[Congressional Record (Bound Edition), Volume 147 (2001), Part 3]
[Senate]
[Pages 3518-3553]
[From the U.S. Government Publishing Office, www.gpo.gov]



                   AMENDMENTS SUBMITTED AND PROPOSED

       SA 42. Mrs. BOXER (for herself and Mrs. Clinton) submitted 
     an amendment intended to be proposed by her to the bill S. 
     420, to amend title II, United States Code, and for other 
     purposes; which was ordered to lie on the table.
       SA 43. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 44. Mr. WYDEN (for himself, Mr. Baucus, Mrs. Murray, and 
     Mr. Smith of Oregon) submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 45. Mr. BOND submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 46. Mr. DURBIN (for himself, Mrs. Clinton, and Mr. 
     Sarbanes) submitted an amendment intended to be proposed by 
     him to the bill S. 420, supra; which was ordered to lie on 
     the table.
       SA 47. Mr. DURBIN submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 48. Mr. DURBIN submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 49. Mr. FEINGOLD submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 50. Mr. FEINGOLD submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 51. Mr. FEINGOLD (for himself, and Mr. Thompson) 
     submitted an amendment intended to be proposed by him to the 
     bill S. 420, supra; which was ordered to lie on the table.
       SA 52. Mr. FEINGOLD submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 53. Mr. LEAHY submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 54. Mr. LEAHY submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 55. Mr. LEAHY submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 56. Mr. LEAHY (for himself and Mr.. Feingold) submitted 
     an amendment intended to be proposed by him to the bill S. 
     420, supra; which was ordered to lie on the table.
       SA 57. Mr. LOTT submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 58. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 59. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 60. Mr. GRAMM submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.

[[Page 3519]]

       SA 61. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 62. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 63. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 64. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 65. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 66. Mr. LEAHY submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 67. Mr. KOHL (for himself and Mr. Kennedy) submitted an 
     amendment intended to be proposed by them to the bill S. 420, 
     supra; which was ordered to lie on the table.
       SA 68. Mr. KOHL (for himself and Mrs. Feinstein) submitted 
     an amendment intended to be proposed by them to the bill S. 
     420, supra; which was ordered to lie on the table.
       SA 69. Mr. WELLSTONE submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 70. Mr. WELLSTONE submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 71. Mr. WELLSTONE submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 72. Mr. WELLSTONE submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 73. Mr. WELLSTONE submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 74. Mr. WELLSTONE submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 75. Mr. DODD (for himself and Mr. Kennedy) submitted an 
     amendment intended to be proposed by them to the bill S. 420, 
     supra; which was ordered to lie on the table.
       SA 76. Mr. FEINGOLD submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 77. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 78. Mr. WYDEN (for himself, Mr. Baucus, and Mrs. Murray) 
     submitted an amendment intended to be proposed by them to the 
     bill S. 420, supra; which was ordered to lie on the table.
       SA 79. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 80. Mr. BREAUX (for himself, Mr. Specter, Mrs. Lincoln, 
     Mr. Johnson, Ms. Landrieu, Mr. Nelson of Nebraska, Mr. 
     Cleland, and Mrs. Feinstein) submitted an amendment intended 
     to be proposed by them to the bill S. 420, supra; which was 
     ordered to lie on the table.
       SA 81. Mr. REED submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 82. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 83. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 84. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 85. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 86. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 87. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 88. Mr. SESSIONS submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 89. Mr. LOTT submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 90. Mr. REED submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 91. Mr. LEVIN (for himself and Mrs. Feinstein) submitted 
     an amendment intended to be proposed by him to the bill S. 
     420, supra; which was ordered to lie on the table.
       SA 92. Mr. SCHUMER submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 93. Mr. DURBIN submitted an amendment intended to be 
     proposed by him to the bill S. 420, supra; which was ordered 
     to lie on the table.
       SA 94. Mr. BREAUX (for himself, Mr. Specter, and Mrs. 
     Lincoln, Mr. Johnson, Ms. Landrieu, Mrs. Feinstein, Mr. 
     Cleland, and Mr. Nelson of Nebraska) submitted an amendment 
     intended to be proposed by them to the bill S. 420, supra; 
     which was ordered to lie on the table.
       SA 95. Mr. SMITH of Oregon (for himself and Mr. Wyden) 
     proposed an amendment to amendment SA 78 proposed by Mr. 
     Wyden to the bill S. 420, supra.

                           Text of Amendments

  SA 42. Mrs. BOXER (for herself and Mrs. Clinton) submitted an 
amendment intended to be proposed by her to the bill S. 420, to amend 
title II, United States Code, and for other purposes; which was ordered 
to lie on the table; as follows:

       Strike Section 310.
                                  ____

  SA 43. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes, which was ordered to lie on the table; as follows:

       On page 173, line 11, strike ``discharge a debtor'' and 
     insert ``discharge an individual debtor''.
       On page 244, line 8, strike ``described in section 
     523(a)(2)'' and insert ``described in subparagraph (A) or (B) 
     of section 523(a)(2) that is owed to a domestic governmental 
     unit or owed to a person as the result of an action filed 
     under subchapter III of chapter 37 of title 31, United States 
     Code, or any similar State statute,''.
                                  ____

  SA 44. Mr. WYDEN (for himself, Mr. Baucus, Mrs. Murray, and Mr. Smith 
of Oregon) submitted an amendment intended to be proposed by him to the 
bill S. 420, to amend title II, United States Code, and for other 
purposes, which was ordered to lie on the table; as follows:

       After section 419, insert the following:

     SEC. 420. NONDISCHARGEABILITY OF DEBTS ARISING FROM THE 
                   EXCHANGE OF ELECTRIC ENERGY.

       (a) In General.--Section 1141(d) of title 11, United States 
     Code, as amended by this Act, is amended by adding at the end 
     the following:
       ``(6) The confirmation of a plan does not discharge a 
     debtor--
       ``(A) in the case of a debtor that is a corporation, from 
     any debt for wholesale electric power received that is 
     incurred by that debtor under an order issued by the 
     Secretary of Energy (or any amendment of or attachment to 
     that order) under section 202(c) of the Federal Power Act (16 
     U.S.C. 824a(c)) and requested by the California Independent 
     System Operator; or
       ``(B) in the case of debt owed to a Federal, State, or 
     local government agency named in an order referred to in 
     subparagraph (A) for wholesale electric power received by the 
     debtor.''.
       (b) Automatic Stay.--Section 362(b) of title 11, United 
     States Code, as amended by this Act, is amended--
       (1) in paragraph (28), as added by section 907(d) of this 
     Act, by striking ``or'' at the end;
       (2) in paragraph (29), as added by section 1106 of this 
     Act, by striking the period at the end and inserting ``; 
     or''; and
       (3) by inserting after that paragraph (29) the following:
       ``(30) under subsection (a), of the commencement or 
     continuation, and conclusion to the entry of final judgment 
     or order, of a judicial, administrative, or other action or 
     proceeding for debts that are nondischargeable under section 
     1141(d)(6).''.
       (c) Technical and Conforming Amendments.--Section 1141(a) 
     of title 11, United States Code, is amended by striking 
     ``subsections (d)(2) and (d)(3) of this section'' and 
     inserting ``paragraphs (2), (3), and (6) of subsection (d)''.
       (d) Applicability.--This section and the amendments made by 
     this section shall apply with respect to any petition for 
     bankruptcy filed under title 11, United States Code, on or 
     after March 1, 2001.
                                  ____

  SA 45. Mr. BOND submitted an amendment intended to be proposed by him 
to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 202, strike line 9 and all that follows through 
     page 203, line 14, and insert the following:
       ``(e) In a small business case--
       ``(1) not later than 45 days after the date of the order 
     for relief, the court shall conduct a

[[Page 3520]]

     status conference pursuant to section 105(d) and, after 
     consideration of relevant facts and circumstances, shall fix 
     a deadline for the filing of a plan and disclosure statement; 
     and
       ``(2) the deadline established by the court in the status 
     conference referred to in paragraph (1) may be extended only 
     if--
       ``(A) the debtor, after providing notice to parties in 
     interest (including the United States trustee), demonstrates 
     a reasonable likelihood that the court will confirm a plan 
     within a reasonable period of time;
       ``(B) a new deadline is imposed at the time the extension 
     is granted; and
       ``(C) the order extending time is signed before the 
     existing deadline has expired.''.
       On page 208, line 10, insert ``, absent unusual 
     circumstances specifically identified by the court,'' after 
     ``shall''.
       On page 208, line 15, insert ``, absent unusual 
     circumstances specifically identified by the court,'' after 
     ``granted''.
       On page 208, line 16, strike ``establishes'' and all that 
     follows through ``filed'' on line 19 and insert the 
     following: ``establishes that--
       ``(A) there is a reasonable likelihood that a plan will be 
     confirmed''.

       Redesignate sections 439 through 445 as sections 438 
     through 444, respectively.
       Amend the table of contents accordingly.
                                  ____

  SA 46. Mr. DURBIN (for himself, Mrs. Clinton, and Mr. Sarbanes) 
submitted an amendment intended to be proposed by him to the bill S. 
420, to amend title II, United States Code, and for other purposes; 
which was ordered to lie on the table; as follows:

       At the end of title XIII, add the following:

     SEC. 1311. ENHANCED DISCLOSURES UNDER AN OPEN END CREDIT 
                   PLAN.

       (a) Amendments to the Truth in Lending Act.--
       (1) Enhanced disclosure of repayment terms.--
       (A) In general.--Section 127(b) of the Truth in Lending Act 
     (15 U.S.C. 1637(b)) is amended by adding at the end the 
     following:
       ``(11)(A) In a clear and conspicuous manner, repayment 
     information that would apply to the outstanding balance of 
     the consumer under the credit plan, including--
       ``(i) the required minimum monthly payment on that balance, 
     represented as both a dollar figure and a percentage of that 
     balance;
       ``(ii) the number of months (rounded to the nearest month) 
     that it would take to pay the entire amount of that current 
     balance if the consumer pays only the required minimum 
     monthly payments and if no further advances are made;
       ``(iii) the total cost to the consumer, including interest 
     and principal payments, of paying that balance in full if the 
     consumer pays only the required minimum monthly payments and 
     if no further advances are made; and
       ``(iv) the following statement: `If your current rate is a 
     temporary introductory rate, your total costs may be 
     higher.'.
       ``(B) In making the disclosures under subparagraph (A) the 
     creditor shall apply the annual interest rate that applies to 
     that balance with respect to the current billing cycle for 
     that consumer in effect on the date on which the disclosure 
     is made.''.
       (B) Publication of model forms.--Not later than 180 days 
     after the date of enactment of this Act, the Board of 
     Governors of the Federal Reserve System shall publish model 
     disclosure forms in accordance with section 105 of the Truth 
     in Lending Act (15 U.S.C. 1604) for the purpose of compliance 
     with section 127(b)(11) of the Truth in Lending Act, as added 
     by this paragraph.
       (C) Civil liability.--Section 130(a) of the Truth in 
     Lending Act (15 U.S.C. 1640(a)) is amended, in the 
     undesignated paragraph following paragraph (4), by striking 
     the second sentence and inserting the following: ``In 
     connection with the disclosures referred to in subsections 
     (a) and (b) of section 127, a creditor shall have a liability 
     determined under paragraph (2) only for failing to comply 
     with the requirements of section 125, 127(a), or of paragraph 
     (4), (5), (6), (7), (8), (9), (10), or (11) of section 
     127(b), or for failing to comply with disclosure requirements 
     under State law for any term or item that the Board has 
     determined to be substantially the same in meaning under 
     section 111(a)(2) as any of the terms or items referred to in 
     section 127(a) or paragraph (4), (5), (6), (7), (8), (9), 
     (10), or (11) of section 127(b).''.
       (2) Disclosures in connection with solicitations.--
       (A) In general.--Section 127(c)(1)(B) of the Truth in 
     Lending Act (15 U.S.C. 1637(c)(1)(B)) is amended by adding at 
     the end the following:
       ``(iv) Credit worksheet.--An easily understandable credit 
     worksheet designed to aid consumers in determining their 
     ability to assume more debt, including consideration of the 
     personal expenses of the consumer and a simple formula for 
     the consumer to determine whether the assumption of 
     additional debt is advisable.
       ``(v) Basis of preapproval.--In any case in which the 
     application or solicitation states that the consumer has been 
     preapproved for an account under an open end consumer credit 
     plan, the following statement must appear in a clear and 
     conspicuous manner: `Your preapproval for this credit card 
     does not mean that we have reviewed your individual financial 
     circumstances. You should review your own budget before 
     accepting this offer of credit.'.
       ``(vi) Availability of credit report.--That the consumer is 
     entitled to a copy of his or her credit report in accordance 
     with the Fair Credit Reporting Act.''.
       (B) Publication of model forms.--Not later than 180 days 
     after the date of enactment of this Act, the Board of 
     Governors of the Federal Reserve System shall publish model 
     disclosure forms in accordance with section 105 of the Truth 
     in Lending Act (15 U.S.C. 1604) for the purpose of compliance 
     with section 127(c)(1)(B) of the Truth in Lending Act, as 
     amended by this paragraph.
       (b) Effective Date.--This section and the amendments made 
     by this section shall become effective on January 1, 2002.

       Amend the table of contents accordingly.
                                  ____

  SA. 47. Mr. DURBIN submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

        At the end of subtitle A of title II, add the following:

     SEC. 204. DISCOURAGING PREDATORY LENDING PRACTICES.

       Section 502(b) of title 11, United States Code, is amended 
     as follows--
       (1) in paragraph (8), by striking ``or'' at the end;
       (2) in paragraph (9), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(10) the claim is based on a secured debt, if the 
     creditor has materially failed to comply with any applicable 
     requirement under subsection (c), (d), (e), (f), (g), (h), or 
     (i) of section 129 of the Truth in Lending Act (15 U.S.C. 
     1639).''.
                                  ____

  SA. 48. Mr. DURBIN submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       Strike section 306 and insert the following:

     SEC. 306. RESTORING THE FOUNDATION FOR SECURED CREDIT.

       Section 506 of title 11, United States Code, is amended by 
     adding at the end the following:
       ``(e) In an individual case under chapter 13--
       ``(1) except for the purpose of applying paragraph (3) of 
     this subsection, subsection (a) shall not apply to an allowed 
     claim that is attributable to the purchase price of personal 
     property if--
       ``(A) the holder of the claim has a security interest in 
     that property; and
       ``(B) the property was purchased by the debtor within 180 
     days before the date of filing of the petition;
       ``(2) if an allowed claim referred to in paragraph (1) is 
     secured only by the personal property acquired, the value of 
     the personal property described in that paragraph and the 
     amount of the allowed secured claim shall be the sum of--
       ``(A) the unpaid principal balance of the purchase price; 
     and
       ``(B) the accrued and unpaid interest and charges at the 
     applicable contract rate attributable to such property;
       ``(3) if an allowed claim referred to in paragraph (1) is 
     secured by the personal property described in that paragraph 
     and other property, the value of the security may be 
     determined under subsection (a), except that the value of the 
     security and the amount of the allowed secured claim shall 
     not be less than--
       ``(A) the unpaid principal balance of the purchase price of 
     the personal property described in paragraph (1); and
       ``(B) any unpaid interest and charges at the contract rate 
     attributable to the property acquired; and
       ``(4) in any case under this title that is filed 
     subsequently by or against the debtor in the original case, 
     the value of the personal property described in paragraph (1) 
     and the amount of the allowed secured claim with respect to 
     that property shall be deemed to be not less than an amount 
     determined in the same manner as the original under paragraph 
     (2) or (3).''.
       Amend the table of contents accordingly.
                                  ____

  SA 49. Mr. FEINGOLD submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. FEDERAL ELECTION LAW FINES AND PENALTIES AS 
                   NONDISCHARGEABLE DEBT.

       Section 523(a) of title 11, United States Code, is amended 
     by inserting after paragraph (14A) (as added by this Act) the 
     following:
       ``(14B) incurred to pay fines or penalties imposed under 
     Federal election law;''.

[[Page 3521]]

       Amend the table of contents accordingly.
                                  ____

  SA 50. Mr. FEINGOLD submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. NO BANKRUPTCY FOR INSOLVENT POLITICAL COMMITTEES.

       Section 105 of title 11, United States Code, is amended by 
     adding at the end the following:
       ``(e) A political committee subject to the jurisdiction of 
     the Federal Election Commission under Federal election laws 
     may not file for bankruptcy under this title.''.
       Amend the table of contents accordingly.
                                  ____

  SA 51. Mr. FEINGOLD (for himself and Mr. Thompson) submitted an 
amendment intended to be proposed by him to the bill S. 420, to amend 
title II, United States Code, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 439, strike line 19 and all that follows through 
     page 440, line 12.
       Amend the table of contents accordingly.
                                  ____

  SA 52. Mr. FEINGOLD submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 152, strike line 9 and all that follows through 
     page 153, line 20, and insert the following:
       ``(4) For purposes of paragraph (1)(B), the term `household 
     goods' includes tangible personal property normally found in 
     or around a home, but does not include motorized vehicles 
     used for transportation purposes.''.
                                  ____

  SA 53. Mr. LEAHY submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of title II, add the following:

     SEC. 233. PROHIBITION ON ASSERTING CLAIMS IN CASES OF 
                   VIOLATIONS OF THE PRIVACY PROTECTIONS OF THE 
                   GRAMM-LEACH-BLILEY ACT.

       A creditor that fails to comply with the financial privacy 
     requirements of subtitle A of title V of the Gramm-Leach-
     Bliley Act (15 U.S.C. 6801 et seq.), may not assert any claim 
     under this Act or title 11, United States Code, as amended by 
     this Act, against any debtor for the amount of a debt that 
     the debtor accrues on a credit card that is issued in 
     violation of any such financial privacy requirements.
                                  ____

  SA 54. Mr. LEAHY submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 151, strike line 23 and all that follows through 
     page 152, line 3, and insert the following:
       ``(f) Notwithstanding subsections (a) and (b), the court 
     shall not grant a discharge of all debts provided for by the 
     plan or disallowed under section 502, if the debtor has 
     received a discharge in a case filed under chapter 7 of this 
     title during the one-year period preceding the date of the 
     order for relief under this chapter.''.
                                  ____

  SA. 55. Mr. LEAHY submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       Strike section 318 and insert the following:

     SEC. 318. CHAPTER 13 PLAN TO HAVE A 5-YEAR DURATION IN 
                   CERTAIN CASES.

       Section 1322(d) of title 11, United States Code, is amended 
     to read as follows:
       ``(d)(1) Except as provided in paragraph (2), the plan may 
     not provide for payments over a period that is longer than 3 
     years.
       ``(2) The plan may provide for payments over a period that 
     is longer than 3 years, if--
       ``(A) the plan is for a case that was converted to a case 
     under this chapter from a case under chapter 7, or the plan 
     is for a debtor who has been dismissed from chapter 7 by 
     reason of section 707(b), in which case, the plan shall 
     provide for payments over a period of not longer than 5 
     years; or
       ``(B) the plan is for a case that is not described in 
     subparagraph (A), and the court, for cause, approves a period 
     that is longer than 3 years, but not longer than 5 years.''.
       Amend the table of contents accordingly.
                                  ____

  SA 56. Mr. LEAHY (for himself, and Mr. Feingold) submitted an 
amendment intended to be proposed by him to the bill S. 420, to amend 
title II, United States Code, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 23, strike line 6 and all that follows through page 
     25, line 6.

       On page 25, line 7, strike ``(i)'' and insert ``(h)''.
                                  ____

  SA 57. Mr. LOTT submitted an amendment intended to be proposed by him 
to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       Strike section 1224.
                                  ____

  SA 58. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       Strike section 1235 and insert the following:

     SEC. 1235. EXPEDITED APPEALS OF BANKRUPTCY CASES TO COURTS OF 
                   APPEALS.

       (a) Appeals.--Section 158 of title 28, United States Code, 
     is amended--
       (1) in subsection (c)(1), by striking ``Subject to 
     subsection (b),'' and inserting ``Subject to subsections (b) 
     and (d)(2),''; and
       (2) in subsection (d)--
       (A) by inserting ``(1)'' after ``(d)''; and
       (B) by adding at the end the following:
       ``(2)(A) A court of appeals that would have jurisdiction of 
     a subsequent appeal under paragraph (1) or other law may 
     authorize an immediate appeal of an order or decree, not 
     otherwise appealable, that is entered in a case or proceeding 
     pending under section 157 or is entered by the district court 
     or bankruptcy appellate panel exercising jurisdiction under 
     subsection (a) or (b), if the bankruptcy court, district 
     court, bankruptcy appellate panel, or the parties acting 
     jointly certify that--
       ``(i) the order or decree involves--
       ``(I) a substantial question of law;
       ``(II) a question of law requiring resolution of 
     conflicting decisions; or
       ``(III) a matter of public importance; and
       ``(ii) an immediate appeal from the order or decree may 
     materially advance the progress of the case or proceeding.
       ``(B) An appeal under this paragraph does not stay 
     proceedings in the court from which the order or decree 
     originated, unless the originating court or the court of 
     appeals orders such a stay.''.
       (b) Procedural Rules.--
       (1) Temporary application.--A provision of this subsection 
     shall apply to appeals under section 158(d)(2) of title 28, 
     United States Code, as added by subsection (a) of this 
     section, until a rule of practice and procedure relating to 
     such provision and appeal is promulgated or amended under 
     chapter 131 of such title.
       (2) Certification.--A district court, bankruptcy court, or 
     bankruptcy appellate panel may enter a certification as 
     described in section 158(d)(2) of title 28, United States 
     Code, during proceedings pending before that court or panel.
       (3) Procedure.--Subject to the other provisions of this 
     subsection, an appeal by permission under section 158(d)(2) 
     of title 28, United States Code, shall be taken in the manner 
     prescribed in rule 5 of the Federal Rules of Appellate 
     Procedure.
       (4) Filing petition.--When permission to appeal is 
     requested on the basis of a certification of the parties, a 
     district court, bankruptcy court, or bankruptcy appellate 
     panel, the petition shall be filed within 10 days after the 
     certification is entered or filed.
       (5) Attachment.--When permission to appeal is requested on 
     the basis of a certification of a district court, bankruptcy 
     court, or bankruptcy appellate panel, a copy of the 
     certification shall be attached to the petition.
       (6) Panel and clerk.--In a case pending before a bankruptcy 
     appellate panel in which permission to appeal is requested, 
     the terms ``district court'' and ``district clerk'', as used 
     in rule 5 of the Federal Rules of Appellate Procedure, mean 
     ``bankruptcy appellate panel'' and ``clerk of the bankruptcy 
     appellate panel'', respectively.
       (7) Application of rules.--In a case pending before a 
     district court, bankruptcy court, or bankruptcy appellate 
     panel in which a court of appeals grants permission to 
     appeal, the Federal Rules of Appellate Procedure apply to the 
     proceedings in the court of appeals, to the extent relevant, 
     as if the appeal were taken from a final judgment, order, or 
     decree of a district court, bankruptcy court, or bankruptcy 
     appellate panel exercising appellate jurisdiction under 
     subsection (a) or (b) of section 158 of title 28, United 
     States Code.
                                  ____

  SA 59. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 148, line 4, strike ``(a) In General.--''.

[[Page 3522]]

       On page 148, strike line 8 and all that follows through 
     page 151, line 15, and insert the following:
       ``(22) under subsection (a), of the commencement or 
     continuation of any eviction, unlawful detainer, or similar 
     proceeding by a lessor against a debtor involving residential 
     property, except in a case in which a tenant of such 
     residential property has a written lease with an unexpired 
     specified term, and can demonstrate the ability to pay the 
     rent then due and to become due during the unexpired term of 
     the lease, in which case--
       ``(A) the debtor shall have the right, by ex parte 
     application (on a preprinted form developed by the court and 
     provided on request by the clerk of the court to the debtor), 
     to obtain an order temporarily staying any eviction, unlawful 
     detainer, or similar proceeding pending a hearing, if the 
     debtor submits with the application a copy of an unexpired 
     written lease of the subject residential property, signed by 
     the lessor of the property; and
       ``(B) upon issuance of an order under subparagraph (A), the 
     clerk of the court shall set a hearing on a date that is not 
     later than 10 days after the date of filing of the 
     application under subparagraph (A), and give the lessor of 
     the property notice thereof; and
       ``(C) at the conclusion of the hearing referred to in 
     subparagraph (B)--
       ``(i) a temporary stay ordered under subparagraph (A) shall 
     be deemed effective and ordered until the earlier of the 
     expiration of the lease or the termination of the stay 
     otherwise under this section, if the debtor can demonstrate 
     to the satisfaction of the court--

       ``(I) a written lease of the residential property with an 
     unexpired term;
       ``(II) an ability to pay the rent as it comes due under the 
     lease for the unexpired term; and
       ``(III) the ability to pay any past due rent on a schedule 
     to be set by the court; or

       ``(ii) the temporary stay ordered under subparagraph (A) 
     shall be lifted, if the debtor cannot meet the terms of 
     clause (i).
                                  ____

  SA 60. Mr. GRAMM submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 294, line 10, delete the comma after ``mortgage'';
       On page 295, line 15, insert ``mortgage'' before ``loan'';
       On page 296, line 25, strike ``or'' and insert 
     ``including'';
       On page 299, line 17, strike ``or'' and insert 
     ``including'';
       On page 301, line 18, strike ``or any'' and insert 
     ``including any'';
       On page 302, line 23, insert ``mortgage'' before ``loans'';
       On page 303, line 3, insert ``mortgage'' before ``loans'';
       On page 304, line 16, strike ``or'' after ``(V)'' and 
     insert ``including'';
       On page 306, line 10, insert ``is of a type'' after 
     ``clause and'';
       On page 308, line 5, strike ``or any'' and insert 
     ``including any'';
       On page 308, line 23, strike ``the Gramm-Leach-Bliley 
     Act,'' and insert ``the Gramm-Leach-Bliley Act, and'';
       On page 308, line 25, strike all after ``2000'' and insert 
     a period following ``2000'';
       On page 309, strike lines 1 through 3;
       On page 320, line 10, strike ``and'';
       On page 321, line 4, strike the period at the end of the 
     line and insert ``; and''
       On page 321, insert after line 4 the following:
       ``(3) by including at the end of section 11(e) the 
     following new paragraph:
       ``(  ) Savings Clause.--The meaning of terms used in this 
     subsection (e) are applicable for purposes of this subsection 
     (e) only, and shall not be construed or applied so as to 
     challenge or affect the characterization, definition, or 
     treatment of any similar terms under any other statute, 
     regulation, or rule, including the Gramm-Leach-Bliley Act, 
     the Legal Certainty for Bank Products Act of 2000, the 
     securities law (as that term is defined in section 3(a)(47) 
     of the Securities Exchange Act of 1934), and the Commodity 
     Exchange Act.''
       On page 327, line 7, strike ``408'' and insert ``407A'';
       On page 327, line 20, strike ``or'' the second time it 
     appears;
       On page 328, line 3, strike all following ``receiver'' 
     through ``agency'' on line 4;
       On page 328, line 7, strike all following ``receiver'' 
     through ``bank'' on line 9;
       On page 328, line 12, strike the comma after ``Act'';
       On page 328, line 18, strike all following ``conservator'' 
     through ``agency'' on line 20;
       On page 328, line 23, strike all following ``conservator'' 
     through ``bank'' on line 25;
       On page 329, line 25, insert ``in the case of an uninsured 
     national bank or uninsured Federal branch or agency'' after 
     ``Currency'';
       On page 330, line 1, insert ``in the case of a corporation 
     chartered under section 25A of the Federal Reserve Act, or an 
     uninsured State member bank that operates, or operates as, a 
     multilateral clearing organization pursuant to section 409 of 
     the Act,'';
       On page 330, line 3, insert ``solely'' before ``to 
     implement'';
       On page 330, line 5, strike ``to implement this section,'' 
     and insert ``, limited solely to implementing paragraphs (8), 
     (9), (10) and (11) of section 11(e) of the Federal Deposit 
     Insurance Act,'';
       On page 330, line 7, insert ``each'' before ``shall 
     ensure'';
       On page 330, line 8, strike ``that the'' and insert ``that 
     their'';
       On page 332, line 4, strike ``(D), or'' and insert ``(D) 
     including'';
       On page 333, line 14, insert ``mortgage'' before ``loans'';
       On page 333, line 18, insert ``mortgage'' before ``loans'';
       On page 334, line 21, strike ``(iv), or'' and insert ``(iv) 
     including'';
       On page 336, line 5 strike ``or an'' and insert ``or'';
       On page 336, line 8, strike ``or a'' and insert ``or'';
       On page 336, line 10, strike ``credit spread, total return, 
     or a'' and insert ``total return, credit spread or'';
       On page 336, line 22, insert after ``(I)'' the following: 
     ``is of a type that'';
       On page 338, line 13, strike ``(v), or'' and insert ``(v) 
     including'';
       On page 338, line 18, strike ``do'';
       On page 339, line 9, insert ``and'' after ``Act,'';
       On page 339, line 10, strike all after ``2000'' through 
     ``Commission'' on line 13 and insert a period after ``2000'';
       On page 340, line 20, insert ``mortgage'' before ``loan'';
       On page 342, line 2, strike ``or any'' and insert 
     ``including any'';
       On page 343, line 21, strike ``or any'' and insert 
     ``including any'';
       On page 346, line 7, strike ``or'' the first time it 
     appears;
       On page 346, line 25, insert ``, including any guarantee or 
     reimbursement obligation related to 1 or more of the 
     foregoing'' following ``foregoing'';
       On page 352, line 24, insert ``a securities clearing 
     agency,'' after ``association,'';
       On page 353, line 25, insert ``a securities clearing 
     agency,'' before ``a contract market'';
       On page 355, line 5, insert ``a securities clearing 
     agency,'' after ``association,'';
       On page 355, line 6, strike the end parenthesis after 
     ``Act'';
       On page 358, line 13, strike ``5(c)'' and insert ``5c(c)'';
       On page 358, line 24, strike ``a national securities 
     exchange'';
       On page 359, line 4, insert ``a securities clearing 
     agency,'' after ``association,'';
       On page 363, line 13, insert ``a securities clearing 
     agency,'' after ``association,'';
       On page 365, strike lines 18 through 22, and on page 366, 
     strike lines 1 through 2, and insert in lieu thereof the 
     following:
       ``(H) Recordkeeping requirements.--The Corporation, in 
     consultation with the appropriate Federal banking agencies, 
     may by regulation require more detailed recordkeeping by any 
     insured depository institution with respect to qualified 
     financial contracts (including market valuations) only if 
     such insured financial institution is in a troubled condition 
     (as such term is defined by the Corporation pursuant to 12 
     USC 1831i).'';
       On page 372, line 18, insert ``governmental unit, limited 
     liability company (including a single member limited 
     liability company),'' after ``partnership,'';
       On page 373, line 22, insert ``on or'' after ``State law'';
       On page 374, line 10, insert ``and'' before ``the 
     Commodity'' and strike all after ``Act'' through line 12 and 
     insert a period after ``Act''.
                                  ____

  SA 61. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 184, strike line 20 and all that follows through 
     page 186, line 22 and insert the following:

     SEC. 329. NONDISCHARGEABILITY OF DEBTS INCURRED THROUGH THE 
                   COMMISSION OF VIOLENCE AT CLINICS.

       Section 523(a) of title 11, United States Code, as amended 
     by this Act, is amended--
       (1) in paragraph (17), by striking ``or'' at the end;
       (2) in paragraph (18), as added by this Act, by striking 
     the period at the end and inserting ``; or''; and
       (3) by adding at the end the following:
       ``(19) that results from any judgment, order, consent 
     order, or decree entered in any Federal or State court, or 
     contained in any settlement agreement entered into by the 
     debtor, including any damages, fine, penalty, citation, or 
     attorney fee or cost owed by the debtor, arising from--
       ``(A) an actual or potential action under section 248 of 
     title 18;
       ``(B) an actual or potential action under any Federal, 
     State, or local law, the purpose of which is to protect--
       ``(i) access to a health care facility, including a 
     facility providing reproductive health services, as defined 
     in section 248(e) of title 18 (referred to in this paragraph 
     as a `health care facility'); or
       ``(ii) the provision of health services, including 
     reproductive health services (referred to in this paragraph 
     as `health services');

[[Page 3523]]

       ``(C) an actual or potential action alleging the violation 
     of any Federal, State, or local statutory or common law, 
     including chapter 96 of title 18 and the Federal civil rights 
     laws (including sections 1977 through 1980 of the Revised 
     Statutes) that results from the debtor's actual, attempted, 
     or alleged--
       ``(i) harassment of, intimidation of, interference with, 
     obstruction of, injury to, threat to, or violence against any 
     person--

       ``(I) because that person provides or has provided health 
     services;
       ``(II) because that person is or has been obtaining health 
     services; or
       ``(III) to deter that person, any other person, or a class 
     of persons from obtaining or providing health services; or

       ``(ii) damage or destruction of property of a health care 
     facility; or
       ``(D) an actual or alleged violation of a court order or 
     injunction that protects access to a health care facility or 
     the provision of health services.''.
                                  ____

  SA 62. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 186, beginning on line 6, strike ``provides or has 
     provided lawful goods or services;'' and insert ``seeks to 
     exercise, exercises, or has exercised constitutionally 
     protected rights;''.
       On page 186, strike lines 9 through 15 and insert the 
     following:

       `` `(II) to deter any person from exercising 
     constitutionally protected rights, or from assisting any 
     other person in the exercise of such rights; or
       `` `(III) because that person assists any person in the 
     exercise of constitutionally protected rights, or provides or 
     assists in the provision of constitutionally protected goods 
     or services; or''.

       On page 186, beginning on line 17, strike ``providing 
     lawful goods or services;'' and insert ``or of a person 
     because that facility or person provides, assists in 
     providing, uses, or seeks constitutionally protected goods or 
     services;''.
                                  ____

  SA 63. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 10, between lines 17 and 18, insert the following:
       ``(V) In addition, the debtor's monthly expenses shall 
     include the actual, reasonable expenses for operation of 
     transportation and for public transportation, including costs 
     for fuel, maintenance, automobile insurance, and public 
     transportation, to the extent that the actual costs exceed 
     the Local Standards issued by the Internal Revenue Service 
     for operating and public transportation costs.
       ``(VI) In addition, if a debtor owns a home, the debtor's 
     monthly expenses shall include the actual, reasonable 
     expenses for utilities and home maintenance, including costs 
     for repairs, maintenance, taxes, and home insurance. In the 
     case of a debtor who does not own a home, such expenses shall 
     be included to the extent that such expenses cause the 
     debtor's housing expenses to exceed the amounts permitted 
     under the Local Standards issued by the Internal Revenue 
     Service for housing and utilities.
       ``(VII) In addition, if the debtor owns a motor vehicle for 
     which no secured debt payments are scheduled, or for which 
     secured debt payments are scheduled for less than 60 months, 
     the debtor's monthly expenses shall include the monthly 
     ownership costs permitted by the Internal Revenue Service for 
     the number of months in which no secured debt payment on the 
     vehicle is scheduled, divided by 60. Such additional 
     ownership costs shall be included for each vehicle for which 
     the debtor would be permitted ownership costs under the 
     Internal Revenue Service National Standards.
                                  ____

  SA 64. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle A of title II, add the following:

     SEC. 204. AWARD OF FEES AND DAMAGES AUTHORIZED.

       (a) Section 502.--Section 502 of title 11, United States 
     Code, as amended by this Act, is amended by adding at the end 
     the following:
       ``(l)(1) The court may award the debtor reasonable 
     attorneys' fees and costs if, after an objection is filed by 
     a debtor, the court--
       ``(A)(i) disallows the claim; or
       ``(ii) reduces the claim by an amount greater than 20 
     percent of the amount of the initial claim filed by a party 
     in interest, or $500, whichever is less; and
       ``(B) finds that the position of the party filing the claim 
     is not substantially justified.
       ``(2) If the court finds that the position of a claimant 
     under this section is not substantially justified, the court 
     may, in addition to awarding a debtor reasonable attorneys' 
     fees and costs under paragraph (1), award such damages as may 
     be required by the equities of the case.''.
       (b) Section 523.--Section 523 of title 11, United States 
     Code, is amended--
       (1) in subsection (a)(2)(A), by striking ``a false 
     representation'' and inserting ``a material false 
     representation upon which the defrauded person justifiably 
     relied''; and
       (2) by striking subsection (d) and inserting the following:
       ``(d)(1) Subject to paragraph (3), if a creditor requests a 
     determination of dischargeability of a consumer debt under 
     this section and that debt is discharged, the court shall 
     award the debtor reasonable attorneys' fees and costs.
       ``(2) In addition to making an award to a debtor under 
     paragraph (1), if the court finds that the position of a 
     creditor in a proceeding covered under this section is not 
     substantially justified, the court may award reasonable 
     attorneys' fees and costs under paragraph (1) and such 
     damages as may be required by the equities of the case.
       ``(3)(A) A creditor may not request a determination of 
     dischargeability of a consumer debt under subsection (a)(2) 
     if--
       ``(i) before the filing of the petition, the debtor made a 
     good faith effort to negotiate a reasonable alternative 
     repayment schedule (including making an offer of a reasonable 
     alternative repayment schedule); and
       ``(ii) that creditor refused to negotiate an alternative 
     payment schedule, and that refusal was not reasonable.
       ``(B) For purposes of this paragraph, the debtor shall have 
     the burden of proof of establishing that--
       ``(i) an offer made by that debtor under subparagraph 
     (A)(i) was reasonable; and
       ``(ii) the refusal to negotiate by the creditor involved 
     was not reasonable.''.
       (c) Section 524.--Section 524 of title 11, United States 
     Code, as otherwise amended by this Act, is amended by adding 
     at the end the following:
       ``(l) The willful failure of a creditor to credit payments 
     received under a plan confirmed under this title (including a 
     plan of reorganization confirmed under chapter 11 of this 
     title) in the manner required by the plan (including 
     crediting the amounts required under the plan) shall 
     constitute a violation of an injunction under subsection 
     (a)(2).
       ``(m) An individual who is injured by the failure of a 
     creditor to comply with the requirements for a reaffirmation 
     agreement under subsections (c) and (d), or by any willful 
     violation of the injunction under subsection (a)(2), shall be 
     entitled to recover--
       ``(1) the greater of--
       ``(A)(i) the amount of actual damages; multiplied by--
       ``(ii) 3; or
       ``(B) $5,000; and
       ``(2) costs and attorneys' fees.''.
       (d) Section 362.--Section 362(h) of title 11, United States 
     Code, is amended to read as follows:
       ``(h)(1) An individual who is injured by any willful 
     violation of a stay provided in this section shall be 
     entitled to recover--
       ``(A) actual damages; and
       ``(B) reasonable costs, including attorneys' fees.
       ``(2) In addition to recovering actual damages, costs, and 
     attorneys' fees under paragraph (1), an individual described 
     in paragraph (1) may recover punitive damages in appropriate 
     circumstances.''.

     SEC. 205. DISCHARGE.

       (e) Section 727.--Section 727 of title 11, United States 
     Code, is amended--
       (1) in subsection (c), by adding at the end the following:
       ``(3)(A) A creditor may not request a determination of 
     dischargeability of a consumer debt under subsection (a) if--
       ``(i) before the filing of the petition, the debtor made a 
     good faith effort to negotiate a reasonable alternative 
     repayment schedule (including making an offer of a reasonable 
     alternative repayment schedule); and
       ``(ii) that creditor refused to negotiate an alternative 
     payment schedule, and that refusal was not reasonable.
       ``(B) For purposes of this paragraph, the debtor shall have 
     the burden of proof of establishing that--
       ``(i) an offer made by that debtor under subparagraph 
     (A)(i) was reasonable; and
       ``(ii) the refusal to negotiate by the creditor involved 
     was not reasonable.''; and
       (2) by adding at the end the following:
       ``(f)(1) The court may award the debtor reasonable 
     attorneys' fees and costs in any case in which a creditor 
     files a motion to deny relief to a debtor under this section 
     and that motion--
       ``(A) is denied; or
       ``(B) is withdrawn after the debtor has replied.
       ``(2) If the court finds that the position of a party 
     filing a motion under this section is not substantially 
     justified, the court may assess against the creditor such 
     damages as may be required by the equities of the case.''.
       Amend the table of contents accordingly.
                                  ____

  SA 65. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:


[[Page 3524]]

       On page 16, lines 18 and 23, insert ``(adjusted to reflect 
     the percentage change in the Consumer Price Index for All 
     Urban Consumers, published by the Department of Labor, for 
     each subsequent year during which such median income is not 
     reported by the Bureau of the Census)'' after ``Census'' each 
     place it appears.
       On page 17, lines 3, 14, 19, and 24, insert ``(adjusted to 
     reflect the percentage change in the Consumer Price Index for 
     All Urban Consumers, published by the Department of Labor, 
     for each subsequent year during which such median income is 
     not reported by the Bureau of the Census)'' after ``Census'' 
     each place it appears.
       On page 20, lines 4, 9, 20, and 25, insert ``(adjusted to 
     reflect the percentage change in the Consumer Price Index for 
     All Urban Consumers, published by the Department of Labor, 
     for each subsequent year during which such median income is 
     not reported by the Bureau of the Census)'' after ``Census'' 
     each place it appears.
       On page 24, lines 20 and 25, insert ``(adjusted to reflect 
     the percentage change in the Consumer Price Index for All 
     Urban Consumers, published by the Department of Labor, for 
     each subsequent year during which such median income is not 
     reported by the Bureau of the Census)'' after ``Census'' each 
     place it appears.
       On page 25, line 5, insert ``(adjusted to reflect the 
     percentage change in the Consumer Price Index for All Urban 
     Consumers, published by the Department of Labor, for each 
     subsequent year during which such median income is not 
     reported by the Bureau of the Census)'' after ``Census''.
       On page 159, lines 14, 19, and 24, insert ``(adjusted to 
     reflect the percentage change in the Consumer Price Index for 
     All Urban Consumers, published by the Department of Labor, 
     for each subsequent year during which such median income is 
     not reported by the Bureau of the Census)'' after ``Census'' 
     each place it appears.
       On page 165, line 25, insert ``(adjusted to reflect the 
     percentage change in the Consumer Price Index for All Urban 
     Consumers, published by the Department of Labor, for each 
     subsequent year during which such median income is not 
     reported by the Bureau of the Census)'' after ``Census''.
       On page 166, lines 5, 10, 20, and 25 insert ``(adjusted to 
     reflect the percentage change in the Consumer Price Index for 
     All Urban Consumers, published by the Department of Labor, 
     for each subsequent year during which such median income is 
     not reported by the Bureau of the Census)'' after ``Census'' 
     each place it appears.
       On page 167, line 5, insert ``(adjusted to reflect the 
     percentage change in the Consumer Price Index for All Urban 
     Consumers, published by the Department of Labor, for each 
     subsequent year during which such median income is not 
     reported by the Bureau of the Census)'' after ``Census''.
       On page 168, lines 8 and 14 insert ``(adjusted to reflect 
     the percentage change in the Consumer Price Index for All 
     Urban Consumers, published by the Department of Labor, for 
     each subsequent year during which such median income is not 
     reported by the Bureau of the Census)'' after ``Census'' each 
     place it appears.
                                  ____

  SA 66. Mr. LEAHY submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 160, line 22, insert ``, to the extent ordered by 
     the court for reasonable cause shown,'' after ``court''.
                                  ____

  SA 67. Mr. KOHL (for himself and Mr. Kennedy) submitted an amendment 
intended to be proposed by him to the bill S. 420, to amend title II, 
United States Code, and for other purposes; which was ordered to lie on 
the table; as follows:

       At the end of title III, add the following:

     SEC. 330. CLARIFICATION OF POSTPETITION WAGES AND BENEFITS.

       Section 503(b)(1)(A) of title II, United States Code, is 
     amended to read as follows:
       ``(A) the actual, necessary costs and expenses of 
     preserving the estate, including wages, salaries, or 
     commissions for services rendered after the commencement of 
     the case, and wages and benefits awarded pursuant to an 
     action brought in a court of law or the National Labor 
     Relations Board as back pay attributable to any period of 
     time after commencement of the case as a result of the 
     debtor's violation of Federal or State law, without regard to 
     when the original unlawful act occurred or to whether any 
     services were rendered if the court determines that the award 
     will not substantially increase the probability of layoff or 
     termination of current employees or of nonpayment of domestic 
     support obligations during the case;''
                                  ____

  SA 68. Mr. KOHL (for himself and Mrs. Feinstein) submitted an 
amendment intended to be proposed by him to the bill S. 420, to amend 
title II, United States Code, and for other purposes; which was ordered 
to lie on the table; as follows:

       On page 140, strike line 14 and all that follows through 
     page 176, line 19 and insert the following:

     SEC. 308. LIMITATION.

       Section 522 of title 11, United States Code, is amended--
       (1) in subsection (b)(3)(A), as so designated by this Act, 
     by inserting ``subject to subsection (o),'' before ``any 
     property''; and
       (2) by adding at the end the following new subsection:
       ``(o)(1) As a result of electing under subsection (b)(3)(A) 
     to exempt property under State or local law, a debtor may not 
     exempt any amount of interest that exceeds, in the aggregate, 
     $125,000 in value in--
       ``(A) real or personal property that the debtor or a 
     dependent of the debtor uses as a residence;
       ``(B) a cooperative that owns property that the debtor or a 
     dependent of the debtor uses as a residence; or
       ``(C) a burial plot for the debtor or a dependent of the 
     debtor.
       ``(2) The limitation under paragraph (1) shall not apply to 
     an exemption claimed under subsection (b)(3)(A) by a family 
     farmer for the principal residence of that farmer.''.

     SEC. 309. PROTECTING SECURED CREDITORS IN CHAPTER 13 CASES.

       (a) Stopping Abusive Conversions From Chapter 13.--Section 
     348(f)(1) of title 11, United States Code, is amended--
       (1) in subparagraph (A), by striking ``and'' at the end;
       (2) in subparagraph (B)--
       (A) by striking ``in the converted case, with allowed 
     secured claims'' and inserting ``only in a case converted to 
     a case under chapter 11 or 12, but not in a case converted to 
     a case under chapter 7, with allowed secured claims in cases 
     under chapters 11 and 12''; and
       (B) by striking the period and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(C) with respect to cases converted from chapter 13--
       ``(i) the claim of any creditor holding security as of the 
     date of the petition shall continue to be secured by that 
     security unless the full amount of such claim determined 
     under applicable nonbankruptcy law has been paid in full as 
     of the date of conversion, notwithstanding any valuation or 
     determination of the amount of an allowed secured claim made 
     for the purposes of the chapter 13 proceeding; and
       ``(ii) unless a prebankruptcy default has been fully cured 
     under the plan at the time of conversion, in any proceeding 
     under this title or otherwise, the default shall have the 
     effect given under applicable nonbankruptcy law.''.
       (b) Giving Debtors the Ability To Keep Leased Personal 
     Property by Assumption.--Section 365 of title 11, United 
     States Code, is amended by adding at the end the following:
       ``(p)(1) If a lease of personal property is rejected or not 
     timely assumed by the trustee under subsection (d), the 
     leased property is no longer property of the estate and the 
     stay under section 362(a) is automatically terminated.
       ``(2)(A) In the case of an individual under chapter 7, the 
     debtor may notify the creditor in writing that the debtor 
     desires to assume the lease. Upon being so notified, the 
     creditor may, at its option, notify the debtor that it is 
     willing to have the lease assumed by the debtor and may 
     condition such assumption on cure of any outstanding default 
     on terms set by the contract.
       ``(B) If, not later than 30 days after notice is provided 
     under subparagraph (A), the debtor notifies the lessor in 
     writing that the lease is assumed, the liability under the 
     lease will be assumed by the debtor and not by the estate.
       ``(C) The stay under section 362 and the injunction under 
     section 524(a)(2) shall not be violated by notification of 
     the debtor and negotiation of cure under this subsection.
       ``(3) In a case under chapter 11 in which the debtor is an 
     individual and in a case under chapter 13, if the debtor is 
     the lessee with respect to personal property and the lease is 
     not assumed in the plan confirmed by the court, the lease is 
     deemed rejected as of the conclusion of the hearing on 
     confirmation. If the lease is rejected, the stay under 
     section 362 and any stay under section 1301 is automatically 
     terminated with respect to the property subject to the 
     lease.''.
       (c) Adequate Protection of Lessors and Purchase Money 
     Secured Creditors.--
       (1) Confirmation of plan.--Section 1325(a)(5)(B) of title 
     11, United States Code, is amended--
       (A) in clause (i), by striking ``and'' at the end;
       (B) in clause (ii), by striking ``or'' at the end and 
     inserting ``and''; and
       (C) by adding at the end the following:
       ``(iii) if--

       ``(I) property to be distributed pursuant to this 
     subsection is in the form of periodic payments, such payments 
     shall be in equal monthly amounts; and
       ``(II) the holder of the claim is secured by personal 
     property, the amount of such payments shall not be less than 
     an amount sufficient to provide to the holder of such claim 
     adequate protection during the period of the plan; or''.

[[Page 3525]]

       (2) Payments.--Section 1326(a) of title 11, United States 
     Code, is amended to read as follows:
       ``(a)(1) Unless the court orders otherwise, the debtor 
     shall commence making payments not later than 30 days after 
     the date of the filing of the plan or the order for relief, 
     whichever is earlier, in the amount--
       ``(A) proposed by the plan to the trustee;
       ``(B) scheduled in a lease of personal property directly to 
     the lessor for that portion of the obligation that becomes 
     due after the order for relief, reducing the payments under 
     subparagraph (A) by the amount so paid and providing the 
     trustee with evidence of such payment, including the amount 
     and date of payment; and
       ``(C) that provides adequate protection directly to a 
     creditor holding an allowed claim secured by personal 
     property to the extent the claim is attributable to the 
     purchase of such property by the debtor for that portion of 
     the obligation that becomes due after the order for relief, 
     reducing the payments under subparagraph (A) by the amount so 
     paid and providing the trustee with evidence of such payment, 
     including the amount and date of payment.
       ``(2) A payment made under paragraph (1)(A) shall be 
     retained by the trustee until confirmation or denial of 
     confirmation. If a plan is confirmed, the trustee shall 
     distribute any such payment in accordance with the plan as 
     soon as is practicable. If a plan is not confirmed, the 
     trustee shall return any such payments not previously paid 
     and not yet due and owing to creditors pursuant to paragraph 
     (3) to the debtor, after deducting any unpaid claim allowed 
     under section 503(b).
       ``(3) Subject to section 363, the court may, upon notice 
     and a hearing, modify, increase, or reduce the payments 
     required under this subsection pending confirmation of a 
     plan.
       ``(4) Not later than 60 days after the date of filing of a 
     case under this chapter, a debtor retaining possession of 
     personal property subject to a lease or securing a claim 
     attributable in whole or in part to the purchase price of 
     such property shall provide the lessor or secured creditor 
     reasonable evidence of the maintenance of any required 
     insurance coverage with respect to the use or ownership of 
     such property and continue to do so for so long as the debtor 
     retains possession of such property.''.

     SEC. 310. LIMITATION ON LUXURY GOODS.

       Section 523(a)(2)(C) of title 11, United States Code, is 
     amended to read as follows:
       ``(C)(i) for purposes of subparagraph (A)--
       ``(I) consumer debts owed to a single creditor and 
     aggregating more than $250 for luxury goods or services 
     incurred by an individual debtor on or within 90 days before 
     the order for relief under this title are presumed to be 
     nondischargeable; and
       ``(II) cash advances aggregating more than $750 that are 
     extensions of consumer credit under an open end credit plan 
     obtained by an individual debtor on or within 70 days before 
     the order for relief under this title, are presumed to be 
     nondischargeable; and
       ``(ii) for purposes of this subparagraph--
       ``(I) the term `extension of credit under an open end 
     credit plan' means an extension of credit under an open end 
     credit plan, within the meaning of the Consumer Credit 
     Protection Act (15 U.S.C. 1601 et seq.);
       ``(II) the term `open end credit plan' has the meaning 
     given that term under section 103 of the Consumer Credit 
     Protection Act (15 U.S.C. 1602); and
       ``(III) the term `luxury goods or services' does not 
     include goods or services reasonably necessary for the 
     support or maintenance of the debtor or a dependent of the 
     debtor.''.

     SEC. 311. AUTOMATIC STAY.

       (a) In General.--Section 362(b) of title 11, United States 
     Code, is amended--
       (1) by inserting after paragraph (21), as added by this 
     Act, the following:
       ``(23) under subsection (a)(3), of the commencement or 
     continuation of any eviction, unlawful detainer action, or 
     similar proceeding by a lessor against a debtor seeking 
     possession of residential real property--
       ``(A) on which the debtor resides as a tenant; and
       ``(B) with respect to which--
       ``(i) the debtor fails to make a rental payment that 
     initially becomes due under applicable nonbankruptcy law 
     after the date of filing of the petition or during the 10-day 
     period preceding the date of filing of the petition, if the 
     lessor files with the court a certification that the debtor 
     has not made a payment for rent and serves a copy of the 
     certification upon the debtor; or
       ``(ii) the debtor's lease has expired according to its 
     terms, and--

       ``(I) a member of the lessor's immediate family intends to 
     personally occupy that property; or
       ``(II) the lessor has entered into an enforceable lease 
     agreement with another tenant prior to the filing of the 
     petition, if the lessor files with the court a certification 
     of such facts and serves a copy of the certification to the 
     debtor;

       ``(24) under subsection (a)(3), of the commencement or 
     continuation of any eviction, unlawful detainer action, or 
     similar proceeding by a lessor against a debtor seeking 
     possession of residential real property, if during the 1-year 
     period preceding the date of filing of the petition, the 
     debtor or another occupant of the leased premises--
       ``(A) commenced another case under this title; and
       ``(B) failed to make a rental payment that initially became 
     due under applicable nonbankruptcy law after the date of 
     filing of the petition for that other case;
       ``(25) under subsection (a)(3), of an eviction action, to 
     the extent that it seeks possession based on endangerment of 
     property or the illegal use of controlled substances on the 
     property, if the lessor files with the court a certification 
     that such an eviction has been filed or the debtor has 
     endangered property or illegally used or allowed to be used a 
     controlled substance on the property during the 30-day period 
     preceding the date of filing of the certification, and serves 
     a copy of the certification upon the debtor;''; and
       (2) by adding at the end of the flush material at the end 
     of the subsection the following; ``With respect to the 
     applicability of paragraph (23) or (25) to a debtor with 
     respect to the commencement or continuation of a proceeding 
     described in any such paragraph, the exception to the 
     automatic stay shall become effective on the 15th day after 
     the lessor meets the filing and notification requirements 
     under any such paragraph, unless--
       ``(A) the debtor files a certification and serves a copy of 
     that certification upon the lessor, that--
       ``(i) contests the truth or legal sufficiency of the 
     lessor's certification; or
       ``(ii) states that the tenant has taken such action as may 
     be necessary to remedy the subject of the certification under 
     paragraph (23), except that no tenant may take advantage of 
     such remedy more than once; or
       ``(B) the court orders that the exception to the automatic 
     stay shall not become effective, or provides for a later date 
     of applicability.''.
       (b) Forms.--The Judicial Conference of the United States 
     shall promulgate forms for the certifications required under 
     paragraphs (23) and (25) of section 362(b) of title 11, 
     United States Code, as added by this section, that are 
     suitable for use by lessors and debtors who are not 
     represented by attorneys.

     SEC. 312. EXTENSION OF PERIOD BETWEEN BANKRUPTCY DISCHARGES.

       Title 11, United States Code, is amended--
       (1) in section 727(a)(8), by striking ``six'' and inserting 
     ``8''; and
       (2) in section 1328, by inserting after subsection (e) the 
     following:
       ``(f) Notwithstanding subsections (a) and (b), the court 
     shall not grant a discharge of all debts provided for by the 
     plan or disallowed under section 502 if the debtor has 
     received a discharge in any case filed under this title 
     within 5 years before the order for relief under this 
     chapter.''.

     SEC. 313. DEFINITION OF HOUSEHOLD GOODS AND ANTIQUES.

       (a) Definition.--Section 522(f) of title 11, United States 
     Code, is amended by adding at the end the following:
       ``(4)(A) Subject to subparagraph (B), for purposes of 
     paragraph (1)(B), the term `household goods' means--
       ``(i) clothing;
       ``(ii) furniture;
       ``(iii) appliances;
       ``(iv) 1 radio;
       ``(v) 1 television;
       ``(vi) 1 VCR;
       ``(vii) linens;
       ``(viii) china;
       ``(ix) crockery;
       ``(x) kitchenware;
       ``(xi) educational materials and educational equipment 
     primarily for the use of minor dependent children of the 
     debtor, but only 1 personal computer only if used primarily 
     for the education or entertainment of such minor children;
       ``(xii) medical equipment and supplies;
       ``(xiii) furniture exclusively for the use of minor 
     children, or elderly or disabled dependents of the debtor; 
     and
       ``(xiv) personal effects (including the toys and hobby 
     equipment of minor dependent children and wedding rings) of 
     the debtor and the dependents of the debtor.
       ``(B) The term `household goods' does not include--
       ``(i) works of art (unless by or of the debtor or the 
     dependents of the debtor);
       ``(ii) electronic entertainment equipment (except 1 
     television, 1 radio, and 1 VCR);
       ``(iii) items acquired as antiques;
       ``(iv) jewelry (except wedding rings); and
       ``(v) a computer (except as otherwise provided for in this 
     section), motor vehicle (including a tractor or lawn 
     tractor), boat, or a motorized recreational device, 
     conveyance, vehicle, watercraft, or aircraft.''.
       (b) Study.--Not later than 2 years after the date of 
     enactment of this Act, the Director of the Executive Office 
     for United States Trustees shall submit a report to the 
     Committee on the Judiciary of the Senate and the Committee on 
     the Judiciary of the House of Representatives containing its 
     findings regarding utilization of the definition of household 
     goods, as defined in section 522(f)(4) of title 11, United 
     States Code, as added by this section, with respect to the 
     avoidance of nonpossessory, nonpurchase money security 
     interests in household goods under section 522(f)(1)(B) of 
     title 11, United States Code, and the impact that section 
     522(f)(4) of that title, as added by this section, has had on

[[Page 3526]]

     debtors and on the bankruptcy courts. Such report may include 
     recommendations for amendments to section 522(f)(4) of title 
     11, United States Code, consistent with the Director's 
     findings.

     SEC. 314. DEBT INCURRED TO PAY NONDISCHARGEABLE DEBTS.

       (a) In General.--Section 523(a) of title 11, United States 
     Code, is amended by inserting after paragraph (14) the 
     following:
       ``(14A) incurred to pay a tax to a governmental unit, other 
     than the United States, that would be nondischargeable under 
     paragraph (1);''.
       (b) Discharge Under Chapter 13.--Section 1328(a) of title 
     11, United States Code, is amended by striking paragraphs (1) 
     through (3) and inserting the following:
       ``(1) provided for under section 1322(b)(5);
       ``(2) of the kind specified in paragraph (2), (3), (4), 
     (5), (8), or (9) of section 523(a);
       ``(3) for restitution, or a criminal fine, included in a 
     sentence on the debtor's conviction of a crime; or
       ``(4) for restitution, or damages, awarded in a civil 
     action against the debtor as a result of willful or malicious 
     injury by the debtor that caused personal injury to an 
     individual or the death of an individual.''.

     SEC. 315. GIVING CREDITORS FAIR NOTICE IN CHAPTERS 7 AND 13 
                   CASES.

       (a) Notice.--Section 342 of title 11, United States Code, 
     as amended by this Act, is amended--
       (1) in subsection (c)--
       (A) by inserting ``(1)'' after ``(c)'';
       (B) by striking ``, but the failure of such notice to 
     contain such information shall not invalidate the legal 
     effect of such notice''; and
       (C) by adding at the end the following:
       ``(2) If, within the 90 days prior to the date of the 
     filing of a petition in a voluntary case, the creditor 
     supplied the debtor in at least 2 communications sent to the 
     debtor with the current account number of the debtor and the 
     address at which the creditor wishes to receive 
     correspondence, then the debtor shall send any notice 
     required under this title to the address provided by the 
     creditor and such notice shall include the account number. In 
     the event the creditor would be in violation of applicable 
     nonbankruptcy law by sending any such communication within 
     such 90-day period and if the creditor supplied the debtor in 
     the last 2 communications with the current account number of 
     the debtor and the address at which the creditor wishes to 
     receive correspondence, then the debtor shall send any notice 
     required under this title to the address provided by the 
     creditor and such notice shall include the account number.''; 
     and
       (2) by adding at the end the following:
       ``(e) At any time, a creditor, in a case of an individual 
     debtor under chapter 7 or 13, may file with the court and 
     serve on the debtor a notice of the address to be used to 
     notify the creditor in that case. Five days after receipt of 
     such notice, if the court or the debtor is required to give 
     the creditor notice, such notice shall be given at that 
     address.
       ``(f) An entity may file with the court a notice stating 
     its address for notice in cases under chapters 7 and 13. 
     After 30 days following the filing of such notice, any notice 
     in any case filed under chapter 7 or 13 given by the court 
     shall be to that address unless specific notice is given 
     under subsection (e) with respect to a particular case.
       ``(g)(1) Notice given to a creditor other than as provided 
     in this section shall not be effective notice until that 
     notice has been brought to the attention of the creditor. If 
     the creditor designates a person or department to be 
     responsible for receiving notices concerning bankruptcy cases 
     and establishes reasonable procedures so that bankruptcy 
     notices received by the creditor are to be delivered to such 
     department or person, notice shall not be considered to have 
     been brought to the attention of the creditor until received 
     by such person or department.
       ``(2) No sanction under section 362(k) or any other 
     sanction that a court may impose on account of violations of 
     the stay under section 362(a) or failure to comply with 
     section 542 or 543 may be imposed on any action of the 
     creditor unless the action takes place after the creditor has 
     received notice of the commencement of the case effective 
     under this section.''.
       (b) Debtor's Duties.--Section 521 of title 11, United 
     States Code, as amended by this Act, is amended--
       (1) in subsection (a), as so designated by this Act, by 
     striking paragraph (1) and inserting the following:
       ``(1) file--
       ``(A) a list of creditors; and
       ``(B) unless the court orders otherwise--
       ``(i) a schedule of assets and liabilities;
       ``(ii) a schedule of current income and current 
     expenditures;
       ``(iii) a statement of the debtor's financial affairs and, 
     if applicable, a certificate--

       ``(I) of an attorney whose name is on the petition as the 
     attorney for the debtor or any bankruptcy petition preparer 
     signing the petition under section 110(b)(1) indicating that 
     such attorney or bankruptcy petition preparer delivered to 
     the debtor any notice required by section 342(b); or
       ``(II) if no attorney for the debtor is indicated and no 
     bankruptcy petition preparer signed the petition, of the 
     debtor that such notice was obtained and read by the debtor;

       ``(iv) copies of all payment advices or other evidence of 
     payment, if any, received by the debtor from any employer of 
     the debtor in the period 60 days before the filing of the 
     petition;
       ``(v) a statement of the amount of monthly net income, 
     itemized to show how the amount is calculated; and
       ``(vi) a statement disclosing any reasonably anticipated 
     increase in income or expenditures over the 12-month period 
     following the date of filing;''; and
       (2) by adding at the end the following:
       ``(e)(1) At any time, a creditor, in the case of an 
     individual under chapter 7 or 13, may file with the court 
     notice that the creditor requests the petition, schedules, 
     and a statement of affairs filed by the debtor in the case, 
     and the court shall make those documents available to the 
     creditor who requests those documents.
       ``(2)(A) The debtor shall provide either a tax return or 
     transcript at the election of the debtor, for the latest 
     taxable period prior to filing for which a tax return has 
     been or should have been filed, to the trustee, not later 
     than 7 days before the date first set for the first meeting 
     of creditors, or the case shall be dismissed, unless the 
     debtor demonstrates that the failure to file a return as 
     required is due to circumstances beyond the control of the 
     debtor.
       ``(B) If a creditor has requested a tax return or 
     transcript referred to in subparagraph (A), the debtor shall 
     provide such tax return or transcript to the requesting 
     creditor at the time the debtor provides the tax return or 
     transcript to the trustee, or the case shall be dismissed, 
     unless the debtor demonstrates that the debtor is unable to 
     provide such information due to circumstances beyond the 
     control of the debtor.
       ``(3)(A) At any time, a creditor in a case under chapter 13 
     may file with the court notice that the creditor requests the 
     plan filed by the debtor in the case.
       ``(B) The court shall make such plan available to the 
     creditor who requests such plan--
       ``(i) at a reasonable cost; and
       ``(ii) not later than 5 days after such request.
       ``(f) An individual debtor in a case under chapter 7, 11, 
     or 13 shall file with the court at the request of any party 
     in interest--
       ``(1) at the time filed with the taxing authority, all tax 
     returns required under applicable law, including any 
     schedules or attachments, with respect to the period from the 
     commencement of the case until such time as the case is 
     closed;
       ``(2) at the time filed with the taxing authority, all tax 
     returns required under applicable law, including any 
     schedules or attachments, that were not filed with the taxing 
     authority when the schedules under subsection (a)(1) were 
     filed with respect to the period that is 3 years before the 
     order of relief;
       ``(3) any amendments to any of the tax returns, including 
     schedules or attachments, described in paragraph (1) or (2); 
     and
       ``(4) in a case under chapter 13, a statement subject to 
     the penalties of perjury by the debtor of the debtor's income 
     and expenditures in the preceding tax year and monthly 
     income, that shows how the amounts are calculated--
       ``(A) beginning on the date that is the later of 90 days 
     after the close of the debtor's tax year or 1 year after the 
     order for relief, unless a plan has been confirmed; and
       ``(B) thereafter, on or before the date that is 45 days 
     before each anniversary of the confirmation of the plan until 
     the case is closed.
       ``(g)(1) A statement referred to in subsection (f)(4) shall 
     disclose--
       ``(A) the amount and sources of income of the debtor;
       ``(B) the identity of any person responsible with the 
     debtor for the support of any dependent of the debtor; and
       ``(C) the identity of any person who contributed, and the 
     amount contributed, to the household in which the debtor 
     resides.
       ``(2) The tax returns, amendments, and statement of income 
     and expenditures described in subsection (e)(2)(A) and 
     subsection (f) shall be available to the United States 
     trustee, any bankruptcy administrator, any trustee, and any 
     party in interest for inspection and copying, subject to the 
     requirements of subsection (h).
       ``(h)(1) Not later than 180 days after the date of 
     enactment of the Bankruptcy Reform Act of 2001, the Director 
     of the Administrative Office of the United States Courts 
     shall establish procedures for safeguarding the 
     confidentiality of any tax information required to be 
     provided under this section.
       ``(2) The procedures under paragraph (1) shall include 
     restrictions on creditor access to tax information that is 
     required to be provided under this section.
       ``(3) Not later than 1 year and 180 days after the date of 
     enactment of the Bankruptcy Reform Act of 2001, the Director 
     of the Administrative Office of the United States Courts 
     shall prepare and submit to Congress a report that--
       ``(A) assesses the effectiveness of the procedures under 
     paragraph (1); and
       ``(B) if appropriate, includes proposed legislation to--
       ``(i) further protect the confidentiality of tax 
     information; and
       ``(ii) provide penalties for the improper use by any person 
     of the tax information required to be provided under this 
     section.

[[Page 3527]]

       ``(i) If requested by the United States trustee or a 
     trustee serving in the case, the debtor shall provide--
       ``(1) a document that establishes the identity of the 
     debtor, including a driver's license, passport, or other 
     document that contains a photograph of the debtor; and
       ``(2) such other personal identifying information relating 
     to the debtor that establishes the identity of the debtor.''.

     SEC. 316. DISMISSAL FOR FAILURE TO TIMELY FILE SCHEDULES OR 
                   PROVIDE REQUIRED INFORMATION.

       Section 521 of title 11, United States Code, as amended by 
     this Act, is amended by adding at the end the following:
       ``(j)(1) Notwithstanding section 707(a), and subject to 
     paragraph (2), if an individual debtor in a voluntary case 
     under chapter 7 or 13 fails to file all of the information 
     required under subsection (a)(1) within 45 days after the 
     filing of the petition commencing the case, the case shall be 
     automatically dismissed effective on the 46th day after the 
     filing of the petition.
       ``(2) With respect to a case described in paragraph (1), 
     any party in interest may request the court to enter an order 
     dismissing the case. If requested, the court shall enter an 
     order of dismissal not later than 5 days after such request.
       ``(3) Upon request of the debtor made within 45 days after 
     the filing of the petition commencing a case described in 
     paragraph (1), the court may allow the debtor an additional 
     period of not to exceed 45 days to file the information 
     required under subsection (a)(1) if the court finds 
     justification for extending the period for the filing.''.

     SEC. 317. ADEQUATE TIME TO PREPARE FOR HEARING ON 
                   CONFIRMATION OF THE PLAN.

       Section 1324 of title 11, United States Code, is amended--
       (1) by striking ``After'' and inserting the following:
       ``(a) Except as provided in subsection (b) and after''; and
       (2) by adding at the end the following:
       ``(b) The hearing on confirmation of the plan may be held 
     not earlier than 20 days and not later than 45 days after the 
     date of the meeting of creditors under section 341(a).''.

     SEC. 318. CHAPTER 13 PLANS TO HAVE A 5-YEAR DURATION IN 
                   CERTAIN CASES.

       Title 11, United States Code, is amended--
       (1) by amending section 1322(d) to read as follows:
       ``(d)(1) If the current monthly income of the debtor and 
     the debtor's spouse combined, when multiplied by 12, is not 
     less than--
       ``(A) in the case of a debtor in a household of 1 person, 
     the median family income of the applicable State for 1 earner 
     last reported by the Bureau of the Census;
       ``(B) in the case of a debtor in a household of 2, 3, or 4 
     individuals, the highest median family income of the 
     applicable State for a family of the same number or fewer 
     individuals last reported by the Bureau of the Census; or
       ``(C) in the case of a debtor in a household exceeding 4 
     individuals, the highest median family income of the 
     applicable State for a family of 4 or fewer individuals last 
     reported by the Bureau of the Census, plus $525 per month for 
     each individual in excess of 4,
     the plan may not provide for payments over a period that is 
     longer than 5 years.
       ``(2) If the current monthly income of the debtor and the 
     debtor's spouse combined, when multiplied by 12, is less 
     than--
       ``(A) in the case of a debtor in a household of 1 person, 
     the median family income of the applicable State for 1 earner 
     last reported by the Bureau of the Census;
       ``(B) in the case of a debtor in a household of 2, 3, or 4 
     individuals, the highest median family income of the 
     applicable State for a family of the same number or fewer 
     individuals last reported by the Bureau of the Census; or
       ``(C) in the case of a debtor in a household exceeding 4 
     individuals, the highest median family income of the 
     applicable State for a family of 4 or fewer individuals last 
     reported by the Bureau of the Census, plus $525 per month for 
     each individual in excess of 4,
     the plan may not provide for payments over a period that is 
     longer than 3 years, unless the court, for cause, approves a 
     longer period, but the court may not approve a period that is 
     longer than 5 years.'';
       (2) in section 1325(b)(1)(B), by striking ``three-year 
     period'' and inserting ``applicable commitment period''; and
       (3) in section 1325(b), as amended by this Act, by adding 
     at the end the following:
       ``(4) For purposes of this subsection, the `applicable 
     commitment period'--
       ``(A) subject to subparagraph (B), shall be--
       ``(i) 3 years; or
       ``(ii) not less than 5 years, if the current monthly income 
     of the debtor and the debtor's spouse combined, when 
     multiplied by 12, is not less than--
       ``(I) in the case of a debtor in a household of 1 person, 
     the median family income of the applicable State for 1 earner 
     last reported by the Bureau of the Census;
       ``(II) in the case of a debtor in a household of 2, 3, or 4 
     individuals, the highest median family income of the 
     applicable State for a family of the same number or fewer 
     individuals last reported by the Bureau of the Census; or
       ``(III) in the case of a debtor in a household exceeding 4 
     individuals, the highest median family income of the 
     applicable State for a family of 4 or fewer individuals last 
     reported by the Bureau of the Census, plus $525 per month for 
     each individual in excess of 4; and
       ``(B) may be less than 3 or 5 years, whichever is 
     applicable under subparagraph (A), but only if the plan 
     provides for payment in full of all allowed unsecured claims 
     over a shorter period.''; and
       (4) in section 1329(c), by striking ``three years'' and 
     inserting ``the applicable commitment period under section 
     1325(b)(1)(B)''.

     SEC. 319. SENSE OF CONGRESS REGARDING EXPANSION OF RULE 9011 
                   OF THE FEDERAL RULES OF BANKRUPTCY PROCEDURE.

       It is the sense of Congress that rule 9011 of the Federal 
     Rules of Bankruptcy Procedure (11 U.S.C. App.) should be 
     modified to include a requirement that all documents 
     (including schedules), signed and unsigned, submitted to the 
     court or to a trustee by debtors who represent themselves and 
     debtors who are represented by an attorney be submitted only 
     after the debtor or the debtor's attorney has made reasonable 
     inquiry to verify that the information contained in such 
     documents is--
       (1) well grounded in fact; and
       (2) warranted by existing law or a good-faith argument for 
     the extension, modification, or reversal of existing law.

     SEC. 320. PROMPT RELIEF FROM STAY IN INDIVIDUAL CASES.

       Section 362(e) of title 11, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(e)''; and
       (2) by adding at the end the following:
       ``(2) Notwithstanding paragraph (1), in the case of an 
     individual filing under chapter 7, 11, or 13, the stay under 
     subsection (a) shall terminate on the date that is 60 days 
     after a request is made by a party in interest under 
     subsection (d), unless--
       ``(A) a final decision is rendered by the court during the 
     60-day period beginning on the date of the request; or
       ``(B) that 60-day period is extended--
       ``(i) by agreement of all parties in interest; or
       ``(ii) by the court for such specific period of time as the 
     court finds is required for good cause, as described in 
     findings made by the court.''.

     SEC. 321. CHAPTER 11 CASES FILED BY INDIVIDUALS.

       (a) Property of the Estate.--
       (1) In general.--Subchapter I of chapter 11 of title 11, 
     United States Code, is amended by adding at the end the 
     following:

     ``Sec. 1115. Property of the estate

       ``(a) In a case concerning an individual debtor, property 
     of the estate includes, in addition to the property specified 
     in section 541--
       ``(1) all property of the kind specified in section 541 
     that the debtor acquires after the commencement of the case 
     but before the case is closed, dismissed, or converted to a 
     case under chapter 7, 12, or 13, whichever occurs first; and
       ``(2) earnings from services performed by the debtor after 
     the commencement of the case but before the case is closed, 
     dismissed, or converted to a case under chapter 7, 12, or 13, 
     whichever occurs first.''.
       ``(b) Except as provided in section 1104 or a confirmed 
     plan or order confirming a plan, the debtor shall remain in 
     possession of all property of the estate.''.
       (2) Clerical amendment.--The table of sections for chapter 
     11 of title 11, United States Code, is amended by adding at 
     the end of the matter relating to subchapter I the following:

``1115. Property of the estate.''.
       (b) Contents of Plan.--Section 1123(a) of title 11, United 
     States Code, is amended--
       (1) in paragraph (6), by striking ``and'' at the end;
       (2) in paragraph (7), by striking the period and inserting 
     ``; and''; and
       (3) by adding at the end the following:
       ``(8) in a case concerning an individual, provide for the 
     payment to creditors through the plan of all or such portion 
     of earnings from personal services performed by the debtor 
     after the commencement of the case or other future income of 
     the debtor as is necessary for the execution of the plan.''.
       (c) Confirmation of Plan.--
       (1) Requirements relating to value of property.--Section 
     1129(a) of title 11, United States Code, is amended by adding 
     at the end the following:
       ``(15) In a case concerning an individual in which the 
     holder of an allowed unsecured claim objects to the 
     confirmation of the plan--
       ``(A) the value of the property to be distributed under the 
     plan on account of such claim is, as of the effective date of 
     the plan, not less than the amount of such claim; or
       ``(B) the value of the property to be distributed under the 
     plan is not less than the debtor's projected disposable 
     income (as that term is defined in section 1325(b)(2)) to be 
     received during the 5-year period beginning on the date that 
     the first payment is due under the plan, or during the term 
     of the plan, whichever is longer.''.
       (2) Requirement relating to interests in property.--Section 
     1129(b)(2)(B)(ii) of title

[[Page 3528]]

     11, United States Code, is amended by inserting before the 
     period at the end the following: ``, except that in a case 
     concerning an individual, the debtor may retain property 
     included in the estate under section 1115, subject to the 
     requirements of subsection (a)(14)''.
       (d) Effect of Confirmation.--Section 1141(d) of title 11, 
     United States Code, is amended--
       (1) in paragraph (2), by striking ``The confirmation of a 
     plan does not discharge an individual debtor'' and inserting 
     ``A discharge under this chapter does not discharge a 
     debtor''; and
       (2) by adding at the end the following:
       ``(5) In a case concerning an individual--
       ``(A) except as otherwise ordered for cause shown, the 
     discharge is not effective until completion of all payments 
     under the plan; and
       ``(B) at any time after the confirmation of the plan and 
     after notice and a hearing, the court may grant a discharge 
     to a debtor that has not completed payments under the plan 
     only if--
       ``(i) for each allowed unsecured claim, the value, as of 
     the effective date of the plan, of property actually 
     distributed under the plan on account of that claim is not 
     less than the amount that would have been paid on such claim 
     if the estate of the debtor had been liquidated under chapter 
     7 of this title on such date; and
       ``(ii) modification of the plan under 1127 of this title is 
     not practicable.''.
       (e) Modification of Plan.--Section 1127 of title 11, United 
     States Code, is amended by adding at the end the following:
       ``(e) In a case concerning an individual, the plan may be 
     modified at any time after confirmation of the plan but 
     before the completion of payments under the plan, whether or 
     not the plan has been substantially consummated, upon request 
     of the debtor, the trustee, the United States trustee, or the 
     holder of an allowed unsecured claim, to--
       ``(1) increase or reduce the amount of payments on claims 
     of a particular class provided for by the plan;
       ``(2) extend or reduce the time period for such payments; 
     or
       ``(3) alter the amount of the distribution to a creditor 
     whose claim is provided for by the plan to the extent 
     necessary to take account of any payment of such claim made 
     other than under the plan.
       ``(f)(1) Sections 1121 through 1128 of this title and the 
     requirements of section 1129 of this title apply to any 
     modification under subsection (a).
       ``(2) The plan, as modified, shall become the plan only 
     after there has been disclosure under section 1125, as the 
     court may direct, notice and a hearing, and such modification 
     is approved.''.
                                  ____

  SA 69. Mr. WELLSTONE submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       On page 243, line 23, strike ``(1)(B),''.
                                  ____

  SA 70. Mr. WELLSTONE submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       On page 18, line 9, strike ``6'' and insert ``2''.
                                  ____

  SA 71. Mr. WELLSTONE submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       On page 151, strike line 18 and all that follows through 
     page 152, line 3, and insert the following:
       Section 727(a)(8) of title II, United States Code, is 
     amended by striking ``six'' and inserting ``8''.
                                  ____

  SA 72. Mr. WELLSTONE submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       Strike section 912 (relating to asset-backed 
     securitizations).
                                  ____

  SA 73. Mr. WELLSTONE submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       On page 441, after line 2, add the following:
       (c) Exemptions.--
       (1) Certain unemployed workers.--This Act and the 
     amendments made by this Act do not apply to any debtor that 
     can demonstrate to the satisfaction of the court that the 
     reason for filing is due to the debtor having become 
     unemployed and the debtor is part of a group of workers 
     certified by the Secretary of Labor as being eligible for 
     trade adjustment assistance under title II of the Trade Act 
     of 1974 (19 U.S.C. 2251 et seq.), unless the debtor elects to 
     make a provision of this Act or an amendment made by this Act 
     applicable to that debtor.
       (2) Applicability.--Title 11, United States Code, as in 
     effect on the day before the effective date of this Act and 
     the amendments made by this Act, shall apply to persons 
     referred to in paragraph (1) on and after the date of 
     enactment of this Act, unless the debtor elects otherwise in 
     accordance with paragraph (1).
                                  ____

  SA 74. Mr. WELLSTONE submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       On page 441, after line 2, add the following:
       (c) Exemptions.--
       (1) In general.--This Act and the amendments made by this 
     Act do not apply to any debtor that can demonstrate to the 
     satisfaction of the court that the household income of the 
     debtor at the time of filing is equal to or below 200 percent 
     of the Federal poverty line (as defined by the Office of 
     Management and Budget, and revised annually in accordance 
     with section 673(2) of the Community Services Block Grant Act 
     (42 U.S.C. 9902(2)), unless the debtor elects to make a 
     provision of this Act or an amendment made by this Act 
     applicable to that debtor.
       (2) Applicability.--Title 11, United States Code, as in 
     effect on the day before the effective date of this Act and 
     the amendments made by this Act, shall apply to persons 
     referred to in paragraph (1) on and after the date of 
     enactment of this Act, unless the debtor elects otherwise in 
     accordance with paragraph (1).
                                  ____

  SA 75. Mr. DODD (for himself and Mr. Kennedy) submitted an amendment 
intended to be proposed by them to the bill S. 420, to amend title II, 
United States Code, and for other purposes; which was ordered to lie on 
the table.

       At the end of Title XIII, add the following:

     SEC. 1311. EXTENSIONS OF CREDIT TO UNDERAGE CONSUMERS.

       (a) In General.--Section 127(c) of the Truth in Lending Act 
     (15 U.S.C. 1637(c)) is amended by adding at the end the 
     following:
       ``(8) Applications from underage consumers.--
       ``(A) Prohibition on issuance.--No credit card may be 
     issued to, or open end credit plan established on behalf of, 
     a consumer who has not attained the age of 21, unless the 
     consumer has submitted a written application to the card 
     issuer that meets the requirements of subparagraph (B).
       ``(B) Application requirements.--An application to open a 
     credit card account by an individual who has not attained the 
     age of 21 as of the date of submission of the application 
     shall require--
       ``(i) the signature of the parent, legal guardian, or 
     spouse of the consumer, or any other individual having a 
     means to repay debts incurred by the consumer in connection 
     with the account, indicating joint liability for debts 
     incurred by the consumer in connection with the account 
     before the consumer has attained the age of 21;
       ``(ii) submission by the consumer of financial information 
     indicating an independent means of repaying any obligation 
     arising from the proposed extension of credit in connection 
     with the account; or
       ``(iii) proof by the consumer that the consumer has 
     completed a credit counseling course of instruction by an 
     approved nonprofit budget and credit counseling agency that 
     meets the requirements of section 111 of title 11, United 
     States Code.''.
       (b) Regulatory Authority.--The Board of Governors of the 
     Federal Reserve System may issue such rules or publish such 
     model forms as it considers necessary to carry out section 
     127(c)(8) of the Truth in Lending Act, as amended by this 
     section.
       Amend the table of contents accordingly.
                                  ____

  SA 76. Mr. FEINGOLD submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title 11, United States Code, and of 
other purposes, which was ordered to lie on the table; as follows:

       On page 152, strike line 4 and all that follows through 
     page 154, line 11.
                                  ____

  SA 77. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title 11, United States Code, and for 
other purposes, which was ordered to lie on the table; as follows:

       At the appropriate place, insert:

     SEC. 204. PRESERVATION OF CLAIMS AND DEFENSES UPON SALE OF 
                   PREDATORY LOANS.

       Section 363 of title 11, US Code, is amended by adding at 
     the end the following:
       ``(p) Notwithstanding subsection (f), if a person purchases 
     any interest in a consumer credit transaction that is subject 
     to the Truth in Lending Act (15 U.S. Code 1601 et. seq.), or 
     any interest in a consumer credit contract as defined by the 
     Federal Trade Commission Preservation of Claims Trade 
     Regulation, and that interest is purchased

[[Page 3529]]

     through a sale under this section, then that person shall 
     remain subject to all claims and defenses that are related to 
     the consumer credit transaction or contract, to the same 
     extent as that person would be subject to such claims and 
     defenses of the consumer had the sale taken place other than 
     under title 11.''
                                  ____

  SA 78. Mr. WYDEN (for himself, Mr. Baucus, and Mrs. Murray) submitted 
an amendment intended to be proposed by them to the bill S. 420, to 
amend title 11, United States Code, and for other purposes; which was 
ordered to lie on the table.

       After section 419, insert the following:

     SEC. 420. NONDISCHARGEABILITY OF DEBTS ARISING FROM THE 
                   EXCHANGE OF ELECTRIC ENERGY.

       (a) In General.--Section 1141(d) of title 11, United States 
     Code, as amended by this Act, is amended by adding at the end 
     the following:
       ``(6) The confirmation of a plan does not discharge a 
     debtor--
       ``(A) in the case of a debtor that is a corporation, from 
     any debt for wholesale electric power received that is 
     incurred by that debtor under an order issued by the 
     Secretary of Energy (or any amendment of or attachment to 
     that order) under section 202(c) of the Federal Power Act (16 
     U.S.C. 824a(c)) and requested by the California Independent 
     System Operator; or
       ``(B) in the case of debt owed to a Federal, State, or 
     local government agency named in an order referred to in 
     subparagraph (A) for wholesale electric power received by the 
     debtor except to the extent the rate charged for power traded 
     by the California Power Exchange or delivered to the 
     California Independent System Operator is determined by the 
     Federal Energy Regulatory Commission to be unjust and 
     unreasonable, in which case this subparagraph should only 
     apply to debt for the actual cost of production and 
     distribution of energy.''.
       (b) Automatic Stay.--Section 362(b) of title 11, United 
     States Code, as amended by this Act, is amended--
       (1) in paragraph (28), as added by section 907(d) of this 
     Act, by striking ``or'' at the end;
       (2) in paragraph (29), as added by section 1106 of this 
     Act, by striking the period at the end and inserting ``; 
     or''; and
       (3) by inserting after that paragraph (29) the following:
       ``(30) under subsection (a), of the commencement or 
     continuation, and conclusion to the entry of final judgment 
     or order, of a judicial, administrative, or other action or 
     proceeding for debts that are nondischargeable under section 
     1141(d)(6).''.
       (c) Technical and Conforming Amendments.--Section 1141(a) 
     of title 11, United States Code, is amended by striking 
     ``subsections (d)(2) and (d)(3) of this section'' and 
     inserting ``paragraphs (2), (3), and (6) of subsection (d)''.
       (d) Applicability.--This section and the amendments made by 
     this section shall apply with respect to any petition for 
     bankruptcy filed under title 11, United States Code, on or 
     after March 1, 2001.
                                  ____

  SA 79. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle A of title II, add the following:

     SEC. 204. AWARD OF FEES AND DAMAGES AUTHORIZED.

       (a) Section 502.--Section 502 of title 11, United States 
     Code, as amended by this Act, is amended by adding at the end 
     the following:
       ``(l)(1) The court may award the debtor reasonable 
     attorneys' fees and costs if, after an objection is filed by 
     a debtor, the court--
       ``(A)(i) disallows the claim; or
       ``(ii) reduces the claim by an amount greater than 20 
     percent of the amount of the initial claim filed by a party 
     in interest, or $500, whichever is less; and
       ``(B) finds that the position of the party filing the claim 
     is not substantially justified.
       ``(2) If the court finds that the position of a claimant 
     under this section is not substantially justified, the court 
     may, in addition to awarding a debtor reasonable attorneys' 
     fees and costs under paragraph (1), award such damages as may 
     be required by the equities of the case.''.
       (b) Section 523.--Section 523 of title 11, United States 
     Code, is amended--
       (1) in subsection (a)(2)(A), by striking ``a false 
     representation'' and inserting ``a material false 
     representation upon which the defrauded person justifiably 
     relied''; and
       (2) by striking subsection (d) and inserting the following:
       ``(d)(1) Subject to paragraph (3), if a creditor requests a 
     determination of dischargeability of a consumer debt under 
     this section and that debt is discharged, the court shall 
     award the debtor reasonable attorneys' fees and costs.
       ``(2) In addition to making an award to a debtor under 
     paragraph (1), if the court finds that the position of a 
     creditor in a proceeding covered under this section is not 
     substantially justified, the court may award reasonable 
     attorneys' fees and costs under paragraph (1) and such 
     damages as may be required by the equities of the case.
       ``(3)(A) A creditor may not request a determination of 
     dischargeability of a consumer debt under subsection (a)(2) 
     if--
       ``(i) before the filing of the petition, the debtor made a 
     good faith effort to negotiate a reasonable alternative 
     repayment schedule (including making an offer of a reasonable 
     alternative repayment schedule); and
       ``(ii) that creditor refused to negotiate an alternative 
     payment schedule, and that refusal was not reasonable.
       ``(B) For purposes of this paragraph, the debtor shall have 
     the burden of proof of establishing that--
       ``(i) an offer made by that debtor under subparagraph 
     (A)(i) was reasonable; and
       ``(ii) the refusal to negotiate by the creditor involved 
     was not reasonable.''.
       (c) Section 524.--Section 524 of title 11, United States 
     Code, as otherwise amended by this Act, is amended by adding 
     at the end the following:
       ``(l) The willful failure of a creditor to credit payments 
     received under a plan confirmed under this title (including a 
     plan of reorganization confirmed under chapter 11 of this 
     title) in the manner required by the plan (including 
     crediting the amounts required under the plan) shall 
     constitute a violation of an injunction under subsection 
     (a)(2).
       ``(m) An individual who is injured by the failure of a 
     creditor to comply with the requirements for a reaffirmation 
     agreement under subsections (c) and (d), or by any willful 
     violation of the injunction under subsection (a)(2), shall be 
     entitled to recover--
       ``(1) the greater of--
       ``(A)(i) the amount of actual damages; multiplied by--
       ``(ii) 3; or
       ``(B) $5,000; and
       ``(2) costs and attorneys' fees.''.
       (d) Section 362.--Section 362(h) of title 11, United States 
     Code, is amended to read as follows:
       ``(h)(1) An individual who is injured by any willful 
     violation of a stay provided in this section shall be 
     entitled to recover--
       ``(A) actual damages; and
       ``(B) reasonable costs, including attorneys' fees.
       ``(2) In addition to recovering actual damages, costs, and 
     attorneys' fees under paragraph (1), an individual described 
     in paragraph (1) may recover punitive damages in appropriate 
     circumstances.''.

     SEC. 205. DISCHARGE.

       (e) Section 727.--Section 727 of title 11, United States 
     Code, is amended--
       (1) in subsection (c), by adding at the end the following:
       ``(3)(A) A creditor may not request a determination of 
     dischargeability of a consumer debt under subsection (a) if--
       ``(i) before the filing of the petition, the debtor made a 
     good faith effort to negotiate a reasonable alternative 
     repayment schedule (including making an offer of a reasonable 
     alternative repayment schedule); and
       ``(ii) that creditor refused to negotiate an alternative 
     payment schedule, and that refusal was not reasonable.
       ``(B) For purposes of this paragraph, the debtor shall have 
     the burden of proof of establishing that--
       ``(i) an offer made by that debtor under subparagraph 
     (A)(i) was reasonable; and
       ``(ii) the refusal to negotiate by the creditor involved 
     was not reasonable.''; and
       (2) by adding at the end the following:
       ``(f)(1) The court may award the debtor reasonable 
     attorneys' fees and costs in any case in which a creditor 
     files a motion to deny relief to a debtor under this section 
     and that motion--
       ``(A) is denied; or
       ``(B) is withdrawn after the debtor has replied.
       ``(2) If the court finds that the position of a party 
     filing a motion under this section is not substantially 
     justified, the court may assess against the creditor such 
     damages as may be required by the equities of the case.''.
                                  ____

  SA 80. Mr. BREAUX (for himself, Mr. Specter, Mrs. Feinstein) 
submitted an amendment intended to be proposed by him to the bill S. 
420, to amend title II, United States Code, and for other purposes; 
which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. AUTHORITY TO ISSUE A RULE RELATING TO ERGONOMICS.

       (a) Findings.--Congress makes the following findings:
       (1) The National Academy of Sciences issued a report 
     entitled ``Musculoskeletal Disorders and the Workplace--Low 
     Back and Upper Extremities'' on January 18, 2001. The report 
     was issued after the Occupational Safety and Health 
     Administration promulgated a final rule relating to 
     ergonomics (published at 65 Fed. Reg. 68261 (2000)).
       (2) According to the National Academy of Sciences, 
     musculoskeletal disorders of the low back and upper 
     extremities are an important and costly national health 
     problem.

[[Page 3530]]

     An estimated 1,000,000 workers each year lose time from work 
     as a result of work-related musculoskeletal disorders.
       (3) Conservative estimates of the economic burden imposed 
     by work-related musculoskeletal disorders, as measured by 
     compensation costs, lost wages, and lost productivity, are 
     between $45,000,000,000 and $54,000,000,000 annually.
       (4) Congress enacted the Occupational Safety and Health Act 
     of 1970 (29 U.S.C. 651 et seq.) to ``assure so far as 
     possible every working man and woman in the Nation safe and 
     healthful working conditions,'' and charged the Secretary of 
     Labor with implementing the Act to accomplish this purpose.
       (5) Promulgation of a standard on workplace ergonomics is 
     needed to address a serious workplace safety and health 
     problem and to protect working men and women from work-
     related musculoskeletal disorders. Any workplace ergonomics 
     standard should take into account the cost and feasibility of 
     compliance with such requirements and the sound science of 
     the National Academy of Sciences report.
       (b) Authority to Issue Rule.--
       (1) In general.--Notwithstanding any other provision of 
     law, not later than 2 years after the date of enactment of 
     this Act, the Secretary of Labor shall, in accordance with 
     section 6 of the Occupational Safety and Health Act of 1970 
     (29 U.S.C. 655), issue a final rule relating to ergonomics. 
     The standard under the final rule shall take effect not later 
     than 90 days after the date on which the rule is promulgated. 
     The standard shall--
       (A) address work-related musculoskeletal disorders and 
     workplace ergonomic hazards;
       (B) not apply to non-work-related musculoskeletal disorders 
     that occur outside the workplace or non-work-related 
     musculoskeletal disorders that are aggravated by work; and
       (C) set forth in clear terms--
       (i) the circumstances under which an employer is required 
     to take action to address ergonomic hazards;
       (ii) the measures required of an employer under the 
     standard; and
       (iii) the compliance obligations of an employer under the 
     standard.
       (2) Authorization.--Paragraph (1) shall be considered a 
     specific authorization by Congress in accordance with section 
     801(b)(2) of title 5, United States Code, with respect to the 
     issuance of a new ergonomic rule.
       (3) Prohibition.--In issuing a new rule under this 
     subsection, the Secretary of Labor shall ensure that nothing 
     in the rule expands the application of State workers' 
     compensation laws.
       (4) Standard setting authority.--Nothing in this subsection 
     shall be construed to restrict or alter the authority of the 
     Secretary of Labor under the Occupational Safety and Health 
     Act of 1970 (29 U.S.C. 651 et seq.) to adopt health or safety 
     standards (as defined in section 3(8) (29 U.S.C. 652(8)) of 
     such Act) for other hazards pursuant to section 6 (29 U.S.C. 
     655) of such Act.
       (5) Information and training materials.--The Secretary of 
     Labor shall, prior to the date on which the new rule under 
     this subsection becomes effective, develop information and 
     training materials, and implement an outreach program and 
     other initiatives, to provide compliance assistance to 
     employers and employees concerning the new rule and the 
     requirements under the rule.
                                  ____

  SA 81. Mr. REED submitted an amendment intended to be proposed by him 
to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle A of title II, add the following:

     SEC. 204. GAO STUDY ON REAFFIRMATION PROCESS.

       (a) Study.--The General Accounting Office (in this section 
     referred to as the ``GAO'') shall conduct a study of the 
     reaffirmation process under title 11, United States Code, to 
     determine the overall treatment of consumers within the 
     context of that process, including consideration of--
       (1) the policies and activities of creditors with respect 
     to reaffirmation; and
       (2) whether there is abuse or coercion of consumers 
     inherent in the process.
       (b) Report to Congress.--Not later than 1 year after the 
     date of enactment of this Act, the GAO shall submit a report 
     to the Congress on the results of the study conducted under 
     subsection (a), together with any recommendations for 
     legislation to address any abusive or coercive tactics found 
     within the reaffirmation process.
                                  ____

  SA 82. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 42, between lines 3 and 4, insert the following:

     SEC. 108. TREASURY DEPARTMENT STUDY ON THE OPERATION OF THE 
                   MEANS TEST SAFE HARBOR.

       (a) Study.--
       (1) In general.--The Secretary of the Treasury (in this 
     section referred to as the ``Secretary'') shall conduct a 
     study of those debtors who, based on the information provided 
     in the schedules filed with the bankruptcy court, would be 
     subject to the presumption under section 707(b)(2) of title 
     11, United States Code, as added by this Act, but are not 
     subject to that presumption because the current monthly 
     income of those debtors is under the applicable median income 
     required under section 707(b)(7) of that title, as added by 
     this Act, to determine the ability of those debtors excluded 
     from the operation of the means test by the exemption 
     provided in section 707(b)(2) of that title, to pay.
       (2) Determinations.--The study required by this subsection 
     shall cover the 1-year period beginning on the date of 
     enactment of this Act, and shall include--
       (A) the average amount that a debtor with the ability to 
     pay would be able to pay a nonpriority unsecured creditor, as 
     determined by the net income of that debtor under section 
     707(b)(2) of title 11, United States Code, as added by this 
     Act, and projecting that amount over the applicable 
     commitment period under section 1325(b) of that title; and
       (B) the aggregate amount that all debtors referred to in 
     subparagraph (A) would be able to pay during the period of 
     the study.
       (b) Report to Congress.--Not later than 2 years after the 
     date of enactment of this Act, the Secretary shall submit a 
     report to Congress on the results of the study conducted 
     under subsection (a), together with any recommendations for 
     legislation to address the abusive use of any chapter of 
     title 11, United States Code.
                                  ____

  SA 83. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 17, line 5, insert ``creditor, or other party in 
     interest, and only the'' after ``No''.
       On page 17, line 5, after ``panel trustee,'' insert ``or''.
       On page 17, line 6, strike ``or other party in interest''.
       On page 17, line 9, after ``relief'' insert the following: 
     ``(except if the debtor and the spouse of the debtor are not 
     in a joint case, and are either legally separated or the 
     court determines, after notice and hearing, that the debtor 
     and the spouse of the debtor are living separate and apart, 
     and the spouse is not providing any support to the debtor or 
     the dependents of the debtor, then only the current monthly 
     income of the debtor as of the date of the order for 
     relief)''.
                                  ____

  SA 84. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle A of title II, add the following:

     SEC. 204. TREASURY STUDY ON REAFFIRMATION PROCESS.

       (a) Study.--
       (1) In general.--The Secretary of the Treasury (in this 
     section referred to as the ``Secretary'') shall conduct a 
     study of the effect on consumers of the provisions in title 
     11, United States Code, relating to reaffirmation of consumer 
     debt which has been discharged in a proceeding commenced 
     under that title.
       (2) Considerations.--The study required by this subsection 
     shall include analysis of--
       (A) the policies and activities of creditors representative 
     in their class with respect to reaffirmation;
       (B) the role of debtors' counsel in the reaffirmation 
     process;
       (C) the economic and personal benefits accruing to 
     consumers who reaffirm debt; and
       (D) the effectiveness of applicable consumer protection 
     provisions.
       (b) Report to Congress.--Not later than 2 years after the 
     date of enactment of this Act, the Secretary shall submit a 
     report to the Congress on the results of the study conducted 
     under subsection (a), together with any recommendations for 
     legislation to address any policy concerns resulting from the 
     study.
                                  ____

  SA 85. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 62, after the material between lines 3 and 4, 
     insert the following:

     SEC. 204. SPECIAL AUDITS.

       (a) In General.--If a debt relief agency has provided 
     bankruptcy assistance to more than 10 assisted persons--
       (1) whose cases have been dismissed or converted under 
     section 707(b) of title 11, United States Code;
       (2) in whose cases the stay under section 362(a) of title 
     11, United States Code, has terminated under section 
     362(c)(3)(A) of that title, or was not in effect under 
     section 362(c)(4)(A)(i) of that title; or

[[Page 3531]]

       (3) with respect to which, the court entered an order under 
     section 362(d)(4) of title 11, United States Code,

     the Attorney General shall order an audit to be conducted of 
     all cases filed in the 1-year period preceding the date of 
     such order in which the debt relief agency provided 
     bankruptcy assistance.
       (b) Audit.--The audit required by subsection (a) shall be 
     conducted by auditors selected under section 603 of this Act, 
     and such audit shall be conducted as though each case was a 
     file selected for audit under that section.
       (c) Report.--The Attorney General shall report the results 
     of the audit required by this section to the judge of each 
     bankruptcy court in which any case subject to audit was 
     filed.
                                  ____

  SA. 86. Mr. SESSIONS submitted an amendment intended to be proposed 
by him to the bill S. 420, to amend title II, United States Code, and 
for other purposes; which was ordered to lie on the table; as follows:

       On page 17, line 4, strike ``of 4.'' and all that follows 
     through line 25, and insert the following ``of 4.'.''.
                                  ____

  SA 87. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 23, line 10, insert ``, nonpriority'' before 
     ``creditors''.
                                  ____

  SA 88. Mr. SESSIONS submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 17, strike lines 5 through 10, and insert the 
     following:
       ``(7) No creditor or other party in interest, and only the 
     judge, United States trustee, panel trustee, or bankruptcy 
     administrator, may bring a motion under paragraph (2), if the 
     current monthly income of the debtor and the spouse of the 
     debtor, combined, as of the date of the order for relief 
     (except if the debtor and the spouse of the debtor are not in 
     a joint case and are either legally separated, or the court 
     determines, after notice and hearing, that the debtor and the 
     spouse of the debtor are living separate and apart, and the 
     spouse is not providing any support to the debtor or the 
     dependents of the debtor, then only the current monthly 
     income of the debtor as of the date of the order for relief), 
     when multiplied by 12, is equal to or less than--''.
                                  ____

  SA 89. Mr. LOTT submitted an amendment intended to be proposed by him 
to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 29, line 21, strike ``received'' and all that 
     follows through page 30, line 2 and insert the following: 
     ``participated in a credit counseling program (including over 
     the telephone or on the Internet) that includes a budget 
     analysis and development of a payment plan, and provides the 
     debtor with counseling concerning how the debtor attained his 
     or her present financial status, and any related appropriate 
     counseling, unless the bankruptcy court, after notice and 
     hearing, determines for cause that the debtor is unable to 
     participate in such activities, or that in light of the 
     debtor's circumstances, there is no benefit to the debtor in 
     participating in such program, in which case the debtor shall 
     have received, during the 180-day period preceding the date 
     of filing of the petition of that individual from such an 
     approved nonprofit budget and credit counseling agency an 
     individual or group briefing (including a briefing conducted 
     by telephone or over the Internet) that outlined the 
     opportunities for available credit counseling, and assisted 
     that individual in performing a related budget analysis.''.
                                  ____

  SA 90. Mr. REED submitted an amendment intended to be proposed by him 
to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle C of title II, add the following:

     SEC. 230. GAO STUDY.

       (c) Study.--The General Accounting Office (in this section 
     referred to as the ``GAO'') shall conduct a study of the 
     reaffirmation process under title 11, United States Code, to 
     determine the overall treatment of consumers within the 
     context of that process, including consideration of--
       (1) the policies and activities of creditors with respect 
     to reaffirmation; and
       (2) whether there is abuse or coercion of consumers 
     inherent in the process.
       (d) Report to Congress.--Not later than 1 year after the 
     date of enactment of this Act, the GAO shall submit a report 
     to the Congress on the results of the study conducted under 
     subsection (a), together with any recommendations for 
     legislation to address any abusive or coercive tactics found 
     within the reaffirmation process.
                                  ____

  SA 91. Mr. LEVIN submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of title II, add the following:

     SEC. 233. PROHIBITION ON FINANCE CHARGES FOR ON-TIME 
                   PAYMENTS.

       Section 27 of the Truth in Lending Act (15 U.S.C. 1637) is 
     amended by adding at the end the following:
       ``(h) Prohibition on Certain Finance Charges for On-Time 
     Payments.--In the case of any credit card account under an 
     open end consumer credit plan, where no other balance is 
     owing on the account, no finance or interest charge may be 
     imposed with regard to any amount of a new extension of 
     credit that was paid on or before the date on which it was 
     due.''.
                                  ____

  SA 92. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 186, strike lines 6 through 22 and insert the 
     following:
       (I) because that person seeks to exercise, exercises or has 
     exercised constitutionally protected rights; or
       (II) to deter any person from exercising constitutionally 
     protected rights or from assisting any other person in the 
     exercise of such rights; or
       (III) because that person assists any person in the 
     exercise of constitutionally protected rights, or provides or 
     assists in the provision of constitutionally protected goods 
     or services; or
       (ii) damage or destruction of property of a facility or of 
     a person because that facility or person provides, assists in 
     providing, uses, or seeks constitutionally protected goods or 
     services; or
       ``(B) a violation of a court order or injunction that 
     protects access to a facility that provides constitutionally 
     protected goods or services or that protects persons who 
     seek, provide, or assist in providing constitutionally 
     protected goods or services.''
                                  ____

  SA 93. Mr. DURBIN submitted an amendment intended to be proposed by 
him to the bill S. 420, to amend title II, United States Code, and for 
other purposes; which was ordered to lie on the table.

       Strike out all after the enacting clause and insert:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Consumer 
     Bankruptcy Reform Act of 1998''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:
Sec. 1. Short title; table of contents.

                    TITLE I--NEEDS-BASED BANKRUPTCY

Sec. 101. Conversion.
Sec. 102. Dismissal or conversion.

        TITLE II--ENHANCED PROCEDURAL PROTECTIONS FOR CONSUMERS

Sec. 201. Allowance of claims or interests.
Sec. 202. Exceptions to discharge.
Sec. 203. Effect of discharge.
Sec. 204. Automatic stay.
Sec. 205. Discharge.
Sec. 206. Discouraging predatory lending practices.
Sec. 207. Enhanced disclosure for credit extensions secured by 
              dwelling.
Sec. 208. Dual-use debit card.
Sec. 209. Enhanced disclosures under an open end credit plan.
Sec. 210. Violations of the automatic stay.
Sec. 211. Discouraging abusive reaffirmation practices.
Sec. 212. Sense of the Senate regarding the homestead exemption.
Sec. 213. Encouraging creditworthiness.
Sec. 214. Treasury Department study regarding security interests under 
              an open end credit plan.

  TITLE III--IMPROVED PROCEDURES FOR EFFICIENT ADMINISTRATION OF THE 
                           BANKRUPTCY SYSTEM

Sec. 301. Notice of alternatives.
Sec. 302. Fair treatment of secured creditors under chapter 13.
Sec. 303. Discouragement of bad faith repeat filings.
Sec. 304. Timely filing and confirmation of plans under chapter 13.
Sec. 305. Application of the codebtor stay only when the stay protects 
              the debtor.
Sec. 306. Improved bankruptcy statistics.
Sec. 307. Audit procedures.
Sec. 308. Creditor representation at first meeting of creditors.
Sec. 309. Fair notice for creditors in chapter 7 and 13 cases.
Sec. 310. Stopping abusive conversions from chapter 13.
Sec. 311. Prompt relief from stay in individual cases.

[[Page 3532]]

Sec. 312. Dismissal for failure to timely file schedules or provide 
              required information.
Sec. 313. Adequate time for preparation for a hearing on confirmation 
              of the plan.
Sec. 314. Discharge under chapter 13.
Sec. 315. Nondischargeable debts.
Sec. 316. Credit extensions on the eve of bankruptcy presumed 
              nondischargeable.
Sec. 317. Definition of household goods and antiques.
Sec. 318. Relief from stay when the debtor does not complete intended 
              surrender of consumer debt collateral.
Sec. 319. Adequate protection of lessors and purchase money secured 
              creditors.
Sec. 320. Limitation.
Sec. 321. Miscellaneous improvements.
Sec. 322. Bankruptcy judgeships.
Sec. 323. Definition of domestic support obligation.
Sec. 324. Priorities for claims for domestic support obligations.
Sec. 325. Requirements to obtain confirmation and discharge in cases 
              involving domestic support obligations.
Sec. 326. Exceptions to automatic stay in domestic support obligation 
              proceedings.
Sec. 327. Nondischargeability of certain debts for alimony, 
              maintenance, and support.
Sec. 328. Continued liability of property.
Sec. 329. Protection of domestic support claims against preferential 
              transfer motions.
Sec. 330. Protection of retirement savings in bankruptcy.
Sec. 331. Additional amendments to title 11, United States Code.
Sec. 332. Debt limit increase.
Sec. 333. Elimination of requirement that family farmer and spouse 
              receive over 50 percent of income from farming operation 
              in year prior to bankruptcy.
Sec. 334. Prohibit retroactive assessment of disposable income.
Sec. 335. Amendment to section 1325 of title 11, United States Code.
Sec. 336. Protection of savings earmarked for the postsecondary 
              education of children.

                    TITLE IV--FINANCIAL INSTRUMENTS

Sec. 401. Bankruptcy Code amendments.
Sec. 402. Recordkeeping requirements.
Sec. 403. Damage measure.
Sec. 404. Asset-backed securitizations.
Sec. 405. Prohibition on certain actions for failure to incur finance 
              charges.
Sec. 406. Fees arising from certain ownership interests.
Sec. 407. Bankruptcy fees.
Sec. 408. Applicability.

            TITLE V--ANCILLARY AND OTHER CROSS-BORDER CASES

Sec. 501. Amendment to add a chapter 6 to title 11, United States Code.
Sec. 502. Amendments to other chapters in title 11, United States Code.

                        TITLE VI--MISCELLANEOUS

Sec. 601. Executory contracts and unexpired leases.
Sec. 602. Expedited appeals of bankruptcy cases to courts of appeals.
Sec. 603. Creditors and equity security holders committees.
Sec. 604. Repeal of sunset provision.
Sec. 605. Cases ancillary to foreign proceedings.
Sec. 606. Limitation.
Sec. 607. Amendment to section 546 of title 11, United States Code.
Sec. 608. Amendment to section 330(a) of title 11, United States Code.

                    TITLE VII--TECHNICAL CORRECTIONS

Sec. 701. Definitions.
Sec. 702. Adjustment of dollar amounts.
Sec. 703. Extension of time.
Sec. 704. Who may be a debtor.
Sec. 705. Penalty for persons who negligently or fraudulently prepare 
              bankruptcy petitions.
Sec. 706. Limitation on compensation of professional persons.
Sec. 707. Special tax provisions.
Sec. 708. Effect of conversion.
Sec. 709. Automatic stay.
Sec. 710. Amendment to table of sections.
Sec. 711. Allowance of administrative expenses.
Sec. 712. Priorities.
Sec. 713. Exemptions.
Sec. 714. Exceptions to discharge.
Sec. 715. Effect of discharge.
Sec. 716. Protection against discriminatory treatment.
Sec. 717. Property of the estate.
Sec. 718. Preferences.
Sec. 719. Postpetition transactions.
Sec. 720. Technical amendment.
Sec. 721. Disposition of property of the estate.
Sec. 722. General provisions.
Sec. 723. Appointment of elected trustee.
Sec. 724. Abandonment of railroad line.
Sec. 725. Contents of plan.
Sec. 726. Discharge under chapter 12.
Sec. 727. Extensions.
Sec. 728. Bankruptcy cases and proceedings.
Sec. 729. Knowing disregard of bankruptcy law or rule.
Sec. 730. Rolling stock equipment.
Sec. 731. Curbing abusive filings.
Sec. 732. Study of operation of title 11 of the United States Code with 
              respect to small businesses.
Sec. 733. Transfers made by nonprofit charitable corporations.
Sec. 734. Effective date; application of amendments.

                    TITLE I--NEEDS-BASED BANKRUPTCY

     SEC. 101. CONVERSION.

       Section 706(c) of title 11, United States Code, is amended 
     by inserting ``or consents to'' after ``requests''.

     SEC. 102. DISMISSAL OR CONVERSION.

       (a) In General.--Section 707 of title 11, United States 
     Code, is amended--
       (1) by striking the section heading and inserting the 
     following:

     ``Sec. 707. Dismissal of a case or conversion to a case under 
       chapter 13'';

     and
       (2) in subsection (b)--
       (A) by inserting ``(1)'' after ``(b)''; and
       (B) in paragraph (1), as redesignated by subparagraph (A) 
     of this paragraph--
       (i) in the first sentence--

       (I) by striking ``but not'' and inserting ``or'';
       (II) by inserting ``, or, with the debtor's consent, 
     convert such a case to a case under chapter 13 of this 
     title,'' after ``consumer debts''; and
       (III) by striking ``substantial abuse'' and inserting 
     ``abuse''; and

       (ii) by striking the last sentence and inserting the 
     following:
       ``(2) In considering under paragraph (1) whether the 
     granting of relief would be an abuse of the provisions of 
     this chapter, the court shall consider whether--
       ``(A) under section 1325(b)(1), on the basis of the current 
     income of the debtor, the debtor could pay an amount greater 
     than or equal to 30 percent of unsecured claims that are not 
     considered to be priority claims (as determined under 
     subchapter I of chapter 5); or
       ``(B) the debtor filed a petition for the relief in bad 
     faith.
       ``(3)(A) If a panel trustee appointed under section 
     586(a)(1) of title 28 brings a motion for dismissal or 
     conversion under this subsection and the court grants that 
     motion and finds that the action of the counsel for the 
     debtor in filing under this chapter was not substantially 
     justified, the court shall order the counsel for the debtor 
     to reimburse the trustee for all reasonable costs in 
     prosecuting the motion, including reasonable attorneys' fees.
       ``(B) If the court finds that the attorney for the debtor 
     violated Rule 9011, at a minimum, the court shall order--
       ``(i) the assessment of an appropriate civil penalty 
     against the counsel for the debtor; and
       ``(ii) the payment of the civil penalty to the panel 
     trustee or the United States trustee.
       ``(C) In the case of a petition referred to in subparagraph 
     (B), the signature of an attorney shall constitute a 
     certificate that the attorney has--
       ``(i) performed a reasonable investigation into the 
     circumstances that gave rise to the petition; and
       ``(ii) determined that the petition--
       ``(I) is well grounded in fact; and
       ``(II) is warranted by existing law or a good faith 
     argument for the extension, modification, or reversal of 
     existing law and does not constitute an abuse under paragraph 
     (1) of this subsection.
       ``(4)(A) Except as provided in subparagraph (B), the court 
     may award a debtor all reasonable costs in contesting a 
     motion brought by a party in interest (other than a panel 
     trustee or United States trustee) under this subsection 
     (including reasonable attorneys' fees) if--
       ``(i) the court does not grant the motion; and
       ``(ii) the court finds that--
       ``(I) the position of the party that brought the motion was 
     not substantially justified; or
       ``(II) the party brought the motion solely for the purpose 
     of coercing a debtor into waiving a right guaranteed to the 
     debtor under this title.
       ``(B) A party in interest that has a claim of an aggregate 
     amount less than $1,000 shall not be subject to subparagraph 
     (A).
       ``(5) However, only the judge, United States trustee, 
     bankruptcy administrator or panel trustee may bring a motion 
     under this section if the debtor and the debtor's spouse 
     combined, as of the date of the order for relief, have 
     current monthly total income equal to or less than the 
     national median household monthly income calculated on a 
     monthly basis for a household of equal size. However, for a 
     household of more than 4 individuals, the median income shall 
     be that of a household of 4 individuals plus $583 for each 
     additional member of that household.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 7 of title 11, United States Code, is 
     amended by striking the item relating to section 707 and 
     inserting the following:

``707. Dismissal of a case or conversion to a case under chapter 13.''.

[[Page 3533]]



        TITLE II--ENHANCED PROCEDURAL PROTECTIONS FOR CONSUMERS

     SEC. 201. ALLOWANCE OF CLAIMS OR INTERESTS.

       Section 502 of title 11, United States Code, is amended by 
     adding at the end the following:
       ``(k)(1) The court may award the debtor reasonable 
     attorneys' fees and costs if, after an objection is filed by 
     a debtor, the court--
       ``(A)(i) disallows the claim; or
       ``(ii) reduces the claim by an amount greater than 20 
     percent of the amount of the initial claim filed by a party 
     in interest; and
       ``(B) finds the position of the party filing the claim is 
     not substantially justified.
       ``(2) If the court finds that the position of a claimant 
     under this section is not substantially justified, the court 
     may, in addition to awarding a debtor reasonable attorneys' 
     fees and costs under paragraph (1), award such damages as may 
     be required by the equities of the case.''.

     SEC. 202. EXCEPTIONS TO DISCHARGE.

       Section 523 of title 11, United States Code, is amended--
       (1) in subsection (a)(2)(A), by striking ``a false 
     representation'' and inserting ``a material false 
     representation upon which the defrauded person justifiably 
     relied''; and
       (2) by striking subsection (d) and inserting the following:
       ``(d)(1) Subject to paragraph (3), if a creditor requests a 
     determination of dischargeability of a consumer debt under 
     this section and that debt is discharged, the court shall 
     award the debtor reasonable attorneys' fees and costs.
       ``(2) In addition to making an award to a debtor under 
     paragraph (1), if the court finds that the position of a 
     creditor in a proceeding covered under this section is not 
     substantially justified, the court may award reasonable 
     attorneys' fees and costs under paragraph (1) and such 
     damages as may be required by the equities of the case.
       ``(3)(A) A creditor may not request a determination of 
     dischargeability of a consumer debt under subsection (a)(2) 
     if--
       ``(i) before the filing of the petition, the debtor made a 
     good faith effort to negotiate a reasonable alternative 
     repayment schedule (including making an offer of a reasonable 
     alternative repayment schedule); and
       ``(ii) that creditor refused to negotiate an alternative 
     payment schedule, and that refusal was not reasonable.
       ``(B) For purposes of this paragraph, the debtor shall have 
     the burden of proof of establishing that--
       ``(i) an offer made by that debtor under subparagraph 
     (A)(i) was reasonable; and
       ``(ii) the refusal to negotiate by the creditor involved to 
     was not reasonable.''.

     SEC. 203. EFFECT OF DISCHARGE.

       Section 524 of title 11, United States Code, is amended by 
     adding at the end the following:
       ``(i) The willful failure of a creditor to credit payments 
     received under a plan confirmed under this title (including a 
     plan of reorganization confirmed under chapter 11 of this 
     title) in the manner required by the plan (including 
     crediting the amounts required under the plan) shall 
     constitute a violation of an injunction under subsection 
     (a)(2).
       ``(j) An individual who is injured by the failure of a 
     creditor to comply with the requirements for a reaffirmation 
     agreement under subsections (c) and (d), or by any willful 
     violation of the injunction under subsection (a)(2), shall be 
     entitled to recover--
       ``(1) the greater of--
       ``(A)(i) the amount of actual damages; multiplied by
       ``(ii) 3; or
       ``(B) $5,000; and
       ``(2) costs and attorneys' fees.''.

     SEC. 204. AUTOMATIC STAY.

       Section 362(h) of title 11, United States Code, is amended 
     to read as follows:
       ``(h)(1) An individual who is injured by any willful 
     violation of a stay provided in this section shall be 
     entitled to recover--
       ``(A) actual damages; and
       ``(B) reasonable costs, including attorneys' fees.
       ``(2) In addition to recovering actual damages, costs, and 
     attorneys' fees under paragraph (1), an individual described 
     in paragraph (1) may recover punitive damages in appropriate 
     circumstances.''.

     SEC. 205. DISCHARGE.

       Section 727 of title 11, United States Code, is amended--
       (1) in subsection (c), by adding at the end the following:
       ``(3)(A) A creditor may not request a determination of 
     dischargeability of a consumer debt under subsection (a) if--
       ``(i) before the filing of the petition, the debtor made a 
     good faith effort to negotiate a reasonable alternative 
     repayment schedule (including making an offer of a reasonable 
     alternative repayment schedule); and
       ``(ii) that creditor refused to negotiate an alternative 
     payment schedule, and that refusal was not reasonable.
       ``(B) For purposes of this paragraph, the debtor shall have 
     the burden of proof of establishing that--
       ``(i) an offer made by that debtor under subparagraph 
     (A)(i) was reasonable; and
       ``(ii) the refusal to negotiate by the creditor involved to 
     was not reasonable.''; and
       (2) by adding at the end the following:
       ``(f)(1) The court may award the debtor reasonable 
     attorneys' fees and costs in any case in which a creditor 
     files a motion to deny relief to a debtor under this section 
     and that motion--
       ``(A) is denied; or
       ``(B) is withdrawn after the debtor has replied.
       ``(2) If the court finds that the position of a party 
     filing a motion under this section is not substantially 
     justified, the court may assess against the creditor such 
     damages as may be required by the equities of the case.''.

     SEC. 206. DISCOURAGING PREDATORY LENDING PRACTICES.

       Section 502(b) of title 11, United States Code, is 
     amended--
       (1) in paragraph (8), by striking ``or'' at the end;
       (2) in paragraph (9), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(10) the claim is based on a secured debt if the creditor 
     has failed to comply with the requirements of subsection (a), 
     (b), (c), (d), (e), (f), (g), (h), or (i) of section 129 of 
     the Truth in Lending Act (15 U.S.C. 1639).''.

     SEC. 207. ENHANCED DISCLOSURE FOR CREDIT EXTENSIONS SECURED 
                   BY DWELLING.

       (a) Open-End Credit Extensions.--
       (1) Credit applications.--Section 127A(a)(13) of the Truth 
     in Lending Act (15 U.S.C. 1637a(a)(13)) is amended--
       (A) by striking ``consultation of tax advisor.--A statement 
     that the'' and inserting the following: ``tax 
     deductibility.--A statement that--
       ``(A) the''; and
       (B) by striking the period at the end and inserting the 
     following: ``; and
       ``(B) in any case in which the extension of credit exceeds 
     the fair market value of the dwelling, the interest on the 
     portion of the credit extension that is greater than the fair 
     market value of the dwelling is not tax deductible for 
     Federal income tax purposes.''.
       (2) Credit advertisements.--Section 147(b) of the Truth in 
     Lending Act 
     (15   U.S.C. 1665b(b)) is amended--
       (A) by striking ``If any'' and inserting the following:
       ``(1) In general.--If any''; and
       (B) by adding at the end the following:
       ``(2) Credit in excess of fair market value.--Each 
     advertisement described in subsection (a) that relates to an 
     extension of credit that may exceed the fair market value of 
     the dwelling shall include a clear and conspicuous statement 
     that--
       ``(A) the interest on the portion of the credit extension 
     that is greater than the fair market value of the dwelling is 
     not tax deductible for Federal income tax purposes; and
       ``(B) the consumer may want to consult a tax advisor for 
     further information regarding the deductibility of interest 
     and charges.''.
       (b) Non-Open End Credit Extensions.--
       (1) Credit applications.--Section 128 of the Truth in 
     Lending Act (15 U.S.C. 1638) is amended--
       (A) in subsection (a), by adding at the end the following:
       ``(15) In the case of a consumer credit transaction that is 
     secured by the principal dwelling of the consumer, in which 
     the extension of credit may exceed the fair market value of 
     the dwelling, a clear and conspicuous statement that--
       ``(A) the interest on the portion of the credit extension 
     that is greater than the fair market value of the dwelling is 
     not tax deductible for Federal income tax purposes; and
       ``(B) the consumer should consult a tax advisor for further 
     information regarding the deductibility of interest and 
     charges.''; and
       (B) in subsection (b), by adding at the end the following:
       ``(3) In the case of a credit transaction described in 
     paragraph (15) of subsection (a), disclosures required by 
     that paragraph shall be made to the consumer at the time of 
     application for such extension of credit.''.
       (2) Credit advertisements.--Section 144 of the Truth in 
     Lending Act (15 U.S.C. 1664) is amended by adding at the end 
     the following:
       ``(e) Each advertisement to which this section applies that 
     relates to a consumer credit transaction that is secured by 
     the principal dwelling of a consumer in which the extension 
     of credit may exceed the fair market value of the dwelling 
     shall clearly and conspicuously state that--
       ``(1) the interest on the portion of the credit extension 
     that is greater than the fair market value of the dwelling is 
     not tax deductible for Federal income tax purposes; and
       ``(2) the consumer may want to consult a tax advisor for 
     further information regarding the deductibility of interest 
     and charges.''.
       (c) Effective Date.--This section shall become effective 
     one year after the date of enactment of this Act.

     SEC. 208. DUAL-USE DEBIT CARD.

       (a) Consumer Liability.--
       (1) In general.--Section 909 of the Electronic Fund 
     Transfer Act (15 U.S.C. 1693g) is amended--
       (A) by redesignating subsections (b) through (e) as 
     subsections (d) through (g), respectively;
       (B) in subsection (a)--
       (i) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively, and indenting 
     appropriately;

[[Page 3534]]

       (ii) by inserting ``Cards Necessitating Unique 
     Identifier.--
       ``(1) In general.--'' after ``(a)'';
       (iii) by striking ``other means of access can be identified 
     as the person authorized to use it, such as by signature, 
     photograph,'' and inserting ``other means of access can be 
     identified as the person authorized to use it by a unique 
     identifier, such as a photograph, retina scan,''; and
       (iv) by striking ``Notwithstanding the foregoing,'' and 
     inserting the following:
       ``(2) Notification.--Notwithstanding paragraph (1),''; and
       (C) by inserting before subsection (d), as so designated by 
     this section, the following new subsections:
       ``(b) Cards Not Necessitating Unique Identifier.--A 
     consumer shall be liable for an unauthorized electronic fund 
     transfer only if--
       ``(1) the liability is not in excess of $50;
       ``(2) the unauthorized electronic fund transfer is 
     initiated by the use of a card that has been properly issued 
     to a consumer other than the person making the unauthorized 
     transfer as a means of access to the account of that consumer 
     for the purpose of initiating an electronic fund transfer;
       ``(3) the unauthorized electronic fund transfer occurs 
     before the card issuer has been notified that an unauthorized 
     use of the card has occurred or may occur as the result of 
     loss, theft, or otherwise; and
       ``(4) such unauthorized electronic fund transfer did not 
     require the use of a code or other unique identifier (other 
     than a signature), such as a photograph, fingerprint, or 
     retina scan.
       ``(c) Notice of Liability and Responsibility To Report Loss 
     of Card, Code, or Other Means of Access.--No consumer shall 
     be liable under this title for any unauthorized electronic 
     fund transfer unless the consumer has received in a timely 
     manner the notice required under section 905(a)(1), and any 
     subsequent notice required under section 905(b) with regard 
     to any change in the information which is the subject of the 
     notice required under section 905(a)(1).''.
       (2) Conforming amendment.--Section 905(a)(1) of the 
     Electronic Fund Transfer Act (15 U.S.C. 1693c(a)(1)) is 
     amended to read as follows:
       ``(1) the liability of the consumer for any unauthorized 
     electronic fund transfer and the requirement for promptly 
     reporting any loss, theft, or unauthorized use of a card, 
     code, or other means of access in order to limit the 
     liability of the consumer for any such unauthorized 
     transfer;''.
       (b) Validation Requirement for Dual-Use Debit Cards.--
       (1) In general.--Section 911 of the Electronic Fund 
     Transfer Act (15 U.S.C. 1693i) is amended--
       (A) by redesignating subsection (c) as subsection (d); and
       (B) by inserting after subsection (b) the following new 
     subsection:
       ``(c) Validation Requirement.--No person may issue a card 
     described in subsection (a), the use of which to initiate an 
     electronic fund transfer does not require the use of a code 
     or other unique identifier other than a signature (such as a 
     fingerprint or retina scan), unless--
       ``(1) the requirements of paragraphs (1) through (4) of 
     subsection (b) are met; and
       ``(2) the issuer has provided to the consumer a clear and 
     conspicuous disclosure that use of the card may not require 
     the use of such code or other unique identifier.''.
       (2) Technical and conforming amendment.--Section 911(d) of 
     the Electronic Fund Transfer Act (15 U.S.C. 1993i(d)) (as 
     redesignated by subsection (a)(1) of this section) is amended 
     by striking ``For the purpose of subsection (b)'' and 
     inserting ``For purposes of subsections (b) and (c)''.

     SEC. 209. ENHANCED DISCLOSURES UNDER AN OPEN END CREDIT PLAN.

       (a) Amendments to the Truth in Lending Act.--
       (1) Enhanced disclosure of repayment terms.--
       (A) In general.--Section 127(b) of the Truth in Lending Act 
     (15 U.S.C. 1637(b)) is amended by adding at the end the 
     following:
       ``(11)(A) In a clear and conspicuous manner, repayment 
     information that would apply to the outstanding balance of 
     the consumer under the credit plan, including--
       ``(i) the required minimum monthly payment on that balance, 
     represented as both a dollar figure and a percentage of that 
     balance;
       ``(ii) the number of months (rounded to the nearest month) 
     that it would take to pay the entire amount of that current 
     balance if the consumer pays only the required minimum 
     monthly payments and if no further advances are made;
       ``(iii) the total cost to the consumer, including interest 
     and principal payments, of paying that balance in full if the 
     consumer pays only the required minimum monthly payments and 
     if no further advances are made; and
       ``(iv) the following statement: `If your current rate is a 
     temporary introductory rate, your total costs may be 
     higher.'.
       ``(B) In making the disclosures under subparagraph (A) the 
     creditor shall apply the annual interest rate that applies to 
     that balance with respect to the current billing cycle for 
     that consumer in effect on the date on which the disclosure 
     is made.''.
       (B) Publication of model forms.--Not later than 180 days 
     after the date of enactment of this Act, the Board of 
     Governors of the Federal Reserve System shall publish model 
     disclosure forms in accordance with section 195 of the Truth 
     in Lending Act for the purpose of compliance with section 
     127(b)(11) of the Truth in Lending Act, as added by this 
     paragraph.
       (C) Civil liability.--Section 130(a) of the Truth in 
     Lending Act (15 U.S.C. 1640(a)) is amended, in the 
     undesignated paragraph following paragraph (4), by striking 
     the second sentence and inserting the following: ``In 
     connection with the disclosures referred to in subsections 
     (a) and (b) of section 1637 of this title, a creditor shall 
     have a liability determined under paragraph (2) only for 
     failing to comply with the requirements of section 1635, 
     1637(a), or of paragraph (4), (5), (6), (7), (8), (9), (10), 
     or (11) of section 1637(b) or for failing to comply with 
     disclosure requirements under State law for any term or item 
     that the Board has determined to be substantially the same in 
     meaning under section 1610(a)(2) as any of the terms or items 
     referred to in section 1637(a), paragraph (4), (5), (6), (7), 
     (8), (9), (10), or (11) of section 1637(b) of this title.''.
       (2) Disclosures in connection with solicitations.--
       (A) In general.--Section 127(c)(1)(B) of the Truth in 
     Lending Act (15 U.S.C. 1637(c)(1)(B)) is amended by adding 
     the following:
       ``(iv) Credit worksheet.--An easily understandable credit 
     worksheet designed to aid consumers in determining their 
     ability to assume more debt, including consideration of the 
     personal expenses of the consumer and a simple formula for 
     the consumer to determine whether the assumption of 
     additional debt is advisable.
       ``(v) Basis of preapproval.--In any case in which the 
     application or solicitation states that the consumer has been 
     preapproved for an account under an open end consumer credit 
     plan, the following statement must appear in a clear and 
     conspicuous manner: `Your preapproval for this credit card 
     does not mean that we have reviewed your individual financial 
     circumstances. You should review your own budget before 
     accepting this offer of credit.'.
       ``(vi) Availability of credit report.--That the consumer is 
     entitled to a copy of his or her credit report in accordance 
     with the Fair Credit Reporting Act.''.
       (B) Publication of model forms.--Not later than 180 days 
     after the date of enactment of this Act, the Board of 
     Governors of the Federal Reserve System shall publish model 
     disclosure forms in accordance with section 195 of the Truth 
     in Lending Act for the purpose of compliance with section 
     127(c)(1)(B) of the Truth in Lending Act, as amended by this 
     paragraph.
       (b) Effective Date.--The provisions of this section shall 
     become effective on January 1, 2001.

     SEC. 210. VIOLATIONS OF THE AUTOMATIC STAY.

       (a) Section 362(a) is amended by adding after paragraph (8) 
     the following:
       ``(9) any communication threatening a debtor, at any time 
     after the commencement and before the granting of a discharge 
     in a case under this title, an intention to file a motion to 
     determine the dischargeability of a debt, or to file a motion 
     under section 707(b) of title 11, United States Code, to 
     dismiss or convert a case, or to repossess collateral from 
     the debtor to which the stay applies.''.

     SEC. 211. DISCOURAGING ABUSIVE REAFFIRMATION PRACTICES.

       Section 524 of title 11, United States Code, is amended--
       (1) in subsection (c)(2)(B) by adding at the end the 
     following:
       ``(C) such agreement contains a clear and conspicuous 
     statement which advises the debtor what portion of the debt 
     to be reaffirmed is attributable to principal, interest, late 
     fees, creditor's attorneys fees, expenses or other costs 
     relating to the collection of the debt.''.
       (2)(A) in subsection (c)(6)(B), by inserting after ``real 
     property'' the following: ``or is a debt described in 
     subsection (c)(7)''; and
       (B) by adding at the end of subsection (c) the following:
       ``(7) in a case concerning an individual, if the 
     consideration for such agreement is based in whole or in part 
     on an unsecured consumer debt, or is based in whole or in 
     part upon a debt for an item of personalty the value of which 
     at point of purchase was $250 or less, and in which the 
     creditor asserts a purchase money security interest, the 
     court, approves such agreement as--
       ``(A) in the best interest of the debtor in light of the 
     debtor's income and expenses;
       ``(B) not imposing an undue hardship on the debtor's future 
     ability of the debtor to pay for the needs of children and 
     other dependents (including court ordered support);
       ``(C) not requiring the debtor to pay the creditor's 
     attorney's fees, expenses or other costs relating to the 
     collection of the debt;
       ``(D) not entered into to protect property that is 
     necessary for the care and maintenance of children or other 
     dependents that would have nominal value on repossession;
       ``(E) not entered into after coercive threats or actions by 
     the creditor in the creditor's course of dealings with the 
     debtor.

[[Page 3535]]

       ``(F) not unfair because excessive in amount based upon the 
     value of the collateral.''.
       (3) in subsection (d)(2) by striking ``subsections (c)(6)'' 
     and inserting ``subsections (c)(6) and (c)(7)'', and after 
     ``of this section,'' by striking ``if the consideration for 
     such agreement is based in whole or in part on a consumer 
     debt that is not secured by real property of the debtor'' and 
     adding at the end: ``as applicable''.

     SEC. 212. SENSE OF THE SENATE REGARDING THE HOMESTEAD 
                   EXEMPTION.

       (a) Findings.--The Senate finds that--
       (1) one of the most flagrant abuses of the bankruptcy 
     system involves misuse of the homestead exemption, which 
     allows a debtor to exempt his or her home, up to a certain 
     value, as established by State law, from being sold off to 
     satisfy debts;
       (2) while the vast majority of States responsibly cap the 
     exemption at not more than $40,000, 5 States exempt homes 
     regardless of their value;
       (3) in the few States with unlimited homestead exemptions, 
     debtors can shield their assets in luxury homes while 
     legitimate creditors get little or nothing;
       (4) beneficiaries of the homestead exemption include 
     convicted insider traders and savings and loan criminals, 
     while shortchanged creditors include children, spouses, 
     governments, and banks; and




       (5) the homestead exemption should be capped at $100,000 to 
     prevent such high-profile abuses.
       (b)  Sense of the Senate.--It is the sense of the Senate 
     that--
       (1) meaningful bankruptcy reform cannot be achieved without 
     capping the homestead exemption; and
       (2) bankruptcy reform legislation should include a cap of 
     $100,000 on the homestead exemption to the bankruptcy laws.

     SEC. 213. ENCOURAGING CREDITWORTHINESS.

       (a) Sense of the Congress.--It is the sense of the Congress 
     that--
       (1) certain lenders may sometimes offer credit to consumers 
     indiscriminately, without taking steps to ensure that 
     consumers are capable of repaying the resulting debt, and in 
     a manner which may encourage certain consumers to accumulate 
     additional debt; and
       (2) resulting consumer debt may increasingly be a major 
     contributing factor to consumer insolvency.
       (b) Study Required.--The Board of Governors of the Federal 
     Reserve System (hereafter in this section referred to as the 
     ``Board'') shall conduct a study of--
       (1) consumer credit industry practices of soliciting and 
     extending credit--
       (A) indiscriminately;
       (B) without taking steps to ensure that consumers are 
     capable of repaying the resulting debt; and
       (C) in a manner that encourages consumers to accumulate 
     additional debt; and
       (2) the effects of such practices on consumer debt and 
     insolvency.
       (c) Report and Regulations.--Not later than 24 months after 
     the date of enactment of this Act, the Board--
       (1) shall make public a report on its findings with respect 
     to the credit industry's indiscriminate solicitation and 
     extension of credit;
       (2) may issue regulations that would require additional 
     disclosures to consumers; and
       (3) may take any other actions, consistent with its 
     existing statutory authority, that the Board finds necessary 
     to ensure responsible industrywide practices and to prevent 
     resulting consumer debt and insolvency.

     SEC. 214. TREASURY DEPARTMENT STUDY REGARDING SECURITY 
                   INTERESTS UNDER AN OPEN END CREDIT PLAN.

       (a) Study.--Within 180 days of the enactment of this Act, 
     the Federal Reserve Board in consultation with the Treasury 
     Department, the general credit industry, and consumer groups, 
     shall prepare a study regarding the adequacy of information 
     received by consumers regarding the creation of security 
     interests under open end credit plans.
       (b) Findings.--This study shall include the Board's 
     findings regarding--
       (1) whether consumers understand at the time of purchase of 
     property under an open end credit plan that such property may 
     serve as collateral under that credit plan;
       (2) whether consumers understand at the time of purchase 
     the legal consequences of disposing of property that is 
     purchased under an open end credit plan and is subject to a 
     security interest under that plan; and
       (3) whether creditors holding security interests in 
     property purchased under an open end credit plan use such 
     security interests to coerce reaffirmations of existing debts 
     under section 524 of the United States Bankruptcy Code.
     In formulating these findings, the Board shall consider, 
     among other factors it deems relevant, prevailing industry 
     practices in this area.
       (c) Disclosure Recommendations.--This study shall also 
     include the Board's recommendations regarding the utility and 
     practicality of additional disclosures by credit card issuers 
     at the time of purchase regarding security interests under 
     open end credit plans, including, but not limited to--
       (1) disclosures of the specific property in which the 
     creditor will receive a security interest;
       (2) disclosures of the consequences of nonpayment of the 
     card balance, including how the security interest may be 
     enforced; and
       (3) disclosures of the process by which payments made on 
     the card will be credited with respect to the lien created by 
     the security contract and other debts on the card.
       (d) Submission of Report.--The Board shall submit this 
     report to the Senate Committee on the Judiciary, the Senate 
     Committee on Banking, Housing, and Urban Affairs, the House 
     Committee on the Judiciary, and the House Committee on 
     Banking and Financial Services within the time allotted by 
     this section.

  TITLE III--IMPROVED PROCEDURES FOR EFFICIENT ADMINISTRATION OF THE 
                           BANKRUPTCY SYSTEM

     SEC. 301. NOTICE OF ALTERNATIVES.

       (a) In General.--Section 342 of title 11, United States 
     Code, is amended by striking subsection (b) and inserting the 
     following:
       ``(b) Before the commencement of a case under this title by 
     an individual whose debts are primarily consumer debts, that 
     individual shall be given or obtain (as required in section 
     521(a)(1), as part of the certification process under 
     subchapter 1 of chapter 5) a written notice prescribed by the 
     United States trustee for the district in which the petition 
     is filed pursuant to section 586 of title 28. The notice 
     shall contain the following:
       ``(1) A brief description of chapters 7, 11, 12, and 13 and 
     the general purpose, benefits, and costs of proceeding under 
     each of those chapters.
       ``(2) A brief description of services that may be available 
     to that individual from a credit counseling service that is 
     approved by the United States trustee or the bankruptcy 
     administrator for that district.''.
       (b) Debtor's Duties.--Section 521 of title 11, United 
     States Code, is amended--
       (1) by inserting ``(a)'' before ``The debtor

     shall--'';
       (2) by striking paragraph (1) and inserting the following:
       ``(1) file--
       ``(A) a list of creditors; and
       ``(B) unless the court orders otherwise--
       ``(i) a schedule of assets and liabilities;
       ``(ii) a schedule of current income and current 
     expenditures;
       ``(iii) a statement of the debtor's financial affairs and, 
     if applicable, a certificate--

       ``(I) of an attorney whose name is on the petition as the 
     attorney for the debtor or any bankruptcy petition preparer 
     signing the petition pursuant to section 110(b)(1) indicating 
     that such attorney or bankruptcy petition preparer delivered 
     to the debtor any notice required by section 342(b); or
       ``(II) if no attorney for the debtor is indicated and no 
     bankruptcy petition preparer signed the petition, of the 
     debtor that such notice was obtained and read by the debtor;

       ``(iv) copies of any Federal tax returns, including any 
     schedules or attachments, filed by the debtor for the 3-year 
     period preceding the order for relief;
       ``(v) copies of all payment advices or other evidence of 
     payment, if any, received by the debtor from any employer of 
     the debtor in the period 60 days prior to the filing of the 
     petition;
       ``(vi) a statement of the amount of projected monthly net 
     income, itemized to show how calculated; and
       ``(vii) a statement disclosing any reasonably anticipated 
     increase in income or expenditures over the 12-month period 
     following the date of filing;''; and
       (3) by adding at the end the following:
       ``(b)(1) At any time, a creditor, in the case of an 
     individual under chapter 7 or 13, may file with the court 
     notice that the creditor requests the petition, schedules, 
     and a statement of affairs filed by the debtor in the case 
     and the court shall make those documents available to the 
     creditor who requests those documents.
       ``(2) At any time, a creditor, in a case under chapter 13, 
     may file with the court notice that the creditor requests the 
     plan filed by the debtor in the case and the court shall make 
     that plan available to the creditor who requests that plan.
       ``(c) An individual debtor in a case under chapter 7 or 13 
     shall file with the court--
       ``(1) at the time filed with the taxing authority, all tax 
     returns, including any schedules or attachments, with respect 
     to the period from the commencement of the case until such 
     time as the case is closed;
       ``(2) at the time filed with the taxing authority, all tax 
     returns, including any schedules or attachments, that were 
     not filed with the taxing authority when the schedules under 
     subsection (a)(1) were filed with respect to the period that 
     is 3 years before the order for relief;
       ``(3) any amendments to any of the tax returns, including 
     schedules or attachments, described in paragraph (1) or (2); 
     and
       ``(4) in a case under chapter 13, a statement subject to 
     the penalties of perjury by the debtor of the debtor's income 
     and expenditures in the preceding tax year and monthly 
     income, that shows how the amounts are calculated--
       ``(A) beginning on the date that is the later of 90 days 
     after the close of the debtor's tax year or 1 year after the 
     order for relief, unless a plan has been confirmed; and

[[Page 3536]]

       ``(B) thereafter, on or before the date that is 45 days 
     before each anniversary of the confirmation of the plan until 
     the case is closed.
       ``(d)(1) A statement referred to in subsection (c)(4) shall 
     disclose--
       ``(A) the amount and sources of income of the debtor;
       ``(B) the identity of any persons responsible with the 
     debtor for the support of any dependents of the debtor; and
       ``(C) the identity of any persons who contributed, and the 
     amount contributed, to the household in which the debtor 
     resides.
       ``(2) The tax returns, amendments, and statement of income 
     and expenditures described in paragraph (1) shall be 
     available to the United States trustee, any bankruptcy 
     administrator, any trustee, and any party in interest for 
     inspection and copying, subject to the requirements of 
     subsection (e).
       ``(e)(1) Not later than 30 days after the date of enactment 
     of the Consumer Bankruptcy Reform Act of 1998, the Director 
     of the Administrative Office of the United States Courts 
     shall establish procedures for safeguarding the 
     confidentiality of any tax information required to be 
     provided under this section.
       ``(2) The procedures under paragraph (1) shall include 
     restrictions on creditor access to tax information that is 
     required to be provided under this section.
       ``(3) Not later than 1 year after the date of enactment of 
     the Consumer Bankruptcy Reform Act of 1998, the Director of 
     the Administrative Office of the United States Courts shall 
     prepare, and submit to Congress a report that--
       ``(A) assesses the effectiveness of the procedures under 
     paragraph (1); and
       ``(B) if appropriate, includes proposed legislation--
       ``(i) to further protect the confidentiality of tax 
     information; and
       ``(ii) to provide penalties for the improper use by any 
     person of the tax information required to be provided under 
     this section.
       ``(f) If requested by the United States trustee or a 
     trustee serving in the case, the debtor provide a document 
     that establishes the identity of the debtor, including a 
     driver's license, passport, or other document that contains a 
     photograph of the debtor and such other personal identifying 
     information relating to the debtor that establishes the 
     identity of the debtor.''.
       (c) Title 28.--Section 586(a) of title 28, United States 
     Code, is amended--
       (1) in paragraph (5), by striking ``and'' at the end;
       (2) in paragraph (6), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(7) on or before January 1 of each calendar year, and 
     also not later than 30 days after any change in the nonprofit 
     debt counseling services registered with the bankruptcy 
     court, prescribe and make available on request the notice 
     described in section 342(b)(3) of title 11 for each district 
     included in the region.''.

     SEC. 302. FAIR TREATMENT OF SECURED CREDITORS UNDER CHAPTER 
                   13.

       (a) Restoring the Foundation for Secured Credit.--Section 
     1325(a) of title 11, United States Code, is amended--
       (1) in paragraph (5), by striking the matter preceding 
     subparagraph (A) and inserting the following:
       ``(5) with respect to an allowed claim provided for by the 
     plan that is secured under applicable nonbankruptcy law by 
     reason of a lien on property in which the estate has an 
     interest or is subject to a setoff under section 553--''; and
       (2) by adding at the end of the subsection the following 
     flush sentence:
     ``For purposes of paragraph (5), section 506 shall not apply 
     to a claim described in that paragraph.''.
       (b) Payment of Holders of Claims Secured by Liens.--Section 
     1325(a)(5)(B)(i) of title 11, United States Code, is amended 
     to read as follows:
       ``(B)(i) the plan provides that the holder of such claim 
     retain the lien securing such claim until the debt that is 
     the subject of the claim is fully paid for, as provided under 
     the plan; and''.
       (c) Determination of Secured Status.--Section 506 of title 
     11, United States Code, is amended by adding at the end the 
     following:
       ``(e) Subsection (a) shall not apply to an allowed claim to 
     the extent attributable in whole or in part to the purchase 
     price of personal property acquired by the debtor during the 
     90-day period preceding the date of filing of the 
     petition.''.

     SEC. 303. DISCOURAGEMENT OF BAD FAITH REPEAT FILINGS.

       Section 362(c) of title 11, United States Code, is 
     amended--
       (1) by inserting ``(1)'' before ``Except as'';
       (2) by striking ``(1) the stay'' and inserting ``(A) the 
     stay'';
       (3) by striking ``(2) the stay'' and inserting ``(B) the 
     stay'';
       (4) by striking ``(A) the time'' and inserting ``(i) the 
     time'';
       (5) by striking ``(B) the time'' and inserting ``(ii) the 
     time''; and
       (6) by adding at the end the following:
       ``(2) Except as provided in subsections (d) through (f), 
     the stay under subsection (a) with respect to any action 
     taken with respect to a debt or property securing such debt 
     or with respect to any lease shall terminate with respect to 
     the debtor on the 30th day after the filing of the later case 
     if--
       ``(A) a single or joint case is filed by or against an 
     individual debtor under chapter 7, 11, or 13; and
       ``(B) a single or joint case of that debtor (other than a 
     case refiled under a chapter other than chapter 7 after 
     dismissal under section 707(b)) was pending during the 
     preceding year but was dismissed.
       ``(3) If a party in interest so requests, the court may 
     extend the stay in a particular case with respect to 1 or 
     more creditors (subject to such conditions or limitations as 
     the court may impose) after providing notice and a hearing 
     completed before the expiration of the 30-day period 
     described in paragraph (2) only if the party in interest 
     demonstrates that the filing of the later case is in good 
     faith with respect to the creditors to be stayed.
       ``(4) A case shall be presumed to have not been filed in 
     good faith (except that such presumption may be rebutted by 
     clear and convincing evidence to the contrary)--
       ``(A) with respect to the creditors involved, if--
       ``(i) more than 1 previous case under any of chapters 7, 
     11, or 13 in which the individual was a debtor was pending 
     during the 1-year period described in paragraph (1);
       ``(ii) a previous case under any of chapters 7, 11, or 13 
     in which the individual was a debtor was dismissed within the 
     period specified in paragraph (2) after--
       ``(I) the debtor, after having received from the court a 
     request to do so, failed to file or amend the petition or 
     other documents as required by this title; or
       ``(II) the debtor, without substantial excuse, failed to 
     perform the terms of a plan that was confirmed by the court; 
     or
       ``(iii)(I) during the period commencing with the dismissal 
     of the next most previous case under chapter 7, 11, or 13 
     there has not been a substantial change in the financial or 
     personal affairs of the debtor;
       ``(II) if the case is a chapter 7 case, there is no other 
     reason to conclude that the later case will be concluded with 
     a discharge; or
       ``(III) if the case is a chapter 11 or 13 case, there is 
     not a confirmed plan that will be fully performed; and
       ``(B) with respect to any creditor that commenced an action 
     under subsection (d) in a previous case in which the 
     individual was a debtor, if, as of the date of dismissal of 
     that case, that action was still pending or had been resolved 
     by terminating, conditioning, or limiting the stay with 
     respect to actions of that creditor.
       ``(5)(A) If a request is made for relief from the stay 
     under subsection (a) with respect to real or personal 
     property of any kind, and the request is granted in whole or 
     in part, the court may, in addition to making any other order 
     under this subsection, order that the relief so granted shall 
     be in rem either--
       ``(i) for a definite period of not less than 1 year; or
       ``(ii) indefinitely.
       ``(B)(i) After an order is issued under subparagraph (A), 
     the stay under subsection (a) shall not apply to any property 
     subject to such an in rem order in any case of the debtor.
       ``(ii) If an in rem order issued under subparagraph (A) so 
     provides, the stay shall, in addition to being inapplicable 
     to the debtor involved, not apply with respect to an entity 
     under this title if--
       ``(I) the entity had reason to know of the order at the 
     time that the entity obtained an interest in the property 
     affected; or
       ``(II) the entity was notified of the commencement of the 
     proceeding for relief from the stay, and at the time of the 
     notification, no case in which the entity was a debtor was 
     pending.
       ``(6) For purposes of this section, a case is pending 
     during the period beginning with the issuance of the order 
     for relief and ending at such time as the case involved is 
     closed.''.

     SEC. 304. TIMELY FILING AND CONFIRMATION OF PLANS UNDER 
                   CHAPTER 13.

       (a) Filing of Plan.--Section 1321 of title 11, United 
     States Code, is amended to read as follows:

     ``Sec. 1321. Filing of plan

       ``The debtor shall file a plan not later than 90 days after 
     the order for relief under this chapter, except that the 
     court may extend such period if the need for an extension is 
     attributable to circumstances for which the debtor should not 
     justly be held accountable.''.
       (b) Confirmation of Hearing.--Section 1324 of title 11, 
     United States Code, is amended by adding at the end the 
     following: ``That hearing shall be held not later than 45 
     days after the filing of the plan, unless the court, after 
     providing notice and a hearing, orders otherwise.''.

     SEC. 305. APPLICATION OF THE CODEBTOR STAY ONLY WHEN THE STAY 
                   PROTECTS THE DEBTOR.

       Section 1301(b) of title 11, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(b)''; and
       (2) by adding at the end the following:
       ``(2)(A) Notwithstanding subsection (c) and except as 
     provided in subparagraph (B), in any case in which the debtor 
     did not receive the consideration for the claim held by a 
     creditor, the stay provided by subsection (a) shall apply to 
     that creditor for a period not

[[Page 3537]]

     to exceed 30 days beginning on the date of the order for 
     relief, to the extent the creditor proceeds against--
       ``(i) the individual that received that consideration; or
       ``(ii) property not in the possession of the debtor that 
     secures that claim.
       ``(B) Notwithstanding subparagraph (A), the stay provided 
     by subsection (a) shall apply in any case in which the debtor 
     is primarily obligated to pay the creditor in whole or in 
     part with respect to a claim described in subparagraph (A) 
     under a legally binding separation or property settlement 
     agreement or divorce or dissolution decree with respect to--
       ``(i) an individual described in subparagraph (A)(i); or
       ``(ii) property described in subparagraph (A)(ii).
       ``(3) Notwithstanding subsection (c), the stay provided by 
     subsection (a) shall terminate as of the date of confirmation 
     of the plan, in any case in which the plan of the debtor 
     provides that the debtor's interest in personal property 
     subject to a lease with respect to which the debtor is the 
     lessee will be surrendered or abandoned or no payments will 
     be made under the plan on account of the debtor's obligations 
     under the lease.''.

     SEC. 306. IMPROVED BANKRUPTCY STATISTICS.

       (a) Amendment.--Chapter 6 of part I of title 28, United 
     States Code, is amended by adding at the end the following:

     ``Sec. 159. Bankruptcy statistics

       ``(a) The clerk of each district shall compile statistics 
     regarding individual debtors with primarily consumer debts 
     seeking relief under chapters 7, 11, and 13 of title 11. 
     Those statistics shall be in a form prescribed by the 
     Director of the Administrative Office of the United States 
     Courts (referred to in this section as the `Office').
       ``(b) The Director shall--
       ``(1) compile the statistics referred to in subsection (a);
       ``(2) make the statistics available to the public; and
       ``(3) not later than October 31, 1998, and annually 
     thereafter, prepare, and submit to Congress a report 
     concerning the information collected under subsection (a) 
     that contains an analysis of the information.
       ``(c) The compilation required under subsection (b) shall--
       ``(1) be itemized, by chapter, with respect to title 11;
       ``(2) be presented in the aggregate and for each district; 
     and
       ``(3) include information concerning--
       ``(A) the total assets and total liabilities of the debtors 
     described in subsection (a), and in each category of assets 
     and liabilities, as reported in the schedules prescribed 
     pursuant to section 2075 of this title and filed by those 
     debtors;
       ``(B) the current total monthly income, projected monthly 
     net income, and average income and average expenses of those 
     debtors as reported on the schedules and statements that each 
     such debtor files under sections 111, 521, and 1322 of title 
     11;
       ``(C) the aggregate amount of debt discharged in the 
     reporting period, determined as the difference between the 
     total amount of debt and obligations of a debtor reported on 
     the schedules and the amount of such debt reported in 
     categories which are predominantly nondischargeable;
       ``(D) the average period of time between the filing of the 
     petition and the closing of the case;
       ``(E) for the reporting period--
       ``(i) the number of cases in which a reaffirmation was 
     filed; and
       ``(ii)(I) the total number of reaffirmations filed;
       ``(II) of those cases in which a reaffirmation was filed, 
     the number in which the debtor was not represented by an 
     attorney; and
       ``(III) of those cases, the number of cases in which the 
     reaffirmation was approved by the court;
       ``(F) with respect to cases filed under chapter 13 of title 
     11, for the reporting period--
       ``(i)(I) the number of cases in which a final order was 
     entered determining the value of property securing a claim in 
     an amount less than the amount of the claim; and
       ``(II) the number of final orders determining the value of 
     property securing a claim issued;
       ``(ii) the number of cases dismissed for failure to make 
     payments under the plan; and
       ``(iii) the number of cases in which the debtor filed 
     another case within the 6 years previous to the filing; and
       ``(G) the extent of creditor misconduct and any amount of 
     punitive damages awarded by the court for creditor 
     misconduct.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 6 of title 28, United States Code, is 
     amended by adding at the end the following:

       ``159. Bankruptcy statistics.''.

       (c) Effective Date.--The amendments made by this section 
     shall take effect 18 months after the date of enactment of 
     this Act.

     SEC. 307. AUDIT PROCEDURES.

       (a) Amendments.--Section 586 of title 28, United States 
     Code, is amended--
       (1) in subsection (a), as amended by section 301 of this 
     Act, by striking paragraph (6) and inserting the following:
       ``(6) make such reports as the Attorney General directs, 
     including the results of audits performed under subsection 
     (f); and''; and
       (2) by adding at the end the following:
       ``(f)(1)(A) The Attorney General shall establish procedures 
     to determine the accuracy and completeness of petitions, 
     schedules, and other information which the debtor is required 
     to provide under sections 521 and 1322 of title 11, and, if 
     applicable, section 111 of title 11, in individual cases 
     filed under chapter 7 or 13 of such title.
       ``(B) Those procedures shall--
       ``(i) establish a method of selecting appropriate qualified 
     persons to contract to perform those audits;
       ``(ii) establish a method of randomly selecting cases to be 
     audited, except that not less than 1 out of every 500 cases 
     in each Federal judicial district shall be selected for 
     audit;
       ``(iii) require audits for schedules of income and expenses 
     which reflect greater than average variances from the 
     statistical norm of the district in which the schedules were 
     filed; and
       ``(iv) establish procedures for providing, not less 
     frequently than annually, public information concerning the 
     aggregate results of such audits including the percentage of 
     cases, by district, in which a material misstatement of 
     income or expenditures is reported.
       ``(2) The United States trustee for each district is 
     authorized to contract with auditors to perform audits in 
     cases designated by the United States trustee according to 
     the procedures established under paragraph (1).
       ``(3)(A) The report of each audit conducted under this 
     subsection shall be filed with the court and transmitted to 
     the United States trustee. Each report shall clearly and 
     conspicuously specify any material misstatement of income or 
     expenditures or of assets identified by the person performing 
     the audit. In any case where a material misstatement of 
     income or expenditures or of assets has been reported, the 
     clerk of the bankruptcy court shall give notice of the 
     misstatement to the creditors in the case.
       ``(B) If a material misstatement of income or expenditures 
     or of assets is reported the United States trustee shall--
       ``(i) report the material misstatement, if appropriate, to 
     the United States Attorney pursuant to section 3057 of title 
     18, United States Code; and
       ``(ii) if advisable, take appropriate action, including but 
     not limited to commencing an adversary proceeding to revoke 
     the debtor's discharge pursuant to section 727(d) of title 
     11, United States Code.''.
       (b) Amendments to Section 521 of Title 11, U.S.C.--Section 
     521 of title 11, United States Code, is amended in paragraphs 
     (3) and (4) by adding ``or an auditor appointed pursuant to 
     section 586 of title 28, United States Code'' after ``serving 
     in the case''.
       (c) Amendments to Section 727 of Title 11, U.S.C.--Section 
     727(d) of title 11, United States Code, is amended--
       (1) by deleting ``or'' at the end of paragraph (2);
       (2) by substituting ``; or'' for the period at the end of 
     paragraph (3); and
       (3) adding the following at the end of paragraph (3)--
       ``(4) the debtor has failed to explain satisfactorily--
       ``(A) a material misstatement in an audit performed 
     pursuant to section 586(f) of title 28, United States Code; 
     or
       ``(B) a failure to make available for inspection all 
     necessary accounts, papers, documents, financial records, 
     files and all other papers, things, or property belonging to 
     the debtor that are requested for an audit conducted pursuant 
     to section 586(f) of title 28, United States Code.''.
       (d) Effective Date.--The amendments made by this section 
     shall take effect 18 months after the date of enactment of 
     this Act.

     SEC. 308. CREDITOR REPRESENTATION AT FIRST MEETING OF 
                   CREDITORS.

       Section 341(c) of title 11, United States Code, is amended 
     by inserting after the first sentence the following: 
     ``Notwithstanding any local court rule, provision of a State 
     constitution, any other Federal or State law that is not a 
     bankruptcy law, or other requirement that representation at 
     the meeting of creditors under subsection (a) be by an 
     attorney, a creditor holding a consumer debt or any 
     representative of the creditor (which may include an entity 
     or an employee of an entity and may be a representative for 
     more than one creditor) shall be permitted to appear at and 
     participate in the meeting of creditors in a case under 
     chapter 7 or 13, either alone or in conjunction with an 
     attorney for the creditor. Nothing in this subsection shall 
     be construed to require any creditor to be represented by an 
     attorney at any meeting of creditors.''.

     SEC. 309. FAIR NOTICE FOR CREDITORS IN CHAPTER 7 AND 13 
                   CASES.

       Section 342 of title 11, United States Code, is amended--
       (1) in subsection (c), by striking ``, but the failure of 
     such notice to contain such information shall not invalidate 
     the legal effect of such notice''; and
       (2) by adding at the end the following:
       ``(d)(1) If the credit agreement between the debtor and the 
     creditor or the last communication before the filing of the 
     petition in a

[[Page 3538]]

     voluntary case from the creditor to a debtor who is an 
     individual states an account number of the debtor that is the 
     current account number of the debtor with respect to any debt 
     held by the creditor against the debtor, the debtor shall 
     include that account number in any notice to the creditor 
     required to be given under this title.
       ``(2) If the creditor has specified to the debtor, in the 
     last communication before the filing of the petition, an 
     address at which the creditor wishes to receive 
     correspondence regarding the debtor's account, any notice to 
     the creditor required to be given by the debtor under this 
     title shall be given at such address.
       ``(3) For purposes of this section, the term `notice' shall 
     include--
       ``(A) any correspondence from the debtor to the creditor 
     after the commencement of the case;
       ``(B) any statement of the debtor's intention under section 
     521(a)(2);
       ``(C) notice of the commencement of any proceeding in the 
     case to which the creditor is a party; and
       ``(D) any notice of a hearing under section 1324.
       ``(e)(1) At any time, a creditor, in a case of an 
     individual under chapter 7 or 13, may file with the court and 
     serve on the debtor a notice of the address to be used to 
     notify the creditor in that case.
       ``(2) If the court or the debtor is required to give the 
     creditor notice, not later than 5 days after receipt of the 
     notice under paragraph (1), that notice shall be given at 
     that address.
       ``(f) An entity may file with the court a notice stating 
     its address for notice in cases under chapter 7 or 13. After 
     the date that is 30 days following the filing of that notice, 
     any notice in any case filed under chapter 7 or 13 given by 
     the court shall be to that address unless specific notice is 
     given under subsection (e) with respect to a particular case.
       ``(g)(1) Notice given to a creditor other than as provided 
     in this section shall not be effective notice until that 
     notice has been brought to the attention of the creditor.
       ``(2) If the creditor has designated a person or department 
     to be responsible for receiving notices concerning bankruptcy 
     cases and has established reasonable procedures so that 
     bankruptcy notices received by the creditor will be delivered 
     to that department or person, notice shall not be brought to 
     the attention of the creditor until that notice is received 
     by that person or department.''.

     SEC. 310. STOPPING ABUSIVE CONVERSIONS FROM CHAPTER 13.

       Section 348(f)(1) of title 11, United States Code, is 
     amended--
       (1) in subparagraph (A), by striking ``and'' at the end;
       (2) in subparagraph (B)--
       (A) by striking ``in the converted case, with allowed 
     secured claims'' and inserting ``only in a case converted to 
     chapter 11 or 12 but not in a case converted to chapter 7, 
     with allowed secured claims in cases under chapters 11 and 
     12''; and
       (B) by striking the period and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(C) with respect to cases converted from chapter 13, the 
     claim of any creditor holding security as of the date of the 
     petition shall continue to be secured by that security unless 
     the full amount of that claim determined under applicable 
     nonbankruptcy law has been paid in full as of the date of 
     conversion, notwithstanding any valuation or determination of 
     the amount of an allowed secured claim made for the purposes 
     of the chapter 13 proceeding.''.

     SEC. 311. PROMPT RELIEF FROM STAY IN INDIVIDUAL CASES.

       Section 362(e) of title 11, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(e)''; and
       (2) by adding at the end the following:
       ``(2) Notwithstanding paragraph (1), in the case of an 
     individual filing under chapter 7, 11, or 13, the stay under 
     subsection (a) shall terminate on the date that is 60 days 
     after a request is made by a party in interest under 
     subsection (d), unless--
       ``(A) a final decision is rendered by the court during the 
     60-day period beginning on the date of the request; or
       ``(B) that 60-day period is extended--
       ``(i) by agreement of all parties in interest; or
       ``(ii) by the court for such specific period of time as the 
     court finds is required for good cause.''.

     SEC. 312. DISMISSAL FOR FAILURE TO TIMELY FILE SCHEDULES OR 
                   PROVIDE REQUIRED INFORMATION.

       Section 707 of title 11, United States Code, as amended by 
     section 102 of this Act, is amended by adding at the end the 
     following:
       ``(c)(1) Notwithstanding subsection (a), and subject to 
     paragraph (2), if an individual debtor in a voluntary case 
     under chapter 7 or 13 fails to file all of the information 
     required under section 521(a)(1) within 45 days after the 
     filing of the petition commencing the case, the case shall be 
     automatically dismissed effective on the 46th day after the 
     filing of the petition.
       ``(2) With respect to a case described in paragraph (1), 
     any party in interest may request the court to enter an order 
     dismissing the case. The court shall, if so requested, enter 
     an order of dismissal not later than 5 days after that 
     request.
       ``(3) Upon request of the debtor made within 45 days after 
     the filing of the petition commencing a case described in 
     paragraph (1), the court may allow the debtor an additional 
     period of not to exceed 50 days to file the information 
     required under section 521(a)(1) if the court finds 
     justification for extending the period for the filing.''.

     SEC. 313. ADEQUATE TIME FOR PREPARATION FOR A HEARING ON 
                   CONFIRMATION OF THE PLAN.

       Section 1324 of title 11, United States Code, as amended by 
     section 304 of this Act, is amended--
       (1) by striking ``After'' and inserting the following:
       ``(a) Except as provided in subsection (b) and after''; and
       (2) by adding at the end the following:
       ``(b) If not later than 5 days after receiving notice of a 
     hearing on confirmation of the plan, a creditor objects to 
     the confirmation of the plan, the hearing on confirmation of 
     the plan may be held no earlier than 20 days after the first 
     meeting of creditors under section 341(a).''.

     SEC. 314. DISCHARGE UNDER CHAPTER 13.

       Section 1328(a) of title 11, United States Code, is amended 
     by striking paragraphs (1) through (3) and inserting the 
     following:
       ``(1) provided for under section 1322(b)(5);
       ``(2) of the kind specified in paragraph (2), (4), (5), 
     (8), or (9) of section 523(a);
       ``(3) for restitution, or a criminal fine, included in a 
     sentence on the debtor's conviction of a crime; or
       ``(4) for restitution, or damages, awarded in a civil 
     action against the debtor as a result of willful or malicious 
     injury by the debtor that caused personal injury to an 
     individual or the death of an individual.''.

     SEC. 315. NONDISCHARGEABLE DEBTS.

       Section 523(a) of title 11, United States Code, is amended 
     by inserting after paragraph (14) the following:
       ``(14A) incurred to pay a debt that is nondischargeable by 
     reason of section 727, 1141, 1228 (a) or (b), or 1328(b), or 
     any other provision of this subsection, where the debtor 
     incurred the debt to pay such a nondischargeable debt with 
     the intent to discharge in bankruptcy the newly-created 
     debt.''.

     SEC. 316. CREDIT EXTENSIONS ON THE EVE OF BANKRUPTCY PRESUMED 
                   NONDISCHARGEABLE.

       Section 523(a)(2) of title 11, United States Code, as 
     amended by section 202 of this Act, is amended--
       (1) in subparagraph (A), by striking the semicolon at the 
     end and inserting the following: ``(and, for purposes of this 
     subparagraph, consumer debts owed in an aggregate amount 
     greater than or equal to $400 incurred for goods or services 
     not reasonably necessary for the maintenance or support of 
     the debtor or a dependent child of the debtor to a single 
     creditor that are incurred during the 90-day period preceding 
     the date of the order for relief shall be presumed to be 
     nondischargeable under this subparagraph); or'';
       (2) in subparagraph (B), by striking ``or'' at the end; and
       (3) by striking subparagraph (C).

     SEC. 317. DEFINITION OF HOUSEHOLD GOODS AND ANTIQUES.

       Not later than 180 days after the date of enactment of this 
     Act, the Federal Trade Commission shall promulgate 
     regulations defining ``household goods'' under section 
     522(c)(3) in a manner suitable and appropriate for cases 
     under title 11 of the United States Code. If new regulations 
     are not effective within 180 days of enactment of this Act, 
     then ``household goods'' under section 522(c)(3) shall have 
     the meaning given that term in section 444.1(i) of title 16, 
     of the Code of Federal Regulations, except that the term 
     shall also include any tangible personal property reasonably 
     necessary for the maintenance or support of a dependent 
     child.

     SEC. 318. RELIEF FROM STAY WHEN THE DEBTOR DOES NOT COMPLETE 
                   INTENDED SURRENDER OF CONSUMER DEBT COLLATERAL.

       (a) Automatic Stay.--Section 362 of title 11, United States 
     Code, as amended by section 303, is amended--
       (1) in subsection (c)(1), in the matter preceding 
     subparagraph (A), by striking ``(e) and (f)'' and inserting 
     ``(e), (f), and (h)'';
       (2) by redesignating subsection (h) as subsection (i); and
       (3) by inserting after subsection (g) the following:
       ``(h) In an individual case under chapter 7, 11, or 13 the 
     stay provided by subsection (a) is terminated with respect to 
     property of the estate securing in whole or in part a claim 
     that is in an amount greater than $3,000, or subject to an 
     unexpired lease with a remaining term of at least 1 year (in 
     any case in which the debtor owes at least $3,000 for a 1-
     year period), if within 30 days after the expiration of the 
     applicable period under section 521(a)(2)--
       ``(1)(A) the debtor fails to timely file a statement of 
     intention to surrender or retain the property; or
       ``(B) if the debtor indicates in the filing that the debtor 
     will retain the property, the debtor fails to meet an 
     applicable requirement to--
       ``(i) either--

[[Page 3539]]

       ``(I) redeem the property pursuant to section 722; or
       ``(II) reaffirm the debt the property secures pursuant to 
     section 524(c); or
       ``(ii) assume the unexpired lease pursuant to section 
     365(d) if the trustee does not do so; or
       ``(2) the debtor fails to timely take the action specified 
     in a statement of intention referred to in paragraph (1)(A) 
     (as amended, if that statement is amended before expiration 
     of the period for taking action), unless--
       ``(A) the statement of intention specifies reaffirmation; 
     and
       ``(B) the creditor refuses to reaffirm the debt on the 
     original contract terms for the debt.''.
       (b) Debtor's Duties.--Section 521(a)(2) of title 11, United 
     States Code, as redesignated by section 301(b) of this Act, 
     is amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``consumer'';
       (2) in subparagraph (B)--
       (A) by striking ``forty-five days after the filing of a 
     notice of intent under this section'' and inserting ``30 days 
     after the first meeting of creditors under section 341(a)''; 
     and
       (B) by striking ``forty-five-day period'' and inserting 
     ``30-day period''; and
       (3) in subparagraph (C), by inserting ``, except as 
     provided in section 362(h)'' before the semicolon.

     SEC. 319. ADEQUATE PROTECTION OF LESSORS AND PURCHASE MONEY 
                   SECURED CREDITORS.

       (a) In General.--Chapter 13 of title 11, United States 
     Code, is amended by adding after section 1307 the following:

     ``Sec. 1307A. Adequate protection in chapter 13 cases

       ``(a)(1)(A) On or before the date that is 30 days after the 
     filing of a case under this chapter, the debtor shall make 
     cash payments in an amount determined under paragraph (2)(A), 
     to--
       ``(i) any lessor of personal property; and
       ``(ii) any creditor holding a claim secured by personal 
     property to the extent that the claim is attributable to the 
     purchase of that property by the debtor.
       ``(B) The debtor or the plan shall continue making the 
     adequate protection payments until the earlier of the date on 
     which--
       ``(i) the creditor begins to receive actual payments under 
     the plan; or
       ``(ii) the debtor relinquishes possession of the property 
     referred to in subparagraph (A) to--
       ``(I) the lessor or creditor; or
       ``(II) any third party acting under claim of right, as 
     applicable.
       ``(2) The payments referred to in paragraph (1)(A) shall be 
     determined by the court.
       ``(b)(1) Subject to the limitations under paragraph (2), 
     the court may, after notice and hearing, change the amount 
     and timing of the dates of payment of payments made under 
     subsection (a).
       ``(2)(A) The payments referred to in paragraph (1) shall be 
     payable not less frequently than monthly.
       ``(B) The amount of a payment referred to in paragraph (1) 
     shall not be less than the reasonable depreciation of the 
     personal property described in subsection (a)(1), determined 
     on a month-to-month basis.
       ``(c) Notwithstanding section 1326(b), the payments 
     referred to in subsection (a)(1)(A) shall be continued in 
     addition to plan payments under a confirmed plan until actual 
     payments to the creditor begin under that plan, if the 
     confirmed plan provides--
       ``(1) for payments to a creditor or lessor described in 
     subsection (a)(1); and
       ``(2) for the deferral of payments to such creditor or 
     lessor under the plan until the payment of amounts described 
     in section 1326(b).
       ``(d) Notwithstanding sections 362, 542, and 543, a lessor 
     or creditor described in subsection (a) may retain possession 
     of property described in that subsection that was obtained in 
     accordance with applicable law before the date of filing of 
     the petition until the first payment under subsection 
     (a)(1)(A) is received by the lessor or creditor.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 13 of title 11, United States Code, is 
     amended by inserting after the item relating to section 1307 
     the following:

       ``1307A. Adequate protection in chapter 13 cases.''.

     SEC. 320. LIMITATION.

       Section 522 of title 11, United States Code, as amended by 
     section 207(a), is amended--
       (1) in subsection (b)(3)(A), by inserting ``subject to 
     subsection (n),'' before ``any property''; and
       (2) by adding at the end the following new subsection:
       ``(n)(1) Except as provided in paragraph (2), as a result 
     of electing under subsection (b)(3)(A) to exempt property 
     under State or local law, a debtor may not exempt any amount 
     of interest that exceeds in the aggregate $100,000 in value 
     in--
       ``(A) real or personal property that the debtor or a 
     dependent of the debtor uses as a residence;
       ``(B) a cooperative that owns property that the debtor or a 
     dependent of the debtor uses as a residence; or
       ``(C) a burial plot for the debtor or a dependent of the 
     debtor.
       ``(2) The limitation under paragraph (1) shall not apply to 
     an exemption claimed under subsection (b)(2)(A) by a family 
     farmer for the principal residence of that farmer.''.

     SEC. 321. MISCELLANEOUS IMPROVEMENTS.

       (a) Who May Be a Debtor.--Section 109 of title 11, United 
     States Code, is amended by adding at the end the following:
       ``(h)(1) Subject to paragraphs (2) and (3) and 
     notwithstanding any other provision of this section, an 
     individual may not be a debtor under this title unless that 
     individual has, during the 90-day period preceding the date 
     of filing of the petition of that individual, received credit 
     counseling, including, at a minimum, participation in an 
     individual or group briefing that outlined the opportunities 
     for available credit counseling and assisted that individual 
     in performing an initial budget analysis, through a credit 
     counseling program (offered through an approved credit 
     counseling service described in section 111(a)) that has been 
     approved by--
       ``(A) the United States trustee; or
       ``(B) the bankruptcy administrator for the district in 
     which the petition is filed.''.
       ``(2)(A) Paragraph (1) shall not apply with respect to a 
     debtor who resides in a district for which the United States 
     trustee or bankruptcy administrator of the bankruptcy court 
     of that district determines that the approved credit 
     counseling services for that district are not reasonably able 
     to provide adequate services to the additional individuals 
     who would otherwise seek credit counseling from those 
     programs by reason of the requirements of paragraph (1).
       ``(B) Each United States trustee or bankruptcy 
     administrator that makes a determination described in 
     subparagraph (A) shall review that determination not later 
     than one year after the date of that determination, and not 
     less frequently than every year thereafter.
       ``(3)(A) Subject to subparagraph (B), the requirements of 
     paragraph (1) shall not apply with respect to a debtor who 
     submits to the court a certification that--
       ``(i) describes exigent circumstances that merit a waiver 
     of the requirements of paragraph (1);
       ``(ii) states that the debtor requested credit counseling 
     services from an approved credit counseling service, but was 
     unable to obtain the services referred to in paragraph (1) 
     during the 5-day period beginning on the date on which the 
     debtor made that request; and
       ``(iii) is satisfactory to the court.
       ``(B) With respect to a debtor, an exemption under 
     subparagraph (A) shall cease to apply to that debtor on the 
     date on which the debtor meets the requirements of paragraph 
     (1), but in no case may the exemption apply to that debtor 
     after the date that is 30 days after the debtor files a 
     petition.''.
       (b) Chapter 7 Discharge.--Section 727(a) of title 11, 
     United States Code, is amended--
       (1) in paragraph (9), by striking ``or'' at the end;
       (2) in paragraph (10), by striking the period and inserting 
     ``; or''; and
       (3) by adding at the end the following:
       ``(11) after the filing of the petition, the debtor failed 
     to complete an instructional course concerning personal 
     financial management described in section 111 that was 
     administered or approved by--
       ``(A) the United States trustee; or
       ``(B) the bankruptcy administrator for the district in 
     which the petition is filed.''.
       (c) Chapter 13 Discharge.--Section 1328 of title 11, United 
     States Code, is amended by adding at the end the following:
       ``(f) The court shall not grant a discharge under this 
     section to a debtor, unless after filing a petition the 
     debtor has completed an instructional course concerning 
     personal financial management described in section 111 that 
     was administered or approved by--
       ``(1) the United States trustee; or
       ``(2) the bankruptcy administrator for the district in 
     which the petition is filed.''.
       (d) Debtor's Duties.--Section 521 of title 11, United 
     States Code, as amended by sections 301(b) and 318(b) of this 
     Act, is amended by adding at the end the following:
       ``(e) In addition to the requirements under subsection (a), 
     an individual debtor shall file with the court--
       ``(1) a certificate from the credit counseling service that 
     provided the debtor services under section 109(h); and
       ``(2) a copy of the debt repayment plan, if any, developed 
     under section 109(h) through the credit counseling service 
     referred to in paragraph (1).''.
       (e) Exceptions to Discharge.--Section 523(d) of title 11, 
     United States Code, as amended by section 202 of this Act, is 
     amended by striking paragraph (3)(A)(i) and inserting the 
     following:
       ``(i) within the applicable period of time prescribed under 
     section 109(h), the debtor received credit counseling through 
     a credit counseling program in accordance with section 
     109(h); and''.
       (f) General Provisions.--
       (1) In general.--Chapter 1 of title 11, United States Code, 
     is amended by adding at the end the following:

     ``Sec. 111. Credit counseling services; financial management 
       instructional courses

       ``(a) The clerk of each district shall maintain a list of 
     credit counseling services that provide 1 or more programs 
     described in section 109(h) and that have been approved by--
       ``(1) the United States trustee; or

[[Page 3540]]

       ``(2) the bankruptcy administrator for the district.
       ``(b) The United States trustee or each bankruptcy 
     administrator referred to in subsection (a)(1) shall--
       ``(1) make available to debtors who are individuals an 
     instructional course concerning personal financial 
     management, under the direction of the bankruptcy court; and
       ``(2) maintain a list of instructional courses concerning 
     personal financial management that are operated by a private 
     entity and that have been approved by the United States 
     trustee or that bankruptcy administrator.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 1 of title 11, United States Code, is 
     amended by adding at the end the following:

``111. Credit counseling services; financial management instructional 
              courses.''.
       (g) Definitions.--Section 101 of title 11, United States 
     Code, as amended by section 317 of this Act, is amended--
       (1) by inserting after paragraph (13) the following:
       ``(13A) `debtor's principal residence'--
       ``(A) means a residential structure, including incidental 
     property, without regard to whether that structure is 
     attached to real property; and
       ``(B) includes an individual condominium or co-operative 
     unit;''; and
       (2) by inserting after paragraph (27A), as added by section 
     318 of this Act, the following:
       ``(27B) `incidental property' means, with respect to a 
     debtor's principal residence--
       ``(A) property commonly conveyed with a principal residence 
     in the area where the real estate is located;
       ``(B) all easements, rights, appurtenances, fixtures, 
     rents, royalties, mineral rights, oil or gas rights or 
     profits, water rights, escrow funds, or insurance proceeds; 
     and
       ``(C) all replacements or additions;''.

     SEC. 322. BANKRUPTCY JUDGESHIPS.

       (a) Short Title.--This section may be cited as the 
     ``Bankruptcy Judgeship Act of 1998''.
       (b) Temporary Judgeships.--
       (1) Appointments.--The following judgeship positions shall 
     be filled in the manner prescribed in section 152(a)(1) of 
     title 28, United States Code, for the appointment of 
     bankruptcy judges provided for in section 152(a)(2) of such 
     title:
       (A) One additional bankruptcy judgeship for the eastern 
     district of California.
       (B) Four additional bankruptcy judgeships for the central 
     district of California.
       (C) One additional bankruptcy judgeship for the southern 
     district of Florida.
       (D) Two additional bankruptcy judgeships for the district 
     of Maryland.
       (E) One additional bankruptcy judgeship for the eastern 
     district of Michigan.
       (F) One additional bankruptcy judgeship for the southern 
     district of Mississippi.
       (G) One additional bankruptcy judgeship for the district of 
     New Jersey.
       (H) One additional bankruptcy judgeship for the eastern 
     district of New York.
       (I) One additional bankruptcy judgeship for the northern 
     district of New York.
       (J) One additional bankruptcy judgeship for the southern 
     district of New York.
       (K) One additional bankruptcy judgeship for the eastern 
     district of Pennsylvania.
       (L) One additional bankruptcy judgeship for the middle 
     district of Pennsylvania.
       (M) One additional bankruptcy judgeship for the western 
     district of Tennessee.
       (N) One additional bankruptcy judgeship for the eastern 
     district of Virginia.
       (2) Vacancies.--The first vacancy occurring in the office 
     of a bankruptcy judge in each of the judicial districts set 
     forth in paragraph (1) that--
       (A) results from the death, retirement, resignation, or 
     removal of a bankruptcy judge; and
       (B) occurs 5 years or more after the appointment date of a 
     bankruptcy judge appointed under paragraph (1);
     shall not be filled.
       (c) Extensions.--
       (1) In general.--The temporary bankruptcy judgeship 
     positions authorized for the northern district of Alabama, 
     the district of Delaware, the district of Puerto Rico, the 
     district of South Carolina, and the eastern district of 
     Tennessee under section 3(a) (1), (3), (7), (8), and (9) of 
     the Bankruptcy Judgeship Act of 1992 (28 U.S.C. 152 note) are 
     extended until the first vacancy occurring in the office of a 
     bankruptcy judge in the applicable district resulting from 
     the death, retirement, resignation, or removal of a 
     bankruptcy judge and occurring--
       (A) 8 years or more after November 8, 1993, with respect to 
     the northern district of Alabama;
       (B) 10 years or more after October 28, 1993, with respect 
     to the district of Delaware;
       (C) 8 years or more after August 29, 1994, with respect to 
     the district of Puerto Rico;
       (D) 8 years or more after June 27, 1994, with respect to 
     the district of South Carolina; and
       (E) 8 years or more after November 23, 1993, with respect 
     to the eastern district of Tennessee.
       (2) Applicability of other provisions.--All other 
     provisions of section 3 of the Bankruptcy Judgeship Act of 
     1992 remain applicable to such temporary judgeship position.
       (d) Technical Amendment.--The first sentence of section 
     152(a)(1) of title 28, United States Code, is amended to read 
     as follows: ``Each bankruptcy judge to be appointed for a 
     judicial district as provided in paragraph (2) shall be 
     appointed by the United States court of appeals for the 
     circuit in which such district is located.''.
       (e) Travel Expenses of Bankruptcy Judges.--Section 156 of 
     title 28, United States Code, is amended by adding at the end 
     the following new subsection:
       ``(g)(1) In this subsection, the term `travel expenses'--
       ``(A) means the expenses incurred by a bankruptcy judge for 
     travel that is not directly related to any case assigned to 
     such bankruptcy judge; and
       ``(B) shall not include the travel expenses of a bankruptcy 
     judge if--
       ``(i) the payment for the travel expenses is paid by such 
     bankruptcy judge from the personal funds of such bankruptcy 
     judge; and
       ``(ii) such bankruptcy judge does not receive funds 
     (including reimbursement) from the United States or any other 
     person or entity for the payment of such travel expenses.
       ``(2) Each bankruptcy judge shall annually submit the 
     information required under paragraph (3) to the chief 
     bankruptcy judge for the district in which the bankruptcy 
     judge is assigned.
       ``(3)(A) Each chief bankruptcy judge shall submit an annual 
     report to the Director of the Administrative Office of the 
     United States Courts on the travel expenses of each 
     bankruptcy judge assigned to the applicable district 
     (including the travel expenses of the chief bankruptcy judge 
     of such district).
       ``(B) The annual report under this paragraph shall 
     include--
       ``(i) the travel expenses of each bankruptcy judge, with 
     the name of the bankruptcy judge to whom the travel expenses 
     apply;
       ``(ii) a description of the subject matter and purpose of 
     the travel relating to each travel expense identified under 
     clause (i), with the name of the bankruptcy judge to whom the 
     travel applies; and
       ``(iii) the number of days of each travel described under 
     clause (ii), with the name of the bankruptcy judge to whom 
     the travel applies.
       ``(4)(A) The Director of the Administrative Office of the 
     United States Courts shall--
       ``(i) consolidate the reports submitted under paragraph (3) 
     into a single report; and
       ``(ii) annually submit such consolidated report to 
     Congress.
       ``(B) The consolidated report submitted under this 
     paragraph shall include the specific information required 
     under paragraph (3)(B), including the name of each bankruptcy 
     judge with respect to clauses (i), (ii), and (iii) of 
     paragraph (3)(B).''.

     SEC. 323. DEFINITION OF DOMESTIC SUPPORT OBLIGATION.

       Section 101 of title 11, United States Code, as amended by 
     section 321(g) of this Act, is amended--
       (1) by striking paragraph (12A); and
       (2) by inserting after paragraph (14) the following:
       ``(14A) `domestic support obligation' means a debt that 
     accrues before or after the entry of an order for relief 
     under this title that is--
       ``(A) owed to or recoverable by--
       ``(i) a spouse, former spouse, or child of the debtor or 
     that child's legal guardian; or
       ``(ii) a governmental unit;
       ``(B) in the nature of alimony, maintenance, or support 
     (including assistance provided by a govermental unit) of such 
     spouse, former spouse, or child, without regard to whether 
     such debt is expressly so designated;
       ``(C) established or subject to establishment before or 
     after entry of an order for relief under this title, by 
     reason of applicable provisions of--
       ``(i) a separation agreement, divorce decree, or property 
     settlement agreement;
       ``(ii) an order of a court of record; or
       ``(iii) a determination made in accordance with applicable 
     nonbankruptcy law by a governmental unit; and
       ``(D) not assigned to a nongovernmental entity, unless that 
     obligation is assigned voluntarily by the spouse, former 
     spouse, child, or parent solely for the purpose of collecting 
     the debt.''.

     SEC. 324. PRIORITIES FOR CLAIMS FOR DOMESTIC SUPPORT 
                   OBLIGATIONS.

       Section 507(a) of title 11, United States Code, is 
     amended--
       (1) by striking paragraph (7);
       (2) by redesignating paragraphs (1) through (6) as 
     paragraphs (2) through (7), respectively;
       (3) in paragraph (2), as redesignated, by striking 
     ``First'' and inserting ``Second'';
       (4) in paragraph (3), as redesignated, by striking 
     ``Second'' and inserting ``Third'';
       (5) in paragraph (4), as redesignated, by striking 
     ``Third'' and inserting ``Fourth'';
       (6) in paragraph (5), as redesignated, by striking 
     ``Fourth'' and inserting ``Fifth'';
       (7) in paragraph (6), as redesignated, by striking 
     ``Fifth'' and inserting ``Sixth'';
       (8) in paragraph (7), as redesignated, by striking 
     ``Sixth'' and inserting ``Seventh''; and
       (9) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) First, allowed claims for domestic support 
     obligations to be paid in the following order on the 
     condition that funds received under this paragraph by a 
     governmental unit in a case under this title be applied:

[[Page 3541]]

       ``(A) Claims that, as of the date of entry of the order for 
     relief, are owed directly to a spouse, former spouse, or 
     child of the debtor, or the parent of such child, without 
     regard to whether the claim is filed by the spouse, former 
     spouse, child, or parent, or is filed by a governmental unit 
     on behalf of that person.
       ``(B) Claims that, as of the date of entry of the order for 
     relief, are assigned by a spouse, former spouse, child of the 
     debtor, or the parent of that child to a governmental unit or 
     are owed directly to a governmental unit under applicable 
     nonbankruptcy law.''.

     SEC. 325. REQUIREMENTS TO OBTAIN CONFIRMATION AND DISCHARGE 
                   IN CASES INVOLVING DOMESTIC SUPPORT 
                   OBLIGATIONS.

       Title 11, United States Code, is amended--
       (1) in section 1129(a), by adding at the end the following:
       ``(14) If the debtor is required by a judicial or 
     administrative order or statute to pay a domestic support 
     obligation, the debtor has paid all amounts payable under 
     such order or statute for such obligation that become payable 
     after the date on which the petition is filed.'';
       (2) in section 1325(a)--
       (A) in paragraph (5), by striking ``and'' at the end;
       (B) in paragraph (6), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(7) if the debtor is required by a judicial or 
     administrative order or statute to pay a domestic support 
     obligation, the debtor has paid all amounts payable under 
     such order for such obligation that become payable after the 
     date on which the petition is filed.''; and
       (3) in section 1328(a), as amended by section 314 of this 
     Act, in the matter preceding paragraph (1), by inserting ``, 
     and with respect to a debtor who is required by a judicial or 
     administrative order to pay a domestic support obligation, 
     certifies that all amounts payable under such order or 
     statute that are due on or before the date of the 
     certification (including amounts due before or after the 
     petition was filed) have been paid'' after ``completion by 
     the debtor of all payments under the plan''.

     SEC. 326. EXCEPTIONS TO AUTOMATIC STAY IN DOMESTIC SUPPORT 
                   OBLIGATION PROCEEDINGS.

       Section 362(b) of title 11, United States Code, is 
     amended--
       (1) by striking paragraph (2) and inserting the following:
       ``(2) under subsection (a)--
       ``(A) of the commencement or continuation of an action or 
     proceeding for--
       ``(i) the establishment of paternity as a part of an effort 
     to collect domestic support obligations; or
       ``(ii) the establishment or modification of an order for 
     domestic support obligations; or
       ``(B) the collection of a domestic support obligation from 
     property that is not property of the estate;'';
       (2) in paragraph (17), by striking ``or'' at the end;
       (3) in paragraph (18), by striking the period at the end 
     and inserting a semicolon; and
       (4) by adding at the end the following:
       ``(19) under subsection (a) with respect to the withholding 
     of income pursuant to an order as specified in section 466(b) 
     of the Social Security Act (42 U.S.C. 666(b)); or
       ``(20) under subsection (a) with respect to--
       ``(A) the withholding, suspension, or restriction of 
     drivers' licenses, professional and occupational licenses, 
     and recreational licenses pursuant to State law, as specified 
     in section 466(a)(16) of the Social Security Act (42 U.S.C. 
     666(a)(16)) or with respect to the reporting of overdue 
     support owed by an absent parent to any consumer reporting 
     agency as specified in section 466(a)(7) of the Social 
     Security Act (42 U.S.C. 666(a)(7));
       ``(B) the interception of tax refunds, as specified in 
     sections 464 and 466(a)(3) of the Social Security Act (42 
     U.S.C. 664 and 666(a)(3)); or
       ``(C) the enforcement of medical obligations as specified 
     under title IV of the Social Security Act (42 U.S.C. 601 et 
     seq.).''.

     SEC. 327. NONDISCHARGEABILITY OF CERTAIN DEBTS FOR ALIMONY, 
                   MAINTENANCE, AND SUPPORT.

       Section 523 of title 11, United States Code, as amended by 
     section 202 of this Act, is amended--
       (1) in subsection (a), by striking paragraph (5) and 
     inserting the following:
       ``(5) for a domestic support obligation;'';
       (2) in subsection (c), by striking ``(6), or (15)'' and 
     inserting ``or (6)''; and
       (3) in paragraph (15), by striking ``governmental unit'' 
     and all through the end of the paragraph and inserting a 
     semicolon.

     SEC. 328. CONTINUED LIABILITY OF PROPERTY.

       Section 522 of title 11, United States Code, is amended--
       (1) in subsection (c), by striking paragraph (1) and 
     inserting the following:
       ``(1) a debt of a kind specified in paragraph (1) or (5) of 
     section 523(a) (in which case, notwithstanding any provision 
     of applicable nonbankruptcy law to the contrary, such 
     property shall be liable for a debt of a kind specified in 
     section 523(a)(5);''; and
       (2) in subsection (f)(1)(A), by striking the dash and all 
     that follows through the end of the subparagraph and 
     inserting ``of a kind that is specified in section 523(a)(5); 
     or''.

     SEC. 329. PROTECTION OF DOMESTIC SUPPORT CLAIMS AGAINST 
                   PREFERENTIAL TRANSFER MOTIONS.

       Section 547(c)(7) of title 11, United States Code, is 
     amended to read as follows:
       ``(7) to the extent such transfer was a bona fide payment 
     of a debt for a domestic support obligation; or''.

     SEC. 330. PROTECTION OF RETIREMENT SAVINGS IN BANKRUPTCY.

       (a) In General.--Section 522 of title 11, United States 
     Code, is amended--
       (1) in subsection (b)--
       (A) in paragraph (2)--
       (i) by striking ``(2)(A) any property'' and inserting:
       ``(3) Property listed in this paragraph is--
       ``(A) any property'';
       (ii) in subparagraph (A), by striking ``and'' at the end;
       (iii) in subparagraph (B), by striking the period at the 
     end and inserting ``; and''; and
       (iv) by adding at the end the following:
       ``(C) retirement funds to the extent that those funds are 
     in a fund or account that is exempt from taxation under 
     section 401, 403, 408, 408A, 414, 457, or 501(a) of the 
     Internal Revenue Code of 1986 and which has not been pledged 
     or promised to any person in connection with any extension of 
     credit.'';
       (B) by striking paragraph (1) and inserting:
       ``(2) Property listed in this paragraph is property that is 
     specified under subsection (d) of this section, unless the 
     State law that is applicable to the debtor under paragraph 
     (3)(A) of this subsection specifically does not so 
     authorize.'';
       (C) in the matter preceding paragraph (2)--
       (i) by striking ``(b)'' and inserting ``(b)(1)'';
       (ii) by striking ``paragraph (2)'' both places it appears 
     and inserting ``paragraph (3)'';
       (iii) by striking ``paragraph (1)'' each place it appears 
     and inserting ``paragraph (2)''; and
       (iv) by striking ``Such property is--''; and
       (D) by adding at the end of the subsection the following:
       ``(4) For purposes of paragraph (3)(C), the following shall 
     apply:
       ``(A) If the retirement funds are in a retirement fund that 
     has received a favorable determination pursuant to section 
     7805 of the Internal Revenue Code of 1986, and that 
     determination is in effect as of the date of the commencement 
     of the case under section 301, 302, or 303, those funds shall 
     be presumed to be exempt from the estate.
       ``(B) If the retirement funds are in a retirement fund that 
     has not received a favorable determination pursuant to such 
     section 7805, those funds are exempt from the estate if the 
     debtor demonstrates that--
       ``(i) no prior determination to the contrary has been made 
     by a court or the Internal Revenue Service; and
       ``(ii)(I) the retirement fund is in substantial compliance 
     with the applicable requirements of the Internal Revenue Code 
     of 1986; or
       ``(II) the retirement fund fails to be in substantial 
     compliance with such applicable requirements, the debtor is 
     not materially responsible for that failure.
       ``(C) A direct transfer of retirement funds from 1 fund or 
     account that is exempt from taxation under section 401, 403, 
     408, 408A, 414, 457, or 501(a) of the Internal Revenue Code 
     of 1986, pursuant to section 401(a)(31) of the Internal 
     Revenue Code of 1986, or otherwise, shall not cease to 
     qualify for exemption under paragraph (3)(C) by reason of 
     that direct transfer.
       ``(D)(i) Any distribution that qualifies as an eligible 
     rollover distribution within the meaning of section 402(c) of 
     the Internal Revenue Code of 1986 or that is described in 
     clause (ii) shall not cease to qualify for exemption under 
     paragraph (3)(C) by reason of that distribution.
       ``(ii) A distribution described in this clause is an amount 
     that--
       ``(I) has been distributed from a fund or account that is 
     exempt from taxation under section 401, 403, 408, 408A, 414, 
     457, or 501(a) of the Internal Revenue Code of 1986; and
       ``(II) to the extent allowed by law, is deposited in such a 
     fund or account not later than 60 days after the distribution 
     of that amount.''; and
       (2) in subsection (d)--
       (A) in the matter preceding paragraph (1), by striking 
     ``subsection (b)(1)'' and inserting ``subsection (b)(2)''; 
     and
       (B) by adding at the end the following:
       ``(12) Retirement funds to the extent that those funds are 
     in a fund or account that is exempt from taxation under 
     section 401, 403, 408, 408A, 414, 457, or 501(a) of the 
     Internal Revenue Code of 1986.''.
       (b) Automatic Stay.--Section 362(b) of title 11, United 
     States Code, is amended--
       (1) in paragraph (17), by striking ``or'' at the end;
       (2) in paragraph (18), by striking the period and inserting 
     ``; or'';
       (3) by inserting after paragraph (18) the following:
       ``(19) under subsection (a), of withholding of income from 
     a debtor's wages and collection of amounts withheld, pursuant 
     to the debtor's agreement authorizing that withholding and 
     collection for the benefit of a pension, profit-sharing, 
     stock bonus, or other plan established under section 401, 
     403, 408, 408A, 414, 457, or 501(a) of the Internal Revenue 
     Code of 1986 that is sponsored by the employer of the debtor, 
     or an affiliate, successor, or predecessor of such employer--

[[Page 3542]]

       ``(A) to the extent that the amounts withheld and collected 
     are used solely for payments relating to a loan from a plan 
     that satisfies the requirements of section 408(b)(1) of the 
     Employee Retirement Income Security Act of 1974 (29 U.S.C. 
     1108(b)(1)); or
       ``(B) in the case of a loan from a thrift savings plan 
     described in subchapter III of title 5, that satisfies the 
     requirements of section 8433(g) of that title.''; and
       (4) by adding at the end of the flush material following 
     paragraph (19) the following: ``Paragraph (19) does not apply 
     to any amount owed to a plan referred to in that paragraph 
     that is incurred under a loan made during the 1-year period 
     preceding the filing of a petition. Nothing in paragraph (19) 
     may be construed to provide that any loan made under a 
     governmental plan under section 414(d) of the Internal 
     Revenue Code of 1986 constitutes a claim or a debt under this 
     title.''.
       (c) Exceptions To Discharge.--Section 523(a) of title 11, 
     United States Code, as amended by section 202, is amended--
       (1) by striking ``or'' at the end of paragraph (17);
       (2) by striking the period at the end of paragraph (18) and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(19) owed to a pension, profit-sharing, stock bonus, or 
     other plan established under section 401, 403, 408, 408A, 
     414, 457, or 501(c) of the Internal Revenue Code of 1986, 
     pursuant to--
       ``(A) a loan permitted under section 408(b)(1) of the 
     Employee Retirement Income Security Act of 1974 (29 U.S.C. 
     1108(b)(1)); or
       ``(B) a loan from the thrift savings plan described in 
     subchapter III of title 5, that satisfies the requirements of 
     section 8433(g) of that title.

     Paragraph (19) does not apply to any amount owed to a plan 
     referred to in that paragraph that is incurred under a loan 
     made during the 1-year period preceding the filing of a 
     petition. Nothing in paragraph (19) may be construed to 
     provide that any loan made under a governmental plan under 
     section 414(d) of the Internal Revenue Code of 1986 
     constitutes a claim or a debt under this title.''.
       (d) Plan Contents.--Section 1322 of title 11, United States 
     Code, is amended by adding at the end the following:
       ``(f) A plan may not materially alter the terms of a loan 
     described in section 362(b)(19).''.

     SEC. 331. ADDITIONAL AMENDMENTS TO TITLE 11, UNITED STATES 
                   CODE.

       (a) Section 507(a) of title 11, United States Code, is 
     amended by inserting after paragraph (9) the following:
       ``(10) Tenth, allowed claims for death or personal injuries 
     resulting from the operation of a motor vehicle or vessel if 
     such operation was unlawful because the debtor was 
     intoxicated from using alcohol, a drug or another 
     substance.''.
       (b) Section 523(a)(9) of title 11, United States Code, is 
     amended by inserting ``or vessel'' after ``vehicle''.

     SEC. 332. DEBT LIMIT INCREASE.

       Section 104(b) of title 11, United States Code, is amended 
     by adding at the end the following:
       ``(4) The dollar amount in section 101(18) shall be 
     adjusted at the same times and in the same manner as the 
     dollar amounts in paragraph (1) of this subsection, beginning 
     with the adjustment to be made on April 1, 2001.''.

     SEC. 333. ELIMINATION OF REQUIREMENT THAT FAMILY FARMER AND 
                   SPOUSE RECEIVE OVER 50 PERCENT OF INCOME FROM 
                   FARMING OPERATION IN YEAR PRIOR TO BANKRUPTCY.

       Section 101(18)(A) of title 11, United States Code, is 
     amended by striking ``the taxable year preceding the taxable 
     year'' and inserting ``at least one of the three calendar 
     years preceding the year''.

     SEC. 334. PROHIBITION OF RETROACTIVE ASSESSMENT OF DISPOSABLE 
                   INCOME.

       (a) Section 1225(b) of title 11, United States Code, is 
     amended by adding at the end the following:
       ``(3) If the plan provides for specific amounts of property 
     to be distributed on account of allowed unsecured claims as 
     required by paragraph (1)(B) of this subsection, those 
     amounts equal or exceed the debtor's projected disposable 
     income for that period, and the plan meets the requirements 
     for confirmation other than those of this subsection, the 
     plan shall be confirmed.
       (b) Section 1229 of title 11, United States Code, is 
     amended by adding at the end the following:
       ``(d)(1) A modification of the plan under this section may 
     not increase the amount of payments that were due prior to 
     the date of the order modifying the plan.
       ``(2) A modification of the plan under this section to 
     increase payments based on an increase in the debtor's 
     disposable income may not require payments to unsecured 
     creditors in any particular month greater than the debtor's 
     disposable income for that month unless the debtor proposes 
     such a modification.
       ``(3) A modification of the plan in the last year of the 
     plan shall not require payments that would leave the debtor 
     with insufficient funds to carry on the farming operation 
     after the plan is completed unless the debtor proposes such a 
     modification.''.

     SEC. 335. AMENDMENT TO SECTION 1325 OF TITLE 11, UNITED 
                   STATES CODE.

       Section 1325(b)(2) of title 11, United States Code, is 
     amended by inserting after ``received by the debtor'', 
     ``(other than child support payments, foster care payments, 
     or disability payments for a dependent child made in 
     accordance with applicable nonbankruptcy law and which is 
     reasonably necessary to be expended)''.

     SEC. 336. PROTECTION OF SAVINGS EARMARKED FOR THE 
                   POSTSECONDARY EDUCATION OF CHILDREN

       Section 541(b) of title 11, United States Code, as amended 
     by section 404 of this Act, is amended--
       (1) in paragraph (6), by striking the period at the end and 
     inserting a semicolon; and
       (2) by inserting after paragraph (6) the following:
       ``(7) except as otherwise provided under applicable State 
     law, any funds placed in a qualified State tuition program 
     (as described in section 529(b) of the Internal Revenue Code 
     of 1986) at least 180 days before the date of entry of the 
     order for relief; or
       ``(8) any funds placed in an education individual 
     retirement account (as defined in section 530(b)(1) of the 
     Internal Revenue Code of 1986) at least 180 days before the 
     date of entry of the order for relief.''.

                    TITLE IV--FINANCIAL INSTRUMENTS

     SEC. 401. BANKRUPTCY CODE AMENDMENTS.

       (a) Definitions of Swap Agreement, Securities Contract, 
     Forward Contract, Commodity Contract, and Repurchase 
     Agreement.--Title 11, United States Code, is amended--
       (1) in section 101--
       (A) in paragraph (25)--
       (i) by striking ``means a contract'' and inserting 
     ``means--
       ``(A) a contract'';
       (ii) by striking ``, or any combination thereof or option 
     thereon;'' and inserting ``, or any other similar 
     agreement;''; and
       (iii) by adding at the end the following new subparagraphs:
       ``(B) any combination of agreements or transactions 
     referred to in subparagraphs (A) and (C);
       ``(C) any option to enter into any agreement or transaction 
     referred to in subparagraph (A) or (B);
       ``(D) a master agreement that provides for an agreement or 
     transaction referred to in subparagraph (A), (B) or (C), 
     together with all supplements to any such master agreement, 
     without regard to whether the master agreement provides for 
     an agreement or transaction that is not a forward contract 
     under this paragraph, except that the master agreement shall 
     be considered to be a forward contract under this paragraph 
     only with respect to each agreement or transaction under the 
     master agreement that is referred to in subparagraph (A), (B) 
     or (C); or
       ``(E) a security agreement or arrangement or other credit 
     enhancement related to any agreement or transaction referred 
     to in subparagraph (A), (B), (C) or (D);'';
       (B) by amending paragraph (47) to read as follows:
       ``(47) the term `repurchase agreement' (which definition 
     also applies to a reverse repurchase agreement)--
       ``(A) means--
       ``(i) an agreement, including related terms, which provides 
     for the transfer of 1 or more certificates of deposit, 
     mortgage-related securities (as such term is defined in the 
     Securities Exchange Act of 1934), mortgage loans, interests 
     in mortgage-related securities or mortgage loans, eligible 
     bankers' acceptances, qualified foreign government securities 
     or securities that are direct obligations of, or that are 
     fully guaranteed as to principal and interest by, the United 
     States or any agency of the United States against the 
     transfer of funds by the transferee of such certificates of 
     deposit, eligible bankers' acceptances, securities, loans or 
     interests with a simultaneous agreement by such transferee to 
     transfer to the transferor thereof certificates of deposit, 
     eligible bankers' acceptances, securities, loans, or 
     interests as described above, at a date certain not later 
     than 1 year after such transfers or on demand, against the 
     transfer of funds; or any other similar agreement; and
       ``(ii) any combination of agreements or transactions 
     referred to in clauses (i) and (iii);
       ``(iii) any option to enter into any agreement or 
     transaction referred to in clause (i) or (ii);
       ``(iv) a master agreement that provides for an agreement or 
     transaction referred to in clauses (i), (ii) or (iii), 
     together with all supplements, without regard to whether the 
     master agreement provides for an agreement or transaction 
     that is not a repurchase agreement under this subparagraph, 
     except that the master agreement shall be considered to be a 
     repurchase agreement under this subparagraph only with 
     respect to each agreement or transaction under the master 
     agreement that is referred to in clause (i), (ii) or (iii); 
     or
       ``(v) a security agreement or arrangement or other credit 
     enhancement related to any agreement or transaction referred 
     to in clauses (i), (ii), (iii) or (iv); and

[[Page 3543]]

       ``(B) does not include any repurchase obligation under a 
     participation in a commercial mortgage loan,

     and, for purposes of this paragraph, the term `qualified 
     foreign government security' means a security that is a 
     direct obligation of, or that is fully guaranteed by, the 
     central government of a member of the Organization for 
     Economic Cooperation and Development.''; and
       (C) by amending paragraph (53B) to read as follows:
       ``(53B) the term `swap agreement'--
       ``(A) means--
       ``(i) any agreement, including the terms and conditions 
     incorporated by reference in any such agreement, which is an 
     interest rate swap, option, future, or forward agreement, 
     including a rate floor, rate cap, rate collar, cross-currency 
     rate swap, and basis swap; a spot, same day-tomorrow, 
     tomorrow-next, forward, or other foreign exchange or precious 
     metals agreement; a currency swap, option, future, or forward 
     agreement; an equity index or equity swap, option, future, or 
     forward agreement; a debt index or debt swap, option, future, 
     or forward agreement; a credit spread or credit swap, option, 
     future, or forward agreement; a commodity index or commodity 
     swap, option, future, or forward agreement;
       ``(ii) any agreement similar to any other agreement or 
     transaction referred to in this subparagraph that--

       ``(I) is presently, or in the future becomes, regularly 
     entered into in the swap agreement market (including terms 
     and conditions incorporated by reference therein); and
       ``(II) is a forward, swap, future, or option on 1 or more 
     rates, currencies, commodities, equity securities or other 
     equity instruments, debt securities or other debt 
     instruments, or economic indices or measures of economic risk 
     or value;

       ``(iii) any combination of agreements or transactions 
     referred to in this subparagraph;
       ``(iv) any option to enter into any agreement or 
     transaction referred to in this subparagraph;
       ``(v) a master agreement that provides for an agreement or 
     transaction referred to in clause (i), (ii), (iii), or (iv), 
     together with all supplements to any such master agreement, 
     without regard to whether the master agreement contains an 
     agreement or transaction that is described in any of such 
     clause, except that the master agreement shall be considered 
     to be a swap agreement only with respect to each agreement or 
     transaction under the master agreement that is referred to in 
     clause (i), (ii), (iii), or (iv); or
       ``(C) is applicable for purposes of this title only and 
     shall not be construed or applied to challenge or affect the 
     characterization, definition, or treatment of any swap 
     agreement or any instrument defined as a swap agreement 
     herein, under any other statute, regulation, or rule, 
     including the Securities Act of 1933, the Securities Exchange 
     Act of 1934, the Public Utility Holding Company Act of 1935, 
     the Trust Indenture Act of 1939, the Investment Company Act 
     of 1940, the Investment Advisers Act of 1940, the Securities 
     Investor Protection Act of 1970, the Commodity Exchange Act, 
     and the regulations prescribed by the Securities and Exchange 
     Commission or the Commodity Futures Trading Commission.'';
       (2) by amending section 741(7) to read as follows:
       ``(7) the term `securities contract'--
       ``(A) means--
       ``(i) a contract for the purchase, sale, or loan of a 
     security, a certificate of deposit, a mortgage loan or any 
     interest in a mortgage loan, or a group or index of 
     securities, certificates of deposit, or mortgage loans or 
     interests therein (including any interest therein or based on 
     the value thereof) or option on any of the foregoing, 
     including any option to purchase or sell any such security, 
     certificate of deposit, loan, interest, group or index or 
     option;
       ``(ii) any option entered into on a national securities 
     exchange relating to foreign currencies;
       ``(iii) the guarantee by or to any securities clearing 
     agency of any settlement of cash, securities, certificates of 
     deposit, mortgage loans or interest therein, or group or 
     index of securities, certificates of deposit, or mortgage 
     loans or interests therein (including any interest therein or 
     based on the value thereof) or option on any of the 
     foregoing, including any option to purchase or sell any such 
     security, certificate of deposit, loan, interest, group or 
     index or option;
       ``(iv) any margin loan;
       ``(v) any other agreement or transaction that is similar to 
     any agreement or transaction referred to in this 
     subparagraph;
       ``(vi) any combination of the agreements or transactions 
     referred to in this subparagraph;
       ``(vii) any option to enter into any agreement or 
     transaction referred to in this subparagraph;
       ``(viii) a master agreement that provides for an agreement 
     or transaction referred to in clause (i), (ii), (iii), (iv), 
     (v), (vi), or (vii), together with all supplements to any 
     such master agreement, without regard to whether the master 
     agreement provides for an agreement or transaction that is 
     not a securities contract under this subparagraph, except 
     that the master agreement shall be considered to be a 
     securities contract under this subparagraph only with respect 
     to each agreement or transaction under the master agreement 
     that is referred to in clause (i), (ii), (iii), (iv), (v), 
     (vi), or (vii); and
       ``(ix) any security agreement or arrangement or other 
     credit enhancement related to any agreement or transaction 
     referred to in this subparagraph; and
       ``(B) does not include any purchase, sale, or repurchase 
     obligation under a participation in or servicing agreement 
     for a commercial mortgage loan.''; and
       (3) in section 761(4)--
       (A) by striking ``or'' at the end of subparagraph (D); and
       (B) by adding at the end the following new subparagraphs:
       ``(F) any other agreement or transaction that is similar to 
     any agreement or transaction referred to in this paragraph;
       ``(G) any combination of the agreements or transactions 
     referred to in this paragraph;
       ``(H) any option to enter into any agreement or transaction 
     referred to in this paragraph;
       ``(I) a master agreement that provides for an agreement or 
     transaction referred to in subparagraph (A), (B), (C), (D), 
     (E), (F), (G) or (H), together with all supplements to any 
     such master agreement, without regard to whether the master 
     agreement provides for an agreement or transaction that is 
     not a commodity contract under this paragraph, except that 
     the master agreement shall be considered to be a commodity 
     contract under this paragraph only with respect to each 
     agreement or transaction under the master agreement that is 
     referred to in subparagraph (A), (B), (C), (D), (E), (F), (G) 
     or (H); or
       ``(J) a security agreement or arrangement or other credit 
     enhancement related to any agreement or transaction referred 
     to in this paragraph;''.
       (b) Definitions of Financial Institution, Financial 
     Participant, and Forward Contract Merchant.--Section 101 of 
     title 11, United States Code, is amended--
       (1) by amending paragraph (22) to read as follows:
       ``(22) the term `financial institution' means a Federal 
     reserve bank, or a person that is a commercial or savings 
     bank, industrial savings bank, savings and loan association, 
     trust company, or receiver or conservator for such person 
     and, when any such Federal reserve bank, receiver, or 
     conservator or person acting as agent or custodian for a 
     customer in connection with a securities contract, as defined 
     in section 741(7) of this title, such customer;'';
       (2) by inserting after paragraph (22) the following new 
     paragraph:
       ``(22A) the term `financial participant' means any entity 
     that, at the time it enters into a securities contract, 
     commodity contract or forward contract, or at the time of the 
     filing of the petition, has 1 or more agreements or 
     transactions that is described in section 561(a)(2) with the 
     debtor or any other entity (other than an affiliate) of a 
     total gross dollar value of at least $1,000,000,000 in 
     notional or actual principal amount outstanding on any day 
     during the previous 15-month period, or has gross mark-to-
     market positions of at least $100,000,000 (aggregated across 
     counterparties) in 1 or more such agreements or transactions 
     with the debtor or any other entity (other than an affiliate) 
     on any day during the previous 15-month period;''; and
       (3) by amending paragraph (26) to read as follows:
       ``(26) the term `forward contract merchant' means a Federal 
     reserve bank, or a person whose business consists in whole or 
     in part of entering into forward contracts as or with 
     merchants or in a commodity, as defined or in section 761(8) 
     of this title, or any similar good, article, service, right, 
     or interest which is presently or in the future becomes the 
     subject of dealing or in the forward contract trade;''.
       (c) Definition of Master Netting Agreement and Master 
     Netting Agreement Participant.--Section 101 of title 11, 
     United States Code, is amended by inserting after paragraph 
     (38) the following new paragraphs:
       ``(38A) the term `master netting agreement' means an 
     agreement providing for the exercise of rights, including 
     rights of netting, setoff, liquidation, termination, 
     acceleration, or closeout, under or in connection with 1 or 
     more contracts that are described in any 1 or more of 
     paragraphs (1) through (5) of section 561(a), or any security 
     agreement or arrangement or other credit enhancement related 
     to 1 or more of the foregoing. If a master netting agreement 
     contains provisions relating to agreements or transactions 
     that are not contracts described in paragraphs (1) through 
     (5) of section 561(a), the master netting agreement shall be 
     deemed to be a master netting agreement only with respect to 
     those agreements or transactions that are described in any 1 
     or more of the paragraphs (1) through (5) of section 561(a);
       ``(38B) the term `master netting agreement participant' 
     means an entity that, at any time before the filing of the 
     petition, is a party to an outstanding master netting 
     agreement with the debtor;''.
       (d) Swap Agreements, Securities Contracts, Commodity 
     Contracts, Forward

[[Page 3544]]

     Contracts, Repurchase Agreements, and Master Netting 
     Agreements Under the Automatic-Stay.--
       (1) In general.--Section 362(b) of title 11, United States 
     Code, is amended--
       (A) in paragraph (6), by inserting 
     ``, pledged to, and under the control of,'' after ``held 
     by'';
       (B) in paragraph (7), by inserting 
     ``, pledged to, and under the control of,'' after ``held 
     by'';
       (C) by amending paragraph (17) to read as follows:
       ``(17) under subsection (a), of the setoff by a swap 
     participant of any mutual debt and claim under or in 
     connection with 1 or more swap agreements that constitute the 
     setoff of a claim against the debtor for any payment due from 
     the debtor under or in connection with any swap agreement 
     against any payment due to the debtor from the swap 
     participant under or in connection with any swap agreement or 
     against cash, securities, or other property of the debtor 
     held by, pledged to, and under the control of, or due from 
     such swap participant to guarantee, secure, or settle any 
     swap agreement;'';
       (D) in paragraph (20), by striking ``or'' at the end;
       (E) in paragraph (21), by striking the period and inserting 
     ``; or''; and
       (F) by inserting after paragraph (18) the following new 
     paragraph:
       ``(22) under subsection (a), of the setoff by a master 
     netting agreement participant of a mutual debt and claim 
     under or in connection with 1 or more master netting 
     agreements to the extent such participant could offset the 
     claim under paragraph (6), (7), or (17) for each individual 
     contract covered by the master netting agreement in issue.''.
       (2) Limitation.--Section 362 of title 11, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(i) Limitation.--The exercise of rights not subject to 
     the stay arising under subsection (a) pursuant to paragraph 
     (6), (7), (17), or (22) of subsection (b) shall not be stayed 
     by any order of a court or administrative agency in any 
     proceeding under this title.''.
       (e) Limitation of Avoidance Powers Under Master Netting 
     Agreement.--Section 546 of title 11, United States Code, is 
     amended--
       (1) in subsection (g) (as added by section 103 of Public 
     Law 101-311)--
       (A) by striking ``under a swap agreement'';
       (B) by striking ``in connection with a swap agreement'' and 
     inserting ``under or in connection with any swap agreement'';
       (2) by redesignating subsection (g) (as added by section 
     222(a) of Public Law 103-394) as subsection (i); and
       (3) by inserting before subsection (i) (as redesignated) 
     the following new subsection:
       ``(h) Notwithstanding sections 544, 545, 547, 548(a)(2), 
     and 548(b) of this title, to the extent that under subsection 
     (e), (f), or (g), the trustee may not avoid a transfer made 
     by or to a master netting agreement participant under or in 
     connection with each individual contract covered by any 
     master netting agreement that is made before the commencement 
     of the case, the trustee may not avoid a transfer made by or 
     to such master netting agreement participant under or in 
     connection with the master netting agreement in issue, except 
     under section 548(a)(1) of this title.''.
       (f) Fraudulent Transfers of Master Netting Agreements.--
     Section 548(d)(2) of title 11, United States Code, is 
     amended--
       (1) in subparagraph (C), by striking ``and'';
       (2) in subparagraph (D), by striking the period and 
     inserting ``; and''; and
       (3) by adding at the end the following new subparagraph:
       ``(E) a master netting agreement participant that receives 
     a transfer in connection with a master netting agreement 
     takes for value to the extent of such transfer, but only to 
     the extent that such participant would take for value under 
     paragraph (B), (C), or (D) for each individual contract 
     covered by the master netting agreement in issue.''.
       (g) Termination or Acceleration of Securities Contracts.--
     Section 555 of title 11, United States Code, is amended--
       (1) by amending the section heading to read ``Contractual 
     right to liquidate, terminate, or accelerate a securities 
     contract''; and
       (2) in the first sentence, by striking ``liquidation'' and 
     inserting ``liquidation, termination, or acceleration''.
       (h) Termination or Acceleration of Commodities or Forward 
     Contracts.--Section 556 of title 11, United States Code, is 
     amended--
       (1) by amending the section heading to read ``Contractual 
     right to liquidate, terminate, or accelerate a commodities 
     contract or forward contract''; and
       (2) in the first sentence, by striking ``liquidation'' and 
     inserting ``liquidation, termination, or acceleration''.
       (i) Termination or Acceleration of Repurchase Agreements.--
     Section 559 of title 11, United States Code, is amended--
       (1) by amending the section heading to read ``Contractual 
     right to liquidate, terminate, or accelerate a repurchase 
     agreement''; and
       (2) in the first sentence, by striking ``liquidation'' and 
     inserting ``liquidation, termination, or acceleration''.
       (j) Liquidation, Termination, or Acceleration of Swap 
     Agreements.--Section 560 of title 11, United States Code, is 
     amended--
       (1) by amending the section heading to read ``Contractual 
     right to liquidate, terminate, or accelerate a swap 
     agreement''; and
       (2) in the first sentence, by striking ``termination of a 
     swap agreement'' and inserting ``liquidation, termination, or 
     acceleration of 1 or more swap agreements''; and
       (3) by striking ``in connection with any swap agreement'' 
     and inserting ``in connection with the termination, 
     liquidation, or acceleration of 1 or more swap agreements''.
       (k) Liquidation, Termination, Acceleration, or Offset Under 
     a Master Netting Agreement and Across Contracts.--Title 11, 
     United States Code, is amended by inserting after section 560 
     the following new section:

     ``Sec. 561. Contractual right to terminate, liquidate, 
       accelerate, or offset under a master netting agreement and 
       across contracts

       ``(a) In General.--Subject to subsection (b), the exercise 
     of any contractual right, because of a condition of the kind 
     specified in section 365(e)(1), to cause the termination, 
     liquidation, or acceleration of or to offset, or net 
     termination values, payment amounts or other transfer 
     obligations arising under or in connection with the 
     termination, liquidation, or acceleration of 1 or more--
       ``(1) securities contracts, as defined in section 741(7);
       ``(2) commodity contracts, as defined in section 761(4);
       ``(3) forward contracts;
       ``(4) repurchase agreements;
       ``(5) swap agreements; or
       ``(6) master netting agreements,
     shall not be stayed, avoided, or otherwise limited by 
     operation of any provision of this title or by any order of a 
     court or administrative agency in any proceeding under this 
     title.
       ``(b) Exception.--
       ``(1) A party may exercise a contractual right described in 
     subsection (a) to terminate, liquidate, or accelerate only to 
     the extent that such party could exercise such a right under 
     section 555, 556, 559, or 560 for each individual contract 
     covered by the master netting agreement in issue.
       ``(2)(A) A party may not exercise a contractual right 
     described in subsection (a) to offset or to net obligations 
     arising under, or in connection with, a commodity contract 
     against obligations arising under, or in connection with, any 
     instrument listed in subsection (a) if the obligations are 
     not mutual.
       ``(B) If a debtor is a commodity broker subject to 
     subchapter IV of chapter 7 of this title, a party may not net 
     or offset an obligation to the debtor arising under, or in 
     connection with, a commodity contract against any claim 
     arising under, or in connection with, other instruments 
     listed in subsection (a) if the party has no positive net 
     equity in the commodity account at the debtor, as calculated 
     under subchapter IV.
       ``(c) Definition.--As used in this section, the term 
     `contractual right' includes a right set forth in a rule or 
     bylaw of a national securities exchange, a national 
     securities association, or a securities clearing agency, a 
     right set forth in a bylaw of a clearing organization or 
     contract market or in a resolution of the governing board 
     thereof, and a right whether or not evidenced in writing 
     arising under common law, under law merchant, or by reason of 
     normal business practice.''.
       (l) Municipal Bankruptcies.--Section 901 of title 11, 
     United States Code, is amended--
       (1) by inserting ``, 555, 556'' after ``553''; and
       (2) by inserting ``, 559, 560, 561, 562'' after ``557''.
       (m) Ancillary Proceedings.--Section 304 of title 11, United 
     States Code, is amended by adding at the end the following 
     new subsection:
       ``(d) Any provisions of this title relating to securities 
     contracts, commodity contracts, forward contracts, repurchase 
     agreements, swap agreements, or master netting agreements 
     shall apply in a case ancillary to a foreign proceeding under 
     this section or any other section of this title so that 
     enforcement of contractual provisions of such contracts and 
     agreements in accordance with their terms will not be stayed 
     or otherwise limited by operation of any provision of this 
     title or by order of a court in any proceeding under this 
     title, and to limit avoidance powers to the same extent as in 
     a proceeding under chapter 7 or 11 of this title (such 
     enforcement not to be limited based on the presence or 
     absence of assets of the debtor in the United States).''.
       (n) Commodity Broker Liquidations.--Title 11, United States 
     Code, is amended by inserting after section 766 the following 
     new section:

     ``Sec. 767. Commodity broker liquidation and forward contract 
       merchants, commodity brokers, stockbrokers, financial 
       institutions, securities clearing agencies, swap 
       participants, repo participants, and master netting 
       agreement participants

       ``Notwithstanding any other provision of this title, the 
     exercise of rights by a forward contract merchant, commodity 
     broker, stockbroker, financial institution, securities 
     clearing agency, swap participant, repo participant, or 
     master netting agreement participant under this title shall 
     not affect the priority of any unsecured claim it may have 
     after the exercise of such rights or affect the provisions of 
     this subchapter IV regarding customer property or 
     distributions.''.

[[Page 3545]]

       (o) Stockbroker Liquidations.--Title 11, United States 
     Code, is amended by inserting after section 752 the following 
     new section:

     ``Sec. 753. Stockbroker liquidation and forward contract 
       merchants, commodity brokers, stockbrokers, financial 
       institutions, securities clearing agencies, swap 
       participants, repo participants, and master netting 
       agreement participants

       ``Notwithstanding any other provision of this title, the 
     exercise of rights by a forward contract merchant, commodity 
     broker, stockbroker, financial institution, securities 
     clearing agency, swap participant, repo participant, or 
     master netting agreement participant under this title shall 
     not affect the priority of any unsecured claim it may have 
     after the exercise of rights or affect the provisions of this 
     subchapter regarding customer property or distributions.''.
       (p) Setoff.--Section 553 of title 11, United States Code, 
     is amended--
       (1) in subsection (a)(3)(C), by inserting ``(except for a 
     setoff of a kind described in section 362(b)(6), 362(b)(7), 
     362(b)(17), 555, 556, 559, 560, or 561 of this title)'' 
     before the period; and
       (2) in subsection (b)(1), by striking ``362(b)(14),'' and 
     inserting ``362(b)(17), 555, 556, 559, 560, 561''.
       (q) Securities Contracts, Commodity Contracts, and Forward 
     Contracts.--Title 11, United States Code, is amended--
       (1) in section 362(b)(6), by striking ``financial 
     institutions,'' each place such term appears and inserting 
     ``financial institution, financial participant'';
       (2) in section 546(e), by inserting ``financial 
     participant'' after ``financial institution,'';
       (3) in section 548(d)(2)(B), by inserting ``financial 
     participant'' after ``financial institution,'';
       (4) in section 555--
       (A) by inserting ``financial participant'' after 
     ``financial institution,''; and
       (B) by inserting before the period ``, a right set forth in 
     a bylaw of a clearing organization or contract market or in a 
     resolution of the governing board thereof, and a right, 
     whether or not in writing, arising under common law, under 
     law merchant, or by reason of normal business practice''; and
       (5) in section 556, by inserting ``, financial 
     participant'' after ``commodity broker''.
       (r) Technical and Conforming Amendment.--Section 104 of 
     title 11, United States Code, is amended by adding at the end 
     the following new subsection:
       ``(c) Exception For Certain Defined Terms.--No adjustments 
     shall be made under this section to the dollar amounts set 
     forth in the definition of the term `financial participant' 
     in section 101(22A).''.

     SEC. 402. RECORDKEEPING REQUIREMENTS.

       Section 11(e)(8) of the Federal Deposit Insurance Act (12 
     U.S.C. 1821(e)(8)) is amended by adding at the end the 
     following new subparagraph:

     SEC. 403. DAMAGE MEASURE.

       (a) Title 11, United States Code, is amended by inserting 
     after section 561 (as added by section 7(k)) the following 
     new section:

     ``Sec. 561. Damage measure in connection with swap 
       agreements, securities contracts, forward contracts, 
       commodity contracts, repurchase agreements, or master 
       netting agreements

       ``If the trustee rejects a swap agreement, securities 
     contract as defined in section 741 of this title, forward 
     contract, repurchase agreement, or master netting agreement 
     pursuant to section 365(a) of this title, or if a forward 
     contract merchant, stockbroker, financial institution, 
     securities clearing agency, repo participant, master netting 
     agreement participant, or swap participant liquidates, 
     terminates, or accelerates any such contract or agreement, 
     damages shall be measured as of the earlier of--
       ``(1) the date of such rejection; or
       ``(2) the date of such liquidation, termination, or 
     acceleration.''.
       (b) Claims Arising From Rejection.--Section 502(g) of title 
     11, United States Code, is amended--
       (1) by designating the existing text as paragraph (1); and
       (2) by adding at the end the following new paragraph:
       ``(2) A claim for damages calculated in accordance with 
     section 562 of this title shall be allowed under subsection 
     (a), (b), or (c) of this section or disallowed under 
     subsection (d) or (e) of this section as if such claim had 
     arisen before the date of the filing of the petition.''.

     SEC. 404. ASSET-BACKED SECURITIZATIONS.

       Section 541 of title 11, United States Code, is amended--
       (1) in subsection (b), by striking ``or'' at the end of 
     paragraph (4);
       (2) by redesignating paragraph (5) of subsection (b) as 
     paragraph (6);
       (3) by inserting after paragraph (4) of subsection (b) the 
     following new paragraph:
       ``(5) any eligible asset (or proceeds thereof), to the 
     extent that such eligible asset was transferred by the 
     debtor, before the date of commencement of the case, to an 
     eligible entity in connection with an asset-backed 
     securitization, except to the extent such asset (or proceeds 
     or value thereof) may be recovered by the trustee under 
     section 550 by virtue of avoidance under section 548(a); 
     or''; and
       (4) by adding at the end the following new subsection:
       ``(e) Definitions.--For purposes of this section, the 
     following definitions shall apply:
       ``(1) Asset-backed securitization.--The term `asset-backed 
     securitization' means a transaction in which eligible assets 
     transferred to an eligible entity are used as the source of 
     payment on securities, the most senior of which are rated 
     investment grade by 1 or more nationally recognized 
     securities rating organizations, issued by an issuer;
       ``(2) Eligible asset.--The term `eligible asset' means--
       ``(A) financial assets (including interests therein and 
     proceeds thereof), either fixed or revolving, including 
     residential and commercial mortgage loans, consumer 
     receivables, trade receivables, and lease receivables, that, 
     by their terms, convert into cash within a finite time 
     period, plus any rights or other assets designed to assure 
     the servicing or timely distribution of proceeds to security 
     holders;
       ``(B) cash; and
       ``(C) securities.
       ``(3) Eligible entity.--The term `eligible entity' means--
       ``(A) an issuer; or
       ``(B) a trust, corporation, partnership, or other entity 
     engaged exclusively in the business of acquiring and 
     transferring eligible assets directly or indirectly to an 
     issuer and taking actions ancillary thereto;
       ``(4) Issuer.--The term `issuer' means a trust, 
     corporation, partnership, or other entity engaged exclusively 
     in the business of acquiring and holding eligible assets, 
     issuing securities backed by eligible assets, and taking 
     actions ancillary thereto.
       ``(5) Transferred.--The term `transferred' means the 
     debtor, pursuant to a written agreement, represented and 
     warranted that eligible assets were sold, contributed, or 
     otherwise conveyed with the intention of removing them from 
     the estate of the debtor pursuant to subsection (b)(5), 
     irrespective, without limitation of--
       ``(A) whether the debtor directly or indirectly obtained or 
     held an interest in the issuer or in any securities issued by 
     the issuer;
       ``(B) whether the debtor had an obligation to repurchase or 
     to service or supervise the servicing of all or any portion 
     of such eligible assets; or
       ``(C) the characterization of such sale, contribution, or 
     other conveyance for tax, accounting, regulatory reporting, 
     or other purposes.''.

     SEC. 405. PROHIBITION ON CERTAIN ACTIONS FOR FAILURE TO INCUR 
                   FINANCE CHARGES.

       Section 106 of the Truth in Lending Act (15 U.S.C. 1605) is 
     amended by adding at the end the following:
       ``(g) Prohibition on Certain Actions for Failure To Incur 
     Finance Charges.--A creditor may not, solely because a 
     consumer has not incurred finance charges in connection with 
     an extension of credit--
       ``(1) refuse to renew or continue to offer the extension of 
     credit to that consumer; or
       ``(2) charge a fee to that consumer in lieu of a finance 
     charge.''.

     SEC. 406. FEES ARISING FROM CERTAIN OWNERSHIP INTERESTS.

       Section 523(a)(16) of title 11, United States Code, is 
     amended--
       (1) by striking ``dwelling'' the first place it appears;
       (2) by striking ``ownership or'' and inserting 
     ``ownership,'';
       (3) by striking ``housing'' the first place it appears; and
       (4) by striking ``but only'' and all that follows through 
     ``such period,'', and inserting ``or a lot in a homeowners 
     association, for as long as the debtor or the trustee has a 
     legal, equitable, or possessory ownership interest in such 
     unit, such corporation, or such lot,''.

     SEC. 407. BANKRUPTCY FEES.

       Section 1930 of title 28, United States Code, is amended--
       (1) in subsection (a), by striking ``Notwithstanding 
     section 1915 of this title, the parties'' and inserting 
     ``Subject to subsection (f), the parties''; and
       (2) by adding at the end the following:
       ``(f)(1) The Judicial Conference of the United States shall 
     prescribe procedures for waiving fees under this subsection.
       ``(2) Under the procedures described in paragraph (1), the 
     district court or the bankruptcy court may waive a filing fee 
     described in paragraph (3) for a case commenced under chapter 
     7 of title 11 if the court determines that an individual 
     debtor is unable to pay that fee in installments.
       ``(3) A filing fee referred to in paragraph (2) is--
       ``(A) a filing fee under subsection (a)(1); or
       ``(B) any other fee prescribed by the Judicial Conference 
     of the United States under subsection (b) that is payable to 
     the clerk of the district court or the clerk of the 
     bankruptcy court upon the commencement of a case under 
     chapter 7 of title 11.
       ``(4) In addition to waiving a fee described in paragraph 
     (3) under paragraph (2), the district court or the bankruptcy 
     court may waive any other fee prescribed under subsection (b) 
     or (c) if the court determines that the individual is unable 
     to pay that fee in installments.''.

[[Page 3546]]



     SEC. 408. APPLICABILITY.

       The amendments made by this title shall apply with respect 
     to cases commenced or appointments made under any Federal or 
     State law after the date of enactment of this Act.

            TITLE V--ANCILLARY AND OTHER CROSS-BORDER CASES

     SEC. 501. AMENDMENT TO ADD A CHAPTER 6 TO TITLE 11, UNITED 
                   STATES CODE.

       (a) In General.--Title 11, United States Code, is amended 
     by inserting after chapter 5 the following:

          ``CHAPTER 6--ANCILLARY AND OTHER CROSS-BORDER CASES

     ``SEC.

``601. Purpose and scope of application.

                   ``SUBCHAPTER I--GENERAL PROVISIONS

``602. Definitions.
``603. International obligations of the United States.
``604. Commencement of ancillary case.
``605. Authorization to act in a foreign country.
``606. Public policy exception.
``607. Additional assistance.
``608. Interpretation.

``SUBCHAPTER II--ACCESS OF FOREIGN REPRESENTATIVES AND CREDITORS TO THE 
                                 COURT

``609. Right of direct access.
``610. Limited jurisdiction.
``611. Commencement of bankruptcy case under section 301 or 303.
``612. Participation of a foreign representative in a case under this 
              title.
``613. Access of foreign creditors to a case under this title.
``614. Notification to foreign creditors concerning a case under this 
              title.

    ``SUBCHAPTER III--RECOGNITION OF A FOREIGN PROCEEDING AND RELIEF

``615. Application for recognition of a foreign proceeding.
``616. Presumptions concerning recognition.
``617. Order recognizing a foreign proceeding.
``618. Subsequent information.
``619. Relief that may be granted upon petition for recognition of a 
              foreign proceeding.
``620. Effects of recognition of a foreign main proceeding.
``621. Relief that may be granted upon recognition of a foreign 
              proceeding.
``622. Protection of creditors and other interested persons.
``623. Actions to avoid acts detrimental to creditors.
``624. Intervention by a foreign representative.

     ``SUBCHAPTER IV--COOPERATION WITH FOREIGN COURTS AND FOREIGN 
                            REPRESENTATIVES

``625. Cooperation and direct communication between the court and 
              foreign courts or foreign representatives.
``626. Cooperation and direct communication between the trustee and 
              foreign courts or foreign representatives.
``627. Forms of cooperation.

                 ``SUBCHAPTER V--CONCURRENT PROCEEDINGS

``628. Commencement of a case under this title after recognition of a 
              foreign main proceeding.
``629. Coordination of a case under this title and a foreign 
              proceeding.
``630. Coordination of more than 1 foreign proceeding.
``631. Presumption of insolvency based on recognition of a foreign main 
              proceeding.
``632. Rule of payment in concurrent proceedings.

     ``Sec. 601. Purpose and scope of application

       ``(a) The purpose of this chapter is to incorporate the 
     Model Law on Cross-Border Insolvency so as to provide 
     effective mechanisms for dealing with cases of cross-border 
     insolvency with the objectives of--
       ``(1) cooperation between--
       ``(A) United States courts, United States Trustees, 
     trustees, examiners, debtors, and debtors in possession; and
       ``(B) the courts and other competent authorities of foreign 
     countries involved in cross-border insolvency cases;
       ``(2) greater legal certainty for trade and investment;
       ``(3) fair and efficient administration of cross-border 
     insolvencies that protects the interests of all creditors, 
     and other interested entities, including the debtor;
       ``(4) protection and maximization of the value of the 
     debtor's assets; and
       ``(5) facilitation of the rescue of financially troubled 
     businesses, thereby protecting investment and preserving 
     employment.
       ``(b) This chapter applies where--
       ``(1) assistance is sought in the United States by a 
     foreign court or a foreign representative in connection with 
     a foreign proceeding;
       ``(2) assistance is sought in a foreign country in 
     connection with a case under this title;
       ``(3) a foreign proceeding and a case under this title with 
     respect to the same debtor are taking place concurrently; or
       ``(4) creditors or other interested persons in a foreign 
     country have an interest in requesting the commencement of, 
     or participating in, a case or proceeding under this title.
       ``(c) This chapter does not apply to--
       ``(1) a proceeding concerning an entity identified by 
     exclusion in subsection 109(b); or
       ``(2) a natural person or a natural person and that 
     person's spouse who have debts within the limits specified in 
     under section 109(e) and who are citizens of the United 
     States or aliens lawfully admitted for permanent residence in 
     the United States.

                   ``SUBCHAPTER I--GENERAL PROVISIONS

     ``Sec. 602. Definitions

       ``For the purposes of this chapter, the term--
       ``(1) `debtor' means an entity that is the subject of a 
     foreign proceeding;
       ``(2) `establishment' means any place of operations where 
     the debtor carries out a nontransitory economic activity;
       ``(3) `foreign court' means a judicial or other authority 
     competent to control or supervise a foreign proceeding;
       ``(4) `foreign main proceeding' means a foreign proceeding 
     taking place in the country where the debtor has the center 
     of its main interests;
       ``(5) `foreign nonmain proceeding' means a foreign 
     proceeding, other than a foreign main proceeding, taking 
     place in a country where the debtor has an establishment;
       ``(6) `trustee' includes a trustee, a debtor in possession 
     in a case under any chapter of this title, or a debtor under 
     chapters 9 or 13 of this title; and
       ``(7) `within the territorial jurisdiction of the United 
     States' when used with reference to property of a debtor 
     refers to tangible property located within the territory of 
     the United States and intangible property deemed to be 
     located within that territory, including any property that 
     may properly be seized or garnished by an action in a Federal 
     or State court in the United States.

     ``Sec. 603. International obligations of the United States

       ``To the extent that this chapter conflicts with an 
     obligation of the United States arising out of any treaty or 
     other form of agreement to which it is a party with 1 or more 
     other countries, the requirements of the treaty or agreement 
     prevail.

     ``Sec. 604. Commencement of ancillary case

       ``A case under this chapter is commenced by the filing of a 
     petition for recognition of a foreign proceeding under 
     section 615.

     ``Sec. 605. Authorization to act in a foreign country

       ``A trustee or another entity designated by the court may 
     be authorized by the court to act in a foreign country on 
     behalf of an estate created under section 541. An entity 
     authorized to act under this section may act in any way 
     permitted by the applicable foreign law.

     ``Sec. 606. Public policy exception

       ``Nothing in this chapter prevents the court from refusing 
     to take an action governed by this chapter if the action 
     would be manifestly contrary to the public policy of the 
     United States.

     ``Sec. 607. Additional assistance

       ``(a) Nothing in this chapter limits the power of the 
     court, upon recognition of a foreign proceeding, to provide 
     additional assistance to a foreign representative under this 
     title or under other laws of the United States.
       ``(b) In determining whether to provide additional 
     assistance under this title or under other laws of the United 
     States, the court shall consider whether such additional 
     assistance, consistent with the principles of comity, will 
     reasonably assure--
       ``(1) just treatment of all holders of claims against or 
     interests in the debtor's property;
       ``(2) protection of claim holders in the United States 
     against prejudice and inconvenience in the processing of 
     claims in such foreign proceeding;
       ``(3) prevention of preferential or fraudulent dispositions 
     of property of the debtor;
       ``(4) distribution of proceeds of the debtor's property 
     substantially in accordance with the order prescribed by this 
     title; and
       ``(5) if appropriate, the provision of an opportunity for a 
     fresh start for the individual that such foreign proceeding 
     concerns.

     ``Sec. 608. Interpretation

       ``In interpreting this chapter, the court shall consider 
     its international origin, and the need to promote an 
     application of this chapter that is consistent with the 
     application of similar statutes adopted by foreign 
     jurisdictions.

``SUBCHAPTER II--ACCESS OF FOREIGN REPRESENTATIVES AND CREDITORS TO THE 
                                 COURT

     ``Sec. 609. Right of direct access

       ``(a) A foreign representative is entitled to commence a 
     case under section 604 by filing a petition for recognition 
     under section 615, and upon recognition, to apply directly to 
     other Federal and State courts for appropriate relief in 
     those courts.
       ``(b) Upon recognition, and subject to section 610, a 
     foreign representative has the capacity to sue and be sued.
       ``(c) Recognition under this chapter is prerequisite to the 
     granting of comity or cooperation to a foreign proceeding in 
     any

[[Page 3547]]

     State or Federal court in the United States. Any request for 
     comity or cooperation in any court shall be accompanied by a 
     sworn statement setting forth whether recognition under 
     section 615 has been sought and the status of any such 
     petition.
       ``(d) Upon denial of recognition under this chapter, the 
     court may issue appropriate orders necessary to prevent an 
     attempt to obtain comity or cooperation from courts in the 
     United States without such recognition.

     ``Sec. 610. Limited jurisdiction

       ``The sole fact that a foreign representative files a 
     petition under sections 604 and 615 does not subject the 
     foreign representative to the jurisdiction of any court in 
     the United States for any other purpose.

     ``Sec. 611. Commencement of bankruptcy case under section 301 
       or 303

       ``(a) Upon filing a petition for recognition, a foreign 
     representative may commence--
       ``(1) an involuntary case under section 303; or
       ``(2) a voluntary case under section 301 or 302, if the 
     foreign proceeding is a foreign main proceeding.
       ``(b) The petition commencing a case under subsection (a) 
     of this section must be accompanied by a statement describing 
     the petition for recognition and its current status. The 
     court where the petition for recognition has been filed must 
     be advised of the foreign representative's intent to commence 
     a case under subsection (a) of this section prior to such 
     commencement.
       ``(c) A case under subsection (a) shall be dismissed unless 
     recognition is granted.

     ``Sec. 612. Participation of a foreign representative in a 
       case under this title

       ``Upon recognition of a foreign proceeding, the foreign 
     representative in that proceeding is entitled to participate 
     as a party in interest in a case regarding the debtor under 
     this title.

     ``Sec. 613. Access of foreign creditors to a case under this 
       title

       ``(a) Foreign creditors have the same rights regarding the 
     commencement of, and participation in, a case under this 
     title as domestic creditors.
       ``(b)(1) Subsection (a) of this section does not change or 
     codify law in effect on the date of enactment of this chapter 
     as to the priority of claims under section 507 or 726, except 
     that the claim of a foreign creditor under those sections 
     shall not be given a lower priority than the class of general 
     unsecured claims without priority solely because the holder 
     of such claim is a foreign creditor.
       ``(2)(A) Subsection (a) of this section and paragraph (1) 
     of this subsection do not change or codify law in effect on 
     the date of enactment of this chapter as to the allowability 
     of foreign revenue claims or other foreign public law claims 
     in a proceeding under this title.
       ``(B) Allowance and priority as to a foreign tax claim or 
     other foreign public law claim shall be governed by any 
     applicable tax treaty of the United States, under the 
     conditions and circumstances specified therein.

     ``Sec. 614. Notification to foreign creditors concerning a 
       case under this title

       ``(a) Whenever in a case under this title, notice is to be 
     given to creditors generally or to any class or category of 
     creditors, such notice shall also be given to the known 
     creditors generally, or to creditors in the notified class or 
     category, that do not have addresses in the United States. 
     The court may order that appropriate steps be taken with a 
     view to notifying any creditor whose address is not yet 
     known.
       ``(b) The notification to creditors with foreign addresses 
     described in subsection (a) shall be given individually, 
     unless the court considers that, under the circumstances, 
     some other form of notification would be more appropriate. No 
     letters rogatory or other similar formality is required.
       ``(c) When a notification of commencement of a case is to 
     be given to foreign creditors, the notification shall--
       ``(1) indicate the time period for filing proofs of claim 
     and specify the place for their filing;
       ``(2) indicate whether secured creditors need to file their 
     proofs of claim; and
       ``(3) contain any other information required to be included 
     in such a notification to creditors pursuant to this title 
     and the orders of the court.
       ``(d) Any rule of procedure or order of the court as to 
     notice or the filing of a claim shall provide such additional 
     time to creditors with foreign addresses as is reasonable 
     under the circumstances.

    ``SUBCHAPTER III--RECOGNITION OF A FOREIGN PROCEEDING AND RELIEF

     ``Sec. 615. Application for recognition of a foreign 
       proceeding

       ``(a) A foreign representative applies to the court for 
     recognition of the foreign proceeding in which the foreign 
     representative has been appointed by filing a petition for 
     recognition.
       ``(b) A petition for recognition shall be accompanied by--
       ``(1) a certified copy of the decision commencing the 
     foreign proceeding and appointing the foreign representative;
       ``(2) a certificate from the foreign court affirming the 
     existence of the foreign proceeding and of the appointment of 
     the foreign representative; or
       ``(3) in the absence of evidence referred to in paragraphs 
     (1) and (2), any other evidence acceptable to the court of 
     the existence of the foreign proceeding and of the 
     appointment of the foreign representative.
       ``(c) A petition for recognition shall also be accompanied 
     by a statement identifying all foreign proceedings with 
     respect to the debtor that are known to the foreign 
     representative.
       ``(d) The documents referred to in paragraphs (1) and (2) 
     of subsection (b) must be translated into English. The court 
     may require a translation into English of additional 
     documents.

     ``Sec. 616. Presumptions concerning recognition

       ``(a) If the decision or certificate referred to in section 
     615(b) indicates that the foreign proceeding is a foreign 
     proceeding within the meaning of section 101(23) and that the 
     person or body is a foreign representative within the meaning 
     of section 101(24), the court is entitled to so presume.
       ``(b) The court is entitled to presume that documents 
     submitted in support of the petition for recognition are 
     authentic, whether the documents have been subjected to legal 
     processing under applicable law.
       ``(c) In the absence of evidence to the contrary, the 
     debtor's registered office, or habitual residence in the case 
     of an individual, is presumed to be the center of the 
     debtor's main interests.

     ``Sec. 617. Order recognizing a foreign proceeding

       ``(a) Subject to section 606, an order recognizing a 
     foreign proceeding shall be entered if--
       ``(1) the foreign proceeding is a foreign main proceeding 
     or foreign nonmain proceeding within the meaning of section 
     602 and is a foreign proceeding within the meaning of section 
     101(23);
       ``(2) the person or body applying for recognition is a 
     foreign representative within the meaning of section 101(24); 
     and
       ``(3) the petition meets the requirements of section 615.
       ``(b) The foreign proceeding shall be recognized--
       ``(1) as a foreign main proceeding if it is taking place in 
     the country where the debtor has the center of its main 
     interests; or
       ``(2) as a foreign nonmain proceeding if the debtor has an 
     establishment within the meaning of section 602 in the 
     foreign country where the proceeding is pending.
       ``(c) A petition for recognition of a foreign proceeding 
     shall be decided upon at the earliest possible time. Entry of 
     an order recognizing a foreign proceeding shall constitute 
     recognition under this chapter.
       ``(d) The provisions of this subchapter do not prevent 
     modification or termination of recognition if it is shown 
     that the grounds for granting it were fully or partially 
     lacking or have ceased to exist, but in considering such 
     action the court shall give due weight to possible prejudice 
     to parties that have relied upon the granting of recognition. 
     The foreign proceeding may be closed in the manner prescribed 
     for a case under section 350.

     ``Sec. 618. Subsequent information

       ``From the time of filing the petition for recognition of 
     the foreign proceeding, the foreign representative shall file 
     with the court promptly a notice of change of status 
     concerning--
       ``(1) any substantial change in the status of the foreign 
     proceeding or the status of the foreign representative's 
     appointment; and
       ``(2) any other foreign proceeding regarding the debtor 
     that becomes known to the foreign representative.

     ``Sec. 619. Relief that may be granted upon petition for 
       recognition of a foreign proceeding

       ``(a) From the time of filing a petition for recognition 
     until the petition is decided upon, the court may, at the 
     request of the foreign representative, where relief is 
     urgently needed to protect the assets of the debtor or the 
     interests of the creditors, grant relief of a provisional 
     nature, including--
       ``(1) staying execution against the debtor's assets;
       ``(2) entrusting the administration or realization of all 
     or part of the debtor's assets located in the United States 
     to the foreign representative or another person designated by 
     the court, including an examiner, in order to protect and 
     preserve the value of assets that, by their nature or because 
     of other circumstances, are perishable, susceptible to 
     devaluation or otherwise in jeopardy; and
       ``(3) any relief referred to in paragraph (3), (4), or (7) 
     of section 621(a).
       ``(b) Unless extended under section 621(a)(6), the relief 
     granted under this section terminates when the petition for 
     recognition is decided upon.
       ``(c) It is a ground for denial of relief under this 
     section that such relief would interfere with the 
     administration of a foreign main proceeding.
       ``(d) The court may not enjoin a police or regulatory act 
     of a governmental unit, including a criminal action or 
     proceeding, under this section.
       ``(e) The standards, procedures, and limitations applicable 
     to an injunction shall apply to relief under this section.

     ``Sec. 620. Effects of recognition of a foreign main 
       proceeding

       ``(a) Upon recognition of a foreign proceeding that is a 
     foreign main proceeding--

[[Page 3548]]

       ``(1) section 362 applies with respect to the debtor and 
     that property of the debtor that is within the territorial 
     jurisdiction of the United States; and
       ``(2) transfer, encumbrance, or any other disposition of an 
     interest of the debtor in property within the territorial 
     jurisdiction of the United States is restrained as and to the 
     extent that is provided for property of an estate under 
     sections 363, 549, and 552.

     Unless the court orders otherwise, the foreign representative 
     may operate the debtor's business and may exercise the powers 
     of a trustee under section 549, subject to sections 363 and 
     552.
       ``(b) The scope, and the modification or termination, of 
     the stay and restraints referred to in subsection (a) of this 
     section are subject to the exceptions and limitations 
     provided in subsections (b), (c), and (d) of section 362, 
     subsections (b) and (c) of section 363, and sections 552, 555 
     through 557, 559, and 560.
       ``(c) Subsection (a) of this section does not affect the 
     right to commence individual actions or proceedings in a 
     foreign country to the extent necessary to preserve a claim 
     against the debtor.
       ``(d) Subsection (a) of this section does not affect the 
     right of a foreign representative or an entity to file a 
     petition commencing a case under this title or the right of 
     any party to file claims or take other proper actions in such 
     a case.

     ``Sec. 621. Relief that may be granted upon recognition of a 
       foreign proceeding

       ``(a) Upon recognition of a foreign proceeding, whether 
     main or nonmain, where necessary to effectuate the purpose of 
     this chapter and to protect the assets of the debtor or the 
     interests of the creditors, the court may, at the request of 
     the foreign representative, grant any appropriate relief, 
     including--
       ``(1) staying the commencement or continuation of 
     individual actions or individual proceedings concerning the 
     debtor's assets, rights, obligations or liabilities to the 
     extent they have not been stayed under section 620(a);
       ``(2) staying execution against the debtor's assets to the 
     extent it has not been stayed under section 620(a);
       ``(3) suspending the right to transfer, encumber or 
     otherwise dispose of any assets of the debtor to the extent 
     this right has not been suspended under section 620(a);
       ``(4) providing for the examination of witnesses, the 
     taking of evidence or the delivery of information concerning 
     the debtor's assets, affairs, rights, obligations or 
     liabilities;
       ``(5) entrusting the administration or realization of all 
     or part of the debtor's assets within the territorial 
     jurisdiction of the United States to the foreign 
     representative or another person, including an examiner, 
     designated by the court;
       ``(6) extending relief granted under section 619(a); and
       ``(7) granting any additional relief that may be available 
     to a trustee, except for relief available under sections 522, 
     544, 545, 547, 548, 550, and 724(a).
       ``(b) Upon recognition of a foreign proceeding, whether 
     main or nonmain, the court may, at the request of the foreign 
     representative, entrust the distribution of all or part of 
     the debtor's assets located in the United States to the 
     foreign representative or another person, including an 
     examiner, designated by the court, provided that the court is 
     satisfied that the interests of creditors in the United 
     States are sufficiently protected.
       ``(c) In granting relief under this section to a 
     representative of a foreign nonmain proceeding, the court 
     must be satisfied that the relief relates to assets that, 
     under the law of the United States, should be administered in 
     the foreign nonmain proceeding or concerns information 
     required in that proceeding.
       ``(d) The court may not enjoin a police or regulatory act 
     of a governmental unit, including a criminal action or 
     proceeding, under this section.

     ``Sec. 622. Protection of creditors and other interested 
       persons

       ``(a) In granting or denying relief under section 619 or 
     621, or in modifying or terminating relief under subsection 
     (c) of this section, the court must find that the interests 
     of the creditors and other interested persons or entities, 
     including the debtor, are sufficiently protected.
       ``(b) The court may subject relief granted under section 
     619 or 621 to conditions it considers appropriate.
       ``(c) The court may, at the request of the foreign 
     representative or an entity affected by relief granted under 
     section 619 or 621, or at its own motion, modify or terminate 
     such relief.

     ``Sec. 623. Actions to avoid acts detrimental to creditors

       ``(a) Upon recognition of a foreign proceeding, the foreign 
     representative has standing in a pending case under another 
     chapter of this title to initiate actions under sections 522, 
     544, 545, 547, 548, 550, and 724(a).
       ``(b) When the foreign proceeding is a foreign nonmain 
     proceeding, the court must be satisfied that an action under 
     subsection (a) of this section relates to assets that, under 
     United States law, should be administered in the foreign 
     nonmain proceeding.

     ``Sec. 624. Intervention by a foreign representative

       ``Upon recognition of a foreign proceeding, the foreign 
     representative may intervene in any proceedings in a State or 
     Federal court in the United States in which the debtor is a 
     party.

     ``SUBCHAPTER IV--COOPERATION WITH FOREIGN COURTS AND FOREIGN 
                            REPRESENTATIVES

     ``Sec. 625. Cooperation and direct communication between the 
       court and foreign courts or foreign representatives

       ``(a) In all matters included within section 601, the court 
     shall cooperate to the maximum extent possible with foreign 
     courts or foreign representatives, either directly or through 
     the trustee.
       ``(b) The court is entitled to communicate directly with, 
     or to request information or assistance directly from, 
     foreign courts or foreign representatives, subject to the 
     rights of parties in interest to notice and participation.

     ``Sec. 626. Cooperation and direct communication between the 
       trustee and foreign courts or foreign representatives

       ``(a) In all matters included in section 601, the trustee 
     or other person, including an examiner, designated by the 
     court, shall, subject to the supervision of the court, 
     cooperate to the maximum extent possible with foreign courts 
     or foreign representatives.
       ``(b) The trustee or other person, including an examiner, 
     designated by the court is entitled, subject to the 
     supervision of the court, to communicate directly with 
     foreign courts or foreign representatives.
       ``(c) Section 1104(d) shall apply to the appointment of an 
     examiner under this chapter. Any examiner shall comply with 
     the qualification requirements imposed on a trustee by 
     section 322(a).

     ``Sec. 627. Forms of cooperation

       ``Cooperation referred to in sections 625 and 626 may be 
     implemented by any appropriate means, including--
       ``(1) appointment of a person or body, including an 
     examiner, to act at the direction of the court;
       ``(2) communication of information by any means considered 
     appropriate by the court;
       ``(3) coordination of the administration and supervision of 
     the debtor's assets and affairs;
       ``(4) approval or implementation of agreements concerning 
     the coordination of proceedings; and
       ``(5) coordination of concurrent proceedings regarding the 
     same debtor.

                 ``SUBCHAPTER V--CONCURRENT PROCEEDINGS

     ``Sec. 628. Commencement of a case under this title after 
       recognition of a foreign main proceeding

       ``After recognition of a foreign main proceeding, a case 
     under another chapter of this title may be commenced only if 
     the debtor has assets in the United States. The effects of 
     that case shall be restricted to the assets of the debtor 
     that are within the territorial jurisdiction of the United 
     States and, to the extent necessary to implement cooperation 
     and coordination under sections 625, 626, and 627, to other 
     assets of the debtor that are within the jurisdiction of the 
     court under sections 541(a) and 1334(e), to the extent that 
     such other assets are not subject to the jurisdiction and 
     control of a foreign proceeding that has been recognized 
     under this chapter.

     ``Sec. 629. Coordination of a case under this title and a 
       foreign proceeding

       ``Where a foreign proceeding and a case under another 
     chapter of this title are taking place concurrently regarding 
     the same debtor, the court shall seek cooperation and 
     coordination under sections 625, 626, and 627, and the 
     following shall apply:
       ``(1) When the case in the United States is taking place at 
     the time the petition for recognition of the foreign 
     proceeding is filed--
       ``(A) any relief granted under sections 619 or 621 must be 
     consistent with the case in the United States; and
       ``(B) even if the foreign proceeding is recognized as a 
     foreign main proceeding, section 620 does not apply.
       ``(2) When a case in the United States under this title 
     commences after recognition, or after the filing of the 
     petition for recognition, of the foreign proceeding--
       ``(A) any relief in effect under sections 619 or 621 shall 
     be reviewed by the court and shall be modified or terminated 
     if inconsistent with the case in the United States; and
       ``(B) if the foreign proceeding is a foreign main 
     proceeding, the stay and suspension referred to in section 
     620(a) shall be modified or terminated if inconsistent with 
     the case in the United States.
       ``(3) In granting, extending, or modifying relief granted 
     to a representative of a foreign nonmain proceeding, the 
     court must be satisfied that the relief relates to assets 
     that, under the law of the United States, should be 
     administered in the foreign nonmain proceeding or concerns 
     information required in that proceeding.
       ``(4) In achieving cooperation and coordination under 
     sections 628 and 629, the court may grant any of the relief 
     authorized under section 305.

     ``Sec. 630. Coordination of more than 1 foreign proceeding

       ``In matters referred to in section 601, with respect to 
     more than one foreign proceeding

[[Page 3549]]

     regarding the debtor, the court shall seek cooperation and 
     coordination under sections 625, 626, and 627, and the 
     following shall apply:
       ``(1) Any relief granted under section 619 or 621 to a 
     representative of a foreign nonmain proceeding after 
     recognition of a foreign main proceeding must be consistent 
     with the foreign main proceeding.
       ``(2) If a foreign main proceeding is recognized after 
     recognition, or after the filing of a petition for 
     recognition, of a foreign nonmain proceeding, any relief in 
     effect under section 619 or 621 shall be reviewed by the 
     court and shall be modified or terminated if inconsistent 
     with the foreign main proceeding.
       ``(3) If, after recognition of a foreign nonmain 
     proceeding, another foreign nonmain proceeding is recognized, 
     the court shall grant, modify, or terminate relief for the 
     purpose of facilitating coordination of the proceedings.

     ``Sec. 631. Presumption of insolvency based on recognition of 
       a foreign main proceeding

       ``In the absence of evidence to the contrary, recognition 
     of a foreign main proceeding is for the purpose of commencing 
     a proceeding under section 303, proof that the debtor is 
     generally not paying its debts.

     ``Sec. 632. Rule of payment in concurrent proceedings

       ``Without prejudice to secured claims or rights in rem, a 
     creditor who has received payment with respect to its claim 
     in a foreign proceeding pursuant to a law relating to 
     insolvency may not receive a payment for the same claim in a 
     case under any other chapter of this title regarding the 
     debtor, so long as the payment to other creditors of the same 
     class is proportionately less than the payment the creditor 
     has already received.''.
       (b) Clerical Amendment.--The table of chapters for title 
     11, United States Code, is amended by inserting after the 
     item relating to chapter 5 the following:

``6. Ancillary and Other Cross-Border Cases..................601''.....

     SEC. 502. AMENDMENTS TO OTHER CHAPTERS IN TITLE 11, UNITED 
                   STATES CODE.

       (a) Applicability of Chapters.--Section 103 of title 11, 
     United States Code, is amended--
       (1) in subsection (a), by inserting before the period the 
     following: ``and this chapter, sections 307, 555 through 557, 
     559, and 560 apply in a case under chapter 6''; and
       (2) by adding at the end the following:
       ``(j) Chapter 6 applies only in a case under that chapter, 
     except that section 605 applies to trustees and to any other 
     entity designated by the court, including an examiner, under 
     chapters 7, 11, and 12, to debtors in possession under 
     chapters 11 and 12, and to debtors or trustees under chapters 
     9 and 13 who are authorized to act under section 605.''.
       (b) Definitions.--Section 101 of title 11, United States 
     Code, is amended by striking paragraphs (23) and (24) and 
     inserting the following:
       ``(23) `foreign proceeding' means a collective judicial or 
     administrative proceeding in a foreign state, including an 
     interim proceeding, pursuant to a law relating to insolvency 
     in which proceeding the assets and affairs of the debtor are 
     subject to control or supervision by a foreign court, for the 
     purpose of reorganization or liquidation;
       ``(24) `foreign representative' means a person or body, 
     including 1 appointed on an interim basis, authorized in a 
     foreign proceeding to administer the reorganization or the 
     liquidation of the debtor's assets or affairs or to act as a 
     representative of the foreign proceeding;''.
       (c) Amendments to Title 28, United States Code.--
       (1) Procedures.--Section 157(b)(2) of title 28, United 
     States Code, is amended--
       (A) in subparagraph (N), by striking ``and'' at the end;
       (B) in subparagraph (O), by striking the period at the end 
     and inserting ``; and''; and
       (C) by adding at the end the following:
       ``(P) recognition of foreign proceedings and other matters 
     under chapter 6.''.
       (2) Bankruptcy cases and proceedings.--Section 1334(c) of 
     title 28, United States Code, is amended by striking 
     ``Nothing in'' and inserting ``Except with respect to a case 
     under chapter 6 of title 11, nothing in''.
       (3) Duties of trustees.--Section 586(a)(3) of title 28, 
     United States Code, is amended by inserting ``6,'' after 
     ``chapter''.

                        TITLE VI--MISCELLANEOUS

     SEC. 601. EXECUTORY CONTRACTS AND UNEXPIRED LEASES.

       Section 365(d)(4) of title 11, United States Code, is 
     amended to read as follows:
       ``(4)(A) Subject to subparagraph (B), in any case under any 
     chapter of this title, an unexpired lease of nonresidential 
     real property under which the debtor is the lessee shall be 
     deemed rejected and the trustee shall immediately surrender 
     that nonresidential real property to the lessor if the 
     trustee does not assume or reject the unexpired lease by the 
     earlier of--
       ``(i) the date that is 120 days after the date of the order 
     for relief; or
       ``(ii) the date of the entry of an order confirming a plan.
       ``(B) The court may extend the period determined under 
     subparagraph (A) only upon a motion of the lessor.''.

     SEC. 602. EXPEDITED APPEALS OF BANKRUPTCY CASES TO COURTS OF 
                   APPEALS.

       (a) In General.--Section 158 of title 28, United States 
     Code, is amended--
       (1) by redesignating subsection (d) as subsection (e);
       (2) by inserting after subsection (c) the following new 
     subsection:
       ``(d)(1) Any final judgment, decision, order, or decree of 
     a bankruptcy judge entered for a case in accordance with 
     section 157 may be appealed by any party in such case to the 
     appropriate court of appeals if--
       ``(A) an appeal from such judgment, decision, order, or 
     decree is first filed with the appropriate district court of 
     the United States; and
       ``(B) the decision on the appeal described under 
     subparagraph (A) is not filed by a district court judge 
     within 30 days after the date such appeal is filed with the 
     district court.
       ``(2) On the date that an appeal is filed with a court of 
     appeals under paragraph (1), the chief judge for such court 
     of appeals shall issue an order to the clerk for the district 
     court from which the appeal is filed. Such order shall direct 
     the clerk to enter the final judgment, decision, order, or 
     decree of the bankruptcy judge as the final judgment, 
     decision, order, or decree of the district court.''; and
       (3) in subsection (e), (as redesignated by paragraph (1) of 
     this section) by striking ``subsections (a) and (b)'' and 
     inserting ``subsections (a), (b), and (d)''.
       (b) Technical and Conforming Amendments.--
       (1) Section 305(c) of title 11, United States Code, is 
     amended by striking ``section 158(d)'' and inserting 
     ``section 158(e)''.
       (2) Section 1334(d) of title 28, United States Code, is 
     amended by striking ``section 158(d)'' and inserting 
     ``section 158(e)''.
       (3) Section 1452(b) of title 28, United States Code, is 
     amended by striking ``section 158(d)'' and inserting 
     ``section 158(e)''.

     SEC. 603. CREDITORS AND EQUITY SECURITY HOLDERS COMMITTEES.

       Section 1102(a)(2) of title 11, United States Code, is 
     amended by inserting before the first sentence the following: 
     ``On its own motion or on request of a party in interest, and 
     after notice and hearing, the court may order a change in the 
     membership of a committee appointed under this subsection, if 
     the court determines that the change is necessary to ensure 
     adequate representation of creditors or equity security 
     holders.''.

     SEC. 604. REPEAL OF SUNSET PROVISION.

       Section 302 of the Bankruptcy Judges, United States 
     Trustees, and Family Farmer Bankruptcy Act of 1986 (28 U.S.C. 
     581 note) is amended by striking subsection (f).

     SEC. 605. CASES ANCILLARY TO FOREIGN PROCEEDINGS.

       Section 304 of title 11, United States Code, as amended by 
     section 410 of this Act, is amended by adding at the end the 
     following:
       ``(e)(1) In this subsection--
       ``(A) the term `domestic insurance company' means a 
     domestic insurance company, as that term is used in section 
     109(b)(2);
       ``(B) the term `foreign insurance company' means a foreign 
     insurance company, as that term is used in section 109(b)(3);
       ``(C) the term `United States claimant' means a beneficiary 
     of any deposit referred to in paragraph (2)(A) or any 
     multibeneficiary trust referred to in subparagraph (B) or (C) 
     of paragraph (2);
       ``(D) the term `United States creditor' means, with respect 
     to a foreign insurance company--
       ``(i) a United States claimant; or
       ``(ii) any business entity that operates in the United 
     States and that is a creditor; and
       ``(E) the term `United States policyholder' means a holder 
     of an insurance policy issued in the United States.
       ``(2) Notwithstanding subsections (b) and (c), the court 
     may not grant relief under subsection (b) to a foreign 
     insurance company that is not engaged in the business of 
     insurance or reinsurance in the United States with respect to 
     any claim made by a United States creditor against--
       ``(A) a deposit required by an applicable State insurance 
     law;
       ``(B) a multibeneficiary trust required by an applicable 
     State insurance law to protect United States policyholders or 
     claimants against a foreign insurance company; or
       ``(C) a multibeneficiary trust authorized under an 
     applicable State insurance law to allow a domestic insurance 
     company that cedes reinsurance to the debtor to reflect the 
     reinsurance as an asset or deduction from liability in the 
     ceding insurer's financial statements.''.

     SEC. 606. LIMITATION.

       Section 546(c)(1)(B) of title 11, United States Code, is 
     amended by striking ``20'' and inserting ``45''.

     SEC. 607. AMENDMENT TO SECTION 546 OF TITLE 11, UNITED STATES 
                   CODE.

       Section 546 of title 11, United States Code, is amended by 
     inserting at the end thereof:
       ``(I) Notwithstanding section 545 (2) and (3) of this 
     title, the trustee may not avoid a warehouseman's lien for 
     storage, transportation or other costs incidental to the 
     storage and handling of goods, as provided by section 7-209 
     of the Uniform Commercial Code.''.

[[Page 3550]]



     SEC. 608. AMENDMENT TO SECTION 330(A) OF TITLE 11, UNITED 
                   STATES CODE.

       Section 330(a) of title 11, United States Code, is 
     amended--
       (1) in subsection (3)(A) after the word ``awarded'', by 
     inserting ``to an examiner, chapter 11 trustee, or 
     professional person''; and
       (2) by adding at the end of subsection (3)(A) the 
     following:
       ``(3)(B) In determining the amount of reasonable 
     compensation to be awarded a trustee, the court shall treat 
     such compensation as a commission based on the results 
     achieved.''.

                    TITLE VII--TECHNICAL CORRECTIONS

     SEC. 701. DEFINITIONS.

       Section 101 of title 11, United States Code, as amended by 
     section 317, is amended--
       (1) by striking ``In this title--'' and inserting ``In this 
     title:'';
       (2) in each paragraph, by inserting ``The term'' after the 
     paragraph designation;
       (3) in paragraph (35)(B), by striking ``paragraphs (21B) 
     and (33)(A)'' and inserting ``paragraphs (23) and (35)'';
       (4) in each of paragraphs (35A) and (38), by striking ``; 
     and'' at the end and inserting a period;
       (5) in paragraph (51B)--
       (A) by inserting ``who is not a family farmer'' after 
     ``debtor'' the first place it appears; and
       (B) by striking ``thereto having aggregate'' and all that 
     follows through the end of the paragraph;
       (6) by amending paragraph (54) to read as follows:
       ``(54) The term `transfer' means--
       ``(A) the creation of a lien;
       ``(B) the retention of title as a security interest;
       ``(C) the foreclosure of a debtor's equity of redemption; 
     or
       ``(D) each mode, direct or indirect, absolute or 
     conditional, voluntary or involuntary, of disposing of or 
     parting with--
       ``(i) property; or
       ``(ii) an interest in property;'';
       (7) in each of paragraphs (1) through (35), in each of 
     paragraphs (36) and (37), and in each of paragraphs (40) 
     through (56A) (including paragraph (54), as amended by 
     paragraph (6) of this section), by striking the semicolon at 
     the end and inserting a period; and
       (8) by redesignating paragraphs (4) through (56A) in 
     entirely numerical sequence, so as to result in numerical 
     paragraph designations of (4) through (77), respectively.

     SEC. 702. ADJUSTMENT OF DOLLAR AMOUNTS.

       Section 104 of title 11, United States Code, is amended by 
     inserting ``522(f)(3), 707(b)(5),'' after ``522(d),'' each 
     place it appears.

     SEC. 703. EXTENSION OF TIME.

       Section 108(c)(2) of title 11, United States Code, is 
     amended by striking ``922'' and all that follows through 
     ``or'', and inserting ``922, 1201, or''.

     SEC. 704. WHO MAY BE A DEBTOR.

       Section 109(b)(2) of title 11, United States Code, is 
     amended by striking ``subsection (c) or (d) of''.

     SEC. 705. PENALTY FOR PERSONS WHO NEGLIGENTLY OR FRAUDULENTLY 
                   PREPARE BANKRUPTCY PETITIONS.

       Section 110(j)(3) of title 11, United States Code, is 
     amended by striking ``attorney's'' and inserting ``attorneys' 
     ''.

     SEC. 706. LIMITATION ON COMPENSATION OF PROFESSIONAL PERSONS.

       Section 328(a) of title 11, United States Code, is amended 
     by inserting ``on a fixed or percentage fee basis,'' after 
     ``hourly basis,''.

     SEC. 707. SPECIAL TAX PROVISIONS.

       Section 346(g)(1)(C) of title 11, United States Code, is 
     amended by striking ``, except'' and all that follows through 
     ``1986''.

     SEC. 708. 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. 709. AUTOMATIC STAY.

       Section 362(b) of title 11, United States Code, as amended 
     by sections 326 and 401 of this Act, is amended--
       (1) in paragraph (21), by striking ``or'' at the end;
       (2) in paragraph (22), by striking the period at the end 
     and inserting a semicolon; and
       (3) by inserting after paragraph (22) the following:
       ``(23) under subsection (a) of this section of any transfer 
     that is not avoidable under section 544 and that is not 
     avoidable under section 549;
       ``(24) under subsection (a)(3) of this section, of the 
     continuation of any eviction, unlawful detainer action, or 
     similar proceeding by a lessor against a debtor involving 
     residential real property in which the debtor resides as a 
     tenant under a rental agreement and the debtor has not paid 
     rent to the lessor pursuant to the terms of the lease 
     agreement or applicable State law after the commencement and 
     during the course of the case;
       ``(25) under subsection (a)(3) of this section, of the 
     commencement or continuation of any eviction, unlawful 
     detainer action, or similar proceeding by a lessor against a 
     debtor involving residential real property in which the 
     debtor resides as a tenant under a rental agreement that has 
     terminated pursuant to the lease agreement or applicable 
     State law;
       ``(26) under subsection (a)(3) of this section, of any 
     eviction, unlawful detainer action, or similiar proceeding, 
     if the debtor has previously filed within the last year and 
     failed to pay post-petition rent during the course of that 
     case; or
       ``(27) under subsection (a)(3) of this section, of eviction 
     actions based on endangerment to property or person or the 
     use of illegal drugs.''.

     SEC. 710. AMENDMENT TO TABLE OF SECTIONS.

       The table of sections for chapter 5 of title 11, United 
     States Code, is amended by striking the item relating to 
     section 556 and inserting the following:

``556. Contractual right to liquidate a commodities contract or forward 
              contract.''.

     SEC. 711. 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. 712. PRIORITIES.

       Section 507(a) of title 11, United States Code, as amended 
     by section 323 of this Act, is amended--
       (1) in paragraph (3)(B), by striking the semicolon at the 
     end and inserting a period; and
       (2) in paragraph (7), by inserting ``unsecured'' after 
     ``allowed''.

     SEC. 713. EXEMPTIONS.

       Section 522 of title 11, United States Code, as amended by 
     section 320 of this Act, is amended--
       (1) in subsection (f)(1)(A)(ii)(II)--
       (A) by striking ``includes a liability designated as'' and 
     inserting ``is for a liability that is designated as, and is 
     actually in the nature of,''; and
       (B) by striking ``, unless'' and all that follows through 
     ``support''; and
       (2) in subsection (g)(2), by striking ``subsection (f)(2)'' 
     and inserting ``subsection (f)(1)(B)''.

     SEC. 714. EXCEPTIONS TO DISCHARGE.

       Section 523 of title 11, United States Code, is amended--
       (1) in subsection (a)(3), by striking ``or (6)'' each place 
     it appears and inserting ``(6), or (15)'';
       (2) as amended by section 304(e) of Public Law 103-394 (108 
     Stat. 4133), in paragraph (15), by transferring such 
     paragraph so as to insert it after paragraph (14) of 
     subsection (a);
       (3) in subsection (a)(9), by inserting ``, watercraft, or 
     aircraft'' after ``motor vehicle'';
       (4) in subsection (a)(15), as so redesignated by paragraph 
     (2) of this subsection, by inserting ``to a spouse, former 
     spouse, or child of the debtor and'' after ``(15)'';
       (5) in subsection (a)(17)--
       (A) by striking ``by a court'' and inserting ``on a 
     prisoner by any court'';
       (B) by striking ``section 1915 (b) or (f)'' and inserting 
     ``subsection (b) or (f)(2) of section 1915''; and
       (C) by inserting ``(or a similar non-Federal law)'' after 
     ``title 28'' each place it appears; and
       (6) in subsection (e), by striking ``a insured'' and 
     inserting ``an insured''.

     SEC. 715. EFFECT OF DISCHARGE.

       Section 524(a)(3) of title 11, United States Code, is 
     amended by striking ``section 523'' and all that follows 
     through ``or that'' and inserting ``section 523, 1228(a)(1), 
     or 1328(a)(1) of this title, or that''.

     SEC. 716. 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. 717. PROPERTY OF THE ESTATE.

       Section 541(b)(4)(B)(ii) of title 11, United States Code, 
     is amended by inserting ``365 or'' before ``542''.

     SEC. 718. PREFERENCES.

       Section 547 of title 11, United States Code, is amended--
       (1) in subsection (b), by striking ``subsection (c)'' and 
     inserting ``subsections (c) and (h)''; and
       (2) by adding at the end the following:
       ``(h) If the trustee avoids under subsection (b) a security 
     interest given between 90 days and 1 year before the date of 
     the filing of the petition, by the debtor to an entity that 
     is not an insider for the benefit of a creditor that is an 
     insider, such security interest shall be considered to be 
     avoided under this section only with respect to the creditor 
     that is an insider.''.

     SEC. 719. POSTPETITION TRANSACTIONS.

       Section 549(c) of title 11, United States Code, is 
     amended--
       (1) by inserting ``an interest in'' after ``transfer of'';
       (2) by striking ``such property'' and inserting ``such real 
     property''; and
       (3) by striking ``the interest'' and inserting ``such 
     interest''.

     SEC. 720. TECHNICAL AMENDMENT.

       Section 552(b)(1) of title 11, United States Code, is 
     amended by striking ``product'' each place it appears and 
     inserting ``products''.

[[Page 3551]]



     SEC. 721. DISPOSITION OF PROPERTY OF THE ESTATE.

       Section 726(b) of title 11, United States Code, is amended 
     by striking ``1009,''.

     SEC. 722. GENERAL PROVISIONS.

       Section 901(a) of title 11, United States Code, as amended 
     by section 408, is amended by inserting ``1123(d),'' after 
     ``1123(b),''.

     SEC. 723. APPOINTMENT OF ELECTED 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:
       ``(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. 724. ABANDONMENT OF RAILROAD LINE.

       Section 1170(e)(1) of title 11, United States Code, is 
     amended by striking ``section 11347'' and inserting ``section 
     11326(a)''.

     SEC. 725. CONTENTS OF PLAN.

       Section 1172(c)(1) of title 11, United States Code, is 
     amended by striking ``section 11347'' and inserting ``section 
     11326(a)''.

     SEC. 726. DISCHARGE UNDER CHAPTER 12.

       Subsections (a) and (c) of section 1228 of title 11, United 
     States Code, are amended by striking ``1222(b)(10)'' each 
     place it appears and inserting ``1222(b)(9)''.

     SEC. 727. 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 ``or October 1, 2002, whichever occurs 
     first''; and
       (2) in subparagraph (F)--
       (A) in clause (i)--
       (i) in subclause (II), by striking ``or October 1, 2002, 
     whichever occurs first''; and
       (ii) in the matter following subclause (II), by striking 
     ``October 1, 2003, or''; and
       (B) in clause (ii), in the matter following subclause 
     (II)--
       (i) by striking ``before October 1, 2003, or''; and
       (ii) by striking ``, whichever occurs first''.

     SEC. 728. 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) and this subsection''.

     SEC. 729. KNOWING DISREGARD OF BANKRUPTCY LAW OR RULE.

       Section 156(a) of title 18, United States Code, is 
     amended--
       (1) in the first undesignated paragraph--
       (A) by inserting ``(1) the term'' before ``bankruptcy''; 
     and
       (B) by striking the period at the end and inserting ``; 
     and''; and
       (2) in the second undesignated paragraph--
       (A) by inserting ``(2) the term'' before ``document''; and
       (B) by striking ``this title'' and inserting ``title 11''.

     SEC. 730. ROLLING STOCK EQUIPMENT.

       (a) In General.--Section 1168 of title 11, United States 
     Code, is amended to read as follows:

     ``Sec. 1168. Rolling stock equipment.

       ``(a)(1) The right of a secured party with a security 
     interest in or of a lessor or conditional vendor of equipment 
     described in paragraph (2) to take possession of such 
     equipment in compliance with an equipment security agreement, 
     lease, or conditional sale contract, and to enforce any of 
     its other rights or remedies under such security agreement, 
     lease, or conditional sale contract, to sell, lease, or 
     otherwise retain or dispose of such equipment, is not limited 
     or otherwise affected by any other provision of this title or 
     by any power of the court, except that that right to take 
     possession and enforce those other rights and remedies shall 
     be subject to section 362, if--
       ``(A) before the date that is 60 days after the date of 
     commencement of a case under this chapter, the trustee, 
     subject to the court's approval, agrees to perform all 
     obligations of the debtor under such security agreement, 
     lease, or conditional sale contract; and
       ``(B) any default, other than a default of a kind described 
     in section 365(b)(2), under such security agreement, lease, 
     or conditional sale contract--
       ``(i) that occurs before the date of commencement of the 
     case and is an event of default therewith is cured before the 
     expiration of such 60-day period;
       ``(ii) that occurs or becomes an event of default after the 
     date of commencement of the case and before the expiration of 
     such 60-day period is cured before the later of--
       ``(I) the date that is 30 days after the date of the 
     default or event of the default; or
       ``(II) the expiration of such 60-day period; and
       ``(iii) that occurs on or after the expiration of such 60-
     day period is cured in accordance with the terms of such 
     security agreement, lease, or conditional sale contract, if 
     cure is permitted under that agreement, lease, or conditional 
     sale contract.
       ``(2) The equipment described in this paragraph--
       ``(A) is rolling stock equipment or accessories used on 
     rolling stock equipment, including superstructures or racks, 
     that is subject to a security interest granted by, leased to, 
     or conditionally sold to a debtor; and
       ``(B) includes all records and documents relating to such 
     equipment that are required, under the terms of the security 
     agreement, lease, or conditional sale contract, that is to be 
     surrendered or returned by the debtor in connection with the 
     surrender or return of such equipment.
       ``(3) Paragraph (1) applies to a secured party, lessor, or 
     conditional vendor acting in its own behalf or acting as 
     trustee or otherwise in behalf of another party.
       ``(b) The trustee and the secured party, lessor, or 
     conditional vendor whose right to take possession is 
     protected under subsection (a) may agree, subject to the 
     court's approval, to extend the 60-day period specified in 
     subsection (a)(1).
       ``(c)(1) In any case under this chapter, the trustee shall 
     immediately surrender and return to a secured party, lessor, 
     or conditional vendor, described in subsection (a)(1), 
     equipment described in subsection (a)(2), if at any time 
     after the date of commencement of the case under this chapter 
     such secured party, lessor, or conditional vendor is entitled 
     pursuant to subsection (a)(1) to take possession of such 
     equipment and makes a written demand for such possession of 
     the trustee.
       ``(2) At such time as the trustee is required under 
     paragraph (1) to surrender and return equipment described in 
     subsection (a)(2), any lease of such equipment, and any 
     security agreement or conditional sale contract relating to 
     such equipment, if such security agreement or conditional 
     sale contract is an executory contract, shall be deemed 
     rejected.
       ``(d) With respect to equipment first placed in service on 
     or prior to October 22, 1994, for purposes of this section--
       ``(1) the term `lease' includes any written agreement with 
     respect to which the lessor and the debtor, as lessee, have 
     expressed in the agreement or in a substantially 
     contemporaneous writing that the agreement is to be treated 
     as a lease for Federal income tax purposes; and
       ``(2) the term `security interest' means a purchase-money 
     equipment security interest.
       ``(e) With respect to equipment first placed in service 
     after October 22, 1994, for purposes of this section, the 
     term `rolling stock equipment' includes rolling stock 
     equipment that is substantially rebuilt and accessories used 
     on such equipment.''.
       (b) Aircraft Equipment and Vessels.--Section 1110 of title 
     11, United States Code, is amended to read as follows:

     ``Sec. 1110. Aircraft equipment and vessels

       ``(a)(1) Except as provided in paragraph (2) and subject to 
     subsection (b), the right of a secured party with a security 
     interest in equipment described in paragraph (3), or of a 
     lessor or conditional vendor of such equipment, to take 
     possession of such equipment in compliance with a security 
     agreement, lease, or conditional sale contract, and to 
     enforce any of its other rights or remedies, under such 
     security agreement, lease, or conditional sale contract, to 
     sell, lease, or otherwise retain or dispose of such 
     equipment, is not limited or otherwise affected by any other 
     provision of this title or by any power of the court.
       ``(2) The right to take possession and to enforce the other 
     rights and remedies described in paragraph (1) shall be 
     subject to section 362 if--
       ``(A) before the date that is 60 days after the date of the 
     order for relief under this chapter, the trustee, subject to 
     the approval of the court, agrees to perform all obligations 
     of the debtor under such security agreement, lease, or 
     conditional sale contract; and
       ``(B) any default, other than a default of a kind specified 
     in section 365(b)(2), under such security agreement, lease, 
     or conditional sale contract--
       ``(i) that occurs before the date of the order is cured 
     before the expiration of such 60-day period;
       ``(ii) that occurs after the date of the order and before 
     the expiration of such 60-day period is cured before the 
     later of--
       ``(I) the date that is 30 days after the date of the 
     default; or
       ``(II) the expiration of such 60-day period; and
       ``(iii) that occurs on or after the expiration of such 60-
     day period is cured in compliance with the terms of such 
     security agreement, lease, or conditional sale contract, if a 
     cure is permitted under that agreement, lease, or contract.
       ``(3) The equipment described in this paragraph--
       ``(A) is--
       ``(i) an aircraft, aircraft engine, propeller, appliance, 
     or spare part (as defined in section

[[Page 3552]]

     40102 of title 49) that is subject to a security interest 
     granted by, leased to, or conditionally sold to a debtor 
     that, at the time such transaction is entered into, holds an 
     air carrier operating certificate issued pursuant to chapter 
     447 of title 49 for aircraft capable of carrying 10 or more 
     individuals or 6,000 pounds or more of cargo; or
       ``(ii) a documented vessel (as defined in section 30101(1) 
     of title 46) that is subject to a security interest granted 
     by, leased to, or conditionally sold to a debtor that is a 
     water carrier that, at the time such transaction is entered 
     into, holds a certificate of public convenience and necessity 
     or permit issued by the Department of Transportation; and
       ``(B) includes all records and documents relating to such 
     equipment that are required, under the terms of the security 
     agreement, lease, or conditional sale contract, to be 
     surrendered or returned by the debtor in connection with the 
     surrender or return of such equipment.
       ``(4) Paragraph (1) applies to a secured party, lessor, or 
     conditional vendor acting in its own behalf or acting as 
     trustee or otherwise in behalf of another party.
       ``(b) The trustee and the secured party, lessor, or 
     conditional vendor whose right to take possession is 
     protected under subsection (a) may agree, subject to the 
     approval of the court, to extend the 60-day period specified 
     in subsection (a)(1).
       ``(c)(1) In any case under this chapter, the trustee shall 
     immediately surrender and return to a secured party, lessor, 
     or conditional vendor, described in subsection (a)(1), 
     equipment described in subsection (a)(3), if at any time 
     after the date of the order for relief under this chapter 
     such secured party, lessor, or conditional vendor is entitled 
     pursuant to subsection (a)(1) to take possession of such 
     equipment and makes a written demand for such possession to 
     the trustee.
       ``(2) At such time as the trustee is required under 
     paragraph (1) to surrender and return equipment described in 
     subsection (a)(3), any lease of such equipment, and any 
     security agreement or conditional sale contract relating to 
     such equipment, if such security agreement or conditional 
     sale contract is an executory contract, shall be deemed 
     rejected.
       ``(d) With respect to equipment first placed in service on 
     or before October 22, 1994, for purposes of this section--
       ``(1) the term `lease' includes any written agreement with 
     respect to which the lessor and the debtor, as lessee, have 
     expressed in the agreement or in a substantially 
     contemporaneous writing that the agreement is to be treated 
     as a lease for Federal income tax purposes; and
       ``(2) the term `security interest' means a purchase-money 
     equipment security interest.''.

     SEC. 731. CURBING ABUSIVE FILINGS.

       (a) In General.--Section 362(d) of title 11, United States 
     Code, is amended--
       (1) in paragraph (2), by striking ``or'' at the end;
       (2) in paragraph (3), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(4) with respect to a stay of an act against real 
     property under subsection (a), by a creditor whose claim is 
     secured by an interest in such real estate, if the court 
     finds that the filing of the bankruptcy petition was part of 
     a scheme to delay, hinder, and defraud creditors that 
     involved either--
       ``(A) transfer of all or part ownership of, or other 
     interest in, the real property without the consent of the 
     secured creditor or court approval; or
       ``(B) multiple bankruptcy filings affecting the real 
     property.
     If recorded in compliance with applicable State laws 
     governing notices of interests or liens in real property, an 
     order entered pursuant to this subsection shall be binding in 
     any other case under this title purporting to affect the real 
     property filed not later than 2 years after that recording, 
     except that a debtor in a subsequent case may move for relief 
     from such order based upon changed circumstances or for good 
     cause shown, after notice and a hearing.''.
       (b) Automatic Stay.--Section 362(b) of title 11, United 
     States Code, as amended by section 709, is amended--
       (1) in paragraph (24), by striking ``or'' at the end;
       (2) in paragraph (25) by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(26) under subsection (a) of this section, of any act to 
     enforce any lien against or security interest in real 
     property following the entry of an order under section 
     362(d)(4) as to that property in any prior bankruptcy case 
     for a period of 2 years after entry of such an order. The 
     debtor in a subsequent case, however, may move the court for 
     relief from such order based upon changed circumstances or 
     for other good cause shown, after notice and a hearing; or
       ``(27) under subsection (a) of this section, of any act to 
     enforce any lien against or security interest in real 
     property--
       ``(A) if the debtor is ineligible under section 109(g) to 
     be a debtor in a bankruptcy case; or
       ``(B) if the bankruptcy case was filed in violation of a 
     bankruptcy court order in a prior bankruptcy case prohibiting 
     the debtor from being a debtor in another bankruptcy case.''.

     SEC. 732. STUDY OF OPERATION OF TITLE 11 OF THE UNITED STATES 
                   CODE WITH RESPECT TO SMALL BUSINESSES.

       Not later than 2 years after the date of the enactment of 
     this Act, the Administrator of the Small Business 
     Administration, in consultation with the Attorney General, 
     the Director of the Administrative Office of United States 
     Trustees, and the Director of the Administrative Office of 
     the United States Courts, shall--
       (1) conduct a study to determine--
       (A) the internal and external factors that cause small 
     businesses, especially sole proprietorships, to become 
     debtors in cases under title 11 of the United States Code and 
     that cause certain small businesses to successfully complete 
     cases under chapter 11 of such title; and
       (B) how Federal laws relating to bankruptcy may be made 
     more effective and efficient in assisting small businesses to 
     remain viable; and
       (2) submit to the President pro tempore of the Senate and 
     the Speaker of the House of Representatives a report 
     summarizing that study.

     SEC. 733. TRANSFERS MADE BY NONPROFIT CHARITABLE 
                   CORPORATIONS.

       (a) Sale of Property of Estate.--Section 363(d) of title 
     11, United States Code, is amended--
       (1) by striking ``only'' and all that follows through the 
     end of the subsection and inserting ``only--
       ``(1) in accordance with applicable nonbankruptcy law that 
     governs the transfer of property by a corporation or trust 
     that is not a moneyed, business, or commercial corporation or 
     trust; and
       ``(2) to the extent not inconsistent with any relief 
     granted under subsection (c), (d), (e), or (f) of section 
     362''.
       (b) Confirmation of Plan for Reorganization.--Section 
     1129(a) of title 11, United States Code, is amended by adding 
     at the end the following:
       ``(14) All transfers of property of the plan shall be made 
     in accordance with any applicable provisions of nonbankruptcy 
     law that govern the transfer of property by a corporation or 
     trust that is not a moneyed, business, or commercial 
     corporation or trust.''.
       (c) Transfer of Property.--Section 541 of title 11, United 
     States Code, is amended by adding at the end the following:
       ``(e) Notwithstanding any other provision of this title, 
     property that is held by a debtor that is a corporation 
     described in section 501(c)(3) of the Internal Revenue Code 
     of 1986 and exempt from tax under section 501(a) of such Code 
     may be transferred to an entity that is not such a 
     corporation, but only under the same conditions as would 
     apply if the debtor had not filed a case under this title.''.
       (d) Applicability.--The amendments made by this section 
     shall apply to a case pending under title 11, United States 
     Code, on the date of enactment of this Act, except that the 
     court shall not confirm a plan under chapter 11 of this title 
     without considering whether this section would substantially 
     affect the rights of a party in interest who first acquired 
     rights with respect to the debtor after the date of the 
     petition. The parties who may appear and be heard in a 
     proceeding under this section include the attorney general of 
     the State in which the debtor is incorporated, was formed, or 
     does business.

     SEC. 734. EFFECTIVE DATE; APPLICATION OF AMENDMENTS.

       (a) Effective Date.--Except as provided in subsection (b), 
     this title and the amendments made by this title shall take 
     effect on the date of enactment of this Act.
       (b) Application of Amendments.--The amendments made by this 
     title shall apply only with respect to cases commenced under 
     title 11, United States Code, on or after the date of 
     enactment of this Act.
                                  ____

  SA 94. Mr. BREAUX (for himself, Mr. Specter, Mrs. Lincoln, Mr. 
Johnson, Ms. Landrieu, Mrs. Feinstein, Mr. Cleland, and Mr. Nelson of 
Nebraska) submitted an amendment intended to be proposed by them to the 
bill S. 420, to amend title II, United States Code, and for other 
purposes; which was ordered to lie on the table.

       At the appropriate place, insert the following:

     SEC. __. AUTHORITY TO ISSUE A RULE RELATING TO ERGONOMICS.

       (a) Findings.--Congress makes the following findings:
       (1) The National Academy of Sciences issued a report 
     entitled ``Musculoskeletal Disorders and the Workplace--Low 
     Back and Upper Extremities'' on January 18, 2001. The report 
     was issued after the Occupational Safety and Health 
     Administration promulgated a final rule relating to 
     ergonomics (published at 65 Fed. Reg. 68261 (2000)).
       (2) According to the National Academy of Sciences, 
     musculoskeletal disorders of the low back and upper 
     extremities are an important and costly national health 
     problem. An estimated 1,000,000 workers each year lose time 
     from work as a result of work-related musculoskeletal 
     disorders.

[[Page 3553]]

       (3) Conservative estimates of the economic burden imposed 
     by work-related musculoskeletal disorders, as measured by 
     compensation costs, lost wages, and lost productivity, are 
     between $45,000,000,000 and $54,000,000,000 annually.
       (4) Congress enacted the Occupational Safety and Health Act 
     of 1970 (29 U.S.C. 651 et seq.) to ``assure so far as 
     possible every working man and woman in the Nation safe and 
     healthful working conditions,'' and charged the Secretary of 
     Labor with implementing the Act to accomplish this purpose.
       (5) Promulgation of a standard on workplace ergonomics is 
     needed to address a serious workplace safety and health 
     problem and to protect working men and women from work-
     related musculoskeletal disorders. Any workplace ergonomics 
     standard should take into account the cost and feasibility of 
     compliance with such requirements and the sound science of 
     the National Academy of Sciences report.
       (b) Authority To Issue Rule.--
       (1) In general.--Notwithstanding any other provision of 
     law, not later than 2 years after the date of enactment of 
     this Act, the Secretary of Labor shall, in accordance with 
     section 6 of the Occupational Safety and Health Act of 1970 
     (29 U.S.C. 655), issue a final rule relating to ergonomics. 
     The standard under the final rule shall take effect not later 
     than 90 days after the date on which the rule is promulgated. 
     The standard shall--
       (A) address work-related musculoskeletal disorders and 
     workplace ergonomic hazards;
       (B) not apply to non-work-related musculoskeletal disorders 
     that occur outside the workplace or non-work-related 
     musculoskeletal disorders that are aggravated by work; and
       (C) set forth in clear terms--
       (i) the circumstances under which an employer is required 
     to take action to address ergonomic hazards;
       (ii) the measures required of an employer under the 
     standard; and
       (iii) the compliance obligations of an employer under the 
     standard.
       (2) Authorization.--Paragraph (1) shall be considered a 
     specific authorization by Congress in accordance with section 
     801(b)(2) of title 5, United States Code, with respect to the 
     issuance of a new ergonomic rule.
       (3) Prohibition.--In issuing a new rule under this 
     subsection, the Secretary of Labor shall ensure that nothing 
     in the rule expands the application of State workers' 
     compensation laws.
       (4) Standard setting authority.--Nothing in this subsection 
     shall be construed to restrict or alter the authority of the 
     Secretary of Labor under the Occupational Safety and Health 
     Act of 1970 (29 U.S.C. 651 et seq.) to adopt health or safety 
     standards (as defined in section 3(8) (29 U.S.C. 652(8)) of 
     such Act) for other hazards pursuant to section 6 (29 U.S.C. 
     655) of such Act.
       (5) Information and training materials.--The Secretary of 
     Labor shall, prior to the date on which the new rule under 
     this subsection becomes effective, develop information and 
     training materials, and implement an outreach program and 
     other initiatives, to provide compliance assistance to 
     employers and employees concerning the new rule and the 
     requirements under the rule.
                                  ____

  SA 95. Mr. SMITH of Oregon (for himself and Mr. Wyden) proposed an 
amendment to amendment SA 78 proposed by Mr. Wyden to the bill (S. 420) 
to amend title II, United States Code, and for other purposes; as 
follows:

       Strike all after the first word and insert the following:

     420. NONDISCHARGEABILITY OF DEBTS ARISING FROM THE EXCHANGE 
                   OF ELECTRIC ENERGY.

       (a) In General.--Section 1141(d) of title 11, United States 
     Code, as amended by this Act, is amended by adding at the end 
     the following:
       ``(6) The confirmation of a plan does not discharge a 
     debtor--
       ``(A) in the case of a debtor that is a corporation, from 
     any debt for wholesale electric power received that is 
     incurred by that debtor under an order issued by the 
     Secretary of Energy (or any amendment of or attachment to 
     that order) under section 202(c) of the Federal Power Act (16 
     U.S.C. 824a(c)) and requested by the California Independent 
     System Operator; or
       ``(B) in the case of debt owed to a Federal, State, or 
     local government agency named in an order referred to in 
     subparagraph (A) for wholesale electric power received by the 
     debtor except to the extent the rate charged for power traded 
     by the California Power Exchange delivered to the California 
     Independent System Operator is determined by the Federal 
     Energy Regulatory Commission (Commission) to be unjust and 
     unreasonable in which case this subparagraph shall only apply 
     to debt determined by the Commission to be just and 
     reasonable.''.
       (b) Automatic Stay.--Section 362(b) of title 11, United 
     States Code, as amended by this Act, is amended--
       (1) in paragraph (28), as added by section 907(d) of this 
     Act, by striking ``or'' at the end;
       (2) in paragraph (29), as added by section 1106 of this 
     Act, by striking the period at the end and inserting ``; 
     or''; and
       (3) by inserting after that paragraph (29) the following:
       ``(30) under subsection (a), of the commencement or 
     continuation, and conclusion to the entry of final judgment 
     or order, of a judicial, administrative, or other action or 
     proceeding for debts that are nondischargeable under section 
     1141(d)(6).''.
       (c) Applicability.--This section and the amendments made by 
     this section shall apply with respect to any petition for 
     bankruptcy filed under title 11 United States Code, as 
     amended by this bill, on or after March 7, 2001.

                          ____________________