The USTP is one of several federal agencies involved in the U.S. bankruptcy system, but is the only executive branch agency responsible for providing oversight of bankruptcy cases. The agency consists of the EOUST, which provides general policy and legal guidance, oversees operations, and handles administrative functions; and 21 USTs who oversee 93 field office locations and supervise the administration of federal bankruptcy cases. Each of the field offices is managed by an AUST, who is responsible for day-to-day oversight of federal bankruptcy cases. In addition to fee review activity, the USTP also investigates and civilly prosecutes bankruptcy fraud and abuse; refers suspected criminal activity to the U.S. Attorney and other law enforcement partners; monitors and takes action to address the conduct of debtors, creditors, attorneys, credit counselors, and others; oversees private trustees; and ensures compliance with applicable laws and regulations in all bankruptcy cases, from individual consumer filings to large corporate reorganizations. Six basic types of bankruptcy are provided for under chapters of the Bankruptcy Code, depending on factors such as whether the debtor is an individual, corporation, or municipality, and whether the debtor seeks to reorganize or liquidate existing assets and liabilities. Table 1 shows the differences between the types of bankruptcy and whether the USTP is responsible for reviewing professional fee applications for that bankruptcy type. Per the Bankruptcy Code, the USTP is responsible for reviewing fee applications for five types of cases–cases under Chapters 7, 11, 12, 13, and 15 of the Bankruptcy Code. According to USTP officials, the USTP’s fee review responsibilities for Chapter 11 bankruptcy cases compose approximately 5 to 10 percent of the agency’s activities, though the amount of time varies by office and the type of case. Figure 1 provides an overview of the fee application and review process in Chapter 11 bankruptcy, including cases subject to the 2013 guidelines. After a bankruptcy petition is filed, attorneys seeking to represent debtors or others must submit retention applications for approval by the court. Once their retention is approved, attorneys seeking to be compensated from the estate (the pool of assets and monies available to pay creditors) may submit interim fee applications every 120 days, or more often if permitted by the court. The interim fee application allows attorneys to receive compensation for their work before the conclusion of the bankruptcy proceeding. At the conclusion of the case, attorneys submit a final fee application to the court. Both the USTP and the bankruptcy judge are responsible for ensuring that fees are reasonable and necessary, and may review any submitted documentation associated with fees to assist in that determination. While the USTP has standing to object to requested fees, the bankruptcy judge is responsible for determining the final fee amount to be awarded. According to USTP officials, if the USTP identifies a concern associated with a fee application it has reviewed, such as staffing inefficiencies including duplication of work or requesting compensation for first-class travel, the USTP may seek to resolve it by informally contacting the firm submitting the application through an inquiry or by filing an objection to the fee application for the bankruptcy court to consider. Several factors influence how many inquiries and objections are made by the USTP offices in a given case with regard to professional fee applications. According to USTP officials, these can include the complexity of the case, the preferences of the court or USTP, or the experience of the firm filing the application. For instance, an experienced firm may be familiar with the USTP’s expectations for fee applications, reducing the need for the USTP to request additional information. The goals of the 2013 guidelines are to, among other things, help ensure attorneys’ fees in bankruptcy cases are comparable to those charged for nonbankruptcy activities, increase the transparency and efficiency of the fee application and review process, and increase public confidence in the integrity of the process. As discussed previously, the USTP established fee review guidelines in 1996. The 1996 guidelines detailed the type of information and disclosures that the USTP expects professionals to include in their fee applications. Like the 1996 guidelines, the 2013 guidelines are policies and procedures for USTP staff to follow when reviewing fee applications. Unlike the 1996 guidelines, however, the 2013 guidelines apply only to attorneys’ fee applications in Chapter 11 cases where the debtor’s bankruptcy petition lists assets and liabilities each of $50 million or more. In addition to the provisions detailed in the 1996 guidelines, the 2013 guidelines outline the USTP’s expectations that attorneys provide the following information in their fee applications: information about the firm’s blended hourly rates for nonbankruptcy activities (comparable billing rates); budgets and staffing plans, to include explanations when fees requested exceed the budget by 10 percent; electronic billing data, generally in the form of LEDES (legal electronic data exchange standard) data; client and applicant statements on issues including customary billing rates, fees, or terms of service; and disclosures regarding rate increases. According to senior USTP officials, the USTP began to develop the 2013 guidelines in 2010 in an effort to address concerns about the size of attorneys’ fees in large Chapter 11 cases. The 2013 guidelines were also intended to update the USTP’s fee review practices to better reflect advancements in law firm billing practices and technology. To develop the 2013 guidelines, officials created an internal working group and sought input from bankruptcy stakeholders, such as judges, legal industry groups, and attorneys. The USTP published drafts of the guidelines on its public website for public comment in November 2011 and November 2012, and received more than 30 comment letters in response. The USTP also held a public meeting on June 4, 2012, on the draft guidelines. Two of the newly proposed provisions—the comparable billing rate provision and the budgeting and staffing plan provision—were frequently discussed in the comment letters and during the public meeting. According to an EOUST official, the comparable billing rate provision received the most commentary during the public comment period and meeting and was therefore revised more extensively than other provisions. For example, the comment letters from the National Bankruptcy Conference (NBC) and a letter signed by 119 bankruptcy law firms identified several concerns with the draft guidelines’ proposal requesting the “highest, lowest, and average hourly rates” charged by firms for all activities. Among these was the concern that such detailed information about the highest and lowest rates billed does not accurately compare with a firm’s “customary compensation charged,” which is the standard identified by the Bankruptcy Code. The NBC also submitted a separate comment letter proposing multiple alternatives for the USTP to consider. Similarly, comment letters from both the NBC and the 119 law firms expressed concerns regarding the draft budgeting provision, particularly with regard to the public disclosure of budgets. After incorporating changes and clarifying provisions based on the public comments, including allowing redaction of sensitive budgetary information and removing the requirement to disclose the highest and lowest rates billed, the USTP published the final guidelines in the Federal Register in June 2013 and they went into effect in November 2013. Our analysis of USTP data and interviews with bankruptcy stakeholders (AUSTs, judges, and attorneys) indicate that attorneys’ fee applications for guidelines cases have generally contained the information requested by the 2013 guidelines. Bankruptcy stakeholders we interviewed had mixed perspectives on the overall value of the guidelines and on their potential effect on the efficiency and transparency of the Chapter 11 bankruptcy process, or the fees awarded. Similarly, opinions regarding the effect of specific provisions of the 2013 guidelines—including provisions on electronic billing, budgeting and staffing plans, and comparable billing rates—also varied by group. Analysis of USTP data and interviews with bankruptcy stakeholders indicate that attorneys’ fee applications for guidelines cases (those cases with assets and liabilities each of $50 million or more) have generally contained the information requested by the 2013 guidelines. For the 94 guidelines cases filed from November 2013 through March 2015, our analysis of USTP data found that the USTP did not make any inquiries or objections related to the guidelines for fee applications in half (47) of the cases. For the other 47 cases, the USTP identified issues in submitted fee applications that were associated with the guidelines, almost all of which were related to three provisions: (1) budgeting and staffing plans, (2) comparable billing data, and (3) electronic billing records. Specifically, in 36 guidelines cases, the USTP made 98 inquiries and objections, 90 of which were related to one or more of these three provisions in the 2013 guidelines. For example, in one fee application, a firm requested an hourly rate that was higher than the comparable rate it charged in nonbankruptcy activities and exceeded its budget in certain project categories. Because the firm did not provide any explanation in its original fee application, the USTP informally raised the issues with the firm, which then provided an explanation in supplementary information filed with the USTP and the court. In total, attorneys were able to resolve 92 of the 98 inquiries and objections to the satisfaction of the USTP. Almost all were resolved by the attorney providing an oral or written explanation or by filing supplementary information. An internal spreadsheet maintained by the EOUST to provide additional oversight of the 2013 guidelines’ implementation noted compliance issues in 11 other guidelines cases. Attorneys in 10 of these 11 cases also addressed the USTP’s concerns by providing supplemental information or agreeing to do so in future cases. Bankruptcy stakeholders we interviewed who had participated in at least 1 guidelines case also reported that fee applications filed by attorneys in those cases generally contained information requested by the 2013 guidelines. Of the 57 bankruptcy stakeholders we interviewed, 38 had participated in at least 1 guidelines case. Of these 38, 29 reported that fee applications filed by attorneys in the case or cases they were involved in had at least partially observed the 2013 guidelines. Two judges we interviewed stated that in the fee applications they reviewed for guidelines cases they presided over, attorneys did not observe the guidelines’ provisions.