Click here to view an updated archive of hearings that have been held in the 110th Congress on issues or legislation pertinent to bankruptcy or insolvency law. Included are two recent hearings pertaining to subprime mortgages by the Senate Banking Committee and the House Judiciary Subcommittee on Commercial and Administrative Law.
Note that the chart lists the date of the hearing, the committee where it was held and the hearing title. The hearing title is linked to the committee pages to provide access to written testimony, Member statements and any additional materials or proposals made available by the committee for the hearing.
The federal judiciary has not had a substantial pay raise since 1991, but on January 31, 2008 the Senate Judiciary Committee marked up and approved the Federal Judicial Salary Restoration Act of 2007 (S. 1638) by a vote of ten to seven. Notably, the mark up included an amendment by Senator Feingold (D- WI) to limit judicial gifts related to attendance at privately-funded educations trips and seminars (Feingold Amendment). The next stop would be the Senate floor, but sources say the addition of the Feingold Amendment could doom final passage.
Read the full article.
The Mortgage Forgiveness Debt Relief Act of 2007 – Public Law No. 110-142
On December 20, 2007 the President signed into law H.R. 3648, the Mortgage Forgiveness Debt Relief Act of 2007. This new law amends the Internal Revenue Code of 1986 to exclude discharges of indebtedness on qualified principal residences from gross income, providing some relief with respect to homeowners affected by the mortgage crisis. The recent unrest in the housing market has prompted concern over the tax consequences associated with discharges of indebtedness in connection with restructuring a home mortgage or a foreclosure. The law is designed to address these concerns.
Rep. Charles Rangel (D-NY) introduced the bill on September 25, 2007 with 25 cosponsors. The House of Representatives passed it on October 4, with 386 votes in favor and 27 against and nine representatives not present or voting. The Senate passed it on December 14 by unanimous consent.
The exclusion applies to amounts discharged prior to January 1, 2010 and incurred to acquire a principal residence. There is a $2 million limit on such exclusion, and there is a corollary reduction to the basis of the principal residence. It does not allow an exclusion related to services performed for the lender or any other factor that is not directly related to a decline in the value of the residence or to the financial condition of the taxpayer. Further, it extends the tax deduction for mortgage insurance premiums through 2010.
When signing the bill, President Bush stated:
I’m pleased to sign a bill that will help homeowners who are struggling with rising mortgage payments. The Mortgage Forgiveness Debt Relief Act of 2007 will protect families from higher taxes when they refinance their homes. It will help hardworking Americans take steps to avoid foreclosure during a period of uncertainty in the housing market.
To view his complete statement, please click here: http://www.whitehouse.gov/news/releases/2007/12/20071220-3.html
To view the White House’s fact sheet and press release, please click here:
http://www.whitehouse.gov/news/releases/2007/12/20071220-6.html
To view the new public law in its entirety, please click here:
http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=110_cong_bills&docid=f:h3648enr.txt.pdf
To view the legislative history (House Report 110-356), please click here:
http://thomas.loc.gov/cgi-bin/cpquery/?&dbname=cp110&sid=cp110susc7&refer=&r_n=hr356.110&item=&sel=TOC_0&
