I 
119TH CONGRESS 
1ST SESSION H. R. 3867 
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 bank-
ruptcy judges, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 10, 2025 
Mr. CLINE (for himself and Mr. IVEY) introduced the following bill; which was 
referred to the Committee on the Judiciary 
A BILL 
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 bank-
ruptcy judges, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Bankruptcy Adminis-
tration Improvement Act of 2025’’. 
SEC. 2. FINDINGS. 
Congress finds the following: 
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cluding the Internal Revenue Service, the Depart-
ment of Agriculture, the Small Business Administra-
tion, and other Federal, State, and municipal gov-
ernments. 
(6) Due to the work of the chapter 7 bank-
ruptcy trustees, millions of dollars are also disbursed 
annually to private creditors of all types, including 
medical providers, unsecured creditors, small busi-
nesses, and micro-enterprises such as domestic sup-
port providers. 
(7) Despite the essential role of chapter 7 bank-
ruptcy trustees, since 1994 the amount of compensa-
tion paid to these trustees has not been increased. 
As in 1994, bankruptcy trustees receive only $60 
per case (composed of $45 from subsection 
330(b)(1), and $15 from subsection 330(b)(2), of 
title 11, United States Code) in nearly 90 percent of 
chapter 7 cases, and bankruptcy trustees receive no 
compensation at all for cases in which the filing fee 
is waived by the bankruptcy court. 
(8) Since 1994, there have been significant in-
creases in salaries, attorney fees, budget appropria-
tions, filing fees, and court-related fees associated 
with chapter 7 bankruptcies. In contrast, the $60 
paid to chapter 7 trustees has remained the same 
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and has not even been increased for inflation. In 
2021, Congress attempted to implement a mecha-
nism that would give chapter 7 trustees a raise, but 
the trustees only received increased compensation for 
1 fiscal year. Based on Consumer Price Index esti-
mates, the $60 paid to trustees in 1994 would be 
the equivalent of over $125 today. 
(9) This Act and the amendments made by this 
Act— 
(A) increase the compensation of chapter 7 
bankruptcy trustees to the level that is appro-
priate, overdue, and proportionate with the level 
that was intended in 1994, by increasing the 
total compensation of trustees to $120 per case; 
(B) ensure adequate funding of the United 
States trustee system through the increase of 
certain fees, which will also apply to districts 
that are not part of a United States trustee re-
gion as required by existing law; and 
(C) support the preservation of existing 
bankruptcy judgeships that are urgently needed 
to handle existing and anticipated increases in 
business and consumer caseloads. 
(10) This Act will not alter the filing fee under 
chapter 7 of title 11, United States Code, and will 
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not modify, impair, or supersede the current author-
ity of the district courts of the United States, or of 
bankruptcy courts, to waive the payment of filing 
fees by indigent individuals. 
SEC. 3. TRUSTEE COMPENSATION. 
(a) COMPENSATION OF OFFICERS.—Section 330 of 
title 11, United States Code, is amended— 
(1) in subsection (b)(1) by striking ‘‘$45’’ and 
inserting ‘‘$105’’; and 
(2) by striking subsection (e). 
(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 fol-
lows: 
(1) $63.51 in the special fund of the Treasury 
established under section 1931 of title 28, United 
States Code. 
(2) $25.00 in the special fund established in ac-
cordance with section 10101(b) of the Deficit Reduc-
tion Act of 2005 (28 U.S.C. 1931 note). 
(3) $51.49 in the United States Trustee System 
Fund established under section 589a of title 28, 
United States Code. 
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(c) UNITED STATES TRUSTEE SYSTEM FUND.—Sec-
tion 589a of title 28, United States Code, is amended— 
(1) in subsection (b), by striking paragraph (1) 
and inserting the following: 
‘‘(1) 28.33 percent of the fees collected under 
section 1930(a)(1)(B);’’; and 
(2) in subsection (f)(1)— 
(A) in subparagraph (D) by striking 
‘‘Fourth’’ and inserting ‘‘Second’’; 
(B) by striking subparagraphs (B) and 
(C); and 
(C) by redesignating subparagraph (D) as 
subparagraph (B). 
SEC. 4. BANKRUPTCY FEES. 
(a) QUARTERLY FEES.—Section 1930(a)(6)(B) of 
title 28, United States Code, is amended— 
(1) in clause (i), by striking ‘‘5-year’’ and in-
serting ‘‘10-year’’; and 
(2) in clause (ii)(II), by striking ‘‘0.8’’ and in-
serting ‘‘1.1’’. 
(b) PERIOD FOR DEPOSITS.—Section 589a(f) of title 
28, United States Code, as amended by section 3(c)(2), 
is amended by striking ‘‘2026’’ each place it appears and 
inserting ‘‘2031’’. 
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(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; and 
(2) $5,400,000 of the fees collected under sec-
tion 1930(a)(6) of title 28, United States Code, shall 
be deposited in the general fund of the Treasury. 
SEC. 5. EXTENSION OF TERM OF CERTAIN TEMPORARY OF-
FICES OF BANKRUPTCY JUDGE. 
(a) BANKRUPTCY ADMINISTRATION IMPROVEMENT 
ACT OF 2020.—Section 4 of the Bankruptcy Administra-
tion Improvement Act of 2020 (28 U.S.C. 152 note) is 
amended— 
(1) in subsection (a)(2)— 
(A) in subparagraph (A)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; and 
(B) in subparagraph (B)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(2) in subsection (b)(2)— 
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(A) in subparagraph (A)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(B) in subparagraph (B)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(C) in subparagraph (C)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(D) in subparagraph (D)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(E) in subparagraph (E)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; and 
(F) in subparagraph (F)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(3) in subsection (c)(2)— 
(A) in subparagraph (A)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; and 
(B) in subparagraph (B)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(4) in subsection (d)(2)— 
(A) in subparagraph (A)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; and 
(B) in subparagraph (B)(i), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; 
(5) in subsection (e)(2)(A), by striking ‘‘5 
years’’ and inserting ‘‘10 years’’; and 
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(A) any case pending under chapter 11 of 
title 11, United States Code, on or after Octo-
ber 1 that first occurs after the date of enact-
ment of this Act; and 
(B) quarterly fees payable under section 
1930(a)(6) of title 28, United States Code, for 
disbursements made in any calendar quarter 
that begins on or after October 1 that first oc-
curs after the date of enactment of this Act. 
Æ 
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