Title: Pension Priority Act
Policy area: Finance and Financial Sector

Summary:
Pension Priority Act
This bill amends the federal bankruptcy code to add a new category of unsecured priority claims in bankruptcy proceedings.
Specifically, it gives eighth priority to certain claims related to an employer pension plan.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 2267 Introduced in Senate (IS)]

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115th CONGRESS
  1st Session
                                S. 2267

 To amend title 11, United States Code, to prioritize certain pension 
             claims in bankruptcy, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           December 21, 2017

  Mr. Franken introduced the following bill; which was read twice and 
               referred to the Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To amend title 11, United States Code, to prioritize certain pension 
             claims in bankruptcy, and for other purposes.

    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 ``Pension Priority Act''.

SEC. 2. PRIORITIES.

    (a) In General.--Section 507(a) of title 11, United States Code, is 
amended--
            (1) by redesignating paragraphs (8) through (10) as 
        paragraphs (9) through (11), respectively; and
            (2) by inserting after paragraph (7) the following:
            ``(8) Eighth, allowed unsecured claims (not otherwise 
        subject to higher priority)--
                    ``(A) resulting from the termination of an employee 
                pension benefit plan covered under section 4 of the 
                Employee Retirement Income Security Act of 1974 (29 
                U.S.C. 1003);
                    ``(B) for withdrawal liability determined under 
                part 1 of subtitle E of title IV of such Act (29 U.S.C. 
                1381 et seq.);
                    ``(C) for awards pursuant to paragraph (2) of 
                subsection (g) of section 502 of such Act (29 U.S.C. 
                1132(g)(2));
                    ``(D) for delinquent contributions described in 
                section 515 of such Act (29 U.S.C. 1145) and 
                obligations treated as delinquent obligations under 
                such Act;
                    ``(E) for other obligations owed to an employee 
                pension benefit plan (if the plan is covered under 
                section 4 of such Act (29 U.S.C. 1003)); or
                    ``(F) for other obligations owed to the Pension 
                Benefit Guaranty Corporation.''.
    (b) Technical and Conforming Amendments.--Title 11, United States 
Code, is amended--
            (1) in section 502(i), by striking ``507(a)(8)'' and 
        inserting ``507(a)(9)'';
            (2) in section 503(b)(1)(B)(i), by striking ``507(a)(8)'' 
        and inserting ``507(a)(9)'';
            (3) in section 523(a)(1)(A), by striking ``507(a)(8)'' and 
        inserting ``507(a)(9)'';
            (4) in section 726(b), by striking ``(9), or (10)'' and 
        inserting ``(9), (10), or (11)'';
            (5) in section 1123(a)(1), by striking ``507(a)(8)'' and 
        inserting ``507(a)(9)''; and
            (6) in section 1328(a)(2), by striking ``507(a)(8)(C)'' and 
        inserting ``507(a)(9)(C)''.

SEC. 3. MODIFICATION OF PLAN CONFIRMATION.

    Section 1129(a)(9) of title 11, United States Code, is amended--
            (1) in subparagraph (A), by inserting ``and'' at the end;
            (2) in subparagraph (B)(ii), by striking the semicolon at 
        the end and inserting a period; and
            (3) by striking subparagraphs (C) and (D).
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