United States 119th Congress ✓ Enacted · P.L. 119-76 Bipartisan · 2 D · 2 R cosponsors

S 3424 — Bankruptcy Administration Improvement Act of 2025

Last action — Became Public Law No: 119-76.

  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Senate
  4. ✓
    Passed House
  5. ✓
    To Executive
  6. 6
    Enacted

This bill has been enacted into law. Introduced December 10, 2025. Enacted.

Odds of enactment

High chance

Based on the sponsor, cosponsors, and committee posture, this bill has a high chance of becoming law.

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Prognosis

Likely to advance 74% · moderate confidence
  • Enacted

    Current position in the legislative process.

  • 4 sponsors

    1 primary, 3 co-sponsors signed on.

  • Bipartisan support

    Sponsored across 2 parties (2 D · 2 R) — cross-party backing.

Based on stage, sponsorship breadth, committee status, recorded votes, and cross-state momentum — a description of the observable signals, not a prediction.

Summary

Bankruptcy Administration Improvement Act of 2025This act makes several changes to the administration of bankruptcy cases, particularly by increasing amounts received by certain trustees, extending the sunset date of various fees, and extending the term of specified bankruptcy judgeships.(Sec. 3) The act increases the amounts paid out of fees to the trustee in Chapter 7 (liquidation) cases.(Sec. 4) The act extends for an additional five years the fees paid quarterly to the U.S. trustee in Chapter 11 (reorganization) cases. The act also increases the fee percentage for cases with large disbursements, subject to limitations. (Sec. 5) Finally, temporary bankruptcy judgeships in various districts are extended for an additional five years.

Bill Text

What changed in the latest version

87 added · 79 removed

Plain-language change summary

The amendment adds a section noting that bankruptcy trustees' compensation has not been increased, specifying that trustees receive only $60 per case in nearly 90 percent of chapter 7 cases, a rate that has remained unchanged since 1994. This change highlights the ongoing financial limitations faced by bankruptcy trustees, who rely on this fixed compensation structure for their services.

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[Congressional Bills 119th Congress] [From the U.S.
[119th Congress Public Law 76] [From the U.S.
Government Publishing Office] [S.
Government Publishing Office] [[Page 739]] BANKRUPTCY ADMINISTRATION IMPROVEMENT ACT OF 2025 [[Page 140 STAT.
3424 Engrossed in Senate (ES)] <DOC> 119th CONGRESS 1st Session S.
740]] Public Law 119-76 119th Congress An Act To amend titles 11 and 28, United States Code, to modify the compensation payable to trustees serving in cases under chapter 7 of title 11, United States Code, to extend the term of certain temporary offices of bankruptcy judges, and for other purposes.
3424 _______________________________________________________________________ AN ACT To amend titles 11 and 28, United States Code, to modify the compensation payable to trustees serving in cases under chapter 7 of title 11, United States Code, to extend the term of certain temporary offices of bankruptcy judges, and for other purposes.
<<NOTE:
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1.
Feb.
SHORT TITLE.
6, - [S.
3424]>> Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, <<NOTE:
Bankruptcy Administration Improvement Act of 2025.>> SECTION 1.
<<NOTE:
28 USC 1 note.>> SHORT TITLE.
(3) Because the system governing bankruptcies of various types is interconnected, Congress has established fees, including filing fees, quarterly fees in chapter 11 cases, and other fees, that together fund the courts, judges, United States trustees, and trustees serving in bankruptcy cases under chapter 7 of title 11, United States Code.
(3) Because the system governing bankruptcies of various types is interconnected, Congress has established fees, including filing fees, quarterly fees in chapter 11 cases, and other fees, that together fund the courts, judges, United States trustees, and trustees serving in bankruptcy cases under chapter of title 11, United States Code.
(7) Despite the essential role of chapter 7 bankruptcy trustees, since 1994 the amount of compensation paid to these trustees has not been increased.
[[Page 140 STAT.
741]] (7) Despite the essential role of chapter 7 bankruptcy trustees, since 1994 the amount of compensation paid to these trustees has not been increased.
(b) Remainder of Fees.--Notwithstanding any other provision of law, the remainder of fees collected under section 1930(a)(1)(A) of title 28, United States Code, after compensating trustees under section 330(b)(1) of title 11, United States Code, shall be deposited as follows:
(b) <<NOTE:
28 USC 1930 note.>> Remainder of Fees.--Notwithstanding any other provision of law, the remainder of fees collected under section 1930(a)(1)(A) of title 28, United States Code, after compensating trustees under section 330(b)(1) of title 11, United States Code, shall be deposited as follows:
(c) United States Trustee System Fund.--Section 589a of title 28, United States Code, is amended-- (1) in subsection (b)(1)(A), by striking ``40.46 percent of the fees collected'' and inserting ``$51.49 of the fees collected in each case'';
[[Page 140 STAT.
742]] (c) United States Trustee System Fund.--Section 589a of title 28, United States Code, is amended-- (1) in subsection (b)(1)(A), by striking ``40.46 percent of the fees collected'' and inserting ``$51.49 of the fees collected in each case'';
(c) Deposits of Certain Fees for Fiscal Years 2026 Through 2031.-- Notwithstanding section 589a(b) of title 28, United States Code, for each of fiscal years 2026 through 2031-- (1) the fees collected under section 1930(a)(6) of title 28, United States Code, less the amount specified in subparagraph (2) of this subsection, shall be deposited as specified in section 589a(f) of title 28, United States Code, as amended by this Act;
(c) <<NOTE:
28 USC 589a note.>> Deposits of Certain Fees for Fiscal Years 2026 Through 2031.--Notwithstanding section 589a(b) of title 28, United States Code, for each of fiscal years 2026 through 2031-- (1) the fees collected under section 1930(a)(6) of title 28, United States Code, less the amount specified in subparagraph (2) of this subsection, shall be deposited as specified in section 589a(f) of title 28, United States Code, as amended by this Act;
(E) in subparagraph (E)(i), by striking ``5 years'' and inserting ``10 years'';
[[Page 140 STAT.
743]] (E) in subparagraph (E)(i), by striking ``5 years'' and inserting ``10 years'';
EFFECTIVE DATE;
<<NOTE:
11 USC 330 note.>> EFFECTIVE DATE;
or (B) under chapter 11, 12, or 13 of title 11, United States Code, that is converted to a case under chapter of title 11, United States Code.
or (B) under chapter 11, 12, or 13 of title 11, United States Code, that is converted to a case under chapter 7 of title 11, United States Code.
and (B) quarterly fees payable under section 1930(a)(6) of title 28, United States Code, as amended by section 4, for disbursements made in any calendar quarter that begins on or after the date of enactment of this Act.
and (B) quarterly fees payable under section 1930(a)(6) of title 28, United States Code, as amended by section 4, [[Page 140 STAT.
Passed the Senate December 10, 2025.
744]] for disbursements made in any calendar quarter that begins on or after the date of enactment of this Act.
Attest:
Approved February 6, 2025.
Secretary.
LEGISLATIVE HISTORY--S.
119th CONGRESS 1st Session S.
3424:
3424 _______________________________________________________________________ AN ACT To amend titles 11 and 28, United States Code, to modify the compensation payable to trustees serving in cases under chapter 7 of title 11, United States Code, to extend the term of certain temporary offices of bankruptcy judges, and for other purposes.
--------------------------------------------------------------------------- CONGRESSIONAL RECORD:
Vol.
171 (2025):
Dec.
10, considered and passed Senate.
Vol.
172 (2026):
Jan.
12, considered and passed House.
<all>
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Action History

  1. Introduced in Senate

  2. Passed/agreed to in Senate: Introduced in the Senate, read twice, considered, read the third time, and passed without amendment by Unanimous Consent.

  3. Introduced in the Senate, read twice, considered, read the third time, and passed without amendment by Unanimous Consent. (consideration: CR S8629-8630; text: CR S8630)

  4. Message on Senate action sent to the House.

  5. Received in the House.

  6. Held at the desk.

  7. Mr. Cline moved to suspend the rules and pass the bill.

  8. Considered under suspension of the rules. (consideration: CR H626-628)

  9. DEBATE - The House proceeded with forty minutes of debate on S. 3424.

  10. Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by voice vote. (text: CR H627)

  11. On motion to suspend the rules and pass the bill Agreed to by voice vote. (text: CR H627)

  12. Motion to reconsider laid on the table Agreed to without objection.

  13. Presented to President.

  14. Presented to President.

  15. Signed by President.

  16. Signed by President.

  17. Became Public Law No: 119-76.

  18. Became Public Law No: 119-76.

Sponsors

Sponsorship breakdown

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1 sponsors · 3 co-sponsors · 543 not signed on

Sponsors (1)

Co-sponsors (3)

Not signed on (543)

543 members have not signed on to this bill.

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"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Subjects

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Frequently asked questions

What does S 3424 do?
Bankruptcy Administration Improvement Act of 2025This act makes several changes to the administration of bankruptcy cases, particularly by increasing amounts received by certain trustees, extending the sunset date of various fees, and extending the term of specified bankruptcy judgeships.(Sec. 3) The act increases the amounts paid out of fees to the trustee in Chapter 7 (liquidation) cases.(Sec. 4) The act extends for an additional five years the fees paid quarterly to the U.S. trustee in Chapter 11 (reorganization) cases. The act also increases the fee percentage for cases with large disbursements, subject to limitations. (Sec. 5) Finally, temporary bankruptcy judgeships in various districts are extended for an additional five years.
Who sponsors S 3424?
S 3424 is sponsored by Coons, Christopher A. (Democratic), Graham, Lindsey (Republican), Booker, Cory A. (Democratic), and Blackburn, Marsha (Republican).
What is the current status of S 3424?
This bill has been enacted into law. Introduced December 10, 2025. Enacted.
Where can I track S 3424?
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