[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4044 Engrossed in House (EH)]
110th CONGRESS
2d Session
H. R. 4044
_______________________________________________________________________
AN ACT
To amend title 11 of the United States Code to exempt for a limited
period, from the application of the means-test presumption of abuse
under chapter 7, qualifying members of reserve components of the Armed
Forces and members of the National Guard who, after September 11, 2001,
are called to active duty or to perform a homeland defense activity for
not less than 90 days.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``National Guard and Reservists Debt
Relief Act of 2008''.
SEC. 2. AMENDMENTS.
Section 707(b)(2)(D) of title 11, United States Code, is amended--
(1) in clauses (i) and (ii)--
(A) by indenting the left margin of such clauses 2
ems to the right, and
(B) by redesignating such clauses as subclauses (I)
and (II), respectively,
(2) by striking ``if the debtor is a disabled veteran'' and
inserting the following:
``if--
``(i) the debtor is a disabled veteran'',
(3) by striking the period at the end and inserting ``;
or'', and
(4) by adding at the end the following:
``(ii) while--
``(I) the debtor is--
``(aa) on, and during the 540-day period
beginning immediately after the debtor is
released from, a period of active duty (as
defined in section 101(d)(1) of title 10) of
not less than 90 days; or
``(bb) performing, and during the 540-day
period beginning immediately after the debtor
is no longer performing, a homeland defense
activity (as defined in section 901(1) of title
32) performed for a period of not less than 90
days; and
``(II) if after September 11, 2001, the debtor
while a member of a reserve component of the Armed
Forces or a member of the National Guard, was called to
such active duty or performed such homeland defense
activity.''.
SEC. 3. GAO STUDY.
(a) Comptroller General Study.--Not later than 2 years after the
effective date of this Act, the Comptroller General shall complete and
transmit to the Speaker of the House of Representatives and the
President pro tempore of the Senate, a study of the use and the effects
of the provisions of law amended (and as amended) by this Act. Such
study shall address, at a minimum--
(1) whether and to what degree members of reserve
components of the Armed Forces and members of the National
Guard avail themselves of the benefits of such provisions,
(2) whether and to what degree such members are debtors in
cases under title 11 of the United States Code that are
substantially related to service that qualifies such members
for the benefits of such provisions,
(3) whether and to what degree such members are debtors in
cases under such title that are materially related to such
service, and
(4) the effects that the use by such members of section
707(b)(2)(D) of such title, as amended by this Act, has on the
bankruptcy system, creditors, and the debt-incurrence practices
of such members.
(b) Factors.--For purposes of subsection (a)--
(1) a case shall be considered to be substantially related
to the service of a member of a reserve component of the Armed
Forces or a member of the National Guard that qualifies such
member for the benefits of the provisions of law amended (and
as amended) by this Act if more than 33 percent of the
aggregate amount of the debts in such case is incurred as a
direct or indirect result of such service,
(2) a case shall be considered to be materially related to
the service of a member of a reserve component of the Armed
Forces or a member of the National Guard that qualifies such
member for the benefits of such provisions if more than 10
percent of the aggregate amount of the debts in such case is
incurred as a direct or indirect result of such service, and
(3) the term ``effects'' means--
(A) with respect to the bankruptcy system and
creditors--
(i) the number of cases under title 11 of
the United States Code in which members of
reserve components of the Armed Forces and
members of the National Guard avail themselves
of the benefits of such provisions,
(ii) the aggregate amount of debt in such
cases,
(iii) the aggregate amount of debt of such
members discharged in cases under chapter 7 of
such title,
(iv) the aggregate amount of debt of such
members in cases under chapter 7 of such title
as of the time such cases are converted to
cases under chapter 13 of such title,
(v) the amount of resources expended by the
bankruptcy courts and by the bankruptcy
trustees, stated separately, in cases under
title 11 of the United States Code in which
such members avail themselves of the benefits
of such provisions, and
(vi) whether and to what extent there is
any indicia of abuse or potential abuse of such
provisions, and
(B) with respect to debt-incurrence practices--
(i) any increase in the average levels of
debt incurred by such members before, during,
or after such service,
(ii) any indicia of changes in debt-
incurrence practices adopted by such members in
anticipation of benefitting from such
provisions in any potential case under such
title; and
(iii) any indicia of abuse or potential
abuse of such provisions reflected in the debt-
incurrence of such members.
SEC. 4. EFFECTIVE DATE; APPLICATION OF AMENDMENTS.
(a) Effective Date.--Except as provided in subsection (b), this Act
and the amendments made by this Act shall take effect 60 days after the
date of the enactment of this Act.
(b) Application of Amendments.--The amendments made by this Act
shall apply only with respect to cases commenced under title 11 of the
United States Code in the 3-year period beginning on the effective date
of this Act.
Passed the House of Representatives June 23, 2008.
Attest:
Clerk.
110th CONGRESS
2d Session
H. R. 4044
_______________________________________________________________________
AN ACT
To amend title 11 of the United States Code to exempt for a limited
period, from the application of the means-test presumption of abuse
under chapter 7, qualifying members of reserve components of the Armed
Forces and members of the National Guard who, after September 11, 2001,
are called to active duty or to perform a homeland defense activity for
not less than 90 days.