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Congressman Rohrabacher Introduces Bill Protecting Reservists On Active Duty

May 5, 2005

Washington, May 5, 2005 - This week Representative Rohrabacher (R-CA) introduced legislation that would amend the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, signed into law by President Bush, to protect the credit of military personnel for two years after their active duty service.

“Our men and women in uniform, many of whom were taken away from fulltime jobs with higher pay, fighting overseas should not be burdened with worry about bills and debt,” said Rep. Rohrabacher. “This legislation rectifies the recently passed bankruptcy legislation to allow reservists on active duty to adhere to the old bankruptcy laws.”

Rep. Rohrabacher’s legislation, H.R. 2060, would exempt any reservist on active duty for no less than 60 days and called after September 11, 2001, from the stricter bankruptcy rules passed under the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, S. 256. Reservists who qualify would be allowed to operate under the bankruptcy laws prior to the passage of S.256, which permit debts to be eliminated in bankruptcy without regard to “means testing.”

“This legislation has bi-partisan support and the leadership has had a positive reaction about scheduling a vote on the floor of the House,” said Rep. Rohrabacher. “Some members of the Republican Party were horrified that the bankruptcy reform bill did not include sufficient protections for our reservists and would actually create severe hardship upon their homecoming. Thus there is momentum on the issue that will hopefully see this legislation through to the Senate for a vote. I encourage all veteran’s organizations to mobilize their members to contact their federal representatives and leadership to bring this legislation to a vote.”

Co-sponsors of H.R.2060 are Reps. Janice Schakowsky (D-IL), Lane Evans (D-IL), Walter Jones (R-NC), and Howard “Buck” McKeon (R-CA).