. EXCEPTIONS TO DISCHARGE.

       Section 523(a)(3) of title 11, United States Code, is 
     amended by striking ``or (6)'' each place it appears and 
     inserting ``(6), or (15)'';

     SEC. 11. PROTECTION AGAINST DISCRIMINATORY TREATMENT.

       Section 525(c) of title 11, United States Code, is 
     amended--
       (1) in paragraph (1), by inserting ``student'' before 
     ``grant'' the second place it appears; and
       (2) in paragraph (2), by striking ``the program operated 
     under part B, D, or E of'' and inserting ``any program 
     operated under''.

     SEC. 12. PROPERTY OF THE ESTATE.

       Section 541(b)(4)(B)(ii) of title 11, United States Code 
     (as added by section 208(b) of the Bankruptcy Reform Act of 
     1994), is amended by inserting ``365 or'' before ``542''.

     SEC. 13. LIMITATIONS ON AVOIDING POWERS.

       Subsection (g) of section 546 of title 11, United States 
     Code, as added by section 222(a) of the Bankruptcy Reform Act 
     of 1994 (108 Stat. 4129), is redesignated as subsection (h).

     SEC. 14. LIABILITY OF TRANSFEREE OF AVOIDED TRANSFER.

       (a) In General.--Section 550(c) of title 11, United States 
     Code, is amended--
       (1) in paragraph (1), by striking ``avoided under section 
     547(b)'' and inserting ``avoidable under section 547''; and

[[Page S9665]]

       (2) in the matter following paragraph (2), by striking 
     ``recover under subsection (a) from a transferee that is not 
     an insider'' and inserting ``avoid under section 547 such 
     transfer, to the extent that such transfer was made for the 
     benefit of a transferee that was not an insider at the time 
     of such transfer, or recover under subsection (a) from a 
     transferee that was not an insider at the time of such 
     transfer''.
       (b) Conforming Amendment.--Section 547(b) of title 11, 
     United States Code, is amended by inserting ``or in section 
     550(c) of this title'' after ``subsection (c) of this 
     section''.

     SEC. 15. SETOFF.

       Section 553(b)(1) is amended by striking ``362(b)(14)'' and 
     inserting ``362(b)(17)''.

     SEC. 16. DISPOSITION OF PROPERTY OF THE ESTATE.

       Section 726(b) is amended by striking ``1009,''.

     SEC. 17. GENERAL PROVISIONS.

       Section 901(a) of title 11, United States Code, is amended 
     by inserting ``1123(d),'' after ``1123(b),''.

     SEC. 18. PAYMENTS.

       Section 1226(b)(2) is amended--
       (1) by striking ``1202(c) of this title'' and inserting 
     ``586(b) of title 28''; and
       (2) by striking ``1202(d) of this title'' and inserting 
     ``586(e)(1)(B) of title 28''.

     SEC. 19. DISCHARGE.

       Section 1228 of title 11, United States Code, is amended by 
     striking ``1222(b)(10)'' each place it appears and inserting 
     ``1222(b)(9)''.

     SEC. 20. CONTENTS OF PLAN.

       Section 1322 of title 11, United States Code, is amended--
       (1) in subsection (b), by striking ``(c)'' and inserting 
     ``(d)''; and
       (2) in subsection (e), by striking the comma after 
     ``default'' the second place it appears.

     SEC. 21. DISCHARGE.

       Section 1328(a) of title 11, United States Code, is amended 
     by striking all after ``except any debt--'' and inserting the 
     following:
       ``(1) provided for under section 1322(b)(5) of this title;
       ``(2) of the kind specified in paragraph (5), (8), or (9) 
     of section 523(a) of this title; or
       ``(3) for restitution, or a criminal fine, included in a 
     sentence on the debtor's conviction of a crime.''.

     SEC. 22. BANKRUPTCY REVIEW COMMISSION.

       Section 604 of the Bankruptcy Reform Act of 1994 (108 Stat. 
     4147) is amended--
       (1) by striking subsection (g); and
       (2) by redesignating subsection (h) as subsection (g).

     SEC. 23. APPOINTMENT OF TRUSTEE.

       Section 1104(b) of title 11, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(b)''; and
       (2) by adding at the end the following new paragraph:
       ``(2)(A) If an eligible, disinterested trustee is elected 
     at a meeting of creditors under paragraph (1), the United 
     States trustee shall file a report certifying that election. 
     Upon the filing of a report under the preceding sentence--
       ``(i) the trustee elected under paragraph (1) shall be 
     considered to have been selected and appointed for purposes 
     of this section; and
       ``(ii) the service of any trustee appointed under 
     subsection (d) shall terminate.
       ``(B) In the case of any dispute arising out of an election 
     under subparagraph (A), the court shall resolve the 
     dispute.''.

     SEC. 24. EXTENSIONS.

       Section 302(d)(3) of the Bankruptcy, Judges, United States 
     Trustees, and Family Farmer Bankruptcy Act of 1986 (28 U.S.C. 
     581 note) is amended--
       (1) in subparagraph (A), in the matter following clause 
     (ii), by striking ``October 1, 2002'' and inserting ``October 
     1, 2012''; and
       (2) in subparagraph (F)--
       (A) in clause (i)--
       (i) in subclause (II), by striking ``October 1, 2002'' and 
     inserting ``October 1, 2012''; and
       (ii) in the matter following subclause (II), by striking 
     ``October 1, 2003'' and inserting ``October 1, 2013''; and
       (B) in clause (ii), in the matter following subclause (II), 
     by striking ``October 1, 2003'' and inserting ``October 1, 
     2013''.

     SEC. 25. KNOWING DISREGARD OF BANKRUPTCY LAW OR RULE.

       Section 156(a) of title 18, United States Code, is amended 
     by striking ``case under this title'' and inserting ``case 
     under title 11''.

     SEC. 26. BANKRUPTCY CASES AND PROCEEDINGS.

       Section 1334(d) of title 28, United States Code, is 
     amended--
       (1) by striking ``made under this subsection'' and 
     inserting ``made under subsection (c)''; and
       (2) by striking ``This subsection'' and inserting 
     ``Subsection (c)''.

     SEC. 27. EFFECTIVE DATE OF AMENDMENTS.

       (a) In General.--Except as provided in subsection (b) of 
     this section, the amendments made by this Act shall apply to 
     all cases pending on the date of enactment of this Act or 
     commenced on or after the date of enactment of this Act.
       (b) Exception.--The amendment made by section 2(2)(B) of 
     this Act shall apply to all cases commenced on or after the 
     date of enactment of this Act.


          Amendments Nos. 5151, 5152, 5153, and 5154, En Bloc

  Mr. STEVENS. Mr. President, there are four amendments at the desk 
offered by Senators Heflin, Grassley, Kohl, and Coverdell. I ask that 
the amendments be considered en bloc.
  The PRESIDING OFFICER. Without objection, it is so ordered. The clerk 
will report.
  The assistant legislative clerk read as follows:

       The Senator from Alaska [Mr. Stevens] proposes amendments 
     numbered 5151, 5152, 5153, and 5154, en bloc.

  Mr. STEVENS. Mr. President, I ask unanimous consent that the reading 
of the amendments be dispensed with.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The amendments are as follows:


                           amendment no. 5151

                  (Purpose: To make technical changes)

       On page 9 of the Committee amendment, strike lines 11 
     through 17 and insert the following:
       (1) in subsection (f)(1)(A)--
       (A) in the matter preceding clause (i), by striking ``; 
     or'' at the end; and
       (B) in clause (ii), by striking the period at the end and 
     inserting ``; or''; and
       (2) in subsection (g)(2), by striking ``subsection (f)(2)'' 
     and inserting ``subsection (f)(1)(B)''.
                                                                    ____



                           amendment no. 5152

 (Purpose: To bolster criminal law enforcement of child support orders 
               in cases involving bankruptcy proceedings)

       At the appropriate place in the Committee amendment, insert 
     the following new section:

     SEC.   . ENFORCEMENT OF CHILD SUPPORT.

       Section 362(b)(1) of title 11, United States Code, is 
     amended by inserting before the semicolon the following: 
     ``(including the criminal enforcement of a judicial order 
     requiring the payment of child support)''.
                                                                    ____



                           amendment no. 5153

       At the appropriate place, insert the following new section:

     SEC.   . LIMITATION.

       Section 522 of title 11, United States Code, as amended by 
     section 9, is further amended--
       (1) in subsection (b)(2)(A), by inserting ``subject to 
     subsection (n),'' before ``any property''; and
       (2) by adding at the end the following new subsection:
       ``(n) As a result of electing under subsection (b)(2)(A) to 
     exempt property under State or local law, a debtor may not 
     exempt an aggregate interest of more than $500,000 in value 
     in--
       ``(1) real or personal property that the debtor or a 
     dependent of the debtor uses as a residence;
       ``(2) a cooperative that owns property that the debtor or a 
     dependent of the debtor uses as a residence; or
       ``(3) a burial plot for the debtor or a dependent of the 
     debtor.''.
                                                                    ____



                           amendment no. 5154

         (Purpose: To amend Title 11 of the United States Code)

     SECTION 1.

       ``Section 27'', on page 15, line 3, is redesignated 
     ``Section 28''.

     SEC. 2.

       On page 15, line 3 insert the following:

     ``SEC. 27. STANDING TRUSTEES.

       (a) Section 330 of Title 11 of the United States Code is 
     amended by adding to the end thereof the following:
       ``(e) Upon the request of a trustee appointed under Section 
     586(b) of Title 28, and after all available administrative 
     remedies have been exhausted, the district court in the 
     district in which the trustee resides shall have the 
     exclusive authority, notwithstanding Section 326(b) of this 
     title, to review the determination of the actual, necessary 
     expenses of the standing trustee. In reviewing the 
     determination, the district court shall accord substantial 
     deference to the determination made by the Attorney General, 
     and may reverse the determination only if the Attorney 
     General has abused his or her discretion.''
       (b) Section 324 of Title 11, United States Code, is amended 
     by adding to the end thereof the following:
       ``(c)(1) Notwithstanding any provision of Section 586 of 
     Title 28, in the event the United States Trustee ceases 
     assigning cases to a trustee appointed under Section 586(b) 
     of Title 28, the trustee, after exhausting all available 
     administrative remedies, may seek judicial review of the 
     decision in the district court in the district in which the 
     trustee resides. The district court shall accord substantial 
     deference to the determination made by the United States 
     Trustee, and may reverse the determination only if the United 
     States Trustee has abused his or her discretion.''
       ``(2) Notwithstanding any other provision of law, the 
     district court may order interim relief under this paragraph 
     only if the court concludes, viewing all facts most favorably 
     to the United States Trustee, that there was no basis for the 
     United States Trustee's decision to cease assigning cases to 
     the trustee. The denial of a request for interim relief shall 
     be final and shall not be subject to further review.''

  Mr. STEVENS. Mr. President, I ask unanimous consent that the 
amendments be considered agreed to, en bloc.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The amendments (Nos. 5151, 5152, 5153, and 5154) were agreed to, en 
bloc.
  Mr. STEVENS. Mr. President, I ask unanimous consent that the 
committee

[[Page S9666]]

substitute be agreed to, the bill be deemed read the third time and 
passed, as amended, the motion to reconsider be laid upon the table, 
and any statements relating to the bill appear at the appropriate place 
in the Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 1559), as amended, was deemed read the third time and 
passed.
  (The text of the bill will be printed in a future edition of the 
Record.)


REAUTHORIZATION OF THE INDIAN ENVIRONMENTAL GENERAL ASSISTANCE PROGRAM 
                                  ACT

  Mr. STEVENS. Mr. President, I ask unanimous consent that the Senate 
proceed to the consideration of calendar No. 544, S. 1834.
  The PRESIDING OFFICER. The clerk will report.
  The assistant legislative clerk read as follows:

       A bill (S. 1834) to reauthorize the Indian Environmental 
     General Assistance Program Act of 1992, and for other 
     purposes.

  The PRESIDING OFFICER. Is there objection to the immediate 
consideration of the bill?
  There being no objection, the Senate proceeded to consider the bill.
  Mr. STEVENS. Mr. President, I ask unanimous consent that the bill be 
deemed read a third time, passed, the motion to reconsider be laid upon 
the table, and any statements relating to the bill appear at the 
appropriate place in the Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 1834) was deemed read the third time and passed, as 
follows:

                                S. 1834

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

     SECTION 1. REAUTHORIZATION.

       Section 502(h) of the Indian Environmental General 
     Assistance Program Act of 1992 (42 U.S.C. 4368b(h)) is 
     amended by striking ``$15,000,000'' and inserting ``such sums 
     as may be necessary''.

                          ____________________