Pension Priority Act

Bill: 115-s-2267
Sponsor: full_name: Sen. Franken, Al [D-MN]
Introduced: 2017-12-21
Policy area: Finance and Financial Sector
Latest action: action_date: 2017-12-21
text: Read twice and referred to the Committee on the Judiciary.

Summaries:
action_date: 2017-12-21
action_desc: Introduced in Senate
text: <p><b>Pension Priority Act</b></p> <p>This bill amends the federal bankruptcy code to add a new category of unsecured priority claims in bankruptcy proceedings.</p> <p>Specifically, it gives eighth priority to certain claims related to an employer pension plan.</p>

tv_txt: II 115th CONGRESS 1st Session S. 2267 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.

1. Short title This Act may be cited as the Pension Priority Act . 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) . 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).