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Public Notice Regarding Request for Comments – Bankruptcy Administration Improvement Act of 2020

Tuesday, August 31, 2021

The bench, bar, and public have been asked to provide comments on proposed interim regulations for the administration of a new payment for trustees serving in Chapter 7 bankruptcy cases under the Bankruptcy Administration Improvement Act of 2020.  The legislation, signed into law on Jan. 12, 2021, adds subsection (e) to 11 U.S.C. § 330(link is external), establishing a new Judiciary payment for Chapter 7 trustees, funded by excess collections in the U.S. Trustee System Fund. The new payment supplements the existing $60 payments that bankruptcy courts make to trustees serving in Chapter 7 cases under section 330(b). To accomplish these payments, the statute directs the director of the Administrative Office of the U.S. Courts to issue regulations for administering the law.

Trustees serving in cases filed under or converted to Chapter 7 from Jan. 12, 2021 to the end of fiscal year 2026, will be eligible to receive up to $60, depending on the availability of funds in the U.S. Trustee System Fund, for each case in which services were rendered.

The interim regulations for administration of the new payment will take effect on Sept. 30, 2021.

For instructions on submitting comments, visit the FAQ section. General questions regarding the proposed regulations may be submitted by email to sends e-mail).

The comment period runs from Aug. 30, 2021 to Sept. 17, 2021. Interested parties can submit comments electronically through the portal. 

M. Regina Thomas
Clerk of Court