Bankruptcy Administration Improvement Act of 2025
Congress raises Chapter 7 trustee pay and increases Chapter 11 quarterly fees to help fund bankruptcy courts
Stalled
No legislative action in over 90 days.
Legislative Progress
Key Points
- Raises the base pay for Chapter 7 bankruptcy trustees from $45 to $105 per case, aiming to better cover the work trustees do in most simple bankruptcies.
- Keeps Chapter 7 filing fees the same and does not change courts’ power to waive filing fees for people who can’t afford them.
- Increases certain ongoing fees paid in Chapter 11 business bankruptcies (the quarterly fees), helping keep the bankruptcy system funded without taxpayer money.
- Extends several temporary bankruptcy judge positions from 5 years to 10 years so courts can better handle heavy and rising bankruptcy caseloads.
- Sets when the changes start, with trustee-pay changes beginning after the next October 1 that follows the law’s enactment date.
Impact Analysis
Personal Impact
How this policy affects specific groups of people
Milestones
Became Public Law No: 119-76.
The President signed it. This is now the law of the land.
Signed by President.
The President signed it. This is now the law of the land.
Presented to President.
Both chambers passed identical text. The President has 10 days to sign it into law or veto it.
Motion to reconsider laid on the table Agreed to without objection.
On motion to suspend the rules and pass the bill Agreed to by voice vote. (text: CR H627)
The House fast-tracked this bill — limited debate, no amendments allowed, but needs two-thirds support to pass.
Votes
No votes have been recorded for this legislation yet.
Related News
4 articles
Bill Extending Bankruptcy Judgeships, Hiking Fees Heads to Trump
Covers House passage of S.3424 and the bill’s provisions: higher Chapter 7 trustee compensation, increased/extended Chapter 11 quarterly fees, and extending temporary bankruptcy judgeships.
Senate Passes Bill to Hike Chapter 7 Earnings, Extend Judgeships
Reports on the Senate’s unanimous passage of S.3424 and summarizes the key changes: Chapter 7 trustee pay increase, Chapter 11 fee changes, and temporary judgeship extensions.
Home - Republican Cloakroom (House floor schedule listing S.3424 under suspension on Jan. 12, 2026)
Lists S.3424 (Bankruptcy Administration Improvement Act of 2025) among items considered under suspension on Monday, Jan. 12, 2026—useful for tracking legislative movement.
Source Information
Document Type
Congressional Bill
Official Title
Bankruptcy Administration Improvement Act of 2025
Sponsor
Cosponsors
(3)Analysis generated by AI. Always verify with official sources.