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(3) EASTERN DISTRICT OF MICHIGAN.—The 2d 
vacancy in the office of a bankruptcy judge for the 
eastern district of Michigan— 
(A) occurring 5 years or more after the ap-
pointment date of the bankruptcy judge ap-
pointed under paragraph (1) to such office, and 
(B) resulting from the death, retirement, 
resignation, or removal of a bankruptcy judge, 
shall not be filled. 
SEC. 4. BANKRUPTCY FEES. 
(a) AMENDMENTS
TO TITLE 28 OF
THE UNITED 
STATES CODE.—Section 1930(a)(6) of title 28, United 
States Code, is amended— 
(1) by striking ‘‘(6) In’’ and inserting ‘‘(6)(A) 
Except as provided in subparagraph (B), in’’; and 
(2) by adding at the end the following: 
‘‘(B) During each of fiscal years 2018 through 
2022, if the balance in the United States Trustee Sys-
tem Fund as of September 30 of the most recent full 
fiscal year is less than $200,000,000, the quarterly fee 
payable for a quarter in which disbursements equal or 
exceed $1,000,000 shall be the lesser of 1 percent of 
such disbursements or $250,000.’’. 
(b) DEPOSITS OF CERTAIN FEES FOR FISCAL YEARS 
2018 THROUGH 2022.—Notwithstanding section 589a(b) of
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title 28, United States Code, for each of fiscal years 2018 
through 2022— 
(1) 98 percent of the fees collected under section 
1930(a)(6) of such title shall be deposited as offsetting 
collections to the appropriation ‘‘United States Trust-
ee System Fund’’, to remain available until expended; 
and 
(2) 2 percent of the fees collected under section 
1930(a)(6) of such title shall be deposited in the gen-
eral fund of the Treasury. 
(c) APPLICATION OF AMENDMENTS.—The amendments 
made by this section shall apply to quarterly fees payable 
under section 1930(a)(6) of title 28, United States Code, 
as amended by this section, for disbursements made in any 
calendar quarter that begins on or after the date of enact-
ment of this Act. 
SEC. 5. CLARIFICATION OF RULE ALLOWING DISCHARGE TO 
GOVERNMENTAL CLAIMS ARISING FROM THE 
DISPOSITION OF FARM ASSETS UNDER CHAP-
TER 12 BANKRUPTCIES. 
(a) IN GENERAL.—Subchapter II of chapter 12 of title 
11, United States Code, is amended by adding at the end 
the following:
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‘‘§ 1232. Claim by a governmental unit based on the 
disposition of property used in a farming 
operation 
‘‘(a) Any unsecured claim of a governmental unit 
against the debtor or the estate that arises before the filing 
of the petition, or that arises after the filing of the petition 
and before the debtor’s discharge under section 1228, as a 
result of the sale, transfer, exchange, or other disposition 
of any property used in the debtor’s farming operation— 
‘‘(1) shall be treated as an unsecured claim aris-
ing before the date on which the petition is filed; 
‘‘(2) shall not be entitled to priority under sec-
tion 507; 
‘‘(3) shall be provided for under a plan; and 
‘‘(4) shall be discharged in accordance with sec-
tion 1228. 
‘‘(b) For purposes of applying sections 1225(a)(4), 
1228(b)(2), and 1229(b)(1) to a claim described in sub-
section (a) of this section, the amount that would be paid 
on such claim if the estate of the debtor were liquidated 
in a case under chapter 7 of this title shall be the amount 
that would be paid by the estate in a chapter 7 case if the 
claim were an unsecured claim arising before the date on 
which the petition was filed and were not entitled to pri-
ority under section 507.
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‘‘(c) For purposes of applying sections 523(a), 
1228(a)(2), and 1228(c)(2) to a claim described in sub-
section (a) of this section, the claim shall not be treated 
as a claim of a kind specified in subparagraph (A) or (B) 
of section 523(a)(1). 
‘‘(d)(1) A governmental unit may file a proof of claim 
for a claim described in subsection (a) that arises after the 
date on which the petition is filed. 
‘‘(2) If a debtor files a tax return after the filing of 
the petition for a period in which a claim described in sub-
section (a) arises, and the claim relates to the tax return, 
the debtor shall serve notice of the claim on the govern-
mental unit charged with the responsibility for the collec-
tion of the tax at the address and in the manner designated 
in section 505(b)(1). Notice under this paragraph shall state 
that the debtor has filed a petition under this chapter, state 
the name and location of the court in which the case under 
this chapter is pending, state the amount of the claim, and 
include a copy of the filed tax return and documentation 
supporting the calculation of the claim. 
‘‘(3) If notice of a claim has been served on the govern-
mental unit in accordance with paragraph (2), the govern-
mental unit may file a proof of claim not later than 180 
days after the date on which such notice was served. If the 
governmental unit has not filed a timely proof of the claim,
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the debtor or trustee may file proof of the claim that is con-
sistent with the notice served under paragraph (2). If a 
proof of claim is filed by the debtor or trustee under this 
paragraph, the governmental unit may not amend the proof 
of claim. 
‘‘(4) A claim filed under this subsection shall be deter-
mined and shall be allowed under subsection (a), (b), or 
(c) of section 502, or disallowed under subsection (d) or (e) 
of section 502, in the same manner as if the claim had aris-
en immediately before the date of the filing of the petition.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
(1) IN GENERAL.—Subchapter II of chapter 12 of 
title 11, United States Code, is amended— 
(A) in section 1222(a)— 
(i) in paragraph (2), by striking ‘‘un-
less—’’ and all that follows through ‘‘the 
holder’’ and inserting ‘‘unless the holder’’; 
(ii) in paragraph (3), by striking 
‘‘and’’ at the end; 
(iii) in paragraph (4), by striking the 
period at the end and inserting ‘‘; and’’; 
and 
(iv) by adding at the end the following:
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‘‘(5) subject to section 1232, provide for the treat-
ment of any claim by a governmental unit of a kind 
described in section 1232(a).’’; 
(B) in section 1228— 
(i) in subsection (a)— 
(I) in the matter preceding para-
graph (1)— 
(aa) by inserting a comma 
after ‘‘all debts provided for by the 
plan’’; and 
(bb) by inserting a comma 
after ‘‘allowed under section 503 
of this title’’; and 
(II) in paragraph (2), by striking 
‘‘the kind’’ and all that follows and in-
serting ‘‘a kind specified in section 
523(a) of this title, except as provided 
in section 1232(c).’’; and 
(ii) in subsection (c)(2), by inserting ‘‘, 
except as provided in section 1232(c)’’ be-
fore the period at the end; and 
(C) in section 1229(a)— 
(i) in paragraph (2), by striking ‘‘or’’ 
at the end;
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(ii) in paragraph (3), by striking the 
period at the end and inserting ‘‘; or’’; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(4) provide for the payment of a claim de-
scribed in section 1232(a) that arose after the date on 
which the petition was filed.’’. 
(2) TABLE OF SECTIONS.—The table of sections 
for subchapter II of chapter 12 of title 11, United 
States Code, is amended by adding at the end the fol-
lowing: 
‘‘1232. Claim by a governmental unit based on the disposition of property used 
in a farming operation.’’. 
(c) EFFECTIVE DATE.—The amendments made by this 
section shall apply to— 
(1) any bankruptcy case— 
(A) that is pending on the date of enact-
ment of this Act; 
(B) in which the plan under chapter 12 of 
title 11, United States Code, has not been con-
firmed on the date of enactment of this Act; and 
(C) relating to which an order of discharge 
under section 1228 of title 11, United States 
Code, has not been entered; and
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(2) any bankruptcy case that commences on or 
after the date of enactment of this Act. 
Attest: 
Secretary.